GURUFOCUS.COM » STOCK LIST » Technology » Software » Yunnan Nantian Electronics Information Co Ltd (SZSE:000948) » Definitions » Degree of Operating Leverage

Yunnan Nantian Electronics Information Co (SZSE:000948) Degree of Operating Leverage : -11.06 (As of Mar. 2025)


View and export this data going back to 1999. Start your Free Trial

What is Yunnan Nantian Electronics Information Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Yunnan Nantian Electronics Information Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -11.06. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Yunnan Nantian Electronics Information Co's Degree of Operating Leverage or its related term are showing as below:

SZSE:000948's Degree of Operating Leverage is ranked better than
89.04% of 2665 companies
in the Software industry
Industry Median: 0.78 vs SZSE:000948: -11.06

Yunnan Nantian Electronics Information Co Degree of Operating Leverage Historical Data

The historical data trend for Yunnan Nantian Electronics Information 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.

Yunnan Nantian Electronics Information Co Degree of Operating Leverage Chart

Yunnan Nantian Electronics Information 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 1.29 -0.23 0.72 1.14 -6.50

Yunnan Nantian Electronics Information 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 1.43 1.42 -0.68 -6.50 -11.06

Competitive Comparison of Yunnan Nantian Electronics Information Co's Degree of Operating Leverage

For the Information Technology Services subindustry, Yunnan Nantian Electronics Information 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.


Yunnan Nantian Electronics Information Co's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Yunnan Nantian Electronics Information Co's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Yunnan Nantian Electronics Information Co's Degree of Operating Leverage falls into.


;
;

Yunnan Nantian Electronics Information Co Degree of Operating Leverage Calculation

Yunnan Nantian Electronics Information 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
=( 157.344 (Mar. 2025) / 223.378 (Mar. 2024) - 1 )/( 9484.005 (Mar. 2025) / 9237.088 (Mar. 2024) - 1 )
=-0.2956/0.0267
=-11.06***

* 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.


Yunnan Nantian Electronics Information Co  (SZSE:000948) 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.


Yunnan Nantian Electronics Information Co Degree of Operating Leverage Related Terms

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


Yunnan Nantian Electronics Information Co Business Description

Traded in Other Exchanges
N/A
Address
No. 455 East Ring Road, Yunnan Province, Kunming, CHN, 650041
Yunnan Nantian Electronics Information Co Ltd is a China-based company operating in the information technology industry. The company provides hardware and software products and solutions to banking and financial industry, system integration, software development, payment solutions, consultancy, and services outsourcing. Its business activities include specialized hardware products for the banking industry including passbook printer, kiosks, rail transit equipment, and point of sale (POS) terminal. It also provides payment solution from the terminal to platform and operation to services, including software platform, terminal and operation services, system integration.
Executives
Chen Yu Feng Director
Ding Jia Yi Director
Wu Shu Jun Director
Feng Wei Hua Supervisors
Xu Hong Can Directors, executives
Chen Zhi Executives
Liu Wei Director
Lei Jian Secretary, Director
Yang Tun Executives
Zhang Wei Ping Supervisors
Gao Wen Feng Supervisors
Song Wei Quan Executives
Chen De Ying Executives
Zhang Jin Hong Director
Jiang Dong Secretary Dong

Yunnan Nantian Electronics Information Co Headlines

No Headlines