DuPont Decomposition
Why does FIEMIND earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
21.0% = 9.2% × 1.64 × 1.40
Latest: FY2026
Profitability
Net Margin
9.2%
6.0% →9.2%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
1.64x
1.49x →1.64x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.40x
1.63x →1.40x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 6.4 pp over 5 years. Driven by net margin improving (6.0% → 9.2%), asset turnover improving (1.49x → 1.64x), leverage falling (1.63x → 1.40x).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 6.0% | 1.49 | 1.63 | 14.7% |
| FY2023 | ₹0Cr | ₹0Cr | 7.6% | 1.74 | 1.38 | 18.4% |
| FY2024 | ₹0Cr | ₹0Cr | 8.2% | 1.65 | 1.37 | 18.7% |
| FY2025 | ₹0Cr | ₹0Cr | 8.5% | 1.69 | 1.37 | 19.7% |
| FY2026 | ₹0Cr | ₹0Cr | 9.2% | 1.64 | 1.40 | 21.0% |
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.