DuPont Decomposition
Why does SWIGGY earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
-30.5% = -20.7% × 0.99 × 1.49
Latest: FY2025
Profitability
Net Margin
-20.7%
-65.2% →-20.7%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.99x
0.39x →0.99x
Revenue per ₹ of assets
Leverage
Equity Multiplier
1.49x
1.17x →1.49x
Assets funded by equity vs debt
Trend Analysis
ROE stable at ~-30%. Driven by net margin improving (-65.2% → -20.7%), asset turnover improving (0.39x → 0.99x), leverage rising (1.17x → 1.49x).
Historical Decomposition
Last 4 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹-0Cr | -65.2% | 0.39 | 1.17 | -29.6% |
| FY2023 | ₹0Cr | ₹-0Cr | -51.4% | 0.72 | 1.25 | -46.1% |
| FY2024 | ₹0Cr | ₹-0Cr | -21.2% | 1.05 | 1.35 | -30.2% |
| FY2025 | ₹0Cr | ₹-0Cr | -20.7% | 0.99 | 1.49 | -30.5% |
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.