Comparative Analysis of the Financial Performance of SANFREMED CIA. LTDA. Using the Dupont Model: Implications for Business Management (2018-2023)
Year: 2025
Type: article
Abstract: This article presents a detailed analysis of the financial performance of SANFREMED CIA. LTDA., a MSME in the health sector in Ecuador, during the period 2018-2023, using the Dupont Model. This model breaks down return on equity (ROE) into three key components: profit margin, asset turnover, and financial leverage. Based on the company's financial statements, a comparative analysis was carried out to identify the factors that influence the company's profitability and operational efficiency. The results reveal that, although SANFREMED CIA. LTDA., has shown sustained growth in its profit margin, low asset turnover and high leverage have limited its overall profitability. This study provides practical recommendations to optimize financial management and improve business performance, with implications for other MSMEs in the health sector in Ecuador.
Author: Luis Carrera Toro
Institution: Instituto Superior Tecnológico Rumiñahui
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4409646845