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Sunmow Holding Bhd (XKLS:03050) Degree of Operating Leverage : -0.14 (As of Dec. 2024)


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What is Sunmow Holding Bhd Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Sunmow Holding Bhd's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was -0.14. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

XKLS:03050's Degree of Operating Leverage is ranked better than
69.32% of 1669 companies
in the Construction industry
Industry Median: 0.99 vs XKLS:03050: -0.14

Sunmow Holding Bhd Degree of Operating Leverage Historical Data

The historical data trend for Sunmow Holding Bhd'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.

Sunmow Holding Bhd Degree of Operating Leverage Chart

Sunmow Holding Bhd Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial -2.31 -3.95 3.97 1.15 -0.14

Sunmow Holding Bhd Semi-Annual Data
Dec18 Dec19 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 3.97 2.19 1.15 0.08 -0.14

Competitive Comparison of Sunmow Holding Bhd's Degree of Operating Leverage

For the Engineering & Construction subindustry, Sunmow Holding Bhd'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.


Sunmow Holding Bhd's Degree of Operating Leverage Distribution in the Construction Industry

For the Construction industry and Industrials sector, Sunmow Holding Bhd's Degree of Operating Leverage distribution charts can be found below:

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


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Sunmow Holding Bhd Degree of Operating Leverage Calculation

Sunmow Holding Bhd's Degree of Operating Leverage for the quarter that ended in Dec. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 11.254 (Dec. 2024) / 11.82 (Dec. 2023) - 1 )/( 154.186 (Dec. 2024) / 115.16 (Dec. 2023) - 1 )
=-0.0479/0.3389
=-0.14***

* 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.


Sunmow Holding Bhd  (XKLS:03050) 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.


Sunmow Holding Bhd Degree of Operating Leverage Related Terms

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Sunmow Holding Bhd Business Description

Traded in Other Exchanges
N/A
Address
F-G-01, Bintulu Paragon, Old Airport Place, Bintulu, SWK, MYS, 97000
Sunmow Holding Bhd is principally engaged in the construction contract works, provision of construction support services, property development, and trading in building materials and tools. The company's reportable segments include Construction, Trading, and Property Development. The majority of its revenue is generated from the Construction segment which is involved in construction contract works and provision of construction support services. The Trading segment is involved in the wholesale of construction materials, furniture trading, air-conditioner piping service, and pre-construction pest control. Geographically, the company operates in Malaysia.

Sunmow Holding Bhd Headlines

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