DuPont Decomposition
Why does SILINV earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
1.5% = 64.6% × 0.02 × 1.11
Latest: FY2026
Profitability
Net Margin
64.6%
73.4% →64.6%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.02x
0.02x →0.02x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.11x
1.13x →1.11x
Assets funded by equity vs debt
Trend Analysis
ROE stable at ~1%. Driven by net margin declining (73.4% → 64.6%).
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 73.4% | 0.02 | 1.13 | 1.4% |
| FY2023 | ₹0Cr | ₹0Cr | 73.8% | 0.02 | 1.11 | 1.6% |
| FY2024 | ₹0Cr | ₹0Cr | 62.9% | 0.02 | 1.10 | 1.3% |
| FY2025 | ₹0Cr | ₹0Cr | 57.2% | 0.02 | 1.13 | 1.0% |
| FY2026 | ₹0Cr | ₹0Cr | 64.6% | 0.02 | 1.11 | 1.5% |
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.