DuPont Decomposition
Why does CINEVISTA earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
10.8% = 25.4% × 0.17 × 2.45
Latest: FY2026
Profitability
Net Margin
25.4%
-1616.6% →25.4%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.17x
0.01x →0.17x
Revenue per ₹ of assets
Leverage
Equity Multiplier
2.45x
1.58x →2.45x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 24.8 pp over 2 years. Driven by net margin improving (-1616.6% → 25.4%), asset turnover improving (0.01x → 0.17x), leverage rising (1.58x → 2.45x).
Historical Decomposition
Last 2 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹-0Cr | -1616.6% | 0.01 | 1.58 | -14.0% |
| FY2026 | ₹0Cr | ₹0Cr | 25.4% | 0.17 | 2.45 | 10.8% |
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.