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SISI (Shineco) Degree of Operating Leverage : 0.63 (As of Mar. 2025)


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What is Shineco Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Shineco's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.63. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

SISI's Degree of Operating Leverage is ranked better than
55.38% of 1840 companies
in the Consumer Packaged Goods industry
Industry Median: 1.01 vs SISI: 0.63

Shineco Degree of Operating Leverage Historical Data

The historical data trend for Shineco'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.

Shineco Degree of Operating Leverage Chart

Shineco Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.15 -4.38 0.63 - 0.10

Shineco 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 2.32 0.10 0.36 0.46 0.63

Competitive Comparison of Shineco's Degree of Operating Leverage

For the Farm Products subindustry, Shineco'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.


Shineco's Degree of Operating Leverage Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Shineco's Degree of Operating Leverage distribution charts can be found below:

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


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Shineco Degree of Operating Leverage Calculation

Shineco'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
=( -33.207 (Mar. 2025) / -13.576 (Mar. 2024) - 1 )/( 14.606 (Mar. 2025) / 4.421 (Mar. 2024) - 1 )
=1.446/2.3038
=0.63***

* 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.


Shineco  (NAS:SISI) 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.


Shineco Degree of Operating Leverage Related Terms

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


Shineco Business Description

Traded in Other Exchanges
N/A
Address
No. 88, Jianguo Road, Room 1707, Block D, Modern City SOHO, Chaoyang District, Beijing, CHN, 100022
Shineco Inc aims to care for a healthy life and improve the quality of life by providing safe, efficient, and high-quality health products and services to society. The company has researched and developed various vitro diagnostic reagents and related medical devices to date, and it also produces and sells healthy and nutritious food.
Executives
Aamir Ali Quraishi director 112 EVELYN AVENUE, RUISLIP, LONDON X0 HA4 8AQ
Shanchun Huang 10 percent owner PUDONG BUILDING, 2ND FLOOR,, JIULONG AVENUE, LONGWEN DISTRICT, ZHANGZHOU F4 363000
Xiqiao Liu director, officer: COO ROOM 504, UNIT1, BUILDING 7, HONGRENJIAY, MAJUQIAO, TONGZHOU DISTRICT, BEIJING F4 101149
Hu Li director ROOM 1001, BUILDING T5, DAZU SQUARE, DAXING DISTRICT, BEIJING F4 100176
Jennifer Zhan director, officer: CEO & Executive Director ROOM 3106, BUILDING B,, JIANWAI SOHO, CHAOYANG DISTRICT,, BEIJING CITY F4 100022
Minye Wang director BUILDING 23, HAI YUE HUA YUAN, KUNMING F4 530000
Lei Gao director ROOM 806, WANSHOU HOTEL, NO. A12 WANSHOU ROAD, HAIDIAN DISTRICT, BEIJING F4 100017
Ou Yang officer: Chief Executive Officer BUILDING NO. 5, 8 WORKERS SPORTS COMPLEX NORTH ROAD, BEIJING F4 100009
Hua Yang director 2ND FLOOR, WANYUAN BUSINESS CENTER, 10 HONGDA RD, YIZHUANG, DAXING DISTRICT, BEIJING F4 100176
Yuying Zhang director, 10 percent owner, officer: Chair of the Board, CEO 2ND FLOOR, WANYUAN BUSINESS CENTER, 10 HONGDA RD, YIZHUANG, DAXING DISTRICT, BEIJING F4 100176
Leiger Yongmin Yang director 2ND FLOOR, WANYUAN BUSINESS CENTER, 10 HONGDA RD, YIZHUANG, DAXING DISTRICT, BEIJING F4 100176
Jiping Chen director, 10 percent owner 2ND FLOOR, WANYUAN BUSINESS CENTER, 10 HONGDA RD, YIZHUANG, DAXING DISTRICT, BEIJING F4 100176
Sai Sam Wang officer: Chief Financial Officer 2ND FLOOR, WANYUAN BUSINESS CENTER, 10 HONGDA RD, YIZHUANG, DAXING DISTRICT, BEIJING F4 100176
Shujuan Ji director 2ND FLOOR, WANYUAN BUSINESS CENTER, 10 HONGDA RD, YIZHUANG, DAXING DISTRICT, BEIJING F4 100176
Weixing Yin director ROOM 3106, BUILDING B, 39 E. 3RD RING, MIDDLE RD, CHAOYANG DISTRICT, BEIJING F4 1000022