This paper examines how return on assets (ROA) and the components of ROA influence the earnings-returns relation. Specifically, we analyze the effects on the earnings-returns relation of ROA and two operating performance measures derived from the so-called DuPont formula for ROA: Operating margin (OM) and asset turnover (AT). We hypothesize that, when these performance measures are relatively high, then investors will perceive reported earnings as being of higher quality and will place a relatively greater weight on reported earnings when pricing equity securities. We find that firms with relatively high ROA, OM and AT ratios have higher weights placed on reported earnings, suggesting that the higher performance measures are confirming reported earnings as being of high quality. The implications of this empirical link between the components of profitability and the earnings-returns relation are discussed in the paper.