DuPont Decomposition
Why does NILASPACES earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
16.7% = 15.4% × 0.51 × 2.13
Latest: FY2026
Profitability
Net Margin
15.4%
-2.3% →15.4%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.51x
0.04x →0.51x
Revenue per ₹ of assets
Leverage
Equity Multiplier
2.13x
1.05x →2.13x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 16.8 pp over 5 years. Driven by net margin improving (-2.3% → 15.4%), asset turnover improving (0.04x → 0.51x), leverage rising (1.05x → 2.13x).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹-0Cr | -2.3% | 0.04 | 1.05 | -0.1% |
| FY2023 | ₹0Cr | ₹-0Cr | -401.9% | 0.01 | 1.59 | -3.6% |
| FY2024 | ₹0Cr | ₹0Cr | 14.8% | 0.39 | 1.80 | 10.5% |
| FY2025 | ₹0Cr | ₹0Cr | 10.8% | 0.44 | 2.19 | 10.3% |
| FY2026 | ₹0Cr | ₹0Cr | 15.4% | 0.51 | 2.13 | 16.7% |
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.