DuPont Decomposition
Why does CONSOFINVT earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
10.5% = 729.4% × 0.01 × 1.09
Latest: FY2025
Profitability
Net Margin
729.4%
5.1% →729.4%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.01x
0.02x →0.01x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.09x
1.07x →1.09x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 10.4 pp over 4 years. Driven by net margin improving (5.1% → 729.4%).
Historical Decomposition
Last 4 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 5.1% | 0.02 | 1.07 | 0.1% |
| FY2023 | ₹0Cr | ₹0Cr | 76.3% | 0.48 | 1.16 | 42.1% |
| FY2024 | ₹0Cr | ₹0Cr | 96.9% | 0.05 | 1.15 | 5.8% |
| FY2025 | ₹0Cr | ₹0Cr | 729.4% | 0.01 | 1.09 | 10.5% |
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.