DuPont Decomposition
Why does NBIFIN earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
0.5% = 70.8% × 0.01 × 1.03
Latest: FY2026
Profitability
Net Margin
70.8%
67.1% →70.8%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.01x
0.01x →0.01x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.03x
1.03x →1.03x
Assets funded by equity vs debt
Trend Analysis
ROE stable at ~0%. Driven by net margin improving (67.1% → 70.8%).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 67.1% | 0.01 | 1.03 | 0.4% |
| FY2023 | ₹0Cr | ₹0Cr | 52.0% | 0.00 | 1.04 | 0.2% |
| FY2024 | ₹0Cr | ₹0Cr | 60.8% | 0.01 | 1.04 | 0.3% |
| FY2025 | ₹0Cr | ₹0Cr | 64.6% | 0.00 | 1.06 | 0.3% |
| FY2026 | ₹0Cr | ₹0Cr | 70.8% | 0.01 | 1.03 | 0.5% |
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.