ETHICAL COMPLIANCE REPORT

ISMT

Sector:

Basic Materials

Industry:

Steel

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%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:0.0039413200000.00×100=0.00%\textbf{Revenue Ratio:} \\[12pt] \dfrac{0.00}{39413200000.00} \times 100 = 0.00\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Tube
compliant
compliant		₹2,108.75
Steel
compliant
compliant		₹1,786.58
Sale of Scrap
compliant
compliant		₹23.92
Export Incentives
compliant
compliant		₹4.10
Other Income
compliant
compliant		₹17.97

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.

7.7%

CALCULATION

Debt Ratio:1674200000.0021804300000.00×100=7.70%\textbf{Debt Ratio:} \\[12pt] \dfrac{1674200000.00}{21804300000.00} \times 100 = 7.70\%

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.

0.3%

CALCULATION

Liquidity Ratio:73100000.0021804300000.00×100=0.30%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{73100000.00}{21804300000.00} \times 100 = 0.30\%

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\%