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LUXH (LuxUrban Hotels) Degree of Operating Leverage : -20.22 (As of Sep. 2024)


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What is LuxUrban Hotels Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. LuxUrban Hotels's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -20.22. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for LuxUrban Hotels's Degree of Operating Leverage or its related term are showing as below:

LUXH's Degree of Operating Leverage is ranked better than
93.33% of 809 companies
in the Travel & Leisure industry
Industry Median: 1.25 vs LUXH: -20.22

LuxUrban Hotels Degree of Operating Leverage Historical Data

The historical data trend for LuxUrban Hotels'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.

LuxUrban Hotels Degree of Operating Leverage Chart

LuxUrban Hotels Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
- - - 5.18 10.75

LuxUrban Hotels Quarterly Data
Dec19 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 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 -17.85 10.75 19.70 16.81 -20.22

Competitive Comparison of LuxUrban Hotels's Degree of Operating Leverage

For the Lodging subindustry, LuxUrban Hotels'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.


LuxUrban Hotels's Degree of Operating Leverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, LuxUrban Hotels's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where LuxUrban Hotels's Degree of Operating Leverage falls into.


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LuxUrban Hotels Degree of Operating Leverage Calculation

LuxUrban Hotels'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
=( -146.855 (Sep. 2024) / -23.209 (Sep. 2023) - 1 )/( 72.789 (Sep. 2024) / 98.832 (Sep. 2023) - 1 )
=5.3275/-0.2635
=-20.22***

* 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.


LuxUrban Hotels  (OTCPK:LUXH) 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.


LuxUrban Hotels Degree of Operating Leverage Related Terms

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LuxUrban Hotels Business Description

Traded in Other Exchanges
N/A
Address
2125 Biscayne Boulevard, Suite 253, Miami, FL, USA, 33137
LuxUrban Hotels Inc utilizes a long term lease, asset-light business model to acquire and manage a growing portfolio of short-term rental properties in metropolitan cities. It identifies, acquires, manages, and markets hotel rooms to business and vacation travelers under the consumer brand, LuxUrban. It manages a portfolio of hotel rooms in New York, Washington D.C., Miami Beach, New Orleans and Los Angeles.
Executives
Leonard Toboroff director 39 N MOORE ST, STE 6B, NEW YORK NY 10013
Brian Ferdinand director, officer: Chief Executive Officer 224 MUTTONTOWN EASTWOODS ROAD, MUTTONTOWN NY 11791
Shanoop Kothari officer: Chief Financial Officer 2865 SCOTT STREET, SUITE 107, VISTA CA 92081
Kevin Michael Potts officer: Chief Revenue Officer 2125 BISCAYNE BLVD SUITE 253, MIAMI FL 33137
Donald Engel director 570 PARK AVE, NEW YORK NY 10065
Aimee Nelson director 2125 BISCAYNE BLVD SUITE 253, MIAMI FL 33137
Jeffrey Webb director 6589 GREEN SHADOWS, STE 6B, MEMPHIS TN 38119
David Gurfein officer: President & COO 2125 BISCAYNE BLVD SUITE 253, MIAMI FL 33137
Karl Rothman officer: Chief Accounting Officer 2125 BISCAYNE BLVD SUITE 253, MIAMI FL 33137
Jimmie Chatmon director, officer: Executive Vice President 2125 BISCAYNE BLVD, MIAMI FL 33137
Kevin Mikolashek officer: Chief Compliance Officer 2125 BISCAYNE BLVD SUITE 253, MIAMI FL 33137
David Edward Berg director 2125 BISCAYNE BLVD., SUITE 253, MIAMI FL 33137