GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Reneuco Bhd (XKLS:7130) » Definitions » Degree of Operating Leverage

Reneuco Bhd (XKLS:7130) Degree of Operating Leverage : 10.78 (As of Mar. 2025)


View and export this data going back to 2002. Start your Free Trial

What is Reneuco Bhd Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Reneuco Bhd's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 10.78. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

XKLS:7130's Degree of Operating Leverage is ranked worse than
88.42% of 1667 companies
in the Construction industry
Industry Median: 0.99 vs XKLS:7130: 10.78

Reneuco Bhd Degree of Operating Leverage Historical Data

The historical data trend for Reneuco 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.

Reneuco Bhd Degree of Operating Leverage Chart

Reneuco Bhd Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.70 -0.76 3.37 0.64 1.04

Reneuco Bhd Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 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 4.16 - - -26.64 10.78

Competitive Comparison of Reneuco Bhd's Degree of Operating Leverage

For the Engineering & Construction subindustry, Reneuco 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.


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

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

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


;
;

Reneuco Bhd Degree of Operating Leverage Calculation

Reneuco 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
=( -73.526 (Mar. 2025) / -10.855 (Mar. 2024) - 1 )/( 16.404 (Mar. 2025) / 10.681 (Mar. 2024) - 1 )
=5.7735/0.5358
=10.78***

* 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.


Reneuco Bhd  (XKLS:7130) 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.


Reneuco Bhd Degree of Operating Leverage Related Terms

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


Reneuco Bhd Business Description

Industry
Traded in Other Exchanges
N/A
Address
No. 1, Jalan Dutamas 1, C1-1-1, Solaris Dutamas, Wilayah Persekutuan, Kuala Lumpur, SGR, MYS, 50480
Reneuco Bhd an investment holding company is mainly involved in sustainable energy and utilities activities.is mainly involved in sustainable energy and utilities activities. The company's operating segments include Construction-related activities; Healthcare; Logistics; Investment and Property. It generates maximum revenue from the Construction related activities segment. The Construction-related activities segment includes engineering, procurement, construction and commissioning of energy utilities and infrastructure projects, and investment holding. Geographically it derives a majority of revenue from Malaysia. Geographical segments include Malaysia, ASEAN and Europe.

Reneuco Bhd Headlines

No Headlines