ETHICAL COMPLIANCE REPORT

JSW STEEL

JSW STEEL Logo

Sector:

Basic Materials

Industry:

Steel

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.

0.5%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:9100000000.001760090000000.00×100=0.50%\textbf{Revenue Ratio:} \\[12pt] \dfrac{9100000000.00}{1760090000000.00} \times 100 = 0.50\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
steel products
compliant
compliant		₹1,72,588.00
Other operating revenues
compliant
compliant		₹2,418.00
Interest Income
non-compliant
non-compliant		₹796.00
dividend
questionable
questionable		₹21.00
Miscellaneous income
compliant
compliant		₹93.00
other gain
questionable
questionable		₹93.00

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.

37.5%

CALCULATION

Debt Ratio:855750000000.002281980000000.00×100=37.50%\textbf{Debt Ratio:} \\[12pt] \dfrac{855750000000.00}{2281980000000.00} \times 100 = 37.50\%

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.

5.4%

CALCULATION

Liquidity Ratio:123480000000.002281980000000.00×100=5.40%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{123480000000.00}{2281980000000.00} \times 100 = 5.40\%

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\%