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Beisen Holding (HKSE:09669) Degree of Operating Leverage : -9.57 (As of Sep. 2024)


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What is Beisen Holding Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Beisen Holding's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -9.57. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

HKSE:09669's Degree of Operating Leverage is ranked better than
88.12% of 2668 companies
in the Software industry
Industry Median: 0.78 vs HKSE:09669: -9.57

Beisen Holding Degree of Operating Leverage Historical Data

The historical data trend for Beisen Holding'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.

Beisen Holding Degree of Operating Leverage Chart

Beisen Holding Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Degree of Operating Leverage
Get a 7-Day Free Trial 5.31 - - 11.65 1.78

Beisen Holding Semi-Annual Data
Mar19 Mar20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.45 11.65 60.48 1.78 -9.57

Competitive Comparison of Beisen Holding's Degree of Operating Leverage

For the Software - Application subindustry, Beisen Holding'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.


Beisen Holding's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Beisen Holding's Degree of Operating Leverage distribution charts can be found below:

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


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Beisen Holding Degree of Operating Leverage Calculation

Beisen Holding'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
=( -252.621 (Sep. 2024) / -6052.721 (Sep. 2023) - 1 )/( 974.103 (Sep. 2024) / 885.421 (Sep. 2023) - 1 )
=-0.9583/0.1002
=-9.57***

* 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.


Beisen Holding  (HKSE:09669) 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.


Beisen Holding Degree of Operating Leverage Related Terms

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Beisen Holding Business Description

Industry
Traded in Other Exchanges
N/A
Address
No. 35 Shangdi East Road, Room 710, Building 1. Block B, Yiquanhui Building, Haidian District, Beijing, CHN
Beisen Holding Ltd is an investment holding company. The company and its subsidiaries are majorly engaged in providing cloud-based human capital management (HCM) solutions in the People's Republic of China which enables customers to recruit, evaluate, manage, develop, and retain talents efficiently. Its platform iTalentX delivers cloud-native SaaS products, namely cloud-based HCM solutions, for enterprises to recruit, evaluate, manage, and retain talents. Its platform offers a full suite of cloud-based applications covering an organization's HCM needs throughout the entire employee lifecycle.
Executives
Jvf Holdings Limited 2101 Beneficial owner
Tsing Young Holding Limited 2201 Interest of corporation controlled by you
Hong Jing 2201 Interest of corporation controlled by you
Wang Zhaohui 2201 Interest of corporation controlled by you
Ji Weiguo 2101 Beneficial owner
Eastern Bell Capital Viii Investment Limited 2201 Interest of corporation controlled by you
Genesis Capital Ltd 2201 Interest of corporation controlled by you
Peng Zhijian 2201 Interest of corporation controlled by you
Genesis Capital I Lp 2101 Beneficial owner
Yuan Capital Ltd 2201 Interest of corporation controlled by you
Zhou Dan 2305 Beneficiary of a trust
Shanghai Changchuang Investment Management Partnership (limited Partnership) 2201 Interest of corporation controlled by you
Shanghai Chuangji Investment Center L.p. 2101 Beneficial owner
Shanghai Jingsheng Investment Management Co., Ltd. 2201 Interest of corporation controlled by you
Shanghai Jingwei Equity Investment Management Co., Ltd. 2201 Interest of corporation controlled by you

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