DuPont Decomposition
Why does GOODLUCK earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
12.1% = 4.5% × 1.33 × 2.04
Latest: FY2026
Profitability
Net Margin
4.5%
2.9% →4.5%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
1.33x
2.06x →1.33x
Revenue per ₹ of assets
Leverage
Equity Multiplier
2.04x
2.69x →2.04x
Assets funded by equity vs debt
Trend Analysis
ROE declined by 4.0 pp over 5 years. Driven by net margin improving (2.9% → 4.5%), asset turnover declining (2.06x → 1.33x), leverage falling (2.69x → 2.04x).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 2.9% | 2.06 | 2.69 | 16.1% |
| FY2023 | ₹0Cr | ₹0Cr | 2.9% | 2.07 | 2.37 | 14.2% |
| FY2024 | ₹0Cr | ₹0Cr | 3.8% | 1.71 | 1.82 | 11.8% |
| FY2025 | ₹0Cr | ₹0Cr | 4.2% | 1.54 | 1.93 | 12.6% |
| FY2026 | ₹0Cr | ₹0Cr | 4.5% | 1.33 | 2.04 | 12.1% |
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.