ETHICAL COMPLIANCE REPORT

RANE HOLDINGS

Sector:

Consumer Cyclical

Industry:

Auto Parts

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Auto Parts
compliant
REVENUE RATIO FILTER
0.2%
View Calculations
DEBT RATIO FILTER
31.1%
View Calculations
LIQUIDITY RATIO FILTER
1.4%
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.

0.2%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{74100000.00}{35439800000.00} \times 100 = 0.20\%

FORMULA

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

Segment	Compliance	Value
manufacture and supply of auto components	compliant	₹3,479.59
Other Operating Revenue	compliant	₹50.23
Other Income	compliant	₹6.75
Interest income	non-compliant	₹4.91
Net Gain on Sale of Investments	non-compliant	₹2.50

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.

31.1%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{8224700000.00}{26464100000.00} \times 100 = 31.10\%

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.

1.4%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{374200000.00}{26464100000.00} \times 100 = 1.40\%

FORMULA

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