DuPont Decomposition
Why does UNITECH earn its ROE?
Breaking down Return on Equity into profitability, efficiency, and leverage.
ROE = Net Margin × Asset Turnover × Equity Multiplier
-50.5% = -191.1% × 0.02 × 13.35
Latest: FY2022
Profitability
Net Margin
-191.1%
-191.1% →-191.1%
How much profit per ₹ of revenue
Efficiency
Asset Turnover
0.02x
0.02x →0.02x
Revenue per ₹ of assets
Leverage
Equity Multiplier
13.35x
13.35x →13.35x
Assets funded by equity vs debt
Historical Decomposition
Last 1 years
| Year | Revenue | PAT | Net Margin | Asset TO | Leverage | ROE |
|---|---|---|---|---|---|---|
| FY2022 | ₹0Cr | ₹-0Cr | -191.1% | 0.02 | 13.35 | -50.5% |
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.