GURUFOCUS.COM » STOCK LIST » Real Estate » REITs » InnSuites Hospitality Trust (AMEX:IHT) » Definitions » Degree of Operating Leverage

IHT (InnSuites Hospitality Trust) Degree of Operating Leverage : 8.94 (As of Jan. 2025)


View and export this data going back to 1972. Start your Free Trial

What is InnSuites Hospitality Trust Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. InnSuites Hospitality Trust's Degree of Operating Leverage for the quarter that ended in Jan. 2025 was 8.94. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for InnSuites Hospitality Trust's Degree of Operating Leverage or its related term are showing as below:

IHT's Degree of Operating Leverage is ranked worse than
79.97% of 734 companies
in the REITs industry
Industry Median: 1.205 vs IHT: 8.94

InnSuites Hospitality Trust Degree of Operating Leverage Historical Data

The historical data trend for InnSuites Hospitality Trust'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.

InnSuites Hospitality Trust Degree of Operating Leverage Chart

InnSuites Hospitality Trust Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.35 -2.47 -11.34 36.47 8.94

InnSuites Hospitality Trust Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
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 36.47 -49.03 -48.06 -68.24 8.94

Competitive Comparison of InnSuites Hospitality Trust's Degree of Operating Leverage

For the REIT - Hotel & Motel subindustry, InnSuites Hospitality Trust'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.


InnSuites Hospitality Trust's Degree of Operating Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, InnSuites Hospitality Trust's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where InnSuites Hospitality Trust's Degree of Operating Leverage falls into.


;
;

InnSuites Hospitality Trust Degree of Operating Leverage Calculation

InnSuites Hospitality Trust's Degree of Operating Leverage for the quarter that ended in Jan. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -0.706 (Jan. 2025) / -0.624 (Jan. 2024) - 1 )/( 7.594 (Jan. 2025) / 7.484 (Jan. 2024) - 1 )
=0.1314/0.0147
=8.94***

* 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.


InnSuites Hospitality Trust  (AMEX:IHT) 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.


InnSuites Hospitality Trust Degree of Operating Leverage Related Terms

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


InnSuites Hospitality Trust Business Description

Traded in Other Exchanges
N/A
Address
1730 E. Northern Avenue, Suite 122, InnSuites Hotels Centre, Phoenix, AZ, USA, 85020
InnSuites Hospitality Trust is a real estate investment trust. It is engaged in the ownership and operation of hotel properties. It owns and operates hotels, provides management services for hotels, and also provides trademark license services. The Trust is also involved in various operations incidental to the operation of hotels, such as the operation of restaurants, meeting/banquet room rentals, and the operation of a reservation system. It has one reportable segment Hotel Operations & Hotel Management Services.
Executives
Leslie T Kutasi director C/O INNSUITES HOSPITALITY TRUST, 1625 E. NORTHERN AVENUE, SUITE 105, PHOENIX AZ 85020
James F Wirth director, 10 percent owner, officer: President, other: Chairman and CEO 1625 E. NORTHERN AVENUE, SUITE 105, PHOENIX AZ 85020
Jr Chase director 10202 NORTH 15TH AVENUE, APT #2, PHOENIX AZ 85021
Pamela J Barnhill officer: President and COO C/O INNSUITES HOSPITALITY TRUST, 1625 E. NORTHERN AVENUE, SUITE 105, PHOENIX AZ 85020
Cynthia Ketcherside director C/O INNSUITES HOSPITALITY TRUST, 1625 E. NORTHERN AVENUE, SUITE #105, PHEONIX AZ 85020
Adam B Remis officer: Chief Financial Officer C/O INNSUITES HOSPITALITY TRUST, 1625 E. NORTHERN AVENUE, SUITE 105, PHOENIX AZ 85020
Robert R. Mazakis officer: Principal Accounting Officer C/O INNSUITES HOTELS CENTRE, 1625 E. NORTHERN AVENUE, SUITE 105, PHOENIX AZ 85020-3960
Steven S Robson director 1615 EAST NORTHERN AVE, SUITE 102, C/O INNSUITES HOSPITALITY TRUST, PHOENIX AZ 85020
Larry Pelegrin director 5143 E. SIERRA SUNSET TRAIL, CAVE CREEK AZ 85331
Peter A Thoma director 1615 EAST NORTHERN AVE, SUITE 102, C/O INNSUITES HOSPITALITY TRUST, PHOENIX AZ 85020
Mason Anderson director 3024 WEST SAHUARO DRIVE, PHOENIX AZ 85029
Marc E Berg director, officer: Executive Vice President, other: Secretary and Treasurer 1615 EAST NORTHERN AVE, SUITE 102, C/O INNSUITES HOSPITALITY TRUST, PHOENIX AZ 85020
Stephen A Mcconnell director 6700 EAST SOLANO DRIVE, PARADISE VALLEY AZ 85253
Gail J Wirth 10 percent owner 1615 E NORTHERN AVE, STE 105, PHOENIX AZ 85020
Anthony B Waters officer: Chief Financial Officer 1615 EAST NORTHERN AVE, SUITE 102, C/O INNSUITES HOSPITALITY TRUST, PHOENIX AZ 85020