DuPont Decomposition
Why does IXIGO earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
3.5% = 5.9% × 0.48 × 1.24
Latest: FY2026
Profitability
Net Margin
5.9%
-6.4% →5.9%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.48x
0.70x →0.48x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.24x
1.57x →1.24x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 10.6 pp over 5 years. Driven by net margin improving (-6.4% → 5.9%), asset turnover declining (0.70x → 0.48x), leverage falling (1.57x → 1.24x).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹-0Cr | -6.4% | 0.70 | 1.57 | -7.1% |
| FY2023 | ₹0Cr | ₹0Cr | 4.3% | 0.86 | 1.57 | 5.8% |
| FY2024 | ₹0Cr | ₹0Cr | 11.6% | 1.04 | 1.42 | 17.0% |
| FY2025 | ₹0Cr | ₹0Cr | 6.6% | 1.01 | 1.43 | 9.5% |
| FY2026 | ₹0Cr | ₹0Cr | 5.9% | 0.48 | 1.24 | 3.5% |
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.