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Lion Industries Bhd (XKLS:4235) Degree of Operating Leverage : 6.82 (As of Mar. 2025)


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What is Lion Industries Bhd Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Lion Industries Bhd's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 6.82. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

XKLS:4235's Degree of Operating Leverage is ranked worse than
78.2% of 601 companies
in the Steel industry
Industry Median: 1.14 vs XKLS:4235: 6.82

Lion Industries Bhd Degree of Operating Leverage Historical Data

The historical data trend for Lion Industries 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.

Lion Industries Bhd Degree of Operating Leverage Chart

Lion Industries Bhd Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 40.05 -8.48 - -0.13 5.96

Lion Industries Bhd Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Sep21 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 -0.46 -0.08 -1.98 5.96 6.82

Competitive Comparison of Lion Industries Bhd's Degree of Operating Leverage

For the Steel subindustry, Lion Industries 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.


Lion Industries Bhd's Degree of Operating Leverage Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Lion Industries Bhd's Degree of Operating Leverage distribution charts can be found below:

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


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Lion Industries Bhd Degree of Operating Leverage Calculation

Lion Industries Bhd'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
=( -62.987 (Mar. 2025) / -334.15 (Mar. 2024) - 1 )/( 1598.655 (Mar. 2025) / 1814.717 (Mar. 2024) - 1 )
=-0.8115/-0.1191
=6.82***

* 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.


Lion Industries Bhd  (XKLS:4235) 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.


Lion Industries Bhd Degree of Operating Leverage Related Terms

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Lion Industries Bhd Business Description

Traded in Other Exchanges
N/A
Address
No. 1 Jalan Nagasari, Level 14, Lion Office Tower, Wilayah Persekutuan, Kuala Lumpur, SGR, MYS, 50200
Lion Industries Corp Bhd is involved in the manufacturing of long steel products in Klang and Banting, Selangor. It produces billets for rolling into steel bars and wire rods, while its plant in Banting produces special grade billets for rolling into specialty bars and wire rods for automotive parts, mattresses and mechanical springs, turning parts, wire rods, wire ropes, and other stringent applications. The steel bars and wire rods produced by the company are used in the construction, fabrication and manufacturing industries. In the property development sector, the company is involved in property management and residential development. Its segments include Steel, Building materials, and Others. It derives revenue from Steel segment.

Lion Industries Bhd Headlines

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