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Alset (AEI) Degree of Operating Leverage : 2.21 (As of Mar. 2025)


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What is Alset Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Alset's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 2.21. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

AEI's Degree of Operating Leverage is ranked worse than
68.76% of 1703 companies
in the Real Estate industry
Industry Median: 0.92 vs AEI: 2.21

Alset Degree of Operating Leverage Historical Data

The historical data trend for Alset's Degree of Operating 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.

Alset Degree of Operating Leverage Chart

Alset Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial 0.98 114.56 0.58 -0.02 21.26

Alset Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -0.01 0.12 1.00 21.26 2.21

Competitive Comparison of Alset's Degree of Operating Leverage

For the Real Estate - Development subindustry, Alset's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating 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.


Alset's Degree of Operating Leverage Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Alset's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Alset's Degree of Operating Leverage falls into.


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Alset Degree of Operating Leverage Calculation

Alset's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -6.008 (Mar. 2025) / -64.154 (Mar. 2024) - 1 )/( 16.098 (Mar. 2025) / 27.248 (Mar. 2024) - 1 )
=-0.9064/-0.4092
=2.21***

* 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 EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating 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.


Alset  (NAS:AEI) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Alset Degree of Operating Leverage Related Terms

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


Alset Business Description

Industry
Traded in Other Exchanges
Address
4800 Montgomery Lane, Suite 210, Bethesda, MD, USA, 20814
Alset Inc is a diversified holding company engaged through its subsidiaries in the development of EHome communities and other real estate, financial services, digital transformation technologies, biohealth activities, and consumer products with operations in the United States, Singapore, Hong Kong, Australia, and South Korea. The Company operates in four business segments: real estate, digital transformation technology, Biohealth, and other business activities, and it derives a majority of its revenue from the Real Estate segment.
Executives
Chan Heng Fai Ambrose director, 10 percent owner, officer: Chief Executive Officer 2601 INSLAND PLACE TOWER, 510 KINGS RD N POINT, HONG KONG K3 999999999
Hiu Pan Wong director RM F, 47/F, TOWER 6, PARK AVENUE,, 18 HOI TING ROAD, TAI KOK TUSI, KOWLOON, HONG KONG F4 999077
Lim Sheng Hon Danny director 4800 MONTGOMERY LANE, SUITE 210, BETHESDA MD 20814
Hay Kim Ang director C/O HF ENTERPRISES INC. HAMPDEN SQUARE, 4800 MONTGOMERY LANE SUITE 210, BETHESDA MD 20814
Anthony S. Chan officer: Chief Operating Officer 228 YANJIANG AVE., JIANGAN DIST., BLDG A, WUHAN CITY F4 430010
Robert H Trapp other: Former Director C/O EVISION INTERNATIONAL INC., 1888 SHERMAN ST. #500, DENVER CO 80203
Shui Yeung Wong director 4800 MONTGOMERY LANE, SUITE 210, BETHESDA MD 20814
Tung Moe Chan officer: Co-Chief Executive Officer 1601 BLAKE ST, SUITE 310, DENVER CO 80202
Hfe Holdings Ltd 10 percent owner C/O SINGAPORE EDEVELOPMENT LTD. UNIT B, 17 FL GREATMANY CNTR 109-111 QUEENS RD E, WAN CHAI K3 50
Wu William Wai Leung director C/O DOCUMENT SECURITY SYSTEMS, INC., 200 CANAL VIEW BLVD., SUITE 300, ROCHESTER NY 14624
Tat Keung Wong director 4800 MONTGOMERY LANE SUITE 210, BETHESDA MD 20814
Lui Wai Leung Alan officer: Co-Chief Financial Officer 10 WINSTEDT ROAD #02-02 BLOCK A, SINGAPORE U0 227977
Rongguo Wei officer: Co-Chief Financial Officer 4800 MONTGOMERY LN #210, BETHESDA MD 20814
Charles Mackenzie officer: Chief Development Officer 4800 MONTGOMERY LANE, SUITE 210, BETHESDA MD 20814