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China Anchu Energy Storage Group (HKSE:02399) Degree of Operating Leverage : 22.60 (As of Dec. 2024)


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What is China Anchu Energy Storage Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. China Anchu Energy Storage Group's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 22.60. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for China Anchu Energy Storage Group's Degree of Operating Leverage or its related term are showing as below:

HKSE:02399's Degree of Operating Leverage is ranked worse than
91.91% of 1286 companies
in the Vehicles & Parts industry
Industry Median: 1.005 vs HKSE:02399: 22.60

China Anchu Energy Storage Group Degree of Operating Leverage Historical Data

The historical data trend for China Anchu Energy Storage 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.

China Anchu Energy Storage Group Degree of Operating Leverage Chart

China Anchu Energy Storage Group 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 -4.47 -1.80 -0.85 -35.51 22.60

China Anchu Energy Storage Group 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 -0.85 25.79 -35.51 7.99 22.60

Competitive Comparison of China Anchu Energy Storage Group's Degree of Operating Leverage

For the Auto & Truck Dealerships subindustry, China Anchu Energy Storage 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.


China Anchu Energy Storage Group's Degree of Operating Leverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, China Anchu Energy Storage Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where China Anchu Energy Storage Group's Degree of Operating Leverage falls into.


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China Anchu Energy Storage Group Degree of Operating Leverage Calculation

China Anchu Energy Storage Group'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
=( -312.319 (Dec. 2024) / 55.49 (Dec. 2023) - 1 )/( 498.614 (Dec. 2024) / 705.579 (Dec. 2023) - 1 )
=-6.6284/-0.2933
=22.60***

* 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.


China Anchu Energy Storage Group  (HKSE:02399) 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.


China Anchu Energy Storage Group Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of China Anchu Energy Storage Group's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


China Anchu Energy Storage Group Business Description

Traded in Other Exchanges
N/A
Address
Fordoo Industrial Zone E12, Xunmei Industrial Zone, Fengze District, Fujian Province, Quanzhou, CHN
China Anchu Energy Storage Group Ltd is a company that is engaged in the sales of industrial products to customers located in Saudi Arabia, the sales of menswear apparel and brand licensing in the PRC, and sales of energy storage batteries in the PRC. The segments of the group are Menswear Apparel, Industrial Products and Energy Storage Battery. In the Menswear apparel division, the company offers Men's trousers, Men's tops, and Accessories. The principal place of the group's operation is in the PRC.
Executives
Xu Tingting 2101 Beneficial owner
Zhou Jun 2101 Beneficial owner
Wang Xiu Hua 2101 Beneficial owner
Equal Plus Limited 2101 Beneficial owner
Kwok Hon Fung 2201 Interest of corporation controlled by you
Everkept Limited 2101 Beneficial owner
Kwok Kin Sun 2201 Interest of corporation controlled by you
Wong Tung Yam 2201 Interest of corporation controlled by you
Donghai International Financial Holdings Company Limited 2106 Person having a security interest in shares
Cheng Cong 2201 Interest of corporation controlled by you
Dong Hai Zheng Quan Gu Fen You Xian Gong Si 2106 Person having a security interest in shares
Jpmorgan Chase & Co.
Asia Glory International Development Limited 2101 Beneficial owner
Chen Huiru 2201 Interest of corporation controlled by you
True Faith Ventures Limited 2101 Beneficial owner

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