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Regional Health Properties (Regional Health Properties) Degree of Financial Leverage : 4.55 (As of Dec. 2023)


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What is Regional Health Properties 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). Regional Health Properties's Degree of Financial Leverage for the quarter that ended in Dec. 2023 was 4.55. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Regional Health Properties's Degree of Financial Leverage or its related term are showing as below:

RHE.PRA.PFD's Degree of Financial Leverage is ranked worse than
93.98% of 631 companies
in the Healthcare Providers & Services industry
Industry Median: 1.02 vs RHE.PRA.PFD: 4.55

Regional Health Properties Degree of Financial Leverage Historical Data

The historical data trend for Regional Health Properties'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.

Regional Health Properties Degree of Financial Leverage Chart

Regional Health Properties Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.31 -2.26 -0.07 -0.13 4.55

Regional Health Properties Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Degree of Financial 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 -0.13 0.09 -20.64 -23.59 4.55

Competitive Comparison of Regional Health Properties's Degree of Financial Leverage

For the Medical Care Facilities subindustry, Regional Health Properties'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.


Regional Health Properties's Degree of Financial Leverage Distribution in the Healthcare Providers & Services Industry

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

* The bar in red indicates where Regional Health Properties's Degree of Financial Leverage falls into.



Regional Health Properties Degree of Financial Leverage Calculation

Regional Health Properties's Degree of Financial Leverage for the quarter that ended in Dec. 2023 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 0 (Dec. 2023) / 0 (Dec. 2022) - 1 )/( -1.137 (Dec. 2023) / -4.338 (Dec. 2022) - 1 )
=/-0.7379
=0.00***

* 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.


Regional Health Properties  (AMEX:RHE.PRA.PFD) 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.


Regional Health Properties Degree of Financial Leverage Related Terms

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


Regional Health Properties (Regional Health Properties) Business Description

Traded in Other Exchanges
Address
454 Satellite Boulevard NW, Suite 100, Suwanee, GA, USA, 30024-7191
Regional Health Properties Inc is a self-managed healthcare real estate investment company that invests primarily in real estate purposed for senior living and long-term healthcare through facility lease and sub-lease transactions. It has two reportable segments real estate segment and the healthcare services segment. It derives the majority of its revenue from the healthcare services segment. Its portfolio of more than 20 properties is diversified across various states, with concentrations in Georgia and Ohio.
Executives
Paul Jason O'sullivan officer: Senior Vice President 454 SATELLITE BLVD, NW, 100, SUWANEE GA 30024
Steven L Martin director 153 EAST 53RD STREET, 26TH FLOOR, NEW YORK NY 10022
Kenneth S Grossman director 18 NORFOLK RD, GREAT NECK NY 11020
Benjamin A Waites officer: Chief Financial Officer 8215 ROSWELL ROAD, BUILDING 600, ATLANTA GA 30350
Charles L Frischer 10 percent owner 3156 EAST LAURELHURST DRIVE, NE, SEATTLE WA 98105
Kenneth Wayne Taylor director 454 SATELLITE BOULEVARD, SUWANEE GA 30024
Brian M Szames director 454 SATELLITE BOULEVARD, SUITE 100, SUWANEE GA 30024
E Clinton Cain officer: Chief Accounting Officer 1145 HEMBREE ROAD, ROSWELL GA 30076
Park City Capital, Llc director 12400 COIT ROAD, SUITE 800, DALLAS TX 75251
Thomas W Knaup director 1145 HEMBREE ROAD, ROSWELL GA 30076
Susan I. Christensen officer: VP Sales/Infant Products Div 711 WEST WALNUT STREET, COMPTON CA 90220
Allan J Rimland officer: President & CFO 1145 HEMBREE ROAD, ROSWELL GA 30076
David A Tenwick director 8503 MISTY WOODS CIRCLE, POWELL OH 43065
Brent Morrison director 454 SATELLITE BLVD, NW #100, SUWANEE GA 30341
Peter J Hackett director

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