ETHICAL COMPLIANCE REPORT

BAJAJ HINDUSTHAN SUGAR LT

Sector:

Consumer Defensive

Industry:

Confectioners

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Sugar
compliant
REVENUE RATIO FILTER
14.2%
View Calculations
DEBT RATIO FILTER
24.1%
View Calculations
LIQUIDITY RATIO FILTER
0.3%
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.

14.2%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{8702600000.00}{61463300000.00} \times 100 = 14.20\%

FORMULA

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

Segment	Compliance	Value
Sugar	compliant	₹5,020.63
Alcohol	non-compliant	₹868.65
Power	compliant	₹62.96
By Products	compliant	₹61.09
Aircraft Services	compliant	₹30.16
Other Operating Revenues	compliant	₹60.83
Interest income	non-compliant	₹1.56
Net Gain on Sale of Investments	questionable	₹0.05
Other Income	compliant	₹40.40

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.

24.1%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{38398000000.00}{159061100000.00} \times 100 = 24.10\%

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.

0.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{521600000.00}{159061100000.00} \times 100 = 0.30\%

FORMULA

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