DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit MarginQuarterly Data
Annual Data
Quarterly Data
Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.
Two-Component Disaggregation of ROE
Annual Data
Quarterly Data
Coca-Cola Co., decomposition of ROE (quarterly data)
ROE
=
ROA
×
Financial Leverage
Dec 31, 2023
41.30%
=
10.97%
×
3.77
Sep 29, 2023
40.92%
=
11.04%
×
3.71
Jun 30, 2023
40.40%
=
10.67%
×
3.78
Mar 31, 2023
39.13%
=
10.13%
×
3.86
Dec 31, 2022
39.59%
=
10.29%
×
3.85
Sep 30, 2022
43.52%
=
10.73%
×
4.05
Jul 1, 2022
41.60%
=
10.27%
×
4.05
Apr 1, 2022
41.49%
=
10.96%
×
3.79
Dec 31, 2021
42.48%
=
10.36%
×
4.10
Oct 1, 2021
39.74%
=
9.73%
×
4.09
Jul 2, 2021
36.31%
=
8.96%
×
4.05
Apr 2, 2021
35.46%
=
8.02%
×
4.42
Dec 31, 2020
40.14%
=
8.87%
×
4.52
Sep 25, 2020
44.78%
=
8.57%
×
5.22
Jun 26, 2020
52.56%
=
9.70%
×
5.42
Mar 27, 2020
55.17%
=
10.65%
×
5.18
Dec 31, 2019
46.99%
=
10.33%
×
4.55
Sep 27, 2019
—
=
—
×
4.67
Jun 28, 2019
—
=
—
×
4.95
Mar 29, 2019
—
=
—
×
4.98
Based on:
10-K (reporting date: 2023-12-31) ,
10-Q (reporting date: 2023-09-29) ,
10-Q (reporting date: 2023-06-30) ,
10-Q (reporting date: 2023-03-31) ,
10-K (reporting date: 2022-12-31) ,
10-Q (reporting date: 2022-09-30) ,
10-Q (reporting date: 2022-07-01) ,
10-Q (reporting date: 2022-04-01) ,
10-K (reporting date: 2021-12-31) ,
10-Q (reporting date: 2021-10-01) ,
10-Q (reporting date: 2021-07-02) ,
10-Q (reporting date: 2021-04-02) ,
10-K (reporting date: 2020-12-31) ,
10-Q (reporting date: 2020-09-25) ,
10-Q (reporting date: 2020-06-26) ,
10-Q (reporting date: 2020-03-27) ,
10-K (reporting date: 2019-12-31) ,
10-Q (reporting date: 2019-09-27) ,
10-Q (reporting date: 2019-06-28) ,
10-Q (reporting date: 2019-03-29) .
The primary reason for the increase in return on equity ratio (ROE) over Q4 2023 is the increase in financial leverage ratio.
Three-Component Disaggregation of ROE
Annual Data
Quarterly Data
Coca-Cola Co., decomposition of ROE (quarterly data)
ROE
=
Net Profit Margin
×
Asset Turnover
×
Financial Leverage
Dec 31, 2023
41.30%
=
23.42%
×
0.47
×
3.77
Sep 29, 2023
40.92%
=
23.92%
×
0.46
×
3.71
Jun 30, 2023
40.40%
=
23.81%
×
0.45
×
3.78
Mar 31, 2023
39.13%
=
22.69%
×
0.45
×
3.86
Dec 31, 2022
39.59%
=
22.19%
×
0.46
×
3.85
Sep 30, 2022
43.52%
=
23.44%
×
0.46
×
4.05
Jul 1, 2022
41.60%
=
23.16%
×
0.44
×
4.05
Apr 1, 2022
41.49%
=
25.69%
×
0.43
×
3.79
Dec 31, 2021
42.48%
=
25.28%
×
0.41
×
4.10
Oct 1, 2021
39.74%
=
23.31%
×
0.42
×
4.09
Jul 2, 2021
36.31%
=
22.19%
×
0.40
×
4.05
Apr 2, 2021
35.46%
=
21.59%
×
0.37
×
4.42
Dec 31, 2020
40.14%
=
23.47%
×
0.38
×
4.52
Sep 25, 2020
44.78%
=
24.90%
×
0.34
×
5.22
Jun 26, 2020
52.56%
=
26.77%
×
0.36
×
5.42
Mar 27, 2020
55.17%
=
26.95%
×
0.40
×
5.18
Dec 31, 2019
46.99%
=
23.94%
×
0.43
×
4.55
Sep 27, 2019
—
=
—
×
—
×
4.67
Jun 28, 2019
—
=
—
×
—
×
4.95
Mar 29, 2019
—
=
—
×
—
×
4.98
Based on:
10-K (reporting date: 2023-12-31) ,
10-Q (reporting date: 2023-09-29) ,
10-Q (reporting date: 2023-06-30) ,
10-Q (reporting date: 2023-03-31) ,
10-K (reporting date: 2022-12-31) ,
10-Q (reporting date: 2022-09-30) ,
10-Q (reporting date: 2022-07-01) ,
10-Q (reporting date: 2022-04-01) ,
10-K (reporting date: 2021-12-31) ,
10-Q (reporting date: 2021-10-01) ,
10-Q (reporting date: 2021-07-02) ,
10-Q (reporting date: 2021-04-02) ,
10-K (reporting date: 2020-12-31) ,
10-Q (reporting date: 2020-09-25) ,
10-Q (reporting date: 2020-06-26) ,
10-Q (reporting date: 2020-03-27) ,
10-K (reporting date: 2019-12-31) ,
10-Q (reporting date: 2019-09-27) ,
10-Q (reporting date: 2019-06-28) ,
10-Q (reporting date: 2019-03-29) .
The primary reason for the increase in return on equity ratio (ROE) over Q4 2023 is the increase in financial leverage ratio.
Five-Component Disaggregation of ROE
Annual Data
Quarterly Data
Coca-Cola Co., decomposition of ROE (quarterly data)
ROE
=
Tax Burden
×
Interest Burden
×
EBIT Margin
×
Asset Turnover
×
Financial Leverage
Dec 31, 2023
41.30%
=
0.83
×
0.89
×
31.67%
×
0.47
×
3.77
Sep 29, 2023
40.92%
=
0.83
×
0.90
×
31.95%
×
0.46
×
3.71
Jun 30, 2023
40.40%
=
0.82
×
0.91
×
32.00%
×
0.45
×
3.78
Mar 31, 2023
39.13%
=
0.81
×
0.92
×
30.65%
×
0.45
×
3.86
Dec 31, 2022
39.59%
=
0.82
×
0.93
×
29.16%
×
0.46
×
3.85
Sep 30, 2022
43.52%
=
0.82
×
0.94
×
30.35%
×
0.46
×
4.05
Jul 1, 2022
41.60%
=
0.82
×
0.94
×
30.24%
×
0.44
×
4.05
Apr 1, 2022
41.49%
=
0.79
×
0.91
×
35.94%
×
0.43
×
3.79
Dec 31, 2021
42.48%
=
0.79
×
0.89
×
36.19%
×
0.41
×
4.10
Oct 1, 2021
39.74%
=
0.75
×
0.87
×
35.85%
×
0.42
×
4.09
Jul 2, 2021
36.31%
=
0.74
×
0.83
×
35.98%
×
0.40
×
4.05
Apr 2, 2021
35.46%
=
0.76
×
0.85
×
33.43%
×
0.37
×
4.42
Dec 31, 2020
40.14%
=
0.80
×
0.87
×
33.82%
×
0.38
×
4.52
Sep 25, 2020
44.78%
=
0.85
×
0.88
×
33.29%
×
0.34
×
5.22
Jun 26, 2020
52.56%
=
0.86
×
0.92
×
33.89%
×
0.36
×
5.42
Mar 27, 2020
55.17%
=
0.87
×
0.93
×
33.37%
×
0.40
×
5.18
Dec 31, 2019
46.99%
=
0.83
×
0.92
×
31.31%
×
0.43
×
4.55
Sep 27, 2019
—
=
—
×
—
×
—
×
—
×
4.67
Jun 28, 2019
—
=
—
×
—
×
—
×
—
×
4.95
Mar 29, 2019
—
=
—
×
—
×
—
×
—
×
4.98
Based on:
10-K (reporting date: 2023-12-31) ,
10-Q (reporting date: 2023-09-29) ,
10-Q (reporting date: 2023-06-30) ,
10-Q (reporting date: 2023-03-31) ,
10-K (reporting date: 2022-12-31) ,
10-Q (reporting date: 2022-09-30) ,
10-Q (reporting date: 2022-07-01) ,
10-Q (reporting date: 2022-04-01) ,
10-K (reporting date: 2021-12-31) ,
10-Q (reporting date: 2021-10-01) ,
10-Q (reporting date: 2021-07-02) ,
10-Q (reporting date: 2021-04-02) ,
10-K (reporting date: 2020-12-31) ,
10-Q (reporting date: 2020-09-25) ,
10-Q (reporting date: 2020-06-26) ,
10-Q (reporting date: 2020-03-27) ,
10-K (reporting date: 2019-12-31) ,
10-Q (reporting date: 2019-09-27) ,
10-Q (reporting date: 2019-06-28) ,
10-Q (reporting date: 2019-03-29) .
The primary reason for the increase in return on equity ratio (ROE) over Q4 2023 is the increase in financial leverage ratio.
Two-Component Disaggregation of ROA
Annual Data
Quarterly Data
Coca-Cola Co., decomposition of ROA (quarterly data)
ROA
=
Net Profit Margin
×
Asset Turnover
Dec 31, 2023
10.97%
=
23.42%
×
0.47
Sep 29, 2023
11.04%
=
23.92%
×
0.46
Jun 30, 2023
10.67%
=
23.81%
×
0.45
Mar 31, 2023
10.13%
=
22.69%
×
0.45
Dec 31, 2022
10.29%
=
22.19%
×
0.46
Sep 30, 2022
10.73%
=
23.44%
×
0.46
Jul 1, 2022
10.27%
=
23.16%
×
0.44
Apr 1, 2022
10.96%
=
25.69%
×
0.43
Dec 31, 2021
10.36%
=
25.28%
×
0.41
Oct 1, 2021
9.73%
=
23.31%
×
0.42
Jul 2, 2021
8.96%
=
22.19%
×
0.40
Apr 2, 2021
8.02%
=
21.59%
×
0.37
Dec 31, 2020
8.87%
=
23.47%
×
0.38
Sep 25, 2020
8.57%
=
24.90%
×
0.34
Jun 26, 2020
9.70%
=
26.77%
×
0.36
Mar 27, 2020
10.65%
=
26.95%
×
0.40
Dec 31, 2019
10.33%
=
23.94%
×
0.43
Sep 27, 2019
—
=
—
×
—
Jun 28, 2019
—
=
—
×
—
Mar 29, 2019
—
=
—
×
—
Based on:
10-K (reporting date: 2023-12-31) ,
10-Q (reporting date: 2023-09-29) ,
10-Q (reporting date: 2023-06-30) ,
10-Q (reporting date: 2023-03-31) ,
10-K (reporting date: 2022-12-31) ,
10-Q (reporting date: 2022-09-30) ,
10-Q (reporting date: 2022-07-01) ,
10-Q (reporting date: 2022-04-01) ,
10-K (reporting date: 2021-12-31) ,
10-Q (reporting date: 2021-10-01) ,
10-Q (reporting date: 2021-07-02) ,
10-Q (reporting date: 2021-04-02) ,
10-K (reporting date: 2020-12-31) ,
10-Q (reporting date: 2020-09-25) ,
10-Q (reporting date: 2020-06-26) ,
10-Q (reporting date: 2020-03-27) ,
10-K (reporting date: 2019-12-31) ,
10-Q (reporting date: 2019-09-27) ,
10-Q (reporting date: 2019-06-28) ,
10-Q (reporting date: 2019-03-29) .
The primary reason for the decrease in return on assets ratio (ROA) over Q4 2023 is the decrease in profitability measured by net profit margin ratio.
Four-Component Disaggregation of ROA
Annual Data
Quarterly Data
Coca-Cola Co., decomposition of ROA (quarterly data)
ROA
=
Tax Burden
×
Interest Burden
×
EBIT Margin
×
Asset Turnover
Dec 31, 2023
10.97%
=
0.83
×
0.89
×
31.67%
×
0.47
Sep 29, 2023
11.04%
=
0.83
×
0.90
×
31.95%
×
0.46
Jun 30, 2023
10.67%
=
0.82
×
0.91
×
32.00%
×
0.45
Mar 31, 2023
10.13%
=
0.81
×
0.92
×
30.65%
×
0.45
Dec 31, 2022
10.29%
=
0.82
×
0.93
×
29.16%
×
0.46
Sep 30, 2022
10.73%
=
0.82
×
0.94
×
30.35%
×
0.46
Jul 1, 2022
10.27%
=
0.82
×
0.94
×
30.24%
×
0.44
Apr 1, 2022
10.96%
=
0.79
×
0.91
×
35.94%
×
0.43
Dec 31, 2021
10.36%
=
0.79
×
0.89
×
36.19%
×
0.41
Oct 1, 2021
9.73%
=
0.75
×
0.87
×
35.85%
×
0.42
Jul 2, 2021
8.96%
=
0.74
×
0.83
×
35.98%
×
0.40
Apr 2, 2021
8.02%
=
0.76
×
0.85
×
33.43%
×
0.37
Dec 31, 2020
8.87%
=
0.80
×
0.87
×
33.82%
×
0.38
Sep 25, 2020
8.57%
=
0.85
×
0.88
×
33.29%
×
0.34
Jun 26, 2020
9.70%
=
0.86
×
0.92
×
33.89%
×
0.36
Mar 27, 2020
10.65%
=
0.87
×
0.93
×
33.37%
×
0.40
Dec 31, 2019
10.33%
=
0.83
×
0.92
×
31.31%
×
0.43
Sep 27, 2019
—
=
—
×
—
×
—
×
—
Jun 28, 2019
—
=
—
×
—
×
—
×
—
Mar 29, 2019
—
=
—
×
—
×
—
×
—
Based on:
10-K (reporting date: 2023-12-31) ,
10-Q (reporting date: 2023-09-29) ,
10-Q (reporting date: 2023-06-30) ,
10-Q (reporting date: 2023-03-31) ,
10-K (reporting date: 2022-12-31) ,
10-Q (reporting date: 2022-09-30) ,
10-Q (reporting date: 2022-07-01) ,
10-Q (reporting date: 2022-04-01) ,
10-K (reporting date: 2021-12-31) ,
10-Q (reporting date: 2021-10-01) ,
10-Q (reporting date: 2021-07-02) ,
10-Q (reporting date: 2021-04-02) ,
10-K (reporting date: 2020-12-31) ,
10-Q (reporting date: 2020-09-25) ,
10-Q (reporting date: 2020-06-26) ,
10-Q (reporting date: 2020-03-27) ,
10-K (reporting date: 2019-12-31) ,
10-Q (reporting date: 2019-09-27) ,
10-Q (reporting date: 2019-06-28) ,
10-Q (reporting date: 2019-03-29) .
The primary reason for the decrease in return on assets ratio (ROA) over Q4 2023 is the decrease in operating profitability measured by EBIT margin ratio.
Disaggregation of Net Profit Margin
Annual Data
Quarterly Data
Coca-Cola Co., decomposition of net profit margin ratio (quarterly data)
Net Profit Margin
=
Tax Burden
×
Interest Burden
×
EBIT Margin
Dec 31, 2023
23.42%
=
0.83
×
0.89
×
31.67%
Sep 29, 2023
23.92%
=
0.83
×
0.90
×
31.95%
Jun 30, 2023
23.81%
=
0.82
×
0.91
×
32.00%
Mar 31, 2023
22.69%
=
0.81
×
0.92
×
30.65%
Dec 31, 2022
22.19%
=
0.82
×
0.93
×
29.16%
Sep 30, 2022
23.44%
=
0.82
×
0.94
×
30.35%
Jul 1, 2022
23.16%
=
0.82
×
0.94
×
30.24%
Apr 1, 2022
25.69%
=
0.79
×
0.91
×
35.94%
Dec 31, 2021
25.28%
=
0.79
×
0.89
×
36.19%
Oct 1, 2021
23.31%
=
0.75
×
0.87
×
35.85%
Jul 2, 2021
22.19%
=
0.74
×
0.83
×
35.98%
Apr 2, 2021
21.59%
=
0.76
×
0.85
×
33.43%
Dec 31, 2020
23.47%
=
0.80
×
0.87
×
33.82%
Sep 25, 2020
24.90%
=
0.85
×
0.88
×
33.29%
Jun 26, 2020
26.77%
=
0.86
×
0.92
×
33.89%
Mar 27, 2020
26.95%
=
0.87
×
0.93
×
33.37%
Dec 31, 2019
23.94%
=
0.83
×
0.92
×
31.31%
Sep 27, 2019
—
=
—
×
—
×
—
Jun 28, 2019
—
=
—
×
—
×
—
Mar 29, 2019
—
=
—
×
—
×
—
Based on:
10-K (reporting date: 2023-12-31) ,
10-Q (reporting date: 2023-09-29) ,
10-Q (reporting date: 2023-06-30) ,
10-Q (reporting date: 2023-03-31) ,
10-K (reporting date: 2022-12-31) ,
10-Q (reporting date: 2022-09-30) ,
10-Q (reporting date: 2022-07-01) ,
10-Q (reporting date: 2022-04-01) ,
10-K (reporting date: 2021-12-31) ,
10-Q (reporting date: 2021-10-01) ,
10-Q (reporting date: 2021-07-02) ,
10-Q (reporting date: 2021-04-02) ,
10-K (reporting date: 2020-12-31) ,
10-Q (reporting date: 2020-09-25) ,
10-Q (reporting date: 2020-06-26) ,
10-Q (reporting date: 2020-03-27) ,
10-K (reporting date: 2019-12-31) ,
10-Q (reporting date: 2019-09-27) ,
10-Q (reporting date: 2019-06-28) ,
10-Q (reporting date: 2019-03-29) .
The primary reason for the decrease in net profit margin ratio over Q4 2023 is the decrease in operating profitability measured by EBIT margin ratio.