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Chesterfield Special Cylinders Holdings (LSE:CSC) Degree of Operating Leverage : -523.75 (As of Sep. 2024)


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What is Chesterfield Special Cylinders Holdings Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Chesterfield Special Cylinders Holdings's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -523.75. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

LSE:CSC's Degree of Operating Leverage is ranked better than
99.11% of 901 companies
in the Oil & Gas industry
Industry Median: 0.92 vs LSE:CSC: -523.75

Chesterfield Special Cylinders Holdings Degree of Operating Leverage Historical Data

The historical data trend for Chesterfield Special Cylinders 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.

Chesterfield Special Cylinders Holdings Degree of Operating Leverage Chart

Chesterfield Special Cylinders Holdings Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3,945.56 163.64 13.46 5.81 -523.75

Chesterfield Special Cylinders Holdings Semi-Annual Data
Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24
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 13.46 -1.39 5.81 -6.17 -523.75

Competitive Comparison of Chesterfield Special Cylinders Holdings's Degree of Operating Leverage

For the Oil & Gas Equipment & Services subindustry, Chesterfield Special Cylinders 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.


Chesterfield Special Cylinders Holdings's Degree of Operating Leverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Chesterfield Special Cylinders Holdings's Degree of Operating Leverage distribution charts can be found below:

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


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Chesterfield Special Cylinders Holdings Degree of Operating Leverage Calculation

Chesterfield Special Cylinders Holdings'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
=( -2.384 (Sep. 2024) / -0.016 (Sep. 2023) - 1 )/( 14.827 (Sep. 2024) / 20.667 (Sep. 2023) - 1 )
=148/-0.2826
=-523.75***

* 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.


Chesterfield Special Cylinders Holdings  (LSE:CSC) 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.


Chesterfield Special Cylinders Holdings Degree of Operating Leverage Related Terms

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Chesterfield Special Cylinders Holdings Business Description

Traded in Other Exchanges
Address
Meadowhall Road, Pressure Technologies Building, Sheffield, South Yorkshire, GBR, S9 1BT
Chesterfield Special Cylinders Holdings Plc is a provider of bespoke, high-pressure gas containment solutions and services. Its high-pressure cylinders are a critical component for a number of end applications, from high-pressure systems in naval submarines and surface vessels to oxygen cylinders in fighter jets, from the bulk storage of industrial gases to air pressure vessels in floating oil platform motion compensation systems and more recently for hydrogen transport refueling and energy storage.

Chesterfield Special Cylinders Holdings Headlines

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