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Calgro M3 Holdings (JSE:CGR) Degree of Operating Leverage : 0.52 (As of Feb. 2025)


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What is Calgro M3 Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Calgro M3 Holdings's Degree of Operating Leverage for the quarter that ended in Feb. 2025 was 0.52. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Calgro M3 Holdings's Degree of Operating Leverage or its related term are showing as below:

JSE:CGR's Degree of Operating Leverage is ranked better than
58.06% of 93 companies
in the Homebuilding & Construction industry
Industry Median: 1.13 vs JSE:CGR: 0.52

Calgro M3 Holdings Degree of Operating Leverage Historical Data

The historical data trend for Calgro M3 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.

Calgro M3 Holdings Degree of Operating Leverage Chart

Calgro M3 Holdings Annual Data
Trend Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.76 2.75 2.17 -0.65 0.52

Calgro M3 Holdings Semi-Annual Data
Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25
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 2.17 1.95 -0.65 -0.16 0.52

Competitive Comparison of Calgro M3 Holdings's Degree of Operating Leverage

For the Residential Construction subindustry, Calgro M3 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.


Calgro M3 Holdings's Degree of Operating Leverage Distribution in the Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Calgro M3 Holdings's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Calgro M3 Holdings's Degree of Operating Leverage falls into.


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Calgro M3 Holdings Degree of Operating Leverage Calculation

Calgro M3 Holdings's Degree of Operating Leverage for the quarter that ended in Feb. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 270.224 (Feb. 2025) / 326.062 (Feb. 2024) - 1 )/( 868.907 (Feb. 2025) / 1290.865 (Feb. 2024) - 1 )
=-0.1712/-0.3269
=0.52***

* 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.


Calgro M3 Holdings  (JSE:CGR) 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.


Calgro M3 Holdings Degree of Operating Leverage Related Terms

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Calgro M3 Holdings Business Description

Traded in Other Exchanges
N/A
Address
33 Ballyclare Drive, Ballywoods Office Park, Calgro M3 Building, Bryanston, Sandton, Johannesburg, GT, ZAF, 2196
Calgro M3 Holdings Ltd is a property and property-related investment company that specializes in the development of Integrated Residential Developments and the development and management of Memorial Parks, focusing on its operations in Gauteng, Western Cape, Free State and Northwest. The group develops integrated housing developments consisting of subsidized, social, Grassroots Affordable People's or First Home Finance and Affordable Housing. Its segments include Residential Property Development segment consists of development of integrated housing developments and mid to high income housing projects and Memorial Parks consist of burial rights and the associated burial and maintenance services.

Calgro M3 Holdings Headlines

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