ETHICAL COMPLIANCE REPORT

CHEMPLAST SANMAR

Sector:

Basic Materials

Industry:

Chemicals

Overall Compliance

compliant

compliant

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.

1.5%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:598400000.0040034500000.00×100=1.50%\textbf{Revenue Ratio:} \\[12pt] \dfrac{598400000.00}{40034500000.00} \times 100 = 1.50\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Other Income
compliant
compliant		₹20.63
Interest Income
non-compliant
non-compliant		₹59.84
Sale of Pvc Pipes & Others Product
compliant
compliant		₹3,916.17
other operating income
compliant
compliant		₹6.81

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.

25.6%

CALCULATION

Debt Ratio:15422800000.0060303000000.00×100=25.60%\textbf{Debt Ratio:} \\[12pt] \dfrac{15422800000.00}{60303000000.00} \times 100 = 25.60\%

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.

13.3%

CALCULATION

Liquidity Ratio:8011900000.0060303000000.00×100=13.30%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{8011900000.00}{60303000000.00} \times 100 = 13.30\%

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\%