ETHICAL COMPLIANCE REPORT

JBM AUTO

Sector:

Consumer Cyclical

Industry:

Auto Parts

Overall Compliance

non-compliant

non-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.

0.2%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:121402000.0050296652000.00×100=0.20%\textbf{Revenue Ratio:} \\[12pt] \dfrac{121402000.00}{50296652000.00} \times 100 = 0.20\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Sale of Products - Auto Parts
compliant
compliant		₹4,434.87
Sale of Services
compliant
compliant		₹288.32
Investment Gain
questionable
questionable		₹5.96
Interest Income
non-compliant
non-compliant		₹6.18
Other Operating Revenue
compliant
compliant		₹286.16
Other Income
compliant
compliant		₹8.18

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.

431.9%

CALCULATION

Debt Ratio:210111642000.0048648040000.00×100=431.90%\textbf{Debt Ratio:} \\[12pt] \dfrac{210111642000.00}{48648040000.00} \times 100 = 431.90\%

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.

1.4%

CALCULATION

Liquidity Ratio:669125000.0048648040000.00×100=1.40%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{669125000.00}{48648040000.00} \times 100 = 1.40\%

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\%