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Inficon Holding AG (LTS:0QK5) Degree of Operating Leverage : 6.96 (As of Jun. 2024)


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What is Inficon Holding AG Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Inficon Holding AG's Degree of Operating Leverage for the quarter that ended in Jun. 2024 was 6.96. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

LTS:0QK5's Degree of Operating Leverage is ranked worse than
82.33% of 2411 companies
in the Hardware industry
Industry Median: 1.02 vs LTS:0QK5: 6.96

Inficon Holding AG Degree of Operating Leverage Historical Data

The historical data trend for Inficon Holding AG'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.

Inficon Holding AG Degree of Operating Leverage Chart

Inficon Holding AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.78 3.79 2.11 0.90 1.63

Inficon Holding AG Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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 1.57 0.90 1.01 1.63 6.96

Competitive Comparison of Inficon Holding AG's Degree of Operating Leverage

For the Scientific & Technical Instruments subindustry, Inficon Holding AG'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.


Inficon Holding AG's Degree of Operating Leverage Distribution in the Hardware Industry

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

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



Inficon Holding AG Degree of Operating Leverage Calculation

Inficon Holding AG's Degree of Operating Leverage for the quarter that ended in Jun. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 120.325 (Jun. 2024) / 112.077 (Jun. 2023) - 1 )/( 584.994 (Jun. 2024) / 578.87 (Jun. 2023) - 1 )
=0.0736/0.0106
=6.96***

* 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.


Inficon Holding AG  (LTS:0QK5) 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.


Inficon Holding AG Degree of Operating Leverage Related Terms

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Inficon Holding AG Business Description

Industry
Traded in Other Exchanges
Address
Hintergasse 15 B, Bad Ragaz, CHE, CH-7310
Inficon Holding AG operates in the technology sector in Switzerland. It caters to the scientific equipment industry by offering products that find their use in various industrial applications such as air conditioning, automotive manufacturing, manufacture of LEDs, semiconductors, and optical and solar devices. Its main products are leak detectors and gauges which help reduce the harmful effects of gases on the environment and reduce energy consumption. The other products in its portfolio comprise of chemical detectors, electron beam gun control, mass spectrometers, gas concentration monitors, vacuum gauge controllers and cables, and vacuum transmitters. The Asia Pacific region accounts for majority of the company's product sales.

Inficon Holding AG Headlines

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