Encompass Design India (NSE:ENCOMPAS) ROE %: 28.75% (As of Sep. 2025) — 43% Below Median


NSE:ENCOMPAS Encompass Design India Ltd NSE:ENCOMPAS
20 GF Score
Price ₹239.90
! 4 Warning Signs
View Full Analysis

What is Encompass Design India ROE %?

Encompass Design India NSE:ENCOMPAS +0.33% 20 ROE % is 28.75% as of Sep. 2025, which is 43% below its 10-year median of 50.26. GuruFocus rates NSE:ENCOMPAS with a GF Score™ of 20/100. The stock has 4 warning signs investors should review. Among 1,092 Retail - Cyclical companies, Encompass Design India ranks better than 71.52% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Encompass Design India's annualized net income for the quarter that ended in Sep. 2025 was ₹100.9 Mil. Encompass Design India's average Total Stockholders Equity over the quarter that ended in Sep. 2025 was ₹351.0 Mil. Therefore, Encompass Design India's annualized ROE % for the quarter that ended in Sep. 2025 was 28.75%.

The historical rank and industry rank for Encompass Design India's ROE % or its related term are showing as below:

NSE:ENCOMPAS' s ROE % Range Over the Past 10 Years
Min: -37.03   Med: 50.26   Max: 99.19
Current: 14.38

During the past 3 years, Encompass Design India's highest ROE % was 99.19%. The lowest was -37.03%. And the median was 50.26%.

NSE:ENCOMPAS's ROE % is ranked better than
71.52% of 1092 companies
in the Retail - Cyclical industry
Industry Median: 6.49 vs NSE:ENCOMPAS: 14.38

Encompass Design India  (NSE:ENCOMPAS) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Sep. 2025 )
=Net Income/Total Stockholders Equity
=100.918/350.9935
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(100.918 / 563.148)*(563.148 / 583.429)*(583.429 / 350.9935)
=Net Margin %*Asset Turnover*Equity Multiplier
=17.92 %*0.9652*1.6622
=ROA %*Equity Multiplier
=17.3 %*1.6622
=28.75 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Sep. 2025 )
=Net Income/Total Stockholders Equity
=100.918/350.9935
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (100.918 / 134.454) * (134.454 / 142.126) * (142.126 / 563.148) * (563.148 / 583.429) * (583.429 / 350.9935)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7506 * 0.946 * 25.24 % * 0.9652 * 1.6622
=28.75 %

Note: The net income data used here is two times the semi-annual (Sep. 2025) net income data. The Revenue data used here is two times the semi-annual (Sep. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Encompass Design India ROE % Related Terms


Encompass Design India ROE % Historical Data

* Premium members only.

The historical data trend for Encompass Design India's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Encompass Design India ROE % Chart

Encompass Design India Annual Data
Trend Mar23 Mar24 Mar25
ROE %
-37.03 99.19 50.26

Encompass Design India Semi-Annual Data
Mar23 Mar24 Mar25 Sep25
ROE % 0.00 0.00 0.00 28.75

NSE:ENCOMPAS vs HD, LOW, FND: ROE % Comparison

For the Home Improvement Retail subindustry, Encompass Design India's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Encompass Design India ROE % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Encompass Design India's ROE % distribution charts can be found below:

* The bar in red indicates where Encompass Design India's ROE % falls into.


NSE:ENCOMPAS
20GF Score
Encompass Design India Ltd NSE:ENCOMPAS
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Encompass Design India ROE % Calculation

Encompass Design India's annualized ROE % for the fiscal year that ended in Mar. 2025 is calculated as

ROE %=Net Income (A: Mar. 2025 )/( (Total Stockholders Equity (A: Mar. 2024 )+Total Stockholders Equity (A: Mar. 2025 ))/ count )
=107.938/( (103.748+325.764)/ 2 )
=107.938/214.756
=50.26 %

Encompass Design India's annualized ROE % for the quarter that ended in Sep. 2025 is calculated as

ROE %=Net Income (Q: Sep. 2025 )/( (Total Stockholders Equity (Q: Mar. 2025 )+Total Stockholders Equity (Q: Sep. 2025 ))/ count )
=100.918/( (325.764+376.223)/ 2 )
=100.918/350.9935
=28.75 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Sep. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 28.75% mean?
Encompass Design India (NSE:ENCOMPAS) has a ROE % of 28.75% as of Sep. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Encompass Design India and its competitors. This is 43% below median its historical median of 50.26. According to the industry distribution chart, Encompass Design India ranks #311 out of 1092 companies in the Retail - Cyclical industry, placing it in the top 28.5%.
Is Encompass Design India's ROE % too high?
Encompass Design India's current ROE % of 28.75% is 43% below median its 10-year median of 50.26. The Retail - Cyclical industry median ROE % is 6.49. Encompass Design India's value of 28.75% is 343% above this industry median. Based on the distribution chart, Encompass Design India ranks #311 out of 1092 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Encompass Design India has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Encompass Design India's ROE % compare to HD and LOW?
According to the Retail - Cyclical industry distribution chart, Encompass Design India ranks #311 out of 1092 companies for ROE %. This puts Encompass Design India in the upper half of its industry. The industry median ROE % is 6.49. Encompass Design India's value of 28.75% is 343% above this benchmark. While the company's 10-year median is 50.26 vs. the industry median of 6.49, Encompass Design India has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Retail - Cyclical company?
The median ROE % among Retail - Cyclical companies is 6.49, based on 1,092 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Encompass Design India's current ROE % of 28.75% is 343% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Encompass Design India and its competitors. For the Retail - Cyclical industry, the median ROE % is 6.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Encompass Design India's current ROE % is 28.75%, which is 43% below median its own 10-year median of 50.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Encompass Design India stock overvalued right now?
Encompass Design India (NSE:ENCOMPAS) has a current ROE % of 28.75%. The current ROE % is 28.75%, which is 43% below median its 10-year median of 50.26 and 343% above the Retail - Cyclical industry median of 6.49. Encompass Design India's overall GF Score™ is 20/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Encompass Design India (NSE:ENCOMPAS), the current ROE % is 28.75% as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Encompass Design India Business Description

Address Shop No. A-101, Opposite Western Express Highway, Virwani Indl Estate, Goregaon East, Mumbai, MH, IND, 400063
Encompass Design India Ltd is principally engaged in the manufacturing of home and lifestyle products, such as bed sheets, curtains, comforters, table linens, and pillow covers, as well as food products, with a primary focus on sauces, marketed under its own brands. The company is also involved in the trading of agro-based products, cotton, and fabrics. The company's business operations are spread across multiple segments, including manufacturing of home and lifestyle products, development and marketing of food products, trading of fabrics, cotton and agro-based products, and (iv) providing digital and e-commerce support services. The company derives revenue from the manufacturing and export of its Textile and Sauces Food brands.
20GF Score

Get the complete analysis for NSE:ENCOMPAS

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹239.90
Price