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Speed Commerce (Speed Commerce) Degree of Financial Leverage : 0.00 (As of Dec. 2015)


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What is Speed Commerce 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). Speed Commerce's Degree of Financial Leverage for the quarter that ended in Dec. 2015 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

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

SPDC's Degree of Financial Leverage is not ranked *
in the Software industry.
Industry Median: 0.97
* Ranked among companies with meaningful Degree of Financial Leverage only.

Speed Commerce Degree of Financial Leverage Historical Data

The historical data trend for Speed Commerce'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.

Speed Commerce Degree of Financial Leverage Chart

Speed Commerce Annual Data
Trend Mar06 Mar07 Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15
Degree of Financial Leverage
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Speed Commerce Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
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Competitive Comparison of Speed Commerce's Degree of Financial Leverage

For the Software - Application subindustry, Speed Commerce'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.


Speed Commerce's Degree of Financial Leverage Distribution in the Software Industry

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

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



Speed Commerce Degree of Financial Leverage Calculation

Speed Commerce's Degree of Financial Leverage for the quarter that ended in Dec. 2015 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -27.04 (Dec. 2015) / -10.56 (Dec. 2014) - 1 )/( -34.829 (Dec. 2015) / -8.785 (Dec. 2014) - 1 )
=1.5606/2.9646
=0.53***

* 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.


Speed Commerce  (OTCPK:SPDC) 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.


Speed Commerce Degree of Financial Leverage Related Terms

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


Speed Commerce (Speed Commerce) Business Description

Industry
Traded in Other Exchanges
N/A
Address
1303 East Arapaho Road, Suite 200, Richardson, TX, USA, 75081
Speed Commerce Inc is a provider of flexible end-to-end e-commerce services to retailers and manufacturers. It provides Web platform development and hosting, order management, fulfillment, logistics and contact center services, which provide clients with transaction-based services and information management tools. It manages fulfillment center from four facilities located in Pennsylvania, Ohio, Missouri, and Texas, utilizing automation technology, such as unit sortation, pick-to-pack conveyors and radio frequency (RF) scanning.
Executives
Richard Willis director, officer: President and CEO 7400 49TH AVE. NORTH, NEW HOPE MN 55428
Bradley J. Shisler director 7400 49TH AVENUE NORTH, NEW HOPE MN 55428
Rebecca Lynn Atchison director 10355 PECAN PARK BOULEVARD, AUSTIN TX 78729
Kathleen P Iverson director 5900 GOLDEN HILLS DRIVE, GOLDEN VALLEY MN 55416
Steven R Becker other: Member of a 13(d) 10% Group 5525 NAKOMA DRIVE, DALLAS TX 75209
Northern Right Capital Management, L.p. other: Member of a 13(d) 10% Group 9 OLD KINGS HWY. S., 4TH FLOOR, DARIEN CT 06820
Bc Advisors Llc other: Member of a 13(d) 10% Group 500 CRESCENT COURT, SUITE 230, DALLAS TX 75201
Becker Drapkin Partners, L.p. other: Member of a 13(d) 10% Group 500 CRESCENT COURT, SUITE 230, DALLAS TX 75201
Northern Right Capital (qp), L.p. other: Member of a 13(d) 10% Group 9 OLD KINGS HWY. S., 4TH FLOOR, DARIEN CT 06820
Matthew A Drapkin other: Member of a 13(d) 10% Group 10 CORBIN DRIVE, 3RD FLOOR, DARIEN CT 06820
David Dalvey director C/O BLUE ROCK ADVISORS, INC., 80 SOUTH EIGHTH STREET SUITE 3915, MINNEAPOLIS MN 55402

Speed Commerce (Speed Commerce) Headlines

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