ETHICAL COMPLIANCE REPORT

KIRLOSKAR BROTHERS

Sector:

Industrials

Industry:

Specialty Industrial Machinery

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Engineering and Manufacturing
compliant
REVENUE RATIO FILTER
0.6%
View Calculations
DEBT RATIO FILTER
4.7%
View Calculations
LIQUIDITY RATIO FILTER
8.8%
View Calculations

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.

0.6%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{243628000.00}{40598150000.00} \times 100 = 0.60\%

FORMULA

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

Segment	Compliance	Value
Sale of Products	compliant	₹3,862.17
Other Income	compliant	₹34.25
Investment gain	questionable	₹7.28
interest Income	non-compliant	₹17.09
Sale of service	compliant	₹76.03
other operating income	compliant	₹63.00

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.

4.7%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{1549110000.00}{33249000000.00} \times 100 = 4.70\%

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.

8.8%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{2927970000.00}{33249000000.00} \times 100 = 8.80\%

FORMULA

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