ETHICAL COMPLIANCE REPORT

HONEYWELL AUTOMATION IND

Sector:

Industrials

Industry:

Electrical Equipment & Parts

Overall Compliance

questionable

PRIMARY BUSINESS FILTER
Automation & Control Systems
compliant
REVENUE RATIO FILTER
3.1%
View Calculations
DEBT RATIO FILTER
0%
View Calculations
LIQUIDITY RATIO FILTER
57.7%
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.

3.1%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{1307000000.00}{42010000000.00} \times 100 = 3.10\%

FORMULA

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

Segment	Compliance	Value
Traded Manufacture Products	compliant	₹762.30
Sale of Services	compliant	₹1,131.50
Scrap Sale	compliant	₹0.30
Refund of Taxes and Duties	compliant	₹3.10
interest income	non-compliant	₹130.70
Manufactured Products and Jobs	compliant	₹2,161.00
other income	compliant	₹12.10

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}{48951000000.00} \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.

57.7%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{28230000000.00}{48951000000.00} \times 100 = 57.70\%

FORMULA

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