ETHICAL COMPLIANCE REPORT

ARIHANT SUPERSTRUCT

Sector:

Real Estate

Industry:

Real Estate - Development

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Real State Business
compliant
REVENUE RATIO FILTER
5.1%
View Calculations
DEBT RATIO FILTER
42.9%
View Calculations
LIQUIDITY RATIO FILTER
0.4%
View Calculations

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.

5.1%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{60366492.00}{1186117338.00} \times 100 = 5.10\%

FORMULA

\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%

Segment	Compliance	Value
Interest income On Fixed Deposit	non-compliant	₹0.25
Sale of Products	compliant	₹105.00
Sale of Services	compliant	₹7.25
Other Income	compliant	₹0.32
Interest income On Loan	non-compliant	₹5.64
Other Opeative Income	questionable	₹0.15

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.

42.9%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{2123192000.00}{4953600000.00} \times 100 = 42.90\%

FORMULA

\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.

0.4%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{17390000.00}{4953600000.00} \times 100 = 0.40\%

FORMULA

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