Neochem Bio Solutions (NSE:NEOCHEM) ROE %: 24.70% (As of Mar. 2026) — 17% Above Median

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NSE:NEOCHEM Neochem Bio Solutions Ltd NSE:NEOCHEM
18 GF Score
Price ₹91.00
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What is Neochem Bio Solutions ROE %?

Neochem Bio Solutions NSE:NEOCHEM +2.42% 18 ROE % is 24.70% as of Mar. 2026, which is 17% above its 10-year median of 21.18. GuruFocus rates NSE:NEOCHEM with a GF Score™ of 18/100. The stock has 2 warning signs investors should review. Among 1,584 Chemicals companies, Neochem Bio Solutions ranks better than 96.84% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Neochem Bio Solutions's annualized net income for the quarter that ended in Mar. 2026 was ₹137 Mil. Neochem Bio Solutions's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ₹555 Mil. Therefore, Neochem Bio Solutions's annualized ROE % for the quarter that ended in Mar. 2026 was 24.70%.

The historical rank and industry rank for Neochem Bio Solutions's ROE % or its related term are showing as below:

NSE:NEOCHEM' s ROE % Range Over the Past 10 Years
Min: 13.33   Med: 21.18   Max: 46.86
Current: 28.3

During the past 4 years, Neochem Bio Solutions's highest ROE % was 46.86%. The lowest was 13.33%. And the median was 21.18%.

NSE:NEOCHEM's ROE % is ranked better than
96.84% of 1584 companies
in the Chemicals industry
Industry Median: 5.375 vs NSE:NEOCHEM: 28.30

Neochem Bio Solutions  (NSE:NEOCHEM) 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: Mar. 2026 )
=Net Income/Total Stockholders Equity
=137.178/555.4075
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(137.178 / 1297.356)*(1297.356 / 1068.013)*(1068.013 / 555.4075)
=Net Margin %*Asset Turnover*Equity Multiplier
=10.57 %*1.2147*1.9229
=ROA %*Equity Multiplier
=12.84 %*1.9229
=24.70 %

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: Mar. 2026 )
=Net Income/Total Stockholders Equity
=137.178/555.4075
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (137.178 / 197.088) * (197.088 / 212.942) * (212.942 / 1297.356) * (1297.356 / 1068.013) * (1068.013 / 555.4075)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.696 * 0.9255 * 16.41 % * 1.2147 * 1.9229
=24.70 %

Note: The net income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (Mar. 2026) 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.


Neochem Bio Solutions ROE % Related Terms


Neochem Bio Solutions ROE % Historical Data

* Premium members only.

The historical data trend for Neochem Bio Solutions'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.

Neochem Bio Solutions ROE % Chart

Neochem Bio Solutions Annual Data
Trend Mar23 Mar24 Mar25 Mar26
ROE %
13.33 17.96 46.86 24.40

Neochem Bio Solutions Semi-Annual Data
Mar23 Mar24 Mar25 Sep25 Mar26
ROE % 0.00 0.00 69.89 42.19 24.70

NSE:NEOCHEM vs LIN, SHW, ECL: ROE % Comparison

For the Specialty Chemicals subindustry, Neochem Bio Solutions'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.


Neochem Bio Solutions ROE % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Neochem Bio Solutions's ROE % distribution charts can be found below:

* The bar in red indicates where Neochem Bio Solutions's ROE % falls into.


NSE:NEOCHEM
18GF Score
Neochem Bio Solutions Ltd NSE:NEOCHEM
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Neochem Bio Solutions ROE % Calculation

Neochem Bio Solutions's annualized ROE % for the fiscal year that ended in Mar. 2026 is calculated as

ROE %=Net Income (A: Mar. 2026 )/( (Total Stockholders Equity (A: Mar. 2025 )+Total Stockholders Equity (A: Mar. 2026 ))/ count )
=120.266/( (197.527+788.448)/ 2 )
=120.266/492.9875
=24.40 %

Neochem Bio Solutions's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=137.178/( (322.367+788.448)/ 2 )
=137.178/555.4075
=24.70 %

* 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 (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 24.70% mean?
Neochem Bio Solutions (NSE:NEOCHEM) has a ROE % of 24.70% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Neochem Bio Solutions and its competitors. This is 17% above median its historical median of 21.18. Over the past decade, Neochem Bio Solutions' ROE % has ranged from 13.33 to 46.86. According to the industry distribution chart, Neochem Bio Solutions ranks #50 out of 1584 companies in the Chemicals industry, placing it in the top 3.2%.
Is Neochem Bio Solutions' ROE % too high?
Neochem Bio Solutions' current ROE % of 24.70% is 17% above median its 10-year median of 21.18. Over the past 10 years, this metric has ranged from a low of 13.33 to a high of 46.86. The Chemicals industry median ROE % is 5.38. Neochem Bio Solutions' value of 24.70% is 359.5% above this industry median. Based on the distribution chart, Neochem Bio Solutions ranks #50 out of 1584 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Neochem Bio Solutions has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Neochem Bio Solutions' ROE % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Neochem Bio Solutions ranks #50 out of 1584 companies for ROE %. This places Neochem Bio Solutions in the top 3% of its industry — outperforming the majority of peers. The industry median ROE % is 5.38. Neochem Bio Solutions' value of 24.70% is 359.5% above this benchmark. Historically, Neochem Bio Solutions' own ROE % has ranged from 13.33 to 46.86 over the past decade. While the company's 10-year median is 21.18 vs. the industry median of 5.38, Neochem Bio Solutions 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 Chemicals company?
The median ROE % among Chemicals companies is 5.38, based on 1,584 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. Neochem Bio Solutions's current ROE % of 24.70% is 359.5% 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 Neochem Bio Solutions and its competitors. For the Chemicals industry, the median ROE % is 5.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Neochem Bio Solutions's current ROE % is 24.70%, which is 17% above median its own 10-year median of 21.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Neochem Bio Solutions stock overvalued right now?
Neochem Bio Solutions (NSE:NEOCHEM) has a current ROE % of 24.70%. The current ROE % is 24.70%, which is 17% above median its 10-year median of 21.18 and 359.5% above the Chemicals industry median of 5.38. Neochem Bio Solutions' overall GF Score™ is 18/100 with 2 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 Neochem Bio Solutions (NSE:NEOCHEM), the current ROE % is 24.70% as of Mar. 2026. 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.

Neochem Bio Solutions Business Description

Address Iscon Ambli Road, 303, W1, Opposite Vikramnagar Colony office, Daskroi, Ahmedabad, GJ, IND, 380058
Neochem Bio Solutions Ltd is a specialty performance chemical company. Its primary product segments such as Polymers, Surfactants, Silicones, and Esters & bio-based sustainable solutions. The products are essential and used in industries such as textile & garment washing, home & personal care (HPC), institutional and industrial cleaners, water treatment, paints and coatings, paper and pulp, construction, rubber and dyes and pigments.
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