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King's Stone Holdings Group (HKSE:01943) Degree of Operating Leverage : 12.83 (As of Sep. 2024)


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What is King's Stone Holdings Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. King's Stone Holdings Group's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was 12.83. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HKSE:01943's Degree of Operating Leverage is ranked worse than
88.27% of 392 companies
in the Building Materials industry
Industry Median: 1.5 vs HKSE:01943: 12.83

King's Stone Holdings Group Degree of Operating Leverage Historical Data

The historical data trend for King's Stone Holdings 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.

King's Stone Holdings Group Degree of Operating Leverage Chart

King's Stone Holdings Group Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only -14.24 1,544.16 16.10 -13.81 -17.78

King's Stone Holdings Group Semi-Annual Data
Mar16 Mar17 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 -0.30 -13.81 -1.65 -17.78 12.83

Competitive Comparison of King's Stone Holdings Group's Degree of Operating Leverage

For the Building Materials subindustry, King's Stone Holdings 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.


King's Stone Holdings Group's Degree of Operating Leverage Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, King's Stone Holdings Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where King's Stone Holdings Group's Degree of Operating Leverage falls into.


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King's Stone Holdings Group Degree of Operating Leverage Calculation

King's Stone Holdings Group'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
=( -93.961 (Sep. 2024) / 21.134 (Sep. 2023) - 1 )/( 301.4 (Sep. 2024) / 523.831 (Sep. 2023) - 1 )
=-5.446/-0.4246
=12.83***

* 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.


King's Stone Holdings Group  (HKSE:01943) 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.


King's Stone Holdings Group Degree of Operating Leverage Related Terms

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King's Stone Holdings Group Business Description

Traded in Other Exchanges
N/A
Address
152 Queen’s Road Central, Office Floor 29, Queen’s Road Centre, Hong Kong, HKG
King's Stone Holdings Group Ltd formerly Silver Tide Holdings Ltd is an investment holding company. The company is principally engaged in providing construction services including traditional formwork using timber and plywood, system formwork using aluminum and steel, and ancillary works such as concrete works and reinforcement works for the public and private sectors and securities dealing and broking. The company earns maximum revenue from the Construction service segment. Geographically, the company derives revenue from Hong Kong.
Executives
Huayu Holdings Limited 2101 Beneficial owner
Zeng Jingwen 2201 Interest of corporation controlled by you
Chu Chui Ling 2106 Person having a security interest in shares
Ultra Accord Limited 2106 Person having a security interest in shares
Wang Jianfeng 2201 Interest of corporation controlled by you
Central Force Premium Group Limited 2101 Beneficial owner
Regal Loyalty Limited 2201 Interest of corporation controlled by you
Xu Fang 2202 Interest of your spouse
Silver Tide Enterprises Limited 2101 Beneficial owner
Ip Chi Ming 2201 Interest of corporation controlled by you
Wong Fong Choi 2202 Interest of your spouse

King's Stone Holdings Group Headlines

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