GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Houpu Clean Energy Group Co Ltd (SZSE:300471) » Definitions » Degree of Operating Leverage

Houpu Clean Energy Group Co (SZSE:300471) Degree of Operating Leverage : -1.76 (As of Mar. 2025)


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

What is Houpu Clean Energy Group Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Houpu Clean Energy Group Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -1.76. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

SZSE:300471's Degree of Operating Leverage is ranked better than
77.04% of 906 companies
in the Oil & Gas industry
Industry Median: 0.99 vs SZSE:300471: -1.76

Houpu Clean Energy Group Co Degree of Operating Leverage Historical Data

The historical data trend for Houpu Clean Energy 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.

Houpu Clean Energy Group Co Degree of Operating Leverage Chart

Houpu Clean Energy 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 65.96 -1.40 27.70 -2.35 -5.13

Houpu Clean Energy 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 -4.23 1.44 1.53 -5.13 -1.76

Competitive Comparison of Houpu Clean Energy Group Co's Degree of Operating Leverage

For the Oil & Gas Equipment & Services subindustry, Houpu Clean Energy 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.


Houpu Clean Energy Group Co's Degree of Operating Leverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Houpu Clean Energy Group Co's Degree of Operating Leverage distribution charts can be found below:

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


;
;

Houpu Clean Energy Group Co Degree of Operating Leverage Calculation

Houpu Clean Energy 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
=( -58.473 (Mar. 2025) / -47.582 (Mar. 2024) - 1 )/( 721.623 (Mar. 2025) / 829.588 (Mar. 2024) - 1 )
=0.2289/-0.1301
=-1.76***

* 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.


Houpu Clean Energy Group Co  (SZSE:300471) 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.


Houpu Clean Energy Group Co Degree of Operating Leverage Related Terms

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


Houpu Clean Energy Group Co Business Description

Traded in Other Exchanges
N/A
Address
No. 599, Century City South Road, No. 3, Building 11, Building 6, High-tech Zone, Sichuan, Chengdu, CHN, 611731
Houpu Clean Energy Group Co Ltd is a clean energy solution provider. Its operates in five five business segments: high-end equipment integration for clean energy applications; operation and supervision platform based on Internet+, cloud computing, big data analysis; CRM-based, PLM-based Site operation and maintenance services; energy and chemical engineering consulting, survey, design, construction, installation, project management; clean energy equipment core components R & D (research and development) and manufacturing. Its product offerings include compressor control cabinet, gas supply system, barge LNG filling station, hydrogen station control system, hydrogenation machine, among others.
Executives
Wang Ji Wen Directors, executives
Yu Xin Supervisors
Hu Guan Ling Secretary Dong
Guo Zhi Cheng Executives
Zhong Xiao Directors, executives
Wu Jun Supervisors
Huang Ling Executives
Jiang Tao Directors, executives
Xiao Bin Executives
Huang Tai Gang Executives
Xia Cang Lan Executives
Li Fan Director
Wei Dai Qiang Directors, executives

Houpu Clean Energy Group Co Headlines

No Headlines