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YuanShengTai Dairy Farm (HKSE:01431) Degree of Operating Leverage : -16.31 (As of Dec. 2024)


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What is YuanShengTai Dairy Farm Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. YuanShengTai Dairy Farm's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -16.31. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for YuanShengTai Dairy Farm's Degree of Operating Leverage or its related term are showing as below:

HKSE:01431's Degree of Operating Leverage is ranked better than
90.43% of 1839 companies
in the Consumer Packaged Goods industry
Industry Median: 1.04 vs HKSE:01431: -16.31

YuanShengTai Dairy Farm Degree of Operating Leverage Historical Data

The historical data trend for YuanShengTai Dairy Farm'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.

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YuanShengTai Dairy Farm Degree of Operating Leverage Chart

YuanShengTai Dairy Farm 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 9.26 -3.95 -11.11 -285.29 -16.31

YuanShengTai Dairy Farm 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 -11.11 -126.47 -285.29 -23.27 -16.31

Competitive Comparison of YuanShengTai Dairy Farm's Degree of Operating Leverage

For the Farm Products subindustry, YuanShengTai Dairy Farm'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.


YuanShengTai Dairy Farm's Degree of Operating Leverage Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, YuanShengTai Dairy Farm's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where YuanShengTai Dairy Farm's Degree of Operating Leverage falls into.


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YuanShengTai Dairy Farm Degree of Operating Leverage Calculation

YuanShengTai Dairy Farm'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
=( 358.385 (Dec. 2024) / -330.053 (Dec. 2023) - 1 )/( 2724.59 (Dec. 2024) / 2415.699 (Dec. 2023) - 1 )
=-2.0858/0.1279
=-16.31***

* 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.


YuanShengTai Dairy Farm  (HKSE:01431) 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.


YuanShengTai Dairy Farm Degree of Operating Leverage Related Terms

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YuanShengTai Dairy Farm Business Description

Traded in Other Exchanges
N/A
Address
787 Bukui South Street, 12th Floor, Gaoxinzhigu Building, Longsha District, Heilongjiang Province, Qiqihar, CHN
YuanShengTai Dairy Farm Ltd is a China-based dairy farming company. Along with its subsidiaries, it principally engages in the production and sale of raw milk in the People's Republic of China. Its dairy farms are in Heilongjiang and Jilin provinces, which include Gannan Oumei Farm, Kedong Oumei Farm, Kedong YST Farm, Zhenlai Farm Phase I, Kedong Yongjin Farm, Baiquan Ruixincheng Farm, and Keshan Farm. The group generates revenue from its operations mainly in Mainland China.
Executives
Leng Youbin 2201 Interest of corporation controlled by you
China Feihe Limited 2101 Beneficial owner
Garland Glory Holdings Limited 2201 Interest of corporation controlled by you
Harneys Trustees Limited 2301 Trustee
Lyb International Holding Limited 2201 Interest of corporation controlled by you

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