DuPont Decomposition
Why does SURYODAY earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
7.3% = 10.4% × 0.07 × 9.57
Latest: FY2026
Profitability
Net Margin
10.4%
-13.7% →10.4%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.07x
0.08x →0.07x
Revenue per ₹ of assets
Leverage
Equity Multiplier
9.57x
5.43x →9.57x
Assets funded by equity vs debt
Trend Analysis
ROE improved by 13.5 pp over 5 years. Driven by net margin improving (-13.7% → 10.4%), leverage rising (5.43x → 9.57x). High financial leverage (equity multiplier > 4x) amplifies returns but also risk.
Historical Decomposition
Last 5 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹-0Cr | -13.7% | 0.08 | 5.43 | -6.2% |
| FY2023 | ₹0Cr | ₹0Cr | 9.2% | 0.09 | 6.22 | 4.9% |
| FY2024 | ₹0Cr | ₹0Cr | 18.3% | 0.10 | 6.86 | 12.0% |
| FY2025 | ₹0Cr | ₹0Cr | 8.7% | 0.08 | 8.10 | 6.0% |
| FY2026 | ₹0Cr | ₹0Cr | 10.4% | 0.07 | 9.57 | 7.3% |
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.