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Central China Real Estate (HKSE:00832) Degree of Operating Leverage : -3.73 (As of Dec. 2024)


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What is Central China Real Estate Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Central China Real Estate's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -3.73. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Central China Real Estate's Degree of Operating Leverage or its related term are showing as below:

HKSE:00832's Degree of Operating Leverage is ranked better than
82.91% of 1703 companies
in the Real Estate industry
Industry Median: 0.91 vs HKSE:00832: -3.73

Central China Real Estate Degree of Operating Leverage Historical Data

The historical data trend for Central China Real Estate'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.

Central China Real Estate Degree of Operating Leverage Chart

Central China Real Estate 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 0.11 -346.05 5.11 3.74 -3.73

Central China Real Estate 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 5.11 3.53 3.74 -6.90 -3.73

Competitive Comparison of Central China Real Estate's Degree of Operating Leverage

For the Real Estate - Development subindustry, Central China Real Estate'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.


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

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

* The bar in red indicates where Central China Real Estate's Degree of Operating Leverage falls into.


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Central China Real Estate Degree of Operating Leverage Calculation

Central China Real Estate'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
=( -2162.062 (Dec. 2024) / -1277.762 (Dec. 2023) - 1 )/( 17156.198 (Dec. 2024) / 21067.376 (Dec. 2023) - 1 )
=0.6921/-0.1857
=-3.73***

* 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.


Central China Real Estate  (HKSE:00832) 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.


Central China Real Estate Degree of Operating Leverage Related Terms

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


Central China Real Estate Business Description

Traded in Other Exchanges
Address
Nongye East Road, Block E, Jianye Office Building, Henan Province, Zhengzhou, CHN
Central China Real Estate Ltd is a Hong Kong-based investment holding company principally engaged in property development, property leasing and hotel operations. The Company's main businesses include the development of property projects for sales and rental, as well as hotel operations. Its properties include Zhengzhou Tianzhu, Zhengzhou Triumph Plaza, Pingdingshan Eighteen Cities, and Jiaozuo Xiuwu Forest Peninsula, among others. Its hotels include Le Meridien Zhengzhou, Aloft Zhengzhou Shangjie, and Holiday Inn Nanyang, among others. The Company is also involved in the businesses of cultural tourism projects and light-asset model projects. The Company mainly operates businesses in Henan, China.
Executives
Joy Bright Investments Limited 2101 Beneficial owner
Wu Po Sum 2201 Interest of corporation controlled by you
You Dao Fa Zhan Guo Ji Xiang Gang You Xian Gong Si 2101 Beneficial owner
He Nan Tong Cheng Zhi Ye You Xian Gong Si 2201 Interest of corporation controlled by you
He Nan Sheng Tie Lu Jian She Tou Zi Ji Tuan You Xian Gong Si 2201 Interest of corporation controlled by you

Central China Real Estate Headlines

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