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Civitas Solutions (Civitas Solutions) Degree of Financial Leverage : 0.00 (As of Dec. 2018)


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What is Civitas Solutions Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). Civitas Solutions's Degree of Financial Leverage for the quarter that ended in Dec. 2018 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Civitas Solutions's Degree of Financial Leverage or its related term are showing as below:

CIVI's Degree of Financial Leverage is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 1.02
* Ranked among companies with meaningful Degree of Financial Leverage only.

Civitas Solutions Degree of Financial Leverage Historical Data

The historical data trend for Civitas Solutions's Degree of Financial 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.

Civitas Solutions Degree of Financial Leverage Chart

Civitas Solutions Annual Data
Trend Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18
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Civitas Solutions Quarterly Data
Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18
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Competitive Comparison of Civitas Solutions's Degree of Financial Leverage

For the Medical Care Facilities subindustry, Civitas Solutions's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial 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.


Civitas Solutions's Degree of Financial Leverage Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Civitas Solutions's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Civitas Solutions's Degree of Financial Leverage falls into.



Civitas Solutions Degree of Financial Leverage Calculation

Civitas Solutions's Degree of Financial Leverage for the quarter that ended in Dec. 2018 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 0.33 (Dec. 2018) / 0.31 (Dec. 2017) - 1 )/( 59.323 (Dec. 2018) / 39.35 (Dec. 2017) - 1 )
=0.0645/0.5076
=0.13***

* 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 EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial 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.


Civitas Solutions  (NYSE:CIVI) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


Civitas Solutions Degree of Financial Leverage Related Terms

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


Civitas Solutions (Civitas Solutions) Business Description

Traded in Other Exchanges
N/A
Address
313 Congress Street, 6th Floor, Boston, MA, USA, 02210
Civitas Solutions Inc provides health services to people with intellectual, developmental, physical, or behavioral disabilities and other special needs. Its revenue is generated exclusively in the United States. Civitas operates in two segments: human services and post-acute specialty rehabilitation services, or SRS. The human services segment contributes the vast majority of revenue and provides services to people with disabilities, at-risk youth, and the elderly. Its programs for people with intellectual or developmental disabilities provide residential support, case management, and vocational services. The SRS segment provides rehabilitation and transitional living services to people who have experienced brain or spinal injuries or other severe illnesses or injuries.
Executives
Daniel S Oconnell 10 percent owner C/O VESTAR CAPITAL PARTNERS, 245 PARK AVE 41ST FL, NEW YORK NY 10167
Vestar Managers V Ltd. 10 percent owner 245 PARK AVENUE, 41ST FLOOR, NEW YORK NY 10167
Vestar Associates V, L.p. 10 percent owner 245 PARK AVENUE, 41ST FLOOR, NEW YORK NY 10167
Greg Roth director ONE PARK PLAZA, NASHVILLE TN 37203
Pamela F Lenehan director C/O AVID TECHNOLOGY, INC., ONE PARK WEST, TEWKSBURY MA 01876
Patrick M. Gray director C/O CIVITAS SOLUTIONS, INC. 313 CONGRESS STREET, 6TH FLOOR BOSTON MA 02210
Guy P Sansone director C/O MEDNAX, 1301 CONCORD TERRACE, SUNRISE FL 33323
Mary Ann Tocio director C/O BRIGHT HORIZONS FAMILY SOLUTIONS, 2 WELLS AVENUE, NEWTON MA 02459
Vestar Capital Partners V L P 10 percent owner 245 PARK AVE 41ST FL, NEW YORK NY 10167
Robert L. Rosner director C/O TRITON INTERNATIONAL LIMITED, 100 MANHATTANVILLE ROAD, PURCHASE NY 10577
Edward M Murphy director, officer: Executive Chair C/O CIVITAS SOLUTIONS, INC. 313 CONGRESS STREET, 6TH FLOOR BOSTON MA 02210
Kevin A Mundt director C/O VESTAR CAPITAL PARTNERS, 245 PARK AVENUE, 41ST FL, NEW YORK NY 10167