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Clarity Medical Group Holding (HKSE:01406) Degree of Operating Leverage : -7.94 (As of Sep. 2024)


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What is Clarity Medical Group Holding Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Clarity Medical Group Holding's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -7.94. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Clarity Medical Group Holding's Degree of Operating Leverage or its related term are showing as below:

HKSE:01406's Degree of Operating Leverage is ranked better than
89.01% of 801 companies
in the Medical Devices & Instruments industry
Industry Median: 0.59 vs HKSE:01406: -7.94

Clarity Medical Group Holding Degree of Operating Leverage Historical Data

The historical data trend for Clarity Medical Group Holding'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.

Clarity Medical Group Holding Degree of Operating Leverage Chart

Clarity Medical Group Holding Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Degree of Operating Leverage
Get a 7-Day Free Trial -2.76 - - 21.16 -526.17

Clarity Medical Group Holding Semi-Annual Data
Mar19 Mar20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.09 21.16 88.95 -526.17 -7.94

Competitive Comparison of Clarity Medical Group Holding's Degree of Operating Leverage

For the Medical Instruments & Supplies subindustry, Clarity Medical Group Holding'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.


Clarity Medical Group Holding's Degree of Operating Leverage Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Clarity Medical Group Holding's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Clarity Medical Group Holding's Degree of Operating Leverage falls into.


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Clarity Medical Group Holding Degree of Operating Leverage Calculation

Clarity Medical Group Holding's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -74.822 (Sep. 2024) / -34.107 (Sep. 2023) - 1 )/( 176.524 (Sep. 2024) / 207.766 (Sep. 2023) - 1 )
=1.1937/-0.1504
=-7.94***

* 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.


Clarity Medical Group Holding  (HKSE:01406) 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.


Clarity Medical Group Holding Degree of Operating Leverage Related Terms

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Clarity Medical Group Holding Business Description

Traded in Other Exchanges
N/A
Address
9 Queen’s Road Central, Room 1302, 13th Floor, Hong Kong, HKG
Clarity Medical Group Holding Ltd is committed to providing comprehensive and professional ophthalmic services for patients with various eye conditions. It operates two medical centers in Central and Mongkok. The medical centers are equipped with medical instruments and surgical equipment which allows performing various ophthalmic examinations, treatments, and surgeries for patients.
Executives
Tian Jin Zhong You Jian Kang Ke Ji You Xian Gong Si 2201 Interest of corporation controlled by you
Bei Jing Ying Tong Ke Ji Fa Zhan Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Innovative Vision Inc 2101 Beneficial owner
Innovative Vision Gp Ltd (formerly Known As Global Vision Gp Ltd) 2201 Interest of corporation controlled by you
Global Vision Investment Lp 2201 Interest of corporation controlled by you
3w Partners Gp Limited 2201 Interest of corporation controlled by you
Chan Hoi Hin William 2501 Other
Goh Lu Hong 2501 Other
Clear Lead Ventures Limited 2101 Beneficial owner
3w Partners Holdings Limited 2201 Interest of corporation controlled by you
3w Partners Fund I L.p. 2201 Interest of corporation controlled by you
Prime Sage International Limited 2201 Interest of corporation controlled by you
Tmf (cayman) Ltd. 2301 Trustee
Ultimate Bliss Limited 2307 Founder of a discretionary trust who can infl
Tse Wai Ip 2307 Founder of a discretionary trust who can infl

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