ETHICAL COMPLIANCE REPORT

ASHOKA BUILDCON

Sector:

Industrials

Industry:

Engineering & Construction

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Construction
compliant
REVENUE RATIO FILTER
8.5%
View Calculations
DEBT RATIO FILTER
28.5%
View Calculations
LIQUIDITY RATIO FILTER
4.3%
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.

8.5%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{8523661000.00}{97288752000.00} \times 100 = 8.50\%

FORMULA

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

Segment	Compliance	Value
Concrete & Others	compliant	₹1,247.37
Interest Income	non-compliant	₹124.99
Other Operating Revenue	compliant	₹162.38
Other Income	compliant	₹158.54
Investment Gain	questionable	₹727.37
Contract Revenue	compliant	₹7,308.22

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.

28.5%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{54429243000.00}{191243673000.00} \times 100 = 28.50\%

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.

4.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{8164120000.00}{191243673000.00} \times 100 = 4.30\%

FORMULA

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