Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.
Paying user area
Try for free
Air Products & Chemicals Inc. pages available for free this week:
- Common-Size Balance Sheet: Liabilities and Stockholders’ Equity
- Analysis of Solvency Ratios
- Analysis of Short-term (Operating) Activity Ratios
- Analysis of Long-term (Investment) Activity Ratios
- Analysis of Geographic Areas
- Enterprise Value to FCFF (EV/FCFF)
- Price to FCFE (P/FCFE)
- Dividend Discount Model (DDM)
- Operating Profit Margin since 2005
- Aggregate Accruals
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Air Products & Chemicals Inc. for $22.49.
This is a one-time payment. There is no automatic renewal.
We accept:
Two-Component Disaggregation of ROE
ROE | = | ROA | × | Financial Leverage | |
---|---|---|---|---|---|
Sep 30, 2020 | = | × | |||
Sep 30, 2019 | = | × | |||
Sep 30, 2018 | = | × | |||
Sep 30, 2017 | = | × | |||
Sep 30, 2016 | = | × | |||
Sep 30, 2015 | = | × |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
The primary reason for the decrease in return on equity ratio (ROE) over 2020 year is the decrease in profitability measured by return on assets ratio (ROA).
Three-Component Disaggregation of ROE
ROE | = | Net Profit Margin | × | Asset Turnover | × | Financial Leverage | |
---|---|---|---|---|---|---|---|
Sep 30, 2020 | = | × | × | ||||
Sep 30, 2019 | = | × | × | ||||
Sep 30, 2018 | = | × | × | ||||
Sep 30, 2017 | = | × | × | ||||
Sep 30, 2016 | = | × | × | ||||
Sep 30, 2015 | = | × | × |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
The primary reason for the decrease in return on equity ratio (ROE) over 2020 year is the decrease in efficiency measured by asset turnover ratio.
Five-Component Disaggregation of ROE
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
The primary reason for the decrease in return on equity ratio (ROE) over 2020 year is the decrease in efficiency measured by asset turnover ratio.
Two-Component Disaggregation of ROA
ROA | = | Net Profit Margin | × | Asset Turnover | |
---|---|---|---|---|---|
Sep 30, 2020 | = | × | |||
Sep 30, 2019 | = | × | |||
Sep 30, 2018 | = | × | |||
Sep 30, 2017 | = | × | |||
Sep 30, 2016 | = | × | |||
Sep 30, 2015 | = | × |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
The primary reason for the decrease in return on assets ratio (ROA) over 2020 year is the decrease in asset turnover ratio.
Four-Component Disaggregation of ROA
ROA | = | Tax Burden | × | Interest Burden | × | EBIT Margin | × | Asset Turnover | |
---|---|---|---|---|---|---|---|---|---|
Sep 30, 2020 | = | × | × | × | |||||
Sep 30, 2019 | = | × | × | × | |||||
Sep 30, 2018 | = | × | × | × | |||||
Sep 30, 2017 | = | × | × | × | |||||
Sep 30, 2016 | = | × | × | × | |||||
Sep 30, 2015 | = | × | × | × |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
The primary reason for the decrease in return on assets ratio (ROA) over 2020 year is the decrease in efficiency measured by asset turnover ratio.
Disaggregation of Net Profit Margin
Net Profit Margin | = | Tax Burden | × | Interest Burden | × | EBIT Margin | |
---|---|---|---|---|---|---|---|
Sep 30, 2020 | = | × | × | ||||
Sep 30, 2019 | = | × | × | ||||
Sep 30, 2018 | = | × | × | ||||
Sep 30, 2017 | = | × | × | ||||
Sep 30, 2016 | = | × | × | ||||
Sep 30, 2015 | = | × | × |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
The primary reason for the increase in net profit margin ratio over 2020 year is the increase in operating profitability measured by EBIT margin ratio.