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ETHICAL COMPLIANCE REPORT

GRAVITA INDIA

Sector:

Industrials

Industry:

Metal Fabrication

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Recycling
compliant
REVENUE RATIO FILTER
1.5%
View Calculations
DEBT RATIO FILTER
34%
View Calculations
LIQUIDITY RATIO FILTER
6.2%
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.

1.5%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{494400000.00}{32204500000.00} \times 100 = 1.50\%

FORMULA

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

Segment	Compliance	Value
Lead	compliant	₹2,761.42
Aluminium	compliant	₹254.92
Turnkey Projects	compliant	₹78.02
Plastics	compliant	₹40.90
Others	compliant	₹6.14
Revenue From Sale of Services	compliant	₹1.24
Interest Income	non-compliant	₹10.84
Investment Gain	questionable	₹38.60
Other Income	compliant	₹28.37

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.

34%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{5451300000.00}{16023500000.00} \times 100 = 34.00\%

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.

6.2%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{987800000.00}{16023500000.00} \times 100 = 6.20\%

FORMULA

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