ETHICAL COMPLIANCE REPORT

SHYAM METALICS AND ENGY L

Sector:

Basic Materials

Industry:

Steel

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.

1.1%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:1428900000.00133542000000.00×100=1.10%\textbf{Revenue Ratio:} \\[12pt] \dfrac{1428900000.00}{133542000000.00} \times 100 = 1.10\%

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 Operating Revenue
compliant
compliant		₹53.90
Dividend Income
questionable
questionable		₹69.03
Sale of Iron & Steel Products
compliant
compliant		₹13,078.38
Sale of Services
compliant
compliant		₹62.94
Interest Income
non-compliant
non-compliant		₹73.86
Other Income
compliant
compliant		₹16.09

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.

4.1%

CALCULATION

Debt Ratio:5874400000.00144238300000.00×100=4.10%\textbf{Debt Ratio:} \\[12pt] \dfrac{5874400000.00}{144238300000.00} \times 100 = 4.10\%

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.

0.3%

CALCULATION

Liquidity Ratio:504700000.00144238300000.00×100=0.30%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{504700000.00}{144238300000.00} \times 100 = 0.30\%

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\%