ETHICAL COMPLIANCE REPORT

MAZAGON DOCK SHIPBUIL

Sector:

Industrials

Industry:

Aerospace & Defense

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Shipbuilding
compliant
REVENUE RATIO FILTER
9.5%
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DEBT RATIO FILTER
0%
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LIQUIDITY RATIO FILTER
48.3%
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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.

9.5%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{9989900000.00}{105680500000.00} \times 100 = 9.50\%

FORMULA

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

Segment	Compliance	Value
Other Operating Revenue	compliant	₹398.57
Ship Construction	compliant	₹7,530.93
Sale of Base and Depot Spares	compliant	₹1,238.44
Ship Repair	compliant	₹298.64
Interest Income	non-compliant	₹998.99
Other Income	compliant	₹102.48

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.

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{0.00}{294488100000.00} \times 100 = 0.00\%

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.

48.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{142096300000.00}{294488100000.00} \times 100 = 48.30\%

FORMULA

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