ETHICAL COMPLIANCE REPORT

VOLTAS

VOLTAS 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.

1.6%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:2043000000.00127344700000.00×100=1.60%\textbf{Revenue Ratio:} \\[12pt] \dfrac{2043000000.00}{127344700000.00} \times 100 = 1.60\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Sale of Electric Product
compliant
compliant		₹12,407.36
Other Non-operating Income
compliant
compliant		₹73.85
other income
compliant
compliant		₹48.96
interest & other
non-compliant
non-compliant		₹204.30

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.

5.9%

CALCULATION

Debt Ratio:7133100000.00120357200000.00×100=5.90%\textbf{Debt Ratio:} \\[12pt] \dfrac{7133100000.00}{120357200000.00} \times 100 = 5.90\%

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.

7.1%

CALCULATION

Liquidity Ratio:8523200000.00120357200000.00×100=7.10%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{8523200000.00}{120357200000.00} \times 100 = 7.10\%

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\%