DuPont Decomposition
Why does GANGESSECU earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
0.5% = 7.5% × 0.06 × 1.08
Latest: FY2026
Profitability
Net Margin
7.5%
23.3% →7.5%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.06x
0.05x →0.06x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.08x
1.03x →1.08x
Assets funded by equity vs debt
Trend Analysis
ROE stable at ~0%. Driven by net margin declining (23.3% → 7.5%).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 23.3% | 0.05 | 1.03 | 1.3% |
| FY2023 | ₹0Cr | ₹0Cr | 23.6% | 0.09 | 1.01 | 2.2% |
| FY2024 | ₹0Cr | ₹0Cr | 10.0% | 0.06 | 1.05 | 0.6% |
| FY2025 | ₹0Cr | ₹0Cr | 13.3% | 0.05 | 1.08 | 0.8% |
| FY2026 | ₹0Cr | ₹0Cr | 7.5% | 0.06 | 1.08 | 0.5% |
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.