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Tainergy Tech Co (TPE:4934) Degree of Operating Leverage : -1.39 (As of Mar. 2025)


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What is Tainergy Tech Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Tainergy Tech Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was -1.39. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

TPE:4934's Degree of Operating Leverage is ranked better than
73.49% of 996 companies
in the Semiconductors industry
Industry Median: 0.98 vs TPE:4934: -1.39

Tainergy Tech Co Degree of Operating Leverage Historical Data

The historical data trend for Tainergy Tech 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.

Tainergy Tech Co Degree of Operating Leverage Chart

Tainergy Tech 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 17.66 270.35 -2.45 -354.50 -2.92

Tainergy Tech 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 12.02 5.80 4.40 -2.92 -1.39

Competitive Comparison of Tainergy Tech Co's Degree of Operating Leverage

For the Solar subindustry, Tainergy Tech 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.


Tainergy Tech Co's Degree of Operating Leverage Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Tainergy Tech Co's Degree of Operating Leverage distribution charts can be found below:

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


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Tainergy Tech Co Degree of Operating Leverage Calculation

Tainergy Tech 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
=( -621.103 (Mar. 2025) / -293.323 (Mar. 2024) - 1 )/( 313.083 (Mar. 2025) / 1586.472 (Mar. 2024) - 1 )
=1.1175/-0.8027
=-1.39***

* 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.


Tainergy Tech Co  (TPE:4934) 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.


Tainergy Tech Co Degree of Operating Leverage Related Terms

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Tainergy Tech Co Business Description

Traded in Other Exchanges
N/A
Address
Ziqiang 1st Road, No. 5, Zhongli Industrial Park Service Center, Fuxing Village, Zhongli District, Taoyuan, TWN
Tainergy Tech Co Ltd is engaged in designing, developing, manufacturing, and marketing solar cells and related systems. The company provides six-inch multi-crystalline solar cells, solar energy application systems, solar refrigerator systems, and solar air conditioner systems. Its products are used in mini-size computers, battery chargers & solar electrical bicycles. The reportable segments of the company are; the Solar Power Department, and the Silicon Carbide Department. The majority of the company's revenue is generated from the Solar power department which is engaged in the production and sale of solar modules and related products.

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