ETHICAL COMPLIANCE REPORT

TILAKNAGAR INDUSTRIES

Sector:

Consumer Defensive

Industry:

Beverages - Wineries & Distilleries

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Liquor
non-compliant
REVENUE RATIO FILTER
99.4%
View Calculations
DEBT RATIO FILTER
11.5%
View Calculations
LIQUIDITY RATIO FILTER
4%
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.

99.4%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{29548185000.00}{29723986000.00} \times 100 = 99.40\%

FORMULA

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

Segment	Compliance	Value
Other Operating Revenue	compliant	₹6.47
Interest Income	non-compliant	₹1.79
Investment Gain	questionable	₹1.24
Other Income	compliant	₹11.11
Sale of Liquor	non-compliant	₹2,951.79

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.

11.5%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{1192518000.00}{10334403000.00} \times 100 = 11.50\%

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.

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{417988000.00}{10334403000.00} \times 100 = 4.00\%

FORMULA

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