DuPont Decomposition

Why does TRIGYN earn its ROE?

Breaking down Return on Equity into profitability, efficiency, and leverage.

ROE = Net Margin × Asset Turnover × Equity Multiplier

1.8% = 1.4% × 0.99 × 1.22

Latest: FY2025

Profitability

Net Margin

1.4%

3.8% →1.4%

How much profit per ₹ of revenue

Efficiency

Asset Turnover

0.99x

1.38x →0.99x

Revenue per ₹ of assets

Leverage

Equity Multiplier

1.22x

1.24x →1.22x

Assets funded by equity vs debt

Trend Analysis

ROE declined by 4.7 pp over 4 years. Driven by net margin declining (3.8% → 1.4%), asset turnover declining (1.38x → 0.99x).

Historical Decomposition

Last 4 years

YearRevenuePATNet MarginAsset TOLeverageROE
FY20220Cr0Cr3.8%1.381.246.4%
FY20230Cr0Cr2.7%1.491.265.1%
FY20240Cr0Cr1.6%1.461.252.9%
FY20250Cr0Cr1.4%0.991.221.8%

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)

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DuPont decomposition from audited annual financials. Factual analysis, not investment advice.