DuPont Decomposition
Why does JSWDULUX earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
32.3% = 10.6% × 1.40 × 2.18
Latest: FY2025
Profitability
Net Margin
10.6%
8.9% →10.6%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
1.40x
1.38x →1.40x
Revenue per ₹ of assets
Leverage
Equity Multiplier
2.18x
2.08x →2.18x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 6.8 pp over 3 years. Driven by net margin improving (8.9% → 10.6%).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2023 | ₹0Cr | ₹0Cr | 8.9% | 1.38 | 2.08 | 25.5% |
| FY2024 | ₹0Cr | ₹0Cr | 10.8% | 1.36 | 2.18 | 32.1% |
| FY2025 | ₹0Cr | ₹0Cr | 10.6% | 1.40 | 2.18 | 32.3% |
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.