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Green Globe International (Green Globe International) Degree of Financial Leverage : 0.00 (As of Sep. 2008)


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What is Green Globe International 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). Green Globe International's Degree of Financial Leverage for the quarter that ended in Sep. 2008 was 0.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Green Globe International's Degree of Financial Leverage or its related term are showing as below:

GGII's Degree of Financial Leverage is not ranked *
in the Tobacco Products industry.
Industry Median: 0.99
* Ranked among companies with meaningful Degree of Financial Leverage only.

Green Globe International Degree of Financial Leverage Historical Data

The historical data trend for Green Globe International'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.

Green Globe International Degree of Financial Leverage Chart

Green Globe International Annual Data
Trend Dec03 Dec04 Dec05 Dec06 Dec07
Degree of Financial Leverage
- - - - -

Green Globe International Quarterly Data
Mar04 Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08
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Competitive Comparison of Green Globe International's Degree of Financial Leverage

For the Tobacco subindustry, Green Globe International'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.


Green Globe International's Degree of Financial Leverage Distribution in the Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, Green Globe International's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Green Globe International's Degree of Financial Leverage falls into.



Green Globe International Degree of Financial Leverage Calculation

Green Globe International's Degree of Financial Leverage for the quarter that ended in Sep. 2008 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( -48.8 (Sep. 2008) / 85.752 (Sep. 2007) - 1 )/( -1.924 (Sep. 2008) / -0.615 (Sep. 2007) - 1 )
=-1.5691/2.1285
=-0.74***

* 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.


Green Globe International  (OTCPK:GGII) 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.


Green Globe International Degree of Financial Leverage Related Terms

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Green Globe International (Green Globe International) Business Description

Traded in Other Exchanges
N/A
Address
8700 E Pinnacle Peak Road, Suite 210, Scottsdale, AZ, USA, 85255
Green Globe International Inc is a Hemp manufacturing company. It is engaged in the manufacturing and sales of CBD Hemp cigarettes. The company generates revenue from two streams- manufacturing and commercial product supply and white label development services.
Executives
David E Jenkins director, 10 percent owner, officer: President 406 NORTH HERMOSA DRIVE, PALM SPRINGS CA 92262