ETHICAL COMPLIANCE REPORT

SUN PHARMACEUTICAL IND L

Sector:

Healthcare

Industry:

Drug Manufacturers - Specialty & Generic

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Pharma Company
compliant
REVENUE RATIO FILTER
2.1%
View Calculations
DEBT RATIO FILTER
3.3%
View Calculations
LIQUIDITY RATIO FILTER
12.3%
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.

2.1%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{10229100000.00}{498510500000.00} \times 100 = 2.10\%

FORMULA

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

Segment	Compliance	Value
Interest Income	non-compliant	₹1,022.91
Other Income	compliant	₹331.29
government grant	compliant	₹738.40
Sale of products	compliant	₹47,130.45
Sale of service	compliant	₹628.00

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.

3.3%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{28456900000.00}{854628800000.00} \times 100 = 3.30\%

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.

12.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{105206800000.00}{854628800000.00} \times 100 = 12.30\%

FORMULA

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