GURUFOCUS.COM » STOCK LIST » Financial Services » Credit Services » XXF Group Holdings Ltd (HKSE:02473) » Definitions » Degree of Operating Leverage

XXF Group Holdings (HKSE:02473) Degree of Operating Leverage : -3.01 (As of Dec. 2024)


View and export this data going back to 2023. Start your Free Trial

What is XXF Group Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. XXF Group Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -3.01. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HKSE:02473's Degree of Operating Leverage is ranked better than
84.55% of 382 companies
in the Credit Services industry
Industry Median: 0.855 vs HKSE:02473: -3.01

XXF Group Holdings Degree of Operating Leverage Historical Data

The historical data trend for XXF Group 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.

XXF Group Holdings Degree of Operating Leverage Chart

XXF Group Holdings Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
- 0.45 -2.88 1.82 -3.01

XXF Group Holdings Semi-Annual Data
Dec20 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
Degree of Operating Leverage Get a 7-Day Free Trial -2.88 0.93 1.82 -0.44 -3.01

Competitive Comparison of XXF Group Holdings's Degree of Operating Leverage

For the Credit Services subindustry, XXF Group 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.


XXF Group Holdings's Degree of Operating Leverage Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, XXF Group Holdings's Degree of Operating Leverage distribution charts can be found below:

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


;
;

XXF Group Holdings Degree of Operating Leverage Calculation

XXF Group Holdings'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
=( 228.22 (Dec. 2024) / 320.464 (Dec. 2023) - 1 )/( 1563.162 (Dec. 2024) / 1426.661 (Dec. 2023) - 1 )
=-0.2878/0.0957
=-3.01***

* 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.


XXF Group Holdings  (HKSE:02473) 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.


XXF Group Holdings Degree of Operating Leverage Related Terms

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


XXF Group Holdings Business Description

Traded in Other Exchanges
N/A
Address
No. 318 Fuguang Road, Building 3, Fuxing Economic Development Zone, Jin’an District, Fujian, Fuzhou, CHN
XXF Group Holdings Ltd is an established automobile retailer providing automobile finance lease service through its self-operated sales outlets in the PRC. The Group's principal businesses comprise automobile retail and finance, where it sells non-luxury automobiles mostly on direct finance lease; and automobile-related businesses, where it principally offers automobile operating lease service and other automobile-related services.
Executives
Easycar Inc. 2201 Interest of corporation controlled by you
Hit Drive Limited 2101 Beneficial owner
Mandarin Link Inc. 2201 Interest of corporation controlled by you
Tomorrow Land Holdings Limited 2201 Interest of corporation controlled by you
Didi Global Inc. 2201 Interest of corporation controlled by you
Shang Hai Bo Li Qi Ye Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Fu Zhou Zhi Tong Tou Zi He Huo Qi Ye You Xian He Huo 2201 Interest of corporation controlled by you
Teng Xin Tou Zi You Xian Gong Si 2201 Interest of corporation controlled by you
Shang Hai Ji Li Qi Ye Guan Li He Huo Qi Ye You Xian He Huo 2201 Interest of corporation controlled by you
Fo Shan Shi Hui Shang Yin Tou Zi You Xian Gong Si 2201 Interest of corporation controlled by you
Bei Jing Dong An Wei Ye Tou Zi Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Bei Jing Dong Zhang An Ji Tuan You Xian Gong Si 2201 Interest of corporation controlled by you
Guo Tou Zi Ben Kong Gu You Xian Gong Si 2201 Interest of corporation controlled by you
Zhu Hai Wan He Xing Sheng Tou Zi Guan Li Zhong Xin You Xian He Huo 2201 Interest of corporation controlled by you
Zhu Hai Wan He Jin Hua Zi Chan Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you

XXF Group Holdings Headlines

No Headlines