Flagship explainer

What drives Federated Hermes, Inc.’s return on equity?

ROE is five filed business factors multiplied together.

DuPont return on equity factor treeReturn on equity branches into tax burden, interest burden, operating margin, asset turnover, and the equity multiplier.Return on equity35%Tax burden74%net income ÷ pretax incomeInterest burden107%pretax ÷ operating incomeOperating margin29%operating income ÷ revenueAsset turnover0.83×revenue ÷ average assetsEquity multiplier1.88×average assets ÷ average equityAs of 2025-12-31 · 2 SEC filing sourcesBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$403MFY2025
Income before tax$548MFY2025
Operating income$514MFY2025
$1.8BFY2025
Ending assets$2.2BFY2025
Beginning assets$2.1BFY2024
$1.2BFY2025
$1.1BFY2024
Source: · event Dec 31, 2025 · retrieved Oct 18, 2026 · annual-row source set
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