ETHICAL COMPLIANCE REPORT

ADANI GREEN ENERGY

Sector:

Utilities

Industry:

Utilities - Renewable

Overall Compliance

non-compliant

non-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.

71.2%

CALCULATION

Debt Ratio:630600000000.00885380000000.00×100=71.20%\textbf{Debt Ratio:} \\[12pt] \dfrac{630600000000.00}{885380000000.00} \times 100 = 71.20\%

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.

9.9%

CALCULATION

Liquidity Ratio:87640000000.00885380000000.00×100=9.90%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{87640000000.00}{885380000000.00} \times 100 = 9.90\%

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.

8.8%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:9170000000.00104600000000.00×100=8.80%\textbf{Revenue Ratio:} \\[12pt] \dfrac{9170000000.00}{104600000000.00} \times 100 = 8.80\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Revenue from energy supply
compliant
compliant		₹9,220.00
Other Income
compliant
compliant		₹323.00
Interest Income
non-compliant
non-compliant		₹917.00