GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Fulongma Group Co Ltd (SHSE:603686) » Definitions » Degree of Operating Leverage

Fulongma Group Co (SHSE:603686) Degree of Operating Leverage : 17.49 (As of Mar. 2025)


View and export this data going back to 2015. Start your Free Trial

What is Fulongma Group Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Fulongma Group Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 17.49. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

SHSE:603686's Degree of Operating Leverage is ranked worse than
92.29% of 2932 companies
in the Industrial Products industry
Industry Median: 1.08 vs SHSE:603686: 17.49

Fulongma Group Co Degree of Operating Leverage Historical Data

The historical data trend for Fulongma 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.

Fulongma Group Co Degree of Operating Leverage Chart

Fulongma 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 2.64 -4.29 1.04 -10.82 23.25

Fulongma 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 -38.33 -22.97 -53.49 23.25 17.49

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

For the Pollution & Treatment Controls subindustry, Fulongma 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.


Fulongma Group Co's Degree of Operating Leverage Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Fulongma Group Co's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Fulongma Group Co Degree of Operating Leverage Calculation

Fulongma 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
=( 308.967 (Mar. 2025) / 400.552 (Mar. 2024) - 1 )/( 5019.112 (Mar. 2025) / 5085.61 (Mar. 2024) - 1 )
=-0.2286/-0.0131
=17.49***

* 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.


Fulongma Group Co  (SHSE:603686) 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.


Fulongma Group Co Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Fulongma Group Co's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Fulongma Group Co Business Description

Traded in Other Exchanges
N/A
Address
No. 42, Longteng South Road, Donghua Community, Dongxiao Town, Xinluo District, Fujian Province, Longyan, CHN, 364028
Fulongma Group Co Ltd supplies Chinese professionalization environmental sanitation equipment. The company is engaged in the research and development, production, selling, and services of the specialized cleaning vehicle, garbage, collecting and transporting vehicle and other equipment that are mainly used in the environmental sanitation department, municipal works, and road cleaning. Some of its products are Sweeping and Clean-keeping series, Garbage collection, and others.
Executives
Shen Jia Qing Supervisors
Zhang Gui Feng Director
Yang Yu Zhong Directors, senior managers
Li Xiao Bing Director
Li Kai Sen Supervisors
Lin Hong Zhen senior management
Bai Yun Long senior management
Zhang Gui Chao Directors, senior managers
Ceng En Hua senior management
Chen Jing Jie Director
Rong Min Long senior management
Liao Jian He senior management
Chen Yong Qi senior management
Lin Zhen Supervisors

Fulongma Group Co Headlines

No Headlines