ETHICAL COMPLIANCE REPORT

HAVELLS INDIA

Sector:

Industrials

Industry:

Electrical Equipment & Parts

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Electrical Goods
compliant
REVENUE RATIO FILTER
1%
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DEBT RATIO FILTER
0%
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LIQUIDITY RATIO FILTER
24.4%
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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.

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{1848800000.00}{188254700000.00} \times 100 = 1.00\%

FORMULA

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

Segment	Compliance	Value
Lloyd Consumer	compliant	₹3,809.91
Cables	compliant	₹6,312.11
Switchgears	compliant	₹2,240.54
Lighting and Fixtures	compliant	₹1,639.61
Interest Income	non-compliant	₹184.88
other income	compliant	₹64.08
other	compliant	₹1,093.44
Electrical consumer durables	compliant	₹3,480.90

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}{124326900000.00} \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.

24.4%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{30381700000.00}{124326900000.00} \times 100 = 24.40\%

FORMULA

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