ETHICAL COMPLIANCE REPORT

GUJ NAR VAL FER & CHEM L

Sector:

Basic Materials

Industry:

Chemicals

Overall Compliance

questionable

PRIMARY BUSINESS FILTER
Fertilizers & Agro Chemicals
compliant
REVENUE RATIO FILTER
4.4%
View Calculations
DEBT RATIO FILTER
0%
View Calculations
LIQUIDITY RATIO FILTER
14.3%
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.

4.4%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{3656700000.00}{87352500000.00} \times 100 = 4.40\%

FORMULA

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

Segment	Compliance	Value
Recovery of Administrative Charges (fly Ash)	compliant	₹6.41
Export Incentive	compliant	₹1.79
Sale of Products - Chemicals and Fertilizers	compliant	₹7,774.21
Sale of Scrap	compliant	₹26.83
Sales of Service	compliant	₹120.49
Interest Income	non-compliant	₹336.32
Investment Gain	questionable	₹29.35
Other Income	compliant	₹439.85

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{5600000.00}{106718700000.00} \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.

14.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{15289000000.00}{106718700000.00} \times 100 = 14.30\%

FORMULA

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