BNR
Quality Rating
Burning Rock Biotech Limited (BNR), a leading provider of next-generation sequencing-based cancer diagnostics in China, demonstrates permissible core business activities in healthcare but fails key financial screening criteria due to exceptionally high debt and liquidity ratios relative to its low market capitalization. The company's operations across Central Laboratory, In-Hospital, and Pharma R&D segments align with Shariah principles promoting health preservation, with no non-compliant income sources identified. However, financial metrics indicate over-leveraging and excessive liquid assets, likely from conventional financing, leading to non-compliance across major standards. Index exclusion reinforces this assessment, though purification of 3.26% is required for minor interest income. Overall, BNR presents opportunities in ethical biotech but requires financial restructuring for Shariah suitability.
Purification Required
Moderate purification required - consider carefully
Index Inclusion
Not included in any major Shariah indices (S&P, MSCI, FTSE, DJIM)
Key Compliance Considerations
- Debt Ratio: 501.78% (exceeds all thresholds: AAOIFI 30%, MSCI 33.33%, S&P 33%)
- Liquidity Ratio: 5868.37% (exceeds all thresholds: AAOIFI 30%, MSCI 33.33%, S&P 33%)
Debt Ratio
501.8%
Liquidity Ratio
5868.4%
Interest Income Ratio
3.3%
Purification
3.26%