DuPont Decomposition
Why does SAMBHAAV earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
0.3% = 0.6% × 0.45 × 1.16
Latest: FY2026
Profitability
Net Margin
0.6%
0.0% →0.6%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.45x
0.32x →0.45x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.16x
1.25x →1.16x
Assets funded by equity vs debt
Trend Analysis
ROE stable at ~0%. Driven by asset turnover improving (0.32x → 0.45x).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 0.0% | 0.32 | 1.25 | 0.0% |
| FY2023 | ₹0Cr | ₹-0Cr | -6.5% | 0.37 | 1.33 | -3.1% |
| FY2024 | ₹0Cr | ₹0Cr | 1.5% | 0.39 | 1.24 | 0.7% |
| FY2025 | ₹0Cr | ₹0Cr | 1.0% | 0.42 | 1.20 | 0.5% |
| FY2026 | ₹0Cr | ₹0Cr | 0.6% | 0.45 | 1.16 | 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.