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.
Non Compliant
Questionable
Compliant
CALCULATION
Revenue Ratio:23736800000.001805100000.00×100=7.60%
FORMULA
Revenue Ratio:Total RevenueUnethical Segments×100≤3%
Segment | Compliance | Value |
---|
Pharma products | compliant | ₹2,081.04 |
Sale of Services | compliant | ₹111.65 |
Scrap sales | compliant | ₹0.48 |
interest & other | non-compliant | ₹171.59 |
other income | non-compliant | ₹8.92 |
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
Debt Ratio:42287800000.0025000000.00×100=0.10%
FORMULA
Debt Ratio:Total AssetsInterest Bearing Debt×100≤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.
CALCULATION
Liquidity Ratio:42287800000.0021614100000.00×100=51.10%
FORMULA
Liquidity Ratio:Total AssetsTotal Liquid Assets×100≤90%