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China First Capital Group (HKSE:01269) Degree of Operating Leverage : 1.19 (As of Dec. 2024)


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What is China First Capital Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. China First Capital Group's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 1.19. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for China First Capital Group's Degree of Operating Leverage or its related term are showing as below:

HKSE:01269's Degree of Operating Leverage is ranked worse than
52.91% of 1289 companies
in the Vehicles & Parts industry
Industry Median: 1.02 vs HKSE:01269: 1.19

China First Capital Group Degree of Operating Leverage Historical Data

The historical data trend for China First Capital 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.

China First Capital Group Degree of Operating Leverage Chart

China First Capital 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 3.68 19.54 -1,578.22 -0.19 1.19

China First Capital 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 -1,578.22 -6.69 -0.19 1.22 1.19

Competitive Comparison of China First Capital Group's Degree of Operating Leverage

For the Auto Parts subindustry, China First Capital 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 First Capital Group's Degree of Operating Leverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, China First Capital Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where China First Capital Group's Degree of Operating Leverage falls into.


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China First Capital Group Degree of Operating Leverage Calculation

China First Capital 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
=( -268.4 (Dec. 2024) / -224.397 (Dec. 2023) - 1 )/( 2335.229 (Dec. 2024) / 2005.684 (Dec. 2023) - 1 )
=0.1961/0.1643
=1.19***

* 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 First Capital Group  (HKSE:01269) 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 First Capital Group Degree of Operating Leverage Related Terms

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China First Capital Group Business Description

Traded in Other Exchanges
N/A
Address
Xipingtou Industrial Park, Xichuan County, Henan Province, Nanyang, CHN
China First Capital Group Ltd is an investment holding company. Along with its holdings, it sells automobile shock absorbers and provides financial and advisory services. The company is also involved in the provision of management and consultancy services to educational institutions. The group has three reportable segments: Automotive parts business, Education management and consultation business, and Financial services business. The group earns a majority of its revenue from the Automotive parts business, which is engaged in the manufacturing and selling of automobile absorbers and suspension system products to original automobile manufacturers and the secondary market of the automobile industry. Geographically, the group derives its key revenue from the People's Republic of China.
Executives
Guo Ce 2201 Interest of corporation controlled by you
Principal Global Investment Limited 2101 Beneficial owner
Golden Cloud Co., Limited 2201 Interest of corporation controlled by you
Hongkong Chuang Yue Co., Limited 2101 Beneficial owner
Liu Kun 2201 Interest of corporation controlled by you
Shenmane.d Co., Limited 2201 Interest of corporation controlled by you
Sea Wilson 2201 Interest of corporation controlled by you
Wang Lily 2202 Interest of your spouse
Wealth Max Holdings Limited 2101 Beneficial owner
Zhong Guo Hua Rong Zi Chan Guan Li Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Hua Rong Hua Qiao Zi Chan Guan Li Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Sze Ka Wo 2501 Other
Zhongyuan Bank Co., Ltd. 2106 Person having a security interest in shares
Bank Of Communications Co., Ltd 2106 Person having a security interest in shares
Champion Sense Global Limited 2106 Person having a security interest in shares

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