ETHICAL COMPLIANCE REPORT

THEJO ENGINEERING

Sector:

Industrials

Industry:

Specialty Industrial Machinery

Overall Compliance

compliant

compliant

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.

3.4%

CALCULATION

Debt Ratio:142045000.004137725000.00×100=3.40%\textbf{Debt Ratio:} \\[12pt] \dfrac{142045000.00}{4137725000.00} \times 100 = 3.40\%

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.

16.5%

CALCULATION

Liquidity Ratio:681795000.004137725000.00×100=16.50%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{681795000.00}{4137725000.00} \times 100 = 16.50\%

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\%

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:8205000.005626262000.00×100=0.10%\textbf{Revenue Ratio:} \\[12pt] \dfrac{8205000.00}{5626262000.00} \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
Interest income
non-compliant
non-compliant		₹0.82
Other Income
compliant
compliant		₹2.40
Sale of Products
compliant
compliant		₹272.56
Sale of Services & Works Contrac
compliant
compliant		₹286.33
Other Operating Revenue
compliant
compliant		₹0.51