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Kaisa Capital Investment Holdings (HKSE:00936) Degree of Operating Leverage : 3.89 (As of Dec. 2024)


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What is Kaisa Capital Investment Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Kaisa Capital Investment Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 3.89. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Kaisa Capital Investment Holdings's Degree of Operating Leverage or its related term are showing as below:

HKSE:00936's Degree of Operating Leverage is ranked worse than
75.8% of 1000 companies
in the Business Services industry
Industry Median: 0.95 vs HKSE:00936: 3.89

Kaisa Capital Investment Holdings Degree of Operating Leverage Historical Data

The historical data trend for Kaisa Capital Investment Holdings'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.

Kaisa Capital Investment Holdings Degree of Operating Leverage Chart

Kaisa Capital Investment Holdings 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 0.28 -2.77 1.06 2.45 3.89

Kaisa Capital Investment Holdings 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 1.06 1.58 2.45 -2.49 3.89

Competitive Comparison of Kaisa Capital Investment Holdings's Degree of Operating Leverage

For the Rental & Leasing Services subindustry, Kaisa Capital Investment Holdings'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.


Kaisa Capital Investment Holdings's Degree of Operating Leverage Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Kaisa Capital Investment Holdings's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Kaisa Capital Investment Holdings's Degree of Operating Leverage falls into.


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Kaisa Capital Investment Holdings Degree of Operating Leverage Calculation

Kaisa Capital Investment Holdings'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
=( 18.631 (Dec. 2024) / 23.471 (Dec. 2023) - 1 )/( 225.114 (Dec. 2024) / 237.7 (Dec. 2023) - 1 )
=-0.2062/-0.0529
=3.89***

* 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.


Kaisa Capital Investment Holdings  (HKSE:00936) 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.


Kaisa Capital Investment Holdings Degree of Operating Leverage Related Terms

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Kaisa Capital Investment Holdings Business Description

Traded in Other Exchanges
N/A
Address
33 Hysan Avenue, Room 1901, 19th Floor, Lee Garden One, Causeway Bay, Hong Kong, HKG
Kaisa Capital Investment Holdings Ltd is an investment holding company. Along with its subsidiaries, it is engaged in the trading of construction machinery and spare parts, leasing of the construction machinery under operating leases, and providing repair and maintenance services in respect of the construction machinery. A majority of its revenue is generated from leasing and subleasing of owned plant and machinery. Geographically, the group generates a majority of its revenue from Hong Kong, and also has a presence in Singapore, the PRC, United Arab Emirates, Korea, Sri Lanka, France, and Vietnam.
Executives
Kwok Hiu Yan 2201 Interest of corporation controlled by you
Excel Range Investments Limited 2401 A concert party to an agreement to buy shares
Kwok Hiu Ting 2201 Interest of corporation controlled by you
Kwok Ho Lai 2201 Interest of corporation controlled by you
Ks Holdings 2 Limited 2301 Trustee
Chan Mo 2101 Beneficial owner
Kaisa Group Holdings Ltd. 2201 Interest of corporation controlled by you
Mighty Empire Group Limited 2101 Beneficial owner
Zeng Li 2201 Interest of corporation controlled by you
He Xiao Yang 2101 Beneficial owner

Kaisa Capital Investment Holdings Headlines

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