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DAPS advertising (BOM:543651) Degree of Financial Leverage : 1.24 (As of Mar. 2025)


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What is DAPS advertising Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). DAPS advertising's Degree of Financial Leverage for the quarter that ended in Mar. 2025 was 1.24. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for DAPS advertising's Degree of Financial Leverage or its related term are showing as below:

BOM:543651's Degree of Financial Leverage is ranked worse than
68.78% of 980 companies
in the Media - Diversified industry
Industry Median: 0.97 vs BOM:543651: 1.24

DAPS advertising Degree of Financial Leverage Historical Data

The historical data trend for DAPS advertising's Degree of Financial Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

DAPS advertising Degree of Financial Leverage Chart

DAPS advertising Annual Data
Trend Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Degree of Financial Leverage
Get a 7-Day Free Trial 1.35 2.53 1.85 1.26 1.24

DAPS advertising Semi-Annual Data
Mar20 Mar21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25
Degree of Financial Leverage Get a 7-Day Free Trial Premium Member Only 1.85 0.99 1.26 1.00 1.24

Competitive Comparison of DAPS advertising's Degree of Financial Leverage

For the Advertising Agencies subindustry, DAPS advertising's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


DAPS advertising's Degree of Financial Leverage Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, DAPS advertising's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where DAPS advertising's Degree of Financial Leverage falls into.


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DAPS advertising Degree of Financial Leverage Calculation

DAPS advertising's Degree of Financial Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 2.29 (Mar. 2025) / 2.1 (Mar. 2024) - 1 )/( 16.135 (Mar. 2025) / 15.04 (Mar. 2024) - 1 )
=0.0905/0.0728
=1.24***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


DAPS advertising  (BOM:543651) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


DAPS advertising Degree of Financial Leverage Related Terms

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DAPS advertising Business Description

Traded in Other Exchanges
N/A
Address
Office No. 9-B, The Mall, 128, Clyde House, Kanpur, UP, IND, 208001
DAPS advertising Ltd is engaged in the business of providing advertising agency services. The company offers a range of advertising media services consisting of print media, electronic media, and outdoor media services which cover advertisement modes such as newspapers, brochures, magazines, television channels, FM channels display of outdoor hoardings, and others.

DAPS advertising Headlines

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