DuPont Decomposition

Why does JPASSOCIAT earn its ROE?

Breaking down Return on Equity into profitability, efficiency, and leverage.

ROE = Net Margin × Asset Turnover × Equity Multiplier

-1745.8% = -42.0% × 0.09 × 441.66

Latest: FY2022

Profitability

Net Margin

-42.0%

-42.0% →-42.0%

How much profit per ₹ of revenue

Efficiency

Asset Turnover

0.09x

0.09x →0.09x

Revenue per ₹ of assets

Leverage

Equity Multiplier

441.66x

441.66x →441.66x

Assets funded by equity vs debt

Historical Decomposition

Last 1 years

YearRevenuePATNet MarginAsset TOLeverageROE
FY20220Cr-0Cr-42.0%0.09441.66-1745.8%

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)

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DuPont decomposition from audited annual financials. Factual analysis, not investment advice.

JPASSOCIAT DuPont Analysis — ROE -1745.8% | YieldIQ