DuPont Decomposition
Why does ONESOURCE earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
-0.3% = -1.2% × 0.19 × 1.28
Latest: FY2025
Profitability
Net Margin
-1.2%
-2066.0% →-1.2%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.19x
0.02x →0.19x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.28x
2.56x →1.28x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 101.5 pp over 3 years. Driven by net margin improving (-2066.0% → -1.2%), asset turnover improving (0.02x → 0.19x), leverage falling (2.56x → 1.28x).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2023 | ₹0Cr | ₹-0Cr | -2066.0% | 0.02 | 2.56 | -101.8% |
| FY2024 | ₹0Cr | ₹-0Cr | -227.5% | 0.13 | 3.31 | -98.8% |
| FY2025 | ₹0Cr | ₹-0Cr | -1.2% | 0.19 | 1.28 | -0.3% |
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.