ETHICAL COMPLIANCE REPORT

KEC INTL.

Sector:

Industrials

Industry:

Engineering & Construction

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Engineering & construction
compliant
REVENUE RATIO FILTER
0.2%
View Calculations
DEBT RATIO FILTER
20%
View Calculations
LIQUIDITY RATIO FILTER
1.4%
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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

\textbf{Revenue Ratio:} \\[12pt] \dfrac{431800000.00}{174454000000.00} \times 100 = 0.20\%

FORMULA

\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%

Segment	Compliance	Value
Construction Contracts Revenue	compliant	₹15,401.41
Sale of Services	compliant	₹16.89
Other Operating Revenues	compliant	₹285.59
interest & other	non-compliant	₹43.18
other Income	compliant	₹18.87
Electrical products	compliant	₹1,679.46

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.

20%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{38123200000.00}{190314700000.00} \times 100 = 20.00\%

FORMULA

\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

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{2732800000.00}{190314700000.00} \times 100 = 1.40\%

FORMULA

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