Century Paper & Board Mills (KAR:CEPB) Degree of Operating Leverage : -78.00 (As of Mar. 2026)

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KAR:CEPB Century Paper & Board Mills Ltd KAR:CEPB
58 GF Score
Price ₨27.26
GF Value ₨26.77
Valuation Fairly Valued
! 6 Warning Signs
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What is Century Paper & Board Mills Degree of Operating Leverage?

Century Paper & Board Mills KAR:CEPB -0.04% 58 Degree of Operating Leverage is -78.00 as of Mar. 2026. GuruFocus rates KAR:CEPB with a GF Score™ of 58/100 and a GF Value™ of ₨26.77 (Fairly Valued). The stock has 6 warning signs investors should review. Among 277 Forest Products companies, Century Paper & Board Mills ranks better than 93.14% on this metric.

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Century Paper & Board Mills's Degree of Operating Leverage for the quarter that ended in Mar. 2026 was -78.00. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Century Paper & Board Mills's Degree of Operating Leverage or its related term are showing as below:

KAR:CEPB's Degree of Operating Leverage is ranked better than
93.14% of 277 companies
in the Forest Products industry
Industry Median: 1.03 vs KAR:CEPB: -78.00

Century Paper & Board Mills  (KAR:CEPB) 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.


Century Paper & Board Mills Degree of Operating Leverage Related Terms


Century Paper & Board Mills Degree of Operating Leverage Historical Data

* Premium members only.

The historical data trend for Century Paper & Board Mills'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.

Century Paper & Board Mills Degree of Operating Leverage Chart

Century Paper & Board Mills Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.75 -0.48 -1.17 0.98 3.76

Century Paper & Board Mills Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 4.45 3.76 7.84 11.76 -78.00

KAR:CEPB vs SLVM: Degree of Operating Leverage Comparison

For the Paper & Paper Products subindustry, Century Paper & Board Mills'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.


Century Paper & Board Mills Degree of Operating Leverage vs Forest Products Industry

For the Forest Products industry and Basic Materials sector, Century Paper & Board Mills's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Century Paper & Board Mills's Degree of Operating Leverage falls into.


KAR:CEPB
58GF Score
Century Paper & Board Mills Ltd KAR:CEPB
Degree of Operating Leverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Century Paper & Board Mills Degree of Operating Leverage Calculation

Century Paper & Board Mills's Degree of Operating Leverage for the quarter that ended in Mar. 2026 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 1064.833 (Mar. 2026) / 1460.451 (Mar. 2025) - 1 )/( 38243.479 (Mar. 2026) / 38111.122 (Mar. 2025) - 1 )
=-0.2709/0.0035
=-78.00***

* 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.

What does a Degree of Operating Leverage of -78.00 mean?
Century Paper & Board Mills (KAR:CEPB) has a Degree of Operating Leverage of -78.00 as of Mar. 2026. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Century Paper & Board Mills and its competitors. According to the industry distribution chart, Century Paper & Board Mills ranks #19 out of 277 companies in the Forest Products industry, placing it in the top 6.9%.
Is Century Paper & Board Mills' Degree of Operating Leverage too high?
Century Paper & Board Mills' current Degree of Operating Leverage is -78.00. Based on the distribution chart, Century Paper & Board Mills ranks #19 out of 277 companies in the Forest Products industry, which is in the top quartile — a strong position relative to peers. Overall, Century Paper & Board Mills has a GF Score™ of 58/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Century Paper & Board Mills' Degree of Operating Leverage compare to SLVM?
According to the Forest Products industry distribution chart, Century Paper & Board Mills ranks #19 out of 277 companies for Degree of Operating Leverage. This places Century Paper & Board Mills in the top 7% of its industry — outperforming the majority of peers. The industry median Degree of Operating Leverage is 1.03. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Degree of Operating Leverage for a Forest Products company?
The median Degree of Operating Leverage among Forest Products companies is 1.03, based on 277 companies in the industry. Companies in the top quartile (top 25%) have a Degree of Operating Leverage significantly above this median, while those in the bottom quartile fall well below. However, Degree of Operating Leverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Degree of Operating Leverage mean?
A high Degree of Operating Leverage can signal that a stock is expensive relative to its fundamentals. Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. View historical data for Century Paper & Board Mills and its competitors. For the Forest Products industry, the median Degree of Operating Leverage is 1.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Century Paper & Board Mills's current Degree of Operating Leverage is -78.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Century Paper & Board Mills stock overvalued right now?
Based on GuruFocus' analysis, Century Paper & Board Mills (KAR:CEPB) is currently considered Fairly Valued. The stock's GF Value™ is ₨26.77, compared to a current price of ₨27.26 — trading 1.8% above its estimated fair value. The current Degree of Operating Leverage is -78.00. Century Paper & Board Mills' overall GF Score™ is 58/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Degree of Operating Leverage calculated?
Degree of Operating Leverage is calculated from a company's financial statements. For Century Paper & Board Mills (KAR:CEPB), the current Degree of Operating Leverage is -78.00 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Century Paper & Board Mills (KAR:CEPB) Overvalued in 2026?

Based on GuruFocus' analysis, Century Paper & Board Mills stock appears to be overvalued. The current stock price of ₨27.26 is trading 1.8% above its estimated GF Value™ of ₨26.77. GuruFocus considers Century Paper & Board Mills to be Fairly Valued.

Key valuation signals for KAR:CEPB:

  • Degree of Operating Leverage: -78.00
  • GF Value™: ₨26.77 vs. price of ₨27.26 (1.8% above fair value)
  • GF Score™: 58/100 with 6 warning signs

No single metric tells the full story. See the KAR:CEPB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Century Paper & Board Mills Business Description

Address Sarwar Shaheed Road, Lakson Square, Building No. 2, Karachi, SD, PAK, 74200
Century Paper & Board Mills Ltd is a Pakistan-based company engaged in the manufacturing and marketing of paper, board, and related products. Its product portfolio consists of Coated Brand, Uncoated Brand, MF Paper, MG Paper, Corrugated Boxes, and others.
58GF Score

Get the complete analysis for KAR:CEPB

Degree of Operating Leverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₨27.26
Price
₨26.77
GF Value