ETHICAL COMPLIANCE REPORT

S H KELKAR AND CO..

Sector:

Basic Materials

Industry:

Specialty Chemicals

Overall Compliance

compliant

compliant

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

Revenue Ratio:29500000.0019360200000.00×100=0.20%\textbf{Revenue Ratio:} \\[12pt] \dfrac{29500000.00}{19360200000.00} \times 100 = 0.20\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Fragrance
compliant
compliant		₹1,695.27
Flavours
compliant
compliant		₹234.72
Interest income
non-compliant
non-compliant		₹1.71
Net Gain on Sale of Investments
questionable
questionable		₹1.24
Other Income
compliant
compliant		₹3.08

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.

25.7%

CALCULATION

Debt Ratio:6177900000.0024024500000.00×100=25.70%\textbf{Debt Ratio:} \\[12pt] \dfrac{6177900000.00}{24024500000.00} \times 100 = 25.70\%

FORMULA

Debt Ratio:Interest Bearing DebtTotal Assets×100  ≤  30%\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.

4.3%

CALCULATION

Liquidity Ratio:1030700000.0024024500000.00×100=4.30%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{1030700000.00}{24024500000.00} \times 100 = 4.30\%

FORMULA

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