DuPont Decomposition
Why does SUPERSPIN earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
-29.2% = -300.9% × 0.06 × 1.59
Latest: FY2024
Profitability
Net Margin
-300.9%
0.9% →-300.9%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.06x
0.49x →0.06x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.59x
1.62x →1.59x
Assets funded by equity vs debt
Trend Analysis
ROE declined by 30.0 pp over 3 years. Driven by net margin declining (0.9% → -300.9%), asset turnover declining (0.49x → 0.06x).
Historical Decomposition
Last 3 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹0Cr | 0.9% | 0.49 | 1.62 | 0.8% |
| FY2023 | ₹0Cr | ₹-0Cr | -22.9% | 0.53 | 1.81 | -21.8% |
| FY2024 | ₹0.1Cr | ₹-0.2Cr | -300.9% | 0.06 | 1.59 | -29.2% |
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.