ETHICAL COMPLIANCE REPORT

INNOVA CAPTAB

Sector:

Healthcare

Industry:

Drug Manufacturers - Specialty & Generic

Overall Compliance

compliant

compliant

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

Revenue Ratio:37280000.0010937940000.00×100=0.30%\textbf{Revenue Ratio:} \\[12pt] \dfrac{37280000.00}{10937940000.00} \times 100 = 0.30\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Interest income
non-compliant
non-compliant		₹3.73
Other Income
compliant
compliant		₹8.76
drugs and pharmaceutical products
compliant
compliant		₹1,076.96
Other Operating Revenue
compliant
compliant		₹4.35

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.

18.3%

CALCULATION

Debt Ratio:2418070000.0013208810000.00×100=18.30%\textbf{Debt Ratio:} \\[12pt] \dfrac{2418070000.00}{13208810000.00} \times 100 = 18.30\%

FORMULA

Debt Ratio:Interest Bearing DebtTotal Assets×100  ≤  30%\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.

6.6%

CALCULATION

Liquidity Ratio:867480000.0013208810000.00×100=6.60%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{867480000.00}{13208810000.00} \times 100 = 6.60\%

FORMULA

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