ETHICAL COMPLIANCE REPORT

NATIONAL FERT.

Sector:

Basic Materials

Industry:

Agricultural Inputs

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Fertilizers
compliant
REVENUE RATIO FILTER
0.1%
View Calculations
DEBT RATIO FILTER
36%
View Calculations
LIQUIDITY RATIO FILTER
0.3%
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.

0.1%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{291800000.00}{236597500000.00} \times 100 = 0.10\%

FORMULA

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

Segment	Compliance	Value
Other Operating Revenue	compliant	₹278.08
Traded Goods	compliant	₹5,029.27
Subsidy From Government of India	compliant	₹15,734.12
Non Operating Income	compliant	₹70.26
Finished Goods	compliant	₹2,478.04
Interest Income	non-compliant	₹29.18
Sale of Services	compliant	₹40.80

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.

36%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{40883300000.00}{113524200000.00} \times 100 = 36.00\%

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.

0.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{379400000.00}{113524200000.00} \times 100 = 0.30\%

FORMULA

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