DuPont Decomposition
Why does MANINFRA earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
8.8% = 31.8% × 0.23 × 1.23
Latest: FY2026
Profitability
Net Margin
31.8%
31.1% →31.8%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.23x
0.56x →0.23x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.23x
2.00x →1.23x
Assets funded by equity vs debt
Trend Analysis
ROE declined by 25.9 pp over 5 years. Driven by asset turnover declining (0.56x → 0.23x), leverage falling (2.00x → 1.23x).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 31.1% | 0.56 | 2.00 | 34.7% |
| FY2023 | ₹0Cr | ₹0Cr | 15.3% | 1.06 | 1.63 | 26.5% |
| FY2024 | ₹0Cr | ₹0Cr | 24.0% | 0.59 | 1.47 | 20.7% |
| FY2025 | ₹0Cr | ₹0Cr | 25.5% | 0.51 | 1.23 | 16.0% |
| FY2026 | ₹0Cr | ₹0Cr | 31.8% | 0.23 | 1.23 | 8.8% |
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)
DuPont decomposition from audited annual financials. Factual analysis, not investment advice.