DuPont Decomposition
Why does MINDTECK earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
11.0% = 6.8% × 1.32 × 1.24
Latest: FY2025
Profitability
Net Margin
6.8%
6.1% →6.8%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
1.32x
0.37x →1.32x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.24x
1.27x →1.24x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 8.2 pp over 3 years. Driven by asset turnover improving (0.37x → 1.32x).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2023 | ₹0Cr | ₹0Cr | 6.1% | 0.37 | 1.27 | 2.8% |
| FY2024 | ₹0Cr | ₹0Cr | 6.6% | 0.36 | 1.25 | 2.9% |
| FY2025 | ₹0Cr | ₹0Cr | 6.8% | 1.32 | 1.24 | 11.0% |
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.