ETHICAL COMPLIANCE REPORT

HINDUSTAN PETROLEUM CORP

Sector:

Energy

Industry:

Oil & Gas Refining & Marketing

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Oil and Gas Company
compliant
REVENUE RATIO FILTER
0.3%
View Calculations
DEBT RATIO FILTER
34.4%
View Calculations
LIQUIDITY RATIO FILTER
0.3%
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.

0.3%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{13454800000.00}{4638860800000.00} \times 100 = 0.30\%

FORMULA

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

Segment	Compliance	Value
Recovery Under Subsidy Schemes	compliant	₹40.30
Rent Recoveries	compliant	₹958.54
Sale of Petrochemical Products	compliant	₹4,60,107.02
Other Operating Revenue	compliant	₹863.28
Other Income	compliant	₹571.46
Interest & other	non-compliant	₹1,345.48

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.

34.4%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{628131200000.00}{1827846800000.00} \times 100 = 34.40\%

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.

0.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{4734300000.00}{1827846800000.00} \times 100 = 0.30\%

FORMULA

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