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Befar Group Co (SHSE:601678) Degree of Operating Leverage : -0.18 (As of Mar. 2025)


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What is Befar Group Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Befar Group Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -0.18. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Befar Group Co's Degree of Operating Leverage or its related term are showing as below:

SHSE:601678's Degree of Operating Leverage is ranked better than
65.64% of 1522 companies
in the Chemicals industry
Industry Median: 1.01 vs SHSE:601678: -0.18

Befar Group Co Degree of Operating Leverage Historical Data

The historical data trend for Befar Group Co'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.

Befar Group Co Degree of Operating Leverage Chart

Befar Group Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.48 3.99 6.73 3.64 -0.92

Befar Group Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 5.36 -5.06 -1.30 -0.92 -0.18

Competitive Comparison of Befar Group Co's Degree of Operating Leverage

For the Specialty Chemicals subindustry, Befar Group Co'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.


Befar Group Co's Degree of Operating Leverage Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Befar Group Co's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Befar Group Co's Degree of Operating Leverage falls into.


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Befar Group Co Degree of Operating Leverage Calculation

Befar Group Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 492.277 (Mar. 2025) / 551.803 (Mar. 2024) - 1 )/( 12062.176 (Mar. 2025) / 7498.615 (Mar. 2024) - 1 )
=-0.1079/0.6086
=-0.18***

* 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.


Befar Group Co  (SHSE:601678) 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.


Befar Group Co Degree of Operating Leverage Related Terms

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Befar Group Co Business Description

Traded in Other Exchanges
N/A
Address
No.869, Huanghe 5th Road, Shandong Province, Binzhou, CHN, 256619
Befar Group Co Ltd is a China-based chemical company. It is engaged in the business of producing, processing and selling organic and inorganic chemical products. The company's product portfolio includes propylene-oxide, food additives, industrial hydrochloric acid, vinyl chloride, polymer polyol, reagent hydrochloric acid, crude oil emulsifier, and other products. Its industrial chain covers petrochemical, salt chemical, fine chemical, thermal power, port warehousing, financing and others. The company's products are sold in China and other international countries.
Executives
Wang Shu Hua Director
Yu Jiang Directors, senior managers
Ren Yuan Bin senior management
Kong Xiang Jin senior management
Liu Hong An senior management
Yan Jin Fu Supervisors
Wang Li Ming Director
Xu Feng Jiu senior management
Yang Zhen Jun senior management
Jin Jian Quan Supervisors
Zhang Zhong Zheng Director
Zhao Hong Xing senior management
Chu Zhao Sheng Director
Shi Qin Ling Director
Liu Bao Gang senior management

Befar Group Co Headlines

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