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SPAI (Safe Pro Group) Degree of Financial Leverage : 1.09 (As of Mar. 2025)


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What is Safe Pro Group 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). Safe Pro Group's Degree of Financial Leverage for the quarter that ended in Mar. 2025 was 1.09. The higher Degree of Financial Leverage, the more volatile earnings will be.

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

SPAI's Degree of Financial Leverage is ranked worse than
59.55% of 314 companies
in the Aerospace & Defense industry
Industry Median: 0.98 vs SPAI: 1.09

Safe Pro Group Degree of Financial Leverage Historical Data

The historical data trend for Safe Pro Group'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.

Safe Pro Group Degree of Financial Leverage Chart

Safe Pro Group Annual Data
Trend Dec22 Dec23 Dec24
Degree of Financial Leverage
- 1.00 1.88

Safe Pro Group Quarterly Data
Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Financial Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 1.16 1.88 1.09

Competitive Comparison of Safe Pro Group's Degree of Financial Leverage

For the Aerospace & Defense subindustry, Safe Pro Group'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.


Safe Pro Group's Degree of Financial Leverage Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Safe Pro Group's Degree of Financial Leverage distribution charts can be found below:

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


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Safe Pro Group Degree of Financial Leverage Calculation

Safe Pro Group'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
=( -0.759 (Mar. 2025) / -0.51 (Mar. 2024) - 1 )/( -10 (Mar. 2025) / -6.909 (Mar. 2024) - 1 )
=0.4882/0.4474
=1.09***

* 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.


Safe Pro Group  (NAS:SPAI) 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.


Safe Pro Group Degree of Financial Leverage Related Terms

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Safe Pro Group Business Description

Traded in Other Exchanges
N/A
Address
18305 Biscayne Boulevard, Suite 222, Aventura, FL, USA, 33160
Safe Pro Group Inc operates to acquire security and protection products. Its emphasis is on the development of a cloud-based ecosystem for analyzing drone imagery and data utilizing proprietary artificial intelligence (AI), machine learning, deep learning, and applied computer vision software for hyper-scalable processing, analysis, and reporting. The company operated in three reportable business segments which consisted of: the business of Safe-Pro USA, the business of Airborne Response, and the business of Safe Pro AI. Key revenue is generated from Airborne Response.

Safe Pro Group Headlines

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