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China Cultural Tourism and Agriculture Group (HKSE:00542) Degree of Operating Leverage : -12.11 (As of Dec. 2024)


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What is China Cultural Tourism and Agriculture Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. China Cultural Tourism and Agriculture Group's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -12.11. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for China Cultural Tourism and Agriculture Group's Degree of Operating Leverage or its related term are showing as below:

HKSE:00542's Degree of Operating Leverage is ranked better than
90.43% of 1703 companies
in the Real Estate industry
Industry Median: 0.92 vs HKSE:00542: -12.11

China Cultural Tourism and Agriculture Group Degree of Operating Leverage Historical Data

The historical data trend for China Cultural Tourism and Agriculture 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.

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China Cultural Tourism and Agriculture Group Degree of Operating Leverage Chart

China Cultural Tourism and Agriculture Group Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.60 -0.89 -0.02 1.27 -12.11

China Cultural Tourism and Agriculture Group Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 -0.02 6.60 1.27 1.34 -12.11

Competitive Comparison of China Cultural Tourism and Agriculture Group's Degree of Operating Leverage

For the Real Estate - Development subindustry, China Cultural Tourism and Agriculture 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.


China Cultural Tourism and Agriculture Group's Degree of Operating Leverage Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, China Cultural Tourism and Agriculture Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where China Cultural Tourism and Agriculture Group's Degree of Operating Leverage falls into.


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China Cultural Tourism and Agriculture Group Degree of Operating Leverage Calculation

China Cultural Tourism and Agriculture Group's Degree of Operating Leverage for the quarter that ended in Dec. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -98.167 (Dec. 2024) / -21.682 (Dec. 2023) - 1 )/( 216.159 (Dec. 2024) / 305.02 (Dec. 2023) - 1 )
=3.5276/-0.2913
=-12.11***

* 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.


China Cultural Tourism and Agriculture Group  (HKSE:00542) 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.


China Cultural Tourism and Agriculture Group Degree of Operating Leverage Related Terms

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China Cultural Tourism and Agriculture Group Business Description

Traded in Other Exchanges
N/A
Address
No. 121 Des Voeux Road Centra, Units 2105 and 2106, Far East Consortium Building, Kowloon, HKG
China Cultural Tourism and Agriculture Group Ltd is engaged in the Property development segment comprises the development and sales of properties and provision of ancillary services, including agency and clubhouse operating services; the Hotel business segment comprises the sub-licensing rights to hotel operators and hotel management activities, and Other Business, including Trading of goods. It derives maximum revenue from the Property Development Segment. The company generated its revenue from PRC.
Executives
Lin Rujie 2202 Interest of your spouse
Yang Lijun 2201 Interest of corporation controlled by you
Huang Anfeng 2101 Beneficial owner
Bright Goal Investment Holding Limited
Chen Kaijun 2201 Interest of corporation controlled by you
High Summit Global Limited 2101 Beneficial owner
All Great International Holdings Limited 2101 Beneficial owner
Honor Huge Investment Holdings Limited 2201 Interest of corporation controlled by you
Jade Leader International Investment Limited 2201 Interest of corporation controlled by you
Shirble Department Store Holdings (china) Limited 2201 Interest of corporation controlled by you
Huang Xue Rong 2304 Executor or administrator
Yang Xiang Bo 2201 Interest of corporation controlled by you
Zhang Zhen Cheng 2101 Beneficial owner

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