DuPont Decomposition
Why does SUMEETINDS earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
91.9% = 17.0% × 2.34 × 2.31
Latest: FY2025
Profitability
Net Margin
17.0%
17.0% →17.0%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
2.34x
2.34x →2.34x
Revenue per ₹ of assets
Leverage
Equity Multiplier
2.31x
2.31x →2.31x
Assets funded by equity vs debt
Historical Decomposition
Last 1 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2025 | ₹0Cr | ₹0Cr | 17.0% | 2.34 | 2.31 | 91.9% |
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.