ETHICAL COMPLIANCE REPORT

ABBOTT INDIA

ABBOTT INDIA Logo

Sector:

Healthcare

Industry:

Drug Manufacturers - General

Overall Compliance

compliant

compliant

Debt Ratio

The interest bearing debt should not exceed 31% of the total assets. This is to ensure that the company is not paying a significant portion of its assets as interest.

1.6%

CALCULATION

Debt Ratio:832300000.0051934900000.00×100=1.60%\textbf{Debt Ratio:} \\[12pt] \dfrac{832300000.00}{51934900000.00} \times 100 = 1.60\%

FORMULA

Debt Ratio:Interest Bearing DebtTotal Assets×100  ≤  30%\textbf{Debt Ratio:} \\[12pt] \dfrac{\text{Interest Bearing Debt}}{\text{Total Assets}} \times 100 \; \leq \; 30\%

Liquidity Ratio

The total liquid assets should not exceed 90% of the total assets. This is to ensure that trading this stock does not become similar to trading a currency.

41.1%

CALCULATION

Liquidity Ratio:21344900000.0051934900000.00×100=41.10%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{21344900000.00}{51934900000.00} \times 100 = 41.10\%

FORMULA

Liquidity Ratio:Total Liquid AssetsTotal Assets×100  ≤  90%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{\text{Total Liquid Assets}}{\text{Total Assets}} \times 100 \; \leq \; 90\%

Revenue Ratio

The sum of revenue from questionable and non-compliant sources should not exceed 3% of the total revenue. This ensures that the company has tolerable reliance on unethical sources of revenue.

2.6%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:1541500000.0055028800000.00×100=2.60%\textbf{Revenue Ratio:} \\[12pt] \dfrac{1541500000.00}{55028800000.00} \times 100 = 2.60\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Sale of Products
compliant
compliant		₹5,284.86
Other Operating Revenue
compliant
compliant		₹63.87
Other Income
non-compliant
non-compliant		₹154.15