ETHICAL COMPLIANCE REPORT

KAJARIA CERAMICS

KAJARIA CERAMICS Logo

Sector:

Industrials

Industry:

Building Products & Equipment

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.

1%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:462400000.0046246600000.00×100=1.00%\textbf{Revenue Ratio:} \\[12pt] \dfrac{462400000.00}{46246600000.00} \times 100 = 1.00\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100    3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Sale of Scrap
compliant
compliant
₹9.78
Tiles
compliant
compliant
₹4,105.38
Others
compliant
compliant
₹463.26
interest Income
non-compliant
non-compliant
₹31.07
other income
non-compliant
non-compliant
₹15.17

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.

4.8%

CALCULATION

Debt Ratio:1705900000.0035429100000.00×100=4.80%\textbf{Debt Ratio:} \\[12pt] \dfrac{1705900000.00}{35429100000.00} \times 100 = 4.80\%

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.

14.5%

CALCULATION

Liquidity Ratio:5141100000.0035429100000.00×100=14.50%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{5141100000.00}{35429100000.00} \times 100 = 14.50\%

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\%