ETHICAL COMPLIANCE REPORT

GLENMARK LIFE SCIENCE

Sector:

Healthcare

Industry:

Drug Manufacturers - Specialty & Generic

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.

0.5%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:120210000.0022952560000.00×100=0.50%\textbf{Revenue Ratio:} \\[12pt] \dfrac{120210000.00}{22952560000.00} \times 100 = 0.50\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Interest Income
non-compliant
non-compliant		₹12.02
Sale of Pharmaceuticals Products
compliant
compliant		₹2,184.77
Export Incentives
compliant
compliant		₹98.44
Other Income
compliant
compliant		₹0.02

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.

0%

CALCULATION

Debt Ratio:0.0028504120000.00×100=0.00%\textbf{Debt Ratio:} \\[12pt] \dfrac{0.00}{28504120000.00} \times 100 = 0.00\%

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.

10.6%

CALCULATION

Liquidity Ratio:3015940000.0028504120000.00×100=10.60%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{3015940000.00}{28504120000.00} \times 100 = 10.60\%

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\%