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V.S. International Group (HKSE:01002) Degree of Operating Leverage : 2.37 (As of Jul. 2024)


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What is V.S. International Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. V.S. International Group's Degree of Operating Leverage for the quarter that ended in Jul. 2024 was 2.37. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for V.S. International Group's Degree of Operating Leverage or its related term are showing as below:

HKSE:01002's Degree of Operating Leverage is ranked worse than
65.57% of 1516 companies
in the Chemicals industry
Industry Median: 1.005 vs HKSE:01002: 2.37

V.S. International Group Degree of Operating Leverage Historical Data

The historical data trend for V.S. International 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.

V.S. International Group Degree of Operating Leverage Chart

V.S. International Group Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1,073.41 2.86 2.43 99.13 1.39

V.S. International Group Semi-Annual Data
Jan15 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24
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 99.13 -13.39 1.39 -45.34 2.37

Competitive Comparison of V.S. International Group's Degree of Operating Leverage

For the Specialty Chemicals subindustry, V.S. International 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.


V.S. International Group's Degree of Operating Leverage Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, V.S. International Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where V.S. International Group's Degree of Operating Leverage falls into.


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V.S. International Group Degree of Operating Leverage Calculation

V.S. International Group's Degree of Operating Leverage for the quarter that ended in Jul. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -7.218 (Jul. 2024) / -22.803 (Jul. 2023) - 1 )/( 60.81 (Jul. 2024) / 85.434 (Jul. 2023) - 1 )
=-0.6835/-0.2882
=2.37***

* 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.


V.S. International Group  (HKSE:01002) 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.


V.S. International Group Degree of Operating Leverage Related Terms

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V.S. International Group Business Description

Traded in Other Exchanges
N/A
Address
1 Connaught Place, 40th Floor, Jardine House, Central, Hong kong, HKG
V.S. International Group Ltd is an investment holding company. It is engaged in the plastic injection and moulding business. It operates in three segments. The Plastic injection and moulding segment, which is the key revenue driver, manufactures and sells plastic moulded products and parts; the Assembling of electronic products segment assembles and sells electronic products, this segment also includes processing fees generated from assembling electronic products; the Mould design and fabrication segment manufactures and sells plastic injection moulds.
Executives
V.s. Industry Berhad 2101 Beneficial owner
Lui Chong Huat 2101 Beneficial owner
Wan Poh Ping 2202 Interest of your spouse
Beh Kim Ling 2101 Beneficial owner
B&e Holding Limited 2101 Beneficial owner
Beh Kim Siea 2201 Interest of corporation controlled by you

V.S. International Group Headlines

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