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Zhuguang Holdings Group Co (HKSE:01176) Degree of Operating Leverage : 27.78 (As of Dec. 2024)


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What is Zhuguang Holdings Group Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Zhuguang Holdings Group Co's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 27.78. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HKSE:01176's Degree of Operating Leverage is ranked worse than
93.93% of 1698 companies
in the Real Estate industry
Industry Median: 0.92 vs HKSE:01176: 27.78

Zhuguang Holdings Group Co Degree of Operating Leverage Historical Data

The historical data trend for Zhuguang Holdings Group Co'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.

Zhuguang Holdings Group Co Degree of Operating Leverage Chart

Zhuguang Holdings Group Co 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 1.13 1.09 17.10 -0.24 27.78

Zhuguang Holdings Group Co 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 17.10 4.78 -0.24 7.45 27.78

Competitive Comparison of Zhuguang Holdings Group Co's Degree of Operating Leverage

For the Real Estate Services subindustry, Zhuguang Holdings Group Co'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.


Zhuguang Holdings Group Co's Degree of Operating Leverage Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Zhuguang Holdings Group Co's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Zhuguang Holdings Group Co's Degree of Operating Leverage falls into.


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Zhuguang Holdings Group Co Degree of Operating Leverage Calculation

Zhuguang Holdings Group Co'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
=( -2547.343 (Dec. 2024) / 332.61 (Dec. 2023) - 1 )/( 1585.711 (Dec. 2024) / 2303.576 (Dec. 2023) - 1 )
=-8.6586/-0.3116
=27.78***

* 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.


Zhuguang Holdings Group Co  (HKSE:01176) 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.


Zhuguang Holdings Group Co Degree of Operating Leverage Related Terms

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Zhuguang Holdings Group Co Business Description

Traded in Other Exchanges
N/A
Address
8 Finance Street, Room 5702-5703, 57th Floor, Two International Finance Centre, Central, Hong Kong, HKG
Zhuguang Holdings Group Co Ltd engages in property development, property investment, project management, and other property development-related services in the People's Republic of China. The company's core investment projects take place in tier-one and tier-two cities in China. The group's key projects include Zhuguang Yujing Scenic Garden, Pearl Yijing, Pearl Tianhu Yujing Garden, Zhuguang Financial Town One, Pearl Xincheng Yujing, and many others. The sale of properties from the Property Development Segment is responsible for the majority of the company's revenue. The company earns its revenue in both Hong Kong and Mainland China.
Executives
Rong De Investments Limited 2101 Beneficial owner
Liao Tengjia 2201 Interest of corporation controlled by you
Chu Hing Tsung 2201 Interest of corporation controlled by you
Central Huijin Investment Ltd. 2201 Interest of corporation controlled by you
Cheung Fong Wing 2201 Interest of corporation controlled by you
Quan Xing Holdings Limited 2101 Beneficial owner
China Orient Asset Management Co., Ltd.
Ying Ri You Xian Gong Si 2101 Beneficial owner
Zhong Guo Nong Ye Yin Xing Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Nong Yin Guo Ji Tou Zi Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Nong Yin Guo Ji Kong Gu You Xian Gong Si 2201 Interest of corporation controlled by you
The Bank Of New York Mellon Corporation 2201 Interest of corporation controlled by you
China Cinda Asset Management Co., Ltd. 2201 Interest of corporation controlled by you
China Cinda (hk) Holdings Company Limited 2201 Interest of corporation controlled by you
China Cinda (hk) Asset Management Co., Limited 2201 Interest of corporation controlled by you

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