GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Navoday Enterprises Ltd (BOM:543305) » Definitions » Degree of Operating Leverage

Navoday Enterprises (BOM:543305) Degree of Operating Leverage : 3.83 (As of Sep. 2024)


View and export this data going back to 2021. Start your Free Trial

What is Navoday Enterprises Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Navoday Enterprises's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was 3.83. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

BOM:543305's Degree of Operating Leverage is ranked worse than
70.62% of 987 companies
in the Media - Diversified industry
Industry Median: 1.18 vs BOM:543305: 3.83

Navoday Enterprises Degree of Operating Leverage Historical Data

The historical data trend for Navoday Enterprises'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.

Navoday Enterprises Degree of Operating Leverage Chart

Navoday Enterprises Annual Data
Trend Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Degree of Operating Leverage
Get a 7-Day Free Trial - - 0.60 1.04 -17.89

Navoday Enterprises Semi-Annual Data
Mar18 Mar19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.38 1.04 7.24 -17.89 3.83

Competitive Comparison of Navoday Enterprises's Degree of Operating Leverage

For the Advertising Agencies subindustry, Navoday Enterprises'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.


Navoday Enterprises's Degree of Operating Leverage Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Navoday Enterprises's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Navoday Enterprises Degree of Operating Leverage Calculation

Navoday Enterprises's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 29.687 (Sep. 2024) / -24.449 (Sep. 2023) - 1 )/( 59.691 (Sep. 2024) / 141.741 (Sep. 2023) - 1 )
=-2.2142/-0.5789
=3.83***

* 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.


Navoday Enterprises  (BOM:543305) 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.


Navoday Enterprises Degree of Operating Leverage Related Terms

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


Navoday Enterprises Business Description

Traded in Other Exchanges
N/A
Address
New Link Road, B-713, 7th Floor, Crystal Plaza, Opposite Infinity Shopping Mall, Andheri (West), Mumbai, MH, IND, 400 053
Navoday Enterprises Ltd is engaged in events management which includes planning, organizing, and managing events. The company manages commercial events, corporate events, cultural events, and also small brand promotion events for their clients. It also engaged in branding and designing through print and online and digital media. And also design various publicity materials for clients such as Pham plates, brochures, flyers and others for own consumption.

Navoday Enterprises Headlines

No Headlines