DuPont Decomposition
Why does 63MOONS earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
-1.0% = -70.8% × 0.01 × 1.07
Latest: FY2025
Profitability
Net Margin
-70.8%
-23.4% →-70.8%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.01x
0.03x →0.01x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.07x
1.11x →1.07x
Assets funded by equity vs debt
Trend Analysis
ROE stable at ~-1%. Driven by net margin declining (-23.4% → -70.8%).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2023 | ₹0Cr | ₹-0Cr | -23.4% | 0.03 | 1.11 | -0.8% |
| FY2024 | ₹0Cr | ₹0Cr | 10.2% | 0.01 | 1.09 | 0.1% |
| FY2025 | ₹0Cr | ₹-0Cr | -70.8% | 0.01 | 1.07 | -1.0% |
How to read DuPont
- • Rising ROE from margin = pricing power, operational improvement (good)
- • Rising ROE from turnover = better asset utilization (good)
- • Rising ROE from leverage = more debt, amplified risk (caution)
- • Falling ROE across all three = structural deterioration (red flag)
DuPont decomposition from audited annual financials. Factual analysis, not investment advice.