GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Bright Future Technology Holdings Ltd (HKSE:01351) » Definitions » Degree of Operating Leverage

Bright Future Technology Holdings (HKSE:01351) Degree of Operating Leverage : -7.77 (As of Dec. 2024)


View and export this data going back to 2020. Start your Free Trial

What is Bright Future Technology Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Bright Future Technology Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -7.77. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Bright Future Technology Holdings's Degree of Operating Leverage or its related term are showing as below:

HKSE:01351's Degree of Operating Leverage is ranked better than
83.64% of 984 companies
in the Media - Diversified industry
Industry Median: 1.175 vs HKSE:01351: -7.77

Bright Future Technology Holdings Degree of Operating Leverage Historical Data

The historical data trend for Bright Future Technology 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.

Bright Future Technology Holdings Degree of Operating Leverage Chart

Bright Future Technology Holdings Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial 1.55 -2.34 9.54 -2.98 -7.77

Bright Future Technology Holdings Semi-Annual Data
Dec17 Dec18 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 9.54 0.18 -2.98 -7.48 -7.77

Competitive Comparison of Bright Future Technology Holdings's Degree of Operating Leverage

For the Advertising Agencies subindustry, Bright Future Technology 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.


Bright Future Technology Holdings's Degree of Operating Leverage Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Bright Future Technology Holdings's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Bright Future Technology Holdings's Degree of Operating Leverage falls into.


;
;

Bright Future Technology Holdings Degree of Operating Leverage Calculation

Bright Future Technology 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
=( -1.644 (Dec. 2024) / 26.489 (Dec. 2023) - 1 )/( 1109.549 (Dec. 2024) / 976.124 (Dec. 2023) - 1 )
=-1.0621/0.1367
=-7.77***

* 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.


Bright Future Technology Holdings  (HKSE:01351) 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.


Bright Future Technology Holdings Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Bright Future Technology Holdings's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Bright Future Technology Holdings Business Description

Traded in Other Exchanges
N/A
Address
Xinghai Mingcheng Community, Rooms 201-02 & 201-03, Phase 7, Nantou Jiedao Nanshan District, Shenzhen, CHN
Bright Future Technology Holdings Ltd is a mobile advertising company offering one-stop and tailor-made advertising services to customers in China. It is engaged in the provision of intelligent marketing solutions services in the PRC. It offers customers comprehensive mobile advertising services from promotion planning, advertisement production, and placement to post-publication monitoring to optimize the promotional effectiveness for customers. Its customers have advertising needs at mobile internet media, either for maximizing exposure of their products through advertising or to achieve specific advertising results.
Executives
Futu Trustee Limited 2301 Trustee
Brilliant League Limited
Dong Hui
Gao Yuqing
Vast Ocean Limited
Wu Cheng
Yang Dengfeng
Highland Triumph Limited
Ultra Model Limited
Vistra Trust (singapore) Pte. Limited
Ark Trust (singapore) Ltd
Smart Guide Ventures Limited
Little Wisdom Limited 2101 Beneficial owner
Shen Ming 2201 Interest of corporation controlled by you
Hu Si Mian 2202 Interest of your spouse

Bright Future Technology Holdings Headlines

No Headlines