DuPont Decomposition
Why does JUBLFOOD earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
9.7% = 2.7% × 0.90 × 3.91
Latest: FY2025
Profitability
Net Margin
2.7%
2.3% →2.7%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.90x
0.24x →0.90x
Revenue per ₹ of assets
Leverage
Equity Multiplier
3.91x
2.64x →3.91x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 8.3 pp over 3 years. Driven by asset turnover improving (0.24x → 0.90x), leverage rising (2.64x → 3.91x).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2023 | ₹0Cr | ₹0Cr | 2.3% | 0.24 | 2.64 | 1.4% |
| FY2024 | ₹0Cr | ₹0Cr | 13.2% | 0.19 | 3.74 | 9.6% |
| FY2025 | ₹0Cr | ₹0Cr | 2.7% | 0.90 | 3.91 | 9.7% |
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.