Dupont Ratios Analysis

Onex Corporation (ONEX.TO)

$78.95

-0.09 (-0.11%)
Financial Summary
Financial Statements
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Historical Data
DCFDCF Levered
ROE = Net IncomeAverage Total Equity⏟ROE = Net IncomePretax Income⏟Tax Burden ∗ Net IncomePretax Income⏟Interest Burden ∗ E B I TRevenue⏟Return On Sales (ROS)⏟Profit Margin ∗ RevenueAverage Total Assets⏟Assets Turnover⏟ROA ∗ Average Total AssetsAverage Total Equity⏟Equity Multiplier(Financial Leverage)ROE~=~\underbrace{\dfrac{Net~Income}{Average~Total~Equity}}_{\text{ROE}}~=~\underbrace{\underbrace{\underbrace{\dfrac{Net~Income}{Pretax~Income}}_{\text{Tax~Burden}}~*~\underbrace{\dfrac{Net~Income}{Pretax~Income}}_{\text{Interest Burden}}~*~\underbrace{\dfrac{E~B~I~T}{Revenue}}_{\text{Return~On~Sales~(ROS)}}}_{\text{Profit~Margin}}~*~\underbrace{\dfrac{Revenue}{Average~Total~Assets}}_{\text{Assets~Turnover}}}_{\text{ROA}}~*~\underbrace{\dfrac{Average~Total~Assets}{Average~Total~Equity}}_{\text{Equity~Multiplier(Financial~Leverage)}}


ROE = NI/EBT * EBT/EBIT * EBIT/Revenue * Asset Turnover * Company Equity Multiplier
1.93% = 99.36% * 27.45% * 70.70% * 6.42% * 1.56


ROA = Net Profit Margin * Asset Turnover
1.24% = 19.28% * 6.42%


The company's tax burden is (Net income ÷ Pretax profit). This is the proportion of the company's profits retained after paying income taxes. [NI/EBT]
The company's interest burden is (Pretax income ÷ EBIT). This will be 1.00 for a firm with no debt or financial leverage. [EBT/EBIT]
The company's operating income margin or return on sales (ROS) is (EBIT ÷ Revenue). This is the operating income per dollar of sales. [EBIT/Revenue]
The company's asset turnover (ATO) is (Revenue ÷ Average Total Assets).
The company's equity multiplier is (Average Total Assets ÷ Average Total Equity). This is a measure of financial leverage.

ROE = (Profit margin)*(Asset turnover)*(Equity multiplier) = (Net profit/Sales)*(Sales/Average Total Assets)*(Average Total Assets/Average Equity) = (Net Profit/Equity)
0.019317689307163644 = 0.19283065512978986 * 0.06418088060293534 * 1.5563649833312754

Profitability (measured by profit margin)
Asset efficiency (measured by asset turnover)
Financial leverage (measured by equity multiplier)