ETHICAL COMPLIANCE REPORT

PARAMOUNT COMM

Sector:

Technology

Industry:

Communication Equipment

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Wires and Cables
compliant
REVENUE RATIO FILTER
0.4%
View Calculations
DEBT RATIO FILTER
12.2%
View Calculations
LIQUIDITY RATIO FILTER
2.7%
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.

0.4%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{38702000.00}{10785634000.00} \times 100 = 0.40\%

FORMULA

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

Segment	Compliance	Value
Other Income	compliant	₹4.09
Wire & Cables Products	compliant	₹1,034.58
Sale of Services	compliant	₹22.70
Sales of Scrap	compliant	₹9.27
Export Incentives	compliant	₹4.05
Interest Income	non-compliant	₹2.27
Investment Gain	questionable	₹1.60

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.

12.2%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{1007818000.00}{8266495000.00} \times 100 = 12.20\%

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.

2.7%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{226375000.00}{8266495000.00} \times 100 = 2.70\%

FORMULA

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