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Kin Shing Holdings (HKSE:01630) Degree of Operating Leverage : -8.13 (As of Sep. 2024)


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What is Kin Shing Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Kin Shing Holdings's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -8.13. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HKSE:01630's Degree of Operating Leverage is ranked better than
89.77% of 1672 companies
in the Construction industry
Industry Median: 0.99 vs HKSE:01630: -8.13

Kin Shing Holdings Degree of Operating Leverage Historical Data

The historical data trend for Kin Shing 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.

Kin Shing Holdings Degree of Operating Leverage Chart

Kin Shing Holdings Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.18 -8.41 -16.17 12.24 -2.31

Kin Shing Holdings Semi-Annual Data
Mar14 Mar15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24
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 10.28 12.24 -4.14 -2.31 -8.13

Competitive Comparison of Kin Shing Holdings's Degree of Operating Leverage

For the Engineering & Construction subindustry, Kin Shing 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.


Kin Shing Holdings's Degree of Operating Leverage Distribution in the Construction Industry

For the Construction industry and Industrials sector, Kin Shing Holdings's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Kin Shing Holdings's Degree of Operating Leverage falls into.


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Kin Shing Holdings Degree of Operating Leverage Calculation

Kin Shing Holdings'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
=( -24.879 (Sep. 2024) / 12.531 (Sep. 2023) - 1 )/( 1132.726 (Sep. 2024) / 828.499 (Sep. 2023) - 1 )
=-2.9854/0.3672
=-8.13***

* 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.


Kin Shing Holdings  (HKSE:01630) 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.


Kin Shing Holdings Degree of Operating Leverage Related Terms

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Kin Shing Holdings Business Description

Traded in Other Exchanges
N/A
Address
10 Cheung Yue Street, Unit D, 9th Floor, Billion Plaza 2, Cheung Sha Wan, Kowloon, Hong Kong, HKG
Kin Shing Holdings Ltd is an investment holding company. Along with its subsidiaries, it functions as a formwork subcontractor. The operating segments of the company include the Formwork works segment which is engaged in the provision of formwork works and other ancillary works, the Building construction works segment, and the Trading and Investment business which is engaged in investing in financial instruments. The company generates maximum revenue from the Formwork works segment. Geographically, the group's operations are located in Hong Kong.
Executives
Chu Yuet Wah
Ample Cheer Limited 2201 Interest of corporation controlled by you
Five Continental Enterprise Limited 2101 Beneficial owner
Kingston Finance Limited 2106 Person having a security interest in shares
Chow Siu Yu 2103 Interests held jointly with another person
Leung Chi Kit 2201 Interest of corporation controlled by you
Tso Yuk Ching 2202 Interest of your spouse

Kin Shing Holdings Headlines

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