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Fundo DE Investimento Imobiliario Votorantim Shopping (BSP:VSHO11) Degree of Operating Leverage : -4.22 (As of Jun. 2023)


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What is Fundo DE Investimento Imobiliario Votorantim Shopping Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage for the quarter that ended in Jun. 2023 was -4.22. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage or its related term are showing as below:

BSP:VSHO11's Degree of Operating Leverage is ranked better than
78.38% of 740 companies
in the REITs industry
Industry Median: 1.11 vs BSP:VSHO11: -4.22

Fundo DE Investimento Imobiliario Votorantim Shopping Degree of Operating Leverage Historical Data

The historical data trend for Fundo DE Investimento Imobiliario Votorantim Shopping'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.

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Fundo DE Investimento Imobiliario Votorantim Shopping Degree of Operating Leverage Chart

Fundo DE Investimento Imobiliario Votorantim Shopping Annual Data
Trend Jun19 Jun20 Jun21 Jun22 Jun23
Degree of Operating Leverage
- - -0.25 2.05 -4.22

Fundo DE Investimento Imobiliario Votorantim Shopping Semi-Annual Data
Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Degree of Operating Leverage Get a 7-Day Free Trial - -0.25 2.05 -4.22 -

Competitive Comparison of Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage

For the REIT - Retail subindustry, Fundo DE Investimento Imobiliario Votorantim Shopping'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.


Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage falls into.



Fundo DE Investimento Imobiliario Votorantim Shopping Degree of Operating Leverage Calculation

Fundo DE Investimento Imobiliario Votorantim Shopping's Degree of Operating Leverage for the quarter that ended in Jun. 2023 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 16.047 (Jun. 2023) / 17.645 (Jun. 2022) - 1 )/( 28.289 (Jun. 2023) / 27.695 (Jun. 2022) - 1 )
=-0.0906/0.0214
=-4.22***

* 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.


Fundo DE Investimento Imobiliario Votorantim Shopping  (BSP:VSHO11) 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.


Fundo DE Investimento Imobiliario Votorantim Shopping Degree of Operating Leverage Related Terms

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Fundo DE Investimento Imobiliario Votorantim Shopping Business Description

Traded in Other Exchanges
N/A
Address
Avenida das Nacoes Unidas, n 14.171, Torre A, 11 Andar, Vila Gertrudes, Sao Paulo, SP, BRA, 04794-000
Fundo DE Investimento Imobiliario Votorantim Shopping is a real estate fund. Its investments are mainly based on investments in real estate developments in shopping malls.

Fundo DE Investimento Imobiliario Votorantim Shopping Headlines

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