1 Associate Professor, CMS Business School, Jain (Deemed-to-be University), Bengaluru.
2Professor and Head, Dept. of MBA, Visvesvaraya Technological University, BDT College of Engineering, Davangere-577 004, Karnataka, India.
*Corresponding Author E-mail: gujjarpraveen@gmail.com
Online published on 3 June, 2021.
Software and training services companies are considered to analyze the characteristics of Indian IT companies and to ascertain the patterns of the Return on Equity (ROE) for Indian IT companies using the DuPont model. We calculated return on equity using three factors DuPont model and five factors DuPont model. We found that there is a significant relationship between ROE, asset run over and profit margin. The results of the study can be compared with other foreign IT companies and also with startup IT companies to understand how Information Technology companies are operating and also to know how well it can generate revenue.
DuPont Analysis, ROE, Margin Ratios, Turn over Ratios, Equity multiplier
