DuPont Decomposition
Why does OBEROIRLTY earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
14.0% = 41.7% × 0.24 × 1.41
Latest: FY2026
Profitability
Net Margin
41.7%
39.1% →41.7%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.24x
0.17x →0.24x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.41x
1.51x →1.41x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 3.9 pp over 5 years. Driven by net margin improving (39.1% → 41.7%).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 39.1% | 0.17 | 1.51 | 10.1% |
| FY2023 | ₹0Cr | ₹0Cr | 45.6% | 0.22 | 1.53 | 15.6% |
| FY2024 | ₹0Cr | ₹0Cr | 43.0% | 0.23 | 1.42 | 13.9% |
| FY2025 | ₹0Cr | ₹0Cr | 42.1% | 0.23 | 1.45 | 14.2% |
| FY2026 | ₹0Cr | ₹0Cr | 41.7% | 0.24 | 1.41 | 14.0% |
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.