Stock Analysis on Net
Stock Analysis on Net

NXP Semiconductors N.V. (NASDAQ:NXPI)

This company has been moved to the archive! The financial data has not been updated since July 26, 2022.

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

NXP Semiconductors N.V., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Jul 3, 2022 35.16% = 10.86% × 3.24
Apr 3, 2022 33.42% = 10.20% × 3.28
Dec 31, 2021 28.66% = 8.97% × 3.20
Oct 3, 2021 23.42% = 7.89% × 2.97
Jul 4, 2021 13.93% = 5.03% × 2.77
Apr 4, 2021 5.13% = 2.20% × 2.34
Dec 31, 2020 0.58% = 0.26% × 2.22
Sep 27, 2020 — = — × 2.38
Jun 28, 2020 — = — × 2.38
Mar 29, 2020 — = — × 2.16

Based on: 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-03), 10-Q (reporting date: 2021-07-04), 10-Q (reporting date: 2021-04-04), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29).

The primary reason for the increase in return on equity ratio (ROE) over Q2 2022 is the increase in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

NXP Semiconductors N.V., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Jul 3, 2022 35.16% = 19.83% × 0.55 × 3.24
Apr 3, 2022 33.42% = 18.70% × 0.55 × 3.28
Dec 31, 2021 28.66% = 16.91% × 0.53 × 3.20
Oct 3, 2021 23.42% = 14.98% × 0.53 × 2.97
Jul 4, 2021 13.93% = 10.44% × 0.48 × 2.77
Apr 4, 2021 5.13% = 4.65% × 0.47 × 2.34
Dec 31, 2020 0.58% = 0.60% × 0.43 × 2.22
Sep 27, 2020 — = — × — × 2.38
Jun 28, 2020 — = — × — × 2.38
Mar 29, 2020 — = — × — × 2.16

Based on: 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-03), 10-Q (reporting date: 2021-07-04), 10-Q (reporting date: 2021-04-04), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29).

The primary reason for the increase in return on equity ratio (ROE) over Q2 2022 is the increase in profitability measured by net profit margin ratio.

Two-Component Disaggregation of ROA

NXP Semiconductors N.V., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Jul 3, 2022 10.86% = 19.83% × 0.55
Apr 3, 2022 10.20% = 18.70% × 0.55
Dec 31, 2021 8.97% = 16.91% × 0.53
Oct 3, 2021 7.89% = 14.98% × 0.53
Jul 4, 2021 5.03% = 10.44% × 0.48
Apr 4, 2021 2.20% = 4.65% × 0.47
Dec 31, 2020 0.26% = 0.60% × 0.43
Sep 27, 2020 — = — × —
Jun 28, 2020 — = — × —
Mar 29, 2020 — = — × —

Based on: 10-Q (reporting date: 2022-07-03), 10-Q (reporting date: 2022-04-03), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-03), 10-Q (reporting date: 2021-07-04), 10-Q (reporting date: 2021-04-04), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-27), 10-Q (reporting date: 2020-06-28), 10-Q (reporting date: 2020-03-29).

The primary reason for the increase in return on assets ratio (ROA) over Q2 2022 is the increase in profitability measured by net profit margin ratio.