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GlobalSCAPE (GlobalSCAPE) Degree of Financial Leverage : 0.00 (As of Jun. 2020)


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What is GlobalSCAPE 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). GlobalSCAPE's Degree of Financial Leverage for the quarter that ended in Jun. 2020 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

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

GSB's Degree of Financial Leverage is not ranked *
in the Software industry.
Industry Median: 0.99
* Ranked among companies with meaningful Degree of Financial Leverage only.

GlobalSCAPE Degree of Financial Leverage Historical Data

The historical data trend for GlobalSCAPE'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.

GlobalSCAPE Degree of Financial Leverage Chart

GlobalSCAPE Annual Data
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Degree of Financial Leverage
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GlobalSCAPE Quarterly Data
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Competitive Comparison of GlobalSCAPE's Degree of Financial Leverage

For the Software - Application subindustry, GlobalSCAPE'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.


GlobalSCAPE's Degree of Financial Leverage Distribution in the Software Industry

For the Software industry and Technology sector, GlobalSCAPE's Degree of Financial Leverage distribution charts can be found below:

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



GlobalSCAPE Degree of Financial Leverage Calculation

GlobalSCAPE's Degree of Financial Leverage for the quarter that ended in Jun. 2020 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 0.69 (Jun. 2020) / 0.53 (Jun. 2019) - 1 )/( 15.663 (Jun. 2020) / 12.839 (Jun. 2019) - 1 )
=0.3019/0.22
=1.37***

* 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.


GlobalSCAPE  (AMEX:GSB) 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.


GlobalSCAPE Degree of Financial Leverage Related Terms

Thank you for viewing the detailed overview of GlobalSCAPE's Degree of Financial Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


GlobalSCAPE (GlobalSCAPE) Business Description

Industry
Traded in Other Exchanges
N/A
Address
4500 Lockhill-Selma, Suite 150, San Antonio, TX, USA, 78249
GlobalSCAPE Inc is a US-based company involved in the business of development and sale of computer software that provides secure information exchange, data transfer and sharing capabilities for enterprises and consumers. Its primary business is selling and supporting managed file transfer (MFT) software for enterprises based on the Enhanced File Transfer (EFT) platform.
Executives
Mark C Hood officer: Chief Operating Officer C/O CROSSROADS SYSTEMS, INC., 11000 N. MOPAC EXPRESSWAY #150, AUSTIN TX 78759
David L Mann director 4500 LOCKHILL SELMA, SUITE 150 SAN ANTONIO TX 78249
David Christopher Mello officer: EVP of Technical Services 4500 LOCKHILL SELMA STE 150 SAN ANTONIO TX 78249
Karen J. Young officer: Chief Financial Officer 12211 HART CREST SAN ANTONIO TX 78249
Thomas Enfield Hicks director 1803 CENTURY OAK TRAIL SAN ANTONIO TX 78232
Michael Patrick Canavan officer: EVP of Sales & Marketing 4500 LOCKHILL-SELMA, SUITE 150 SAN ANTONIO TX 78249
Covenant Rha Partners, L.p. 10 percent owner 8214 WESTCHESTER DRIVE, SUITE 650, DALLAS TX 75225
C Clark Webb director, 10 percent owner 8214 WESTCHESTER DRIVE, SUITE 950, DALLAS TX 75225
Robert H Alpert director, 10 percent owner, officer: Chief Executive Officer 8214 WESTCHESTER DRIVE, SUITE 950, DALLAS TX 75225
Ccw/law Holdings, Llc 10 percent owner 8214 WESTCHESTER DRIVE, SUITE 950, DALLAS TX 75225
210/gsb Acquisition Partners, Llc 10 percent owner 8214 WESTCHESTER DRIVE SUITE 950 DALLAS TX 75225
210 Capital, Llc 10 percent owner 8214 WESTCHESTER DRIVE, SUITE 950, DALLAS TX 75225
Rha Investments, Inc. 10 percent owner 8214 WESTCHESTER DRIVE, SUITE 950, DALLAS TX 75225
Frank M Morgan director 4500 LOCKHILL SELMA, SUITE 150 SAN ANTONIO TX 78249
Matthew Craig Goulet director, officer: President and CEO 4500 LOCKHILL-SELMA SUITE 150 SAN ANTONIO TX 78254

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