GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Sucro Ltd (TSXV:SUGR) » Definitions » Degree of Operating Leverage

Sucro (TSXV:SUGR) Degree of Operating Leverage : -0.17 (As of Sep. 2024)


View and export this data going back to 2023. Start your Free Trial

What is Sucro Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Sucro's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -0.17. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

TSXV:SUGR's Degree of Operating Leverage is ranked better than
66.07% of 1833 companies
in the Consumer Packaged Goods industry
Industry Median: 1.19 vs TSXV:SUGR: -0.17

Sucro Degree of Operating Leverage Historical Data

The historical data trend for Sucro'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.

Sucro Degree of Operating Leverage Chart

Sucro Annual Data
Trend Dec21 Dec22 Dec23
Degree of Operating Leverage
- - -

Sucro Quarterly Data
Dec21 Jun22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 0.70 - -0.17

Competitive Comparison of Sucro's Degree of Operating Leverage

For the Confectioners subindustry, Sucro'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.


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

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

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



Sucro Degree of Operating Leverage Calculation

Sucro's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 67.517 (Sep. 2024) / 75.372 (Sep. 2023) - 1 )/( 824.827 (Sep. 2024) / 516.261 (Sep. 2023) - 1 )
=-0.1042/0.5977
=-0.17***

* 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.


Sucro  (TSXV:SUGR) 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.


Sucro Degree of Operating Leverage Related Terms

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


Sucro Business Description

Traded in Other Exchanges
Address
2020 Ponce de Leon Boulevard, Suite 1204, Coral Gables, FL, USA, 33134
Sucro Ltd is a growth-oriented sugar company that operates throughout the Americas, with a primary focus on serving the North American sugar market. The Company operates a integrated and interconnected sugar supply business, utilizing the entire sugar supply chain to service its customer. The Company's operations are classified into two reportable business segments which is Trade and Services. The Trade segment is a business focusing on capturing profits through sourcing, merchandising, and managing logistics of sugar. The Company's asset-based services business provides tolling (refining, processing, handling, packaging, and quality assurance), storage, and other services to the Trade segment.

Sucro Headlines

From GuruFocus