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Link Holdings (HKSE:08237) Degree of Operating Leverage : -2.43 (As of Dec. 2024)


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What is Link Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Link Holdings's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -2.43. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HKSE:08237's Degree of Operating Leverage is ranked better than
77.17% of 806 companies
in the Travel & Leisure industry
Industry Median: 1.21 vs HKSE:08237: -2.43

Link Holdings Degree of Operating Leverage Historical Data

The historical data trend for Link 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.

Link Holdings Degree of Operating Leverage Chart

Link Holdings 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 -9.42 -14.56 1.79 0.56 -2.43

Link Holdings Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 -1.04 -0.70 0.56 2.09 -2.43

Competitive Comparison of Link Holdings's Degree of Operating Leverage

For the Lodging subindustry, Link 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.


Link Holdings's Degree of Operating Leverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Link Holdings's Degree of Operating Leverage distribution charts can be found below:

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


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Link Holdings Degree of Operating Leverage Calculation

Link 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
=( -95.432 (Dec. 2024) / -56.278 (Dec. 2023) - 1 )/( 41.661 (Dec. 2024) / 58.332 (Dec. 2023) - 1 )
=0.6957/-0.2858
=-2.43***

* 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.


Link Holdings  (HKSE:08237) 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.


Link Holdings Degree of Operating Leverage Related Terms

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


Link Holdings Business Description

Traded in Other Exchanges
N/A
Address
No. 168-200 Connaught Road Central, Room 3503, 35th Floor, West Tower of Shun Tak Centre, Sheung Wan, Hong Kong, HKG
Link Holdings Ltd is an investment holding company. It is engaged in the operation of hotel services and property investment in the Southeast Asia region. The company's reportable segments are; Operation of hotel business in Singapore, Indonesia and Japan, and the Distressed debt asset management in the PRC. The majority of the company's revenue is generated from Singapore.
Executives
Ace Kingdom Enterprises Corporation 2401 A concert party to an agreement to buy shares
Billion Supreme Holdings Limited 2401 A concert party to an agreement to buy shares
Boomerang Investment Limited 2501 Other
Kwok Yi Chit 2501 Other
Yuen Lai Him 2201 Interest of corporation controlled by you
Lam Wing Yu 2202 Interest of your spouse
Wong Chun Hung Hanson 2201 Interest of corporation controlled by you
Lui Tin Shun 2201 Interest of corporation controlled by you
Hui Ngan 2201 Interest of corporation controlled by you
Yuan Tianfu 2201 Interest of corporation controlled by you
China Orient Asset Management Co., Ltd. 2201 Interest of corporation controlled by you
Ng Meng Chit 2101 Beneficial owner
Ng Sam Meng 2101 Beneficial owner
China Minsheng Investment Group Corp., Ltd. 2201 Interest of corporation controlled by you

Link Holdings Headlines

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