ETHICAL COMPLIANCE REPORT

SHAKTI PUMPS (I)

SHAKTI PUMPS (I) Logo

Sector:

Industrials

Industry:

Specialty Industrial Machinery

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.

0.1%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:13467000.0013743015000.00×100=0.10%\textbf{Revenue Ratio:} \\[12pt] \dfrac{13467000.00}{13743015000.00} \times 100 = 0.10\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100    3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Other Income
compliant
compliant
₹2.22
Other Operating Revenue
compliant
compliant
₹27.99
Pumps and Motors
compliant
compliant
₹1,342.75
Interest Income
non-compliant
non-compliant
₹1.35

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.

5.7%

CALCULATION

Debt Ratio:829106000.0014502991000.00×100=5.70%\textbf{Debt Ratio:} \\[12pt] \dfrac{829106000.00}{14502991000.00} \times 100 = 5.70\%

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.

13.9%

CALCULATION

Liquidity Ratio:2013062000.0014502991000.00×100=13.90%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{2013062000.00}{14502991000.00} \times 100 = 13.90\%

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\%