DuPont Decomposition
Why does ATLASCYCLE earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
-2.1% = -116.4% × 0.01 × 1.27
Latest: FY2026
Profitability
Net Margin
-116.4%
8.6% →-116.4%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.01x
0.01x →0.01x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.27x
1.28x →1.27x
Assets funded by equity vs debt
Trend Analysis
ROE declined by 2.3 pp over 3 years. Driven by net margin declining (8.6% → -116.4%).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2024 | ₹0Cr | ₹0Cr | 8.6% | 0.01 | 1.28 | 0.1% |
| FY2025 | ₹0Cr | ₹0Cr | 55.5% | 0.04 | 1.24 | 2.5% |
| FY2026 | ₹0Cr | ₹-0Cr | -116.4% | 0.01 | 1.27 | -2.1% |
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.