Flagship explainer

What drives STEPAN COMPANY’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 equity4%Tax burden78%net income ÷ pretax incomeInterest burden76%pretax ÷ operating incomeOperating margin3%operating income ÷ revenueAsset turnover1.00×revenue ÷ average assetsEquity multiplier1.93×average assets ÷ average equityAs of 2025-12-31 · 2 SEC filing sourcesBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$46.9MFY2025
Income before tax$59.9MFY2025
Operating income$78.5MFY2025
$2.3BFY2025
Ending assets$2.4BFY2025
Beginning assets$2.3BFY2024
$1.2BFY2025
$1.2BFY2024
Source: · event Dec 31, 2025 · retrieved Oct 16, 2026 · annual-row source set
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