GURUFOCUS.COM » STOCK LIST » Real Estate » REITs » SK REIT Co Ltd (XKRX:395400) » Definitions » Degree of Operating Leverage

SK REIT Co (XKRX:395400) Degree of Operating Leverage : 0.53 (As of Mar. 2025)


View and export this data going back to 2021. Start your Free Trial

What is SK REIT Co Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. SK REIT Co's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 0.53. The higher Degree of Operating Leverage, the higher operating risk the company will take.

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

XKRX:395400's Degree of Operating Leverage is ranked better than
60.4% of 745 companies
in the REITs industry
Industry Median: 1.16 vs XKRX:395400: 0.53

SK REIT Co Degree of Operating Leverage Historical Data

The historical data trend for SK REIT 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.

SK REIT Co Degree of Operating Leverage Chart

SK REIT Co Annual Data
Trend Jun21 Mar22 Mar23 Mar24 Mar25
Degree of Operating Leverage
- - 0.77 0.81 0.53

SK REIT Co Semi-Annual Data
Jun21 Jun22 Jun23 Jun24
Degree of Operating Leverage - - - -

Competitive Comparison of SK REIT Co's Degree of Operating Leverage

For the REIT - Office subindustry, SK REIT 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.


SK REIT Co's Degree of Operating Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, SK REIT Co's Degree of Operating Leverage distribution charts can be found below:

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


;
;

SK REIT Co Degree of Operating Leverage Calculation

SK REIT 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
=( 36908.28 (Mar. 2025) / 36469.739 (Mar. 2024) - 1 )/( 53439.016 (Mar. 2025) / 52247.79 (Mar. 2024) - 1 )
=0.012/0.0228
=0.53***

* 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.


SK REIT Co  (XKRX:395400) 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.


SK REIT Co Degree of Operating Leverage Related Terms

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


SK REIT Co Business Description

Industry
Traded in Other Exchanges
N/A
Address
136 Sejong-daero, 15th Floor, Taepyeong-ro 1-ga, Finance Building, Jung-gu, Seoul, KOR
SK REIT Co Ltd operates as a Real Estate Investment Trust. Its assets investment comprises of SK Seorin Building which is an integrated office building and SK gas station assets comprising its land and building.

SK REIT Co Headlines

No Headlines