ETHICAL COMPLIANCE REPORT

BHARAT DYNAMICS

Sector:

Industrials

Industry:

Aerospace & Defense

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Defence Equipments
non-compliant
REVENUE RATIO FILTER
11.7%
View Calculations
DEBT RATIO FILTER
0%
View Calculations
LIQUIDITY RATIO FILTER
40.9%
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.

11.7%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{3203181000.00}{27311668000.00} \times 100 = 11.70\%

FORMULA

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

Segment	Compliance	Value
Interest Income	non-compliant	₹319.06
Other Operating Revenue	compliant	₹18.70
Sale of Services	compliant	₹150.81
Defence Equipments	compliant	₹2,199.77
Other Income	compliant	₹30.95
Net foreign exchange gain	compliant	₹10.63
Investment Gain	questionable	₹1.25

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.

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{0.00}{103400507000.00} \times 100 = 0.00\%

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.

40.9%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{42284820000.00}{103400507000.00} \times 100 = 40.90\%

FORMULA

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