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Shenzhen Pagoda Industrial (Group) (HKSE:02411) Degree of Operating Leverage : 13.57 (As of Dec. 2024)


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What is Shenzhen Pagoda Industrial (Group) Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 13.57. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage or its related term are showing as below:

HKSE:02411's Degree of Operating Leverage is ranked worse than
86.68% of 1096 companies
in the Retail - Cyclical industry
Industry Median: 1.32 vs HKSE:02411: 13.57

Shenzhen Pagoda Industrial (Group) Degree of Operating Leverage Historical Data

The historical data trend for Shenzhen Pagoda Industrial (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.

Shenzhen Pagoda Industrial (Group) Degree of Operating Leverage Chart

Shenzhen Pagoda Industrial (Group) Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial -11.40 8.99 63.78 -2.94 13.57

Shenzhen Pagoda Industrial (Group) Semi-Annual Data
Dec19 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 63.78 12.21 -2.94 3.95 13.57

Competitive Comparison of Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage

For the Specialty Retail subindustry, Shenzhen Pagoda Industrial (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.


Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage falls into.


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Shenzhen Pagoda Industrial (Group) Degree of Operating Leverage Calculation

Shenzhen Pagoda Industrial (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
=( -311.262 (Dec. 2024) / 499.678 (Dec. 2023) - 1 )/( 10968.465 (Dec. 2024) / 12458.749 (Dec. 2023) - 1 )
=-1.6229/-0.1196
=13.57***

* 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.


Shenzhen Pagoda Industrial (Group)  (HKSE:02411) 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.


Shenzhen Pagoda Industrial (Group) Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Shenzhen Pagoda Industrial (Group)'s Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Shenzhen Pagoda Industrial (Group) Business Description

Traded in Other Exchanges
N/A
Address
No. 1 Pingji Road, Nanwan Street, B1101-1103, B1105-1113, B1115-1122, B1201-1203, B1205-1213, B1215-1217 Tower B, Jiansheng Building, Xialilang Community, Longgang District, Guangdong Province, Shenzhen, CHN
Shenzhen Pagoda Industrial (Group) Corp Ltd is principally engaged in operating a franchised retail network and trading of fruits. The group has three reportable segments which include Trading, Franchising, and others. The majority of its revenue derives from the Franchising segment which includes the operation of franchised and self-owned retail networks.
Executives
Xu Yanlin
Yu Huiyong
China International Capital Corporation Limited 2201 Interest of corporation controlled by you
Shen Zhen Shi Hong Yuan Shan Guo Tou Zi Fa Zhan Qi Ye You Xian He Huo
Shen Zhen Shi Heng Yi Li Tou Zi Fa Zhan Zhong Xin You Xian He Huo
Jiao Yue 2201 Interest of corporation controlled by you
Wang Yonghua 2201 Interest of corporation controlled by you
Shen Zhen Shi Tian Tu Tou Zi Guan Li Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Shen Zhen Tian Tu Zi Ben Guan Li Zhong Xin You Xian He Huo 2201 Interest of corporation controlled by you
Hang Zhou Tian Tu Zi Ben Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Cicc Qianhai (shenzhen) Private Equity Fund Management Co., Ltd. 2201 Interest of corporation controlled by you
Zhong Jin Zi Ben Yun Ying You Xian Gong Si 2201 Interest of corporation controlled by you
Bei Jing Tian Tu Xing Bei Tou Zi Zhong Xin You Xian He Huo 2101 Beneficial owner
Shen Zhen Hui Lin Shi Ye Fa Zhan You Xian Ze Ren Gong Si

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