Flagship explainer

What drives ADVANCED DRAINAGE SYSTEMS, 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 equity25%Tax burden76%net income ÷ pretax incomeInterest burden90%pretax ÷ operating incomeOperating margin20%operating income ÷ revenueAsset turnover0.74×revenue ÷ average assetsEquity multiplier2.42×average assets ÷ average equityAs of 2026-03-31 · 1 SEC filing sourceBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$426MFY2026
Income before tax$560MFY2026
Operating income$619MFY2026
$3.1BFY2026
Ending assets$4.5BFY2026
Beginning assets$3.7BFY2025
$1.9BFY2026
$1.5BFY2025
Source: · event Mar 31, 2026 · retrieved Oct 15, 2026 · annual-row source set
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