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Red Star Macalline Group (SHSE:601828) Degree of Operating Leverage : 48.01 (As of Dec. 2024)


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What is Red Star Macalline Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Red Star Macalline Group's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 48.01. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

SHSE:601828's Degree of Operating Leverage is ranked worse than
96% of 1698 companies
in the Real Estate industry
Industry Median: 0.92 vs SHSE:601828: 48.01

Red Star Macalline Group Degree of Operating Leverage Historical Data

The historical data trend for Red Star Macalline Group'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.

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Red Star Macalline Group Degree of Operating Leverage Chart

Red Star Macalline Group 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 4.26 0.29 1.80 4.81 48.01

Red Star Macalline Group Quarterly Data
Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Dec24
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 0.03 4.81 -13.93 6.72 48.01

Competitive Comparison of Red Star Macalline Group's Degree of Operating Leverage

For the Real Estate Services subindustry, Red Star Macalline Group'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.


Red Star Macalline Group's Degree of Operating Leverage Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Red Star Macalline Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Red Star Macalline Group's Degree of Operating Leverage falls into.


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Red Star Macalline Group Degree of Operating Leverage Calculation

Red Star Macalline Group's Degree of Operating Leverage for the quarter that ended in Dec. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -1788.396 (Dec. 2024) / 115.021 (Dec. 2023) - 1 )/( 7821.266 (Dec. 2024) / 11514.983 (Dec. 2023) - 1 )
=-16.5484/-0.3208
=51.59***

* 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.


Red Star Macalline Group  (SHSE:601828) 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.


Red Star Macalline Group Degree of Operating Leverage Related Terms

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Red Star Macalline Group Business Description

Traded in Other Exchanges
Address
No. 2/5, Lane 1466, Shenchang Road, Minhang District, Shanghai, CHN, 201106
Red Star Macalline Group Corp Ltd operates home improvement and furnishings shopping malls in China. It has various business segments: Owned/Leased Portfolio Shopping Malls segment, which is the key revenue driver, leases floor areas to the tenants and provides management support to them; Managed Shopping Malls segment provides initiation, consultation, and management services to its partners and construction contractors to develop and manage the shopping malls under its brand; Construction and design segment derives revenue from providing construction design and decoration services; and Others. Geographically, of its revenues are derived from the People's Republic of China (PRC).
Executives
Xi Shi Chang senior management
Jiang Xiao Zhong Directors, senior managers
Li Jian Hong senior management
Liu Yuan Jin senior management
Qiu Zhe senior management
Guo Bing He Director
Pan Ning Supervisors
Zhang Xian senior management
Zhang Pei Feng senior management
Chen Dong Hui senior management
Chen Shu Hong Director
Che Jian Xing Director
Xie Jian senior management
Che Jian Fang Director
Wang Wei senior management

Red Star Macalline Group Headlines

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