DuPont Decomposition
Why does PLASTIBLEN earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
8.2% = 4.7% × 1.41 × 1.24
Latest: FY2026
Profitability
Net Margin
4.7%
5.1% →4.7%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
1.41x
1.38x →1.41x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.24x
1.36x →1.24x
Assets funded by equity vs debt
Trend Analysis
ROE declined by 1.4 pp over 5 years.
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 5.1% | 1.38 | 1.36 | 9.6% |
| FY2023 | ₹0Cr | ₹0Cr | 3.5% | 1.58 | 1.23 | 6.8% |
| FY2024 | ₹0Cr | ₹0Cr | 4.3% | 1.66 | 1.19 | 8.5% |
| FY2025 | ₹0Cr | ₹0Cr | 4.3% | 1.54 | 1.19 | 7.8% |
| FY2026 | ₹0Cr | ₹0Cr | 4.7% | 1.41 | 1.24 | 8.2% |
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.