ETHICAL COMPLIANCE REPORT

RUPA & COMPANY

Sector:

Consumer Cyclical

Industry:

Apparel Manufacturing

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Textiles
compliant
REVENUE RATIO FILTER
1.3%
View Calculations
DEBT RATIO FILTER
15.4%
View Calculations
LIQUIDITY RATIO FILTER
15.3%
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.

1.3%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{154311000.00}{12333001000.00} \times 100 = 1.30\%

FORMULA

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

Segment	Compliance	Value
Hosiery Products	compliant	₹1,187.93
Sale of Services	compliant	₹22.60
Other Operating Revenue	compliant	₹5.98
Interest Income	non-compliant	₹15.43
Other Income	compliant	₹1.36

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.

15.4%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{2226763000.00}{14461820000.00} \times 100 = 15.40\%

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.

15.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{2209702000.00}{14461820000.00} \times 100 = 15.30\%

FORMULA

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