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HFFG (HF Foods Group) Degree of Operating Leverage : -69.59 (As of Mar. 2025)


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What is HF Foods Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. HF Foods Group's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -69.59. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HFFG's Degree of Operating Leverage is ranked better than
97.35% of 302 companies
in the Retail - Defensive industry
Industry Median: 0.9 vs HFFG: -69.59

HF Foods Group Degree of Operating Leverage Historical Data

The historical data trend for HF Foods Group'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.

HF Foods Group Degree of Operating Leverage Chart

HF Foods Group Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial -79.39 -2.69 -1.63 -9.97 -106.25

HF Foods Group 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 198.97 204.91 -490.77 -106.25 -69.59

Competitive Comparison of HF Foods Group's Degree of Operating Leverage

For the Food Distribution subindustry, HF Foods Group'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.


HF Foods Group's Degree of Operating Leverage Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, HF Foods Group's Degree of Operating Leverage distribution charts can be found below:

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


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HF Foods Group Degree of Operating Leverage Calculation

HF Foods Group'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
=( -36.659 (Mar. 2025) / 16.106 (Mar. 2024) - 1 )/( 1204.441 (Mar. 2025) / 1150.292 (Mar. 2024) - 1 )
=-3.2761/0.0471
=-69.59***

* 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.


HF Foods Group  (NAS:HFFG) 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.


HF Foods Group Degree of Operating Leverage Related Terms

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HF Foods Group Business Description

Traded in Other Exchanges
Address
6325 South Rainbow Boulevard, Suite 420, Las Vegas, NV, USA, 89118
HF Foods Group Inc is an Asian food service distributor that markets and distributes fresh produce, seafood, frozen and dry food, and non-food products to Asian restaurants and other food service customers throughout the United States. The company's business consists of one operating segment; HF Group, which operates solely in the United States. The company's customer base consists of Chinese and Asian restaurants, and it provides sales and service support to customers who mainly converse in Mandarin or Chinese dialects.
Executives
Xi Lin officer: Chief Operating Officer 6001 W. MARKET STREET, GREENSBORO NC 27409
Christine Chang officer: See Remarks 19319 ARENTH AVENUE, CITY OF INDUSTRY CA 91748
Xiao Mou Zhang director, officer: Chief Executive Officer 6001 W. MARKET STREET, GREENSBORO NC 27409
Prudence H Chiang director 6325 S RAINBOW BLVD STE 420, LAS VEGAS NV 89118
Valerie Chase director SOUTH 6325 RAINBOW BOULEVARD, SUITE 420, LAS VEGAS NV 89118
Russell T. Libby director SYSCO CORPORATION, 1390 ENCLAVE PARKWAY, HOUSTON TX 77077
Hong Wang director 5811 WILDROSE DRIVE, GREENSBORO NC 27410
Carlos Antonio Rodriguez officer: Chief Financial Officer 6325 SOUTH RAINBOW BOULEVARD, SUITE 420, LAS VEGAS NV 89118
Jose Maroto director 6325 SOUTH RAINBOW BOULEVARD, SUITE 420, LAS VEGAS NV 89118
Kong Hian Lee officer: Chief Financial Officer 19319 ARENTH AVENUE, CITY OF INDUSTRY CA 91748
Spot Light Investments, Llc 10 percent owner 6001 W. MARKET STREET, GREENSBORO NC 27409
Ren Hua Zheng director 2 DANDY DRIVE, COS COB CT 06807
Caixuan Xu officer: Chief Financial Officer 6001 W. MARKET ST, GREENSBORO NC 27409
Zhehui Ni director ROOM 1704, BUILDING #16, NO. 58 AOMEN ROAD, SHANGHAI F4 200061
Irrevocable Trust For Raymond Ni 10 percent owner 6001 WEST MARKET STREET, GREENSBORO NC 27409