8th Annual Global Investor Conference
Participating Companies
Company
Page
Company
Page
ACC ..................................................................................... 22
AIA Engineering ............................................................... 180
Ambuja Cements ............................................................... 24
Ashok Leyland ................................................................... 26
Au Financiers .................................................................. 180
Axis Bank ........................................................................... 28
Bajaj Auto .......................................................................... 30
Bajaj Electricals .............................................................. 181
Bajaj Finance .................................................................. 172
Bajaj FinSer ..................................................................... 173
Bharat Petroleum Corporation ......................................... 32
Bharti Airtel ....................................................................... 34
Cairn India ........................................................................ 36
CESC ................................................................................... 38
Container Corporation of India ..................................... 174
DB Corp .............................................................................. 40
Dewan Housing Finance ................................................... 42
Dish TV ............................................................................... 44
DLF ..................................................................................... 46
Emami ................................................................................ 48
Fort Point Automotive ..................................................... 181
GAIL India .......................................................................... 50
GlaxoSmithKline Pharmaceuticals .................................. 52
Glenmark Pharmaceuticals .............................................. 54
Godrej Consumer Products ............................................... 56
Grasim Industries ............................................................. 58
HDFC .................................................................................. 60
HDFC Bank ......................................................................... 62
Hero MotorCorp ................................................................ 64
Hindalco Industries .......................................................... 66
Hindustan Unilever ........................................................... 68
HPCL ................................................................................... 70
HT Media ........................................................................... 72
ICICI Bank .......................................................................... 74
ICRA .................................................................................. 175
Idea Cellular ..................................................................... 76
IDFC .................................................................................... 78
Indusind Bank ................................................................... 80
Info Edge (India) ................................................................ 82
Infosys ............................................................................... 84
ING Vysya Bank ................................................................. 86
IPCA Laboratories ............................................................. 88
ITC ...................................................................................... 90
Jindal Steel & Power ......................................................... 92
JP Associates ..................................................................... 94
JSW Energy ........................................................................ 96
JSW Steel ........................................................................... 98
Kotak Mahindra Bank ..................................................... 100
Larsen & Toubro .............................................................. 102
LIC Housing Finance ....................................................... 104
Lupin ................................................................................ 106
Mahindra & Mahindra ................................................... 108
Mahindra Finance .......................................................... 110
Manappuram Finance .................................................... 176
Marico ............................................................................. 112
Maruti Suzuki .................................................................. 114
McLeod Russel ................................................................ 116
MCX .................................................................................. 118
Motherson Sumi Systems ................................................ 120
Muthoot Finance ............................................................. 177
NTPC ................................................................................. 122
Oil India .......................................................................... 124
ONGC ............................................................................... 126
Phoenix Mills .................................................................. 128
Pidilite Industries ........................................................... 130
Power Grid ...................................................................... 132
Radico Khaitan ................................................................ 178
Raymonds ........................................................................ 179
Reliance Communications .............................................. 134
Reliance Industries ......................................................... 136
Reliance Infrastructure ................................................... 138
Rural Electric Corporation ............................................. 140
Shoppers Stop ................................................................. 142
Shriram Transport Finance ............................................ 144
Sidhivinayak Logistics .................................................... 182
Simplex Infrastructure .................................................... 146
State Bank of India .......................................................... 148
Sun Pharmaceuticals ...................................................... 150
Tata Consultancy Services .............................................. 152
Tata Motors ..................................................................... 154
Tata Steel ......................................................................... 156
Titan Industries ............................................................... 158
Ultratech Cement ............................................................. 160
Union Bank of India ........................................................ 162
Unitech Automobile ........................................................ 182
Voltas ............................................................................... 164
Wipro ............................................................................... 166
Yes Bank ........................................................................... 168
Zee Entertainment Enterprises ........................................ 170
August 27 - 31, 2012
2

8th Annual Global Investor Conference
Welcome to the Conference!
Dear Guest,
We at Motilal Oswal are pleased to welcome you to the
8th Annual Global Investor Conference
from August 27-29, 2012 in Mumbai.
The last 12 months have been eventful ... as always! Even as the world is finding it tough to put
growth back on track, India has its own set of challenges. Growth parameters are hitting new
lows; RBI has paused monetary easing on fears of inflation, and the much-awaited government
policy remains in limbo. All of this took a toll on the rupee, down 20% over the last one year.
Despite these headwinds,
Indian equity market is among the top performers of 2012,
as foreign
investors pumped in another USD11b into equities, CY12 YTD. On corporate earnings, June
quarter PAT grew just 11%%, and expectations for full year remain muted (FY13 Sensex EPS to
grow 8%). But
amidst "going nowhere markets", several stocks are at their life-time highs,
indicating the strength of bottom-up investing. Unlevered balance sheets seem to be the flavor
of this cycle, thanks to persistently high interest rates. Indian equity valuations are at long-
term averages, but resumption of growth cycle will remain a key trigger for a fresh upmove.
Re-shaping India!
We believe the theme remains very relevant for this year too, and for quite
some time to come!
Indian politics is re-shaping
– not only are regional parties rising, we now
even have civil society entering the fray.
Indian business is re-shaping
– a no-frills airline is
today number one!
Indian entertainment is re-shaping
(a telly storyteller is scripting box office
successes), and so is
Indian sports
(a mother of two from east India wins an Olympics medal!)
And Indian scientists are planning Mission Mars! We dedicate our 2012 Conference to this
re-shaping – slowly, silently, but surely, and sometimes dramatically!
Over the next 3 days, 100 leading Indian companies will stand testimony to this re-shaping.
Our conference key highlight,
CEO Track,
will have 10 top-notch CEOs present their success
story, their growth opportunities, and their vision. We have several
thematic presentations
by
eminent speakers covering a range of issues — from political colors to grassroot education
and even power of nutrition! We have two intriguing panel discussions: (1) Navigating through
business cycles, and (2) 25 years of Wealth Creation.
As a
special thematic session,
we have scheduled 2 women who have had a decade of
extraordinary achievements and have done India proud in the last 12 months.
2012 also marks the Silver Jubilee for Motilal Oswal.
To celebrate this, and also commemorate
100 years of Indian cinema, we have a set up unique evening on Monday, August 27, featuring
a dazzling Bollywood performance by Terence Lewis and his dance troupe.
We hope this Conference leaves you with several incisive insights, winning themes, greater
conviction, and the best investment ideas. We welcome you once again, and hope you have a
very productive and enjoyable week.
Navin Agarwal
Director & CEO – Institutional Equities
Rajat Rajgarhia
Director – Research
Investors are advised to refer through disclosures made at the end of the Research Report.
August 27 - 31, 2012
1

8th Annual Global Investor Conference
CEO Track (Monday, August 27)
Time
09:30-09:40
Session and Speaker(s)
Introduction and Welcome Address
Mr Motilal Oswal
, CMD, Motilal Oswal Financial Services
Mr Raamdeo Agrawal
, Joint MD, Motilal Oswal Financial Services
Thematic Presentation
09:45-10:25
Vision Of The Indian Financial Sector
Mr Deepak Parekh,
Chairman, HDFC
10:45-11:25
CEO Track:
Larsen & Toubro
Mr K Venkatramanan
, CEO & Managing Director
CEO Track:
Bharti Airtel
Mr Akhil Gupta
, Deputy Group CEO & Managing Director
CEO Track:
ONGC
Mr S Vasudeva
, Chairman & Managing Director
Luncheon Panel Discussion
11:30-12:10
12:15-12:55
13:00-13:55
25 Years of Wealth Creation
Mr Akash Prakash,
CEO, Amansa Capital
Mr Motilal Oswal,
CMD, Motilal Oswal Financial Services
Mr Raamdeo Agrawal,
Joint MD, Motilal Oswal Financial Services
14:00-14:40
Thematic Presentation
Financial Health Of India Inc
Ms Roopa Kudva,
Standard & Poor's, Region Head, South Asia
14:45-15:25
Thematic Presentation
Power Of Nutrition: Bring Transformational Changes In Life
Ms Pooja Makhija,
Nutritionist
15:45-16:25
CEO Track:
Idea Cellular
Mr Himanshu Kapania
, Managing Director
16:30-17:10
Thematic Presentation
United Colors Of Indian Politics
Mr Prabhu Chawla,
Editorial Director, The New Indian Express
17:15 onwards
Motilal Oswal Silver Jubilee Celebrations
,
a unique evening featuring -
Celebrating Bollywood:
A dazzling dance performance by Terence Lewis & his troupe
The Climax:
Enter the world of heady cocktails and exquisite global cuisine
August 27 - 31, 2012
2

8th Annual Global Investor Conference
CEO Track (Tuesday, August 28)
Time
09:45-10:25
Session and Speaker(s)
CEO Track:
State Bank of India
Mr Pratip Chaudhuri
,
Chairman
CEO Track:
Titan Industries
Mr Bhaskar Bhat
, Managing Director
CEO Track:
Infosys
Mr S D Shibulal
, CEO & Managing Director
CEO Track:
ICICI Bank
Ms Chanda Kochar
, CEO & Managing Director
Luncheon Panel Discussion
10:45-11:25
11:30-12:10
12:15-12:55
13:00-13:55
Navigating Through Business Cycles
Mr Glenn Saldanha,
Glenmark Pharma, CMD
Mr Sanjiv Bajaj,
Bajaj Finserv, MD
Mr Vivek Chaand Sehgal,
Motherson Sumi Group, Founder Chairman
Mr B Nagesh,
Shoppers Stop, Vice-Chairman
14:00-14:40
CEO Track:
Zee Entertainment Enterprises
Mr Punit Goenka
, Managing Director & CEO
Thematic Presentation
14:45-15:25
Indian Education: Super 30 – Revolutionizing Education at the Grassroots
Prof Anand Kumar,
Leading Educationist & Social Entrepreneur
15:45-16:25
CEO Track:
ACC
Mr Kuldip Kaura
, CEO & Managing Director
16:30-17:10
Special Presentation
Making India A World Champion – Lessons from my journey
Ms Mary Kom,
World & Olympic Boxing Supermom
17:15-17:55
Special Presentation
Re-shaping Entertainment – Whether small screen or big!
Ms Ekta Kapoor,
Soap Queen & Top Bollywood Producer
17:55-18:00
Vote of Thanks
Mr Navin Agarwal
,
Director & CEO - Institutional Equities, Motilal Oswal Financial Services
August 27 - 31, 2012
3

8th Annual Global Investor Conference
CEO Track
CEO Track Speaker Profiles
India's top CEOs and Experts
August 27 - 31, 2012
4

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr Deepak Parekh
Chairman
HDFC
"Vision Of The Indian Financial Sector"
Date: Monday, August 27
Time: 09:45 - 10:25
Mr Deepak Parekh is the Chairman of HDFC, India's premier housing finance company. Mr
Parekh's business acumen and farsightedness has not only made HDFC the leader in Mortgages,
but has also transformed it into India's leading financial services conglomerate, with presence
in Banking, Asset Management, Insurance, Real Estate Venture Fund and Education Loans.
Besides HDFC Group companies, Mr Parekh is on the board of several leading companies across
diverse sectors. Mr Parekh is often dubbed as the government's unofficial crisis consultant. Be
it his role as Special Director on the Satyam Board in 2009 to revive the company or the crucial
role played by him during the UTI mess in the late '90s, Mr Parekh has shared his ideas and
experience to formulate reform policies across sectors. He is an active member of various high-
powered Economic Groups, government-appointed Advisory Committees and Task Forces.
Mr Parekh was awarded the Padma Bhushan in 2006. The Republic of France conferred on him
the honor, "Knight in the Order of the Legion of Honor" in 2010. In 2010, he became the first
international recipient of the Institute of Chartered Accountants in England and Wales'
Outstanding Achievement Award.
Thematic
Presentation
Mr Krishnamurthi Venkataramanan
CEO & Managing Director
Larsen & Toubro
Date: Monday, August 27
Time: 10:45 - 11:25
CEO Track
Mr K Venkataramanan is the CEO and Managing Director of L&T. A graduate in Chemical
Engineering from IIT, Delhi, he joined L&T in 1969. He was elevated to the Board of Directors in
May 1999, and he assumed his current role in April 2012. He is credited with helping in the
transformation of L&T from a fabrication-driven EPC contractor to a technology-led player.
Mr Venkataramanan is a Distinguished Alumni Awardee of IIT Delhi in 2005. He is the first Asian
to be appointed Chairman of the Board of Directors of the 'Engineering & Construction Risk
Institute, Inc.', USA for a two year term ended in May 2010. He is an Honorary Fellow of the
Institute of Chemical Engineers (IChemE), UK. He is also a Fellow of the Indian Institute of
Chemical Engineers, and currently the Chairman of the Capital Goods Committee of FICCI.
Mr Venkataramanan's accolades include the 'Davidson Frame Award' conferred by IPMA,
Switzerland, for strengthening the Project Management Profession - 2002. He was honored with
'Chemtech - Business Leader of the Year' award for Plant & Machinery - 2005, and the 'Lala
Shriram Award for Leadership in Chemical Industry' - 2006. He has been conferred an Honorary
Doctorate in Project Management by the University of Petroleum & Energy Studies, Dehradun.
August 27 - 31, 2012
5

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr Akhil Gupta
Deputy Group CEO & Managing Director
Bharti Enterprises
Date: Monday, August 27
Time: 11:30 - 12:10
CEO Track
Mr Akhil Gupta is the Deputy Group CEO and Managing Director of Bharti Enterprises and a
Director of Bharti Airtel. He has been closely involved from the very beginning in the growth of
Bharti in the telecommunication services sector. He has also been responsible for conceptualizing
and implementing the separation of passive mobile infrastructure and forming Indus Towers, a
JV with Vodafone and Idea, which has become the largest tower company in the world.
Mr Gupta is also the Chairman of Tower and Infrastructure Providers Association (TAIPA). He
represents the Indian Telecom Industry and Bharti regularly at various forums. He was awarded
'CEO of the Year' at the National Telecom Awards 2012. He was also honored for 'Outstanding
Contribution to the Telecom Sector' by the leading telecom magazine, tele.net.
A Chartered Accountant, Mr Gupta has also completed an "Advanced Management Program" at
the Harvard Business School. He has been inducted to the CFO India - 'Hall of Fame' in recognition
of his contribution to the world of finance. In 2010, he was awarded the Asia Corporate Dealmaker
Award at the Asia-Pacific M&A ATLAS Awards in recognition of his leadership in executing Bharti
Airtel's acquisition of Zain Group's mobile operations in Africa.
Mr Sudhir Vasudeva
Chairman & Managing Director
Oil and Natural Gas Corporation
Date: Monday, August 27
Time: 12:15 - 12:55
CEO Track
Mr Sudhir Vasudeva is the Chairman and Managing Director of Oil and Natural Gas Corporation
(ONGC), the most valuable Maharatna public sector unit (PSU) of India. He is also the Chairman
of ONGC Videsh (OVL), Mangalore Refinery and Petrochemicals (MRPL) and five other ONGC
Group Companies - ONGC Petro-additions, ONGC Mangalore Petrochemicals, Mangalore SEZ,
ONGC Tripura Power Company and ONGC Mittal Energy.
Mr Vasudeva is a Gold Medalist Chemical Engineer with Advanced Diploma in Management.
Under his stewardship, ONGC has registered its highest-ever profit, become the highest-ever
dividend paying company in India, and often retains the Numero Uno position in terms of
market capitalization. His focus on Investor Relationship has ranked ONGC Number-2 in
Institutional Investors' Best IR Companies List of 2012 in the Oil & Gas domain across Asia.
A firm believer in transparency and ethical business practices, Mr Vasudeva is the President of
Global Compact Network, India. He also happens to be the first business leader from Indian
PSUs to become a Member of the Board of the United Nations Global Compact.
August 27 - 31, 2012
6

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Ms Roopa Kudva
Region Head, South Asia
Standard & Poor's
"Financial Health Of India Inc"
Date: Monday, August 27
Time: 14:00 - 14:40
Ms Roopa Kudva is the Region Head, South Asia of Standard & Poor's, a global analytical
company providing ratings, research, and risk and policy advisory services. She is also the MD
and CEO of CRISIL, S&P's Indian subsidiary. During her tenure as CEO, CRISIL's profits have more
than doubled, its customer-base has grown from 1,000 to 30,000, and its reach has expanded
from 9 Indian cities to 150, while its international operations now cover 30 countries.
Ms Kudva holds a Degree in Statistics, and a Post Graduate Diploma in Management from the
Indian Institute of Management, Ahmedabad. She joined CRISIL in 1992, and has more than two
decades of credit-related experience across sectors, including a secondment to Standard &
Poor's, Paris, as Director, Financial Institutions Ratings. She assumed her current role in 2007.
Ms Kudva regularly features in lists of the most powerful women in Indian business. She is a
member of several policy-level committees relating to the Indian financial system, including
committees of the Securities and Exchange Board of India and the Reserve Bank of India. She is
also a member of the Executive Council of NASSCOM. Ms Kudva has received the Distinguished
Alumnus Award from the Indian Institute of Management, Ahmedabad.
Thematic
Presentation
Ms Pooja Makhija
Nutritionist
"Power Of Nutrition: Bring
Transformational Changes In Life"
Date: Monday, August 27
Time: 14:45 - 15:25
Thematic
Presentation
Ms Pooja Makhija is one of India's leading experts on nutrition and has counseled over 15,000
clients. She runs her own wellbeing clinic, Nourish, in Mumbai. She teaches her clients how to
eat right, keep fit and maintain high energy levels, enabling them to deal with the rigors of life.
She believes that understanding the importance of food can bring about huge, transformational
changes in people's lives. She is known for her no-nonsense diet plans.
Her prescription for healthy weight loss is: Eat within the first hour of rising. Eat four main
meals a day and a small snack every two hours in between. Exercise after a small light snack.
Eat main meals after the workout. Hydrate yourself well - one glass of water every hour. Restrict
daily oil consumption to 3-4 tablespoons a day. Avoid refined sugar in beverages. Stay away
from artificial sweetener, too. Say no fruits juices, smoothies or milkshakes. Eat the fruits
instead. Healthy eating is a lifestyle, not a "diet". Imbibe it.
Ms Makhija was the official diet counselor at Ms Sushmita SenRss beauty pageant, I Am She
2010. Among her celebrity clients are Ms Vidya Balan, Ms Sonam Kapoor and Ms Raveena
Tandon. She recently launched her book, 'Eat. Delete. - The Anti Quick Fix Approach'.
August 27 - 31, 2012
7

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr Himanshu Kapania
Managing Director
Idea Cellular
Date: Monday, August 27
Time: 15:45 - 16:25
CEO Track
Mr Himanshu Kapania is the Managing Director of Idea Cellular, a pan-India mobile operator
with revenue of USD4b and over 110m subscribers. He is credited with strengthening Idea's
dominance in Maharashtra & Goa, Madhya Pradesh & Chattisgarh, and Kerala, and launching
Idea services in Mumbai, Karnataka, Tamil Nadu and Chennai while expanding brand presence
in Gujarat and Andhra Pradesh. Under his leadership, Idea has grown in South and West India.
Mr Kapania has had two separate stints with Idea Cellular (erstwhile Birla AT&T). In his first
stint, he joined the company in 1997 as General Manager, Operations - South Maharashtra and
then moved on as COO for Gujarat (1998-2000) and as COO for Delhi (2000-2003). Subsequently,
he worked with Reliance Infocomm as CEO - North India. In September 2006, Mr Kapania returned
to Idea as COO and in 2008, was promoted as Director - Operations. He was appointed Managing
Director in April 2011.
Besides Telecom, Mr Kapania has rich experience in Automobiles, Consumer Durables and
Office Automation industries. He is a BE (Electricals & Electronics Engineering) from BIT Mesra
(1979-83) and a Post Graduate from the Indian Institute of Management, Bangalore (1988-90).
Mr Prabhu Chawla
Editorial Director
The New Indian Express Group
"United Colors Of Indian Politics"
Date: Monday, August 27
Time: 16:30 - 17:10
Thematic
Presentation
Mr Prabhu Chawla is Editorial Director of The New Indian Express Group and hosts 'Teekhi
Baat', a talk show on IBN7. He is one of the most authoritative and credible voices in print as
well as the electronic media in India. In his 40 years as Reporter and Editor, he has extensively
covered events that have changed India's political course and the people who engineered them.
Mr Chawla began his career as an Economics Lecturer at Delhi University before going on to
become one of India's best-known journalists. From 1991 to 1994, he was Editor of Indian
Express, post which he was Editor-in-Chief and CEO of Financial Express from 1994 to 1996.
Between 1996 and 2011, he was Editor of India Today and Editorial Director of the India Today
Group of Publications. During that period, he launched the magazine's regional editions (Hindi,
Tamil, Telugu and Malayalam) and hosted the weekly talk show 'Seedhi Baat' on Aaj Tak.
Among the recent awards and accolades he has received are: the Indian Television Academy
Award for Best News and Current Affairs Anchor for 2009 for 'Seedhi Baat', the Indian Television
Academy Award for Best Talk Show Host for 2008, and the Sansui Television Best TV Anchor
Award for 2008. Mr Chawla is a Padma Bhushan recipient.
August 27 - 31, 2012
8

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr Pratip Chaudhuri
Chairman
State Bank of India
Date: Tuesday, August 28
Time: 09:45 - 10:25
CEO Track
Mr Pratip Chaudhuri is the Chairman of State Bank of India, the only Indian bank to feature in
the Fortune Global 500 list. In this role, he is not only the Chief Executive of India's largest
commercial bank, but also the head of the entire State Bank Group including 5 associate banks
and 22 subsidiaries - 8 of which are overseas entities.
Mr Chaudhuri holds a post graduate degree in Business Administration with specialization in
Finance. He joined this 205-year old institution as a Probationary Officer in the year 1974.
During his tenure of 37 years in State Bank of India, Mr Chaudhuri has held a number of
important positions, including those of Chief General Manager (Foreign Offices), Chief General
Manager of Chennai Circle and General Manager (Mid Corporate Group).
Mr Chaudhuri assumed Chairmanship of State Bank of India in April 2011. Immediately prior to
taking over as Chairman, he was Deputy Managing Director in charge of the International
Banking Group of the Bank. He was also the Managing Director of State Bank of Saurashtra, and
piloted its merger with State Bank of India.
Mr Bhaskar Bhat
Managing Director
Titan Industries
Date: Tuesday, August 28
Time: 10:45 - 11:25
CEO Track
Mr Bhaskar Bhat is the Managing Director of Titan Industries. He began his career as a
Management Trainee at Godrej & Boyce in 1978. After five years at Godrej, he joined the Tata
Watch Project, which is now Titan Industries. He assumed his current role in April 2002.
Mr Bhat is a BTech (Mechanical Engineering) from IIT Madras (1976) and has completed his
Post Graduate Diploma in Management from IIM Ahmedabad (1978). Most of his working
experience has been in Sales & Marketing. At Titan, he has handled Sales & Marketing, Human
Resources, International Business and General Management. He is also a Director in Virgin
Mobile India Limited, a joint venture of Tata Teleservices and Virgin Group, UK.
Mr Bhat received the Distinguished Alumnus Award in IIT Madras in 2008. He was conferred the
Qimpro Gold Standard Award for Business in February 2010. He won the Most Admired Retail
Professional of the Year at the India Retail Forum 2011 and received the Distinguished Alumnus
Award in IIM Ahmedabad in November 2011. Mr Bhat was ranked as the 4th CEO in a survey
conducted by the Business Today, INSEAD and Harvard Business Review.
August 27 - 31, 2012
9

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr SD Shibulal
Co-Founder and CEO & Managing Director
Infosys
Date: Tuesday, August 28
Time: 11:30 - 12:10
CEO Track
Mr SD Shibulal is the Co-Founder and the CEO and Managing Director of Infosys. Earlier, he has
held a number of senior leadership roles in the company. Prior to becoming CEO, he served as
COO between June 2007 and August 2011.
He has been instrumental in the development of Infosys' Global Delivery Model, which helped
set the stage for its evolution into a leading multinational Business Consulting and IT Services
provider. As CEO, Mr Shibulal is focused on strengthening strategic partnerships with clients,
increasing client relevance and evolving the business model towards achieving Infosys'
aspirations of becoming a next generation Global Consulting and IT Services corporation.
Mr Shibulal holds an MS degree in Computer Science from Boston University and a Master's
degree in Physics from the University of Kerala. He is a member of the Board of Trustees, the
International Advisory Board and the Metropolitan College Dean's Advisory Board of Boston
University. He is also a member of the International Board of Foundation, Globethics.net, the
Seoul International Business Advisory Council (SIBAC), and the Global Corporate Governance
Forum's Private Sector Advisory Group.
Ms Chanda Kochhar
Managing Director & CEO
ICICI Bank
Date: Tuesday, August 28
Time: 12:15 - 12:55
CEO Track
Ms Chanda Kochhar is the Managing Director and CEO of ICICI Bank, India's largest private
sector bank. She is recognized for her role in shaping Retail Banking in India, for her leadership
of the ICICI Group, and for her contributions to various forums in India and globally.
Ms Kochhar began her career with the erstwhile ICICI Limited in 1984 and was instrumental in
establishing ICICI Bank during the 1990s. Ms Kochhar has held various responsible positions
in the Group. Some of these include: Head of the Infrastructure Finance and Corporate Banking
business in ICICI Limited, Head of ICICI Bank's Corporate and International Banking businesses,
and Joint Managing Director and CFO of ICICI Bank. She assumed her current role in 2009.
Ms Kochhar is a member of various high-powered Economic Groups, government-appointed
Advisory Committees and Task Forces. She was conferred with the Padma Bhushan in 2011. In
2012, she has been named amongst the nine Indian women in the Forbes' inaugural "Asia Power
Businesswomen" list, ranked fifth in the list of the "Most Powerful CEOs" in India by The Economic
Times and first in the list of "Top Women CEOs" in the country, and conferred with CNBC Asia's
India Business Leader of the year award and CSR award.
August 27 - 31, 2012
10

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr Punit Goenka
Managing Director & CEO
Zee Entertainment Enterprises
Date: Tuesday, August 28
Time: 14:00 - 14:40
CEO Track
Mr Punit Goenka is Managing Director and CEO of Zee Entertainment Enterprises (ZEE). His
strong work ethics and hands-on approach have helped steer the ZEE Empire to new frontiers of
success. Under his leadership, Zee TV has emerged a leader among General Entertainment
Channels in India. He is now working towards strengthening ZEE's reach internationally.
Mr Goenka has grown up the ranks, handling various responsibilities across the Essel
conglomerate for over 15 years. He began his career with Zee TV in 1995 as Head of the Music
division and went on to shoulder additional responsibilities across group companies. In 2004,
he took charge as the Business Head of Zee TV. He was promoted to Network Operating Officer in
2005 and was made responsible for the Programming, Operations, Administration and HR
functions of all of ZEE's entertainment channels. He assumed his current role in July 2008.
Mr Goenka is a great mentor. He has shared his experiences and knowledge at management
education programs such as Young Managers Program at INSEAD, France, and 'Birthing of Giants'
by Young Entrepreneurs' Organization and MIT Enterprise Forum, Inc, Boston, USA.
Mr Anand Kumar
Leading Educationist & Social Entrepreneur
"Super 30: Revolutionizing Education
at the Grassroots"
Date: Tuesday, August 28
Time: 14:45 - 15:25
Thematic
Presentation
Mr Anand Kumar is a noted Mathematics Teacher. In the last nine years, a phenomenal 236
students from his 'Super 30' initiative have cleared the Joint Entrance Test of the Indian Institute
of Technology (IIT). What is remarkable about this achievement is that most of the successful
candidates have been from the most underprivileged sections of society.
Mr Kumar has been fascinated by Mathematics since early childhood. Though he got an
opportunity to pursue higher education in Cambridge University, his poor financial health
came in the way. To help other financially disadvantaged students, who invariably fade away
without getting the right opportunities, he founded 'Super 30'. Under this initiative, he gives
underprivileged students free food, free lodging and above all free coaching.
The Discovery Channel has described 'Super 30' as a "revolutionary experiment to bring about
social change". In recognition of his achievements, the Bihar government conferred on Mr
Kumar the 'Maulana Abdul Kalam Azad Shiksha Puraskar' in November 2010. Various
international publications and TV channels have applauded Mr Kumar and his initiative. His
remarkable teaching abilities have also found him a place in the Limca Book of World Records.
August 27 - 31, 2012
11

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Mr Kuldip K Kaura
CEO & Managing Director
ACC
Date: Tuesday, August 28
Time: 15:45 - 16:25
Mr Kuldip K Kaura is CEO and Managing Director of ACC.
CEO Track
He has rich experience and a deep appreciation of the national and international business
environment. He has had the benefit of management education from reputed institutions like
London Business School and Swedish Institute of Management. He did his BE (Honors) in
Mechanical Engineering from Birla Institute of Technology & Science, Pilani in 1968.
Mr Kaura worked with Vedanta Resources Plc for seven years, initially as the Managing Director
of Hindustan Zinc and thereafter as Chief Executive Officer of Vedanta Resources until 2008 and
played a significant role in the transformation and rapid growth of its group companies. Prior
to this, he had an 18-year stint with ABB India, an engineering company. During this period, he
grew through various key positions and was Managing Director from 1998 to 2001.
He has served as Member of National Council of the Confederation of Indian Industries and is
an office bearer of other such professional bodies.
Ms Mary Kom
World & Olympic Boxing Supermom
"Making India A World Champion –
Lessons from my journey"
Date: Tuesday, August 28
Time: 16:30 - 17:10
Thematic
Presentation
Ms Mary Kom is a five-time World Boxing champion, and the only woman boxer to have won a
medal in each one of the six world championships. She is the only Indian woman boxer to have
qualified for the 2012 Summer Olympics, competing in the flyweight (51 kg) category and winning
the bronze medal. She is number-4 on the AIBA World Women's Ranking - flyweight category. She
has more than three Asian titles and eleven National titles under her belt.
Ms Kom initially tried to hide her interest in boxing from her family, since it was not considered
a suitable sport for a woman. However, after her victory in the Manipur state women's boxing
championship in 2000, her career became public. After winning the regional championship in
West Bengal, she began competing at the international level at the age of 18, only a year after
she started boxing. Her international debut was at the first AIBA Women's World Boxing
Championship in the United States, where she won a silver medal in the 48 kg weight category.
Ms Kom had the honor of jointly bearing the Queen's Baton with Mr Vijender Singh in the
opening ceremony run for the 2010 Commonwealth Games of Delhi. She is a recipient of the
Arjuna Award, the Padma Shri Award, and the Rajiv Gandhi Khel Ratna Award.
August 27 - 31, 2012
12

8th Annual Global Investor Conference
CEO Track Speakers
(in order of appearance)
Ms Ekta Kapoor
Soap Queen & Top Bollywood Producer
"Re-shaping Entertainment –
Whether small screen or big!"
Date: Tuesday, August 28
Time: 17:15 - 17:55
Ms Ekta Kapoor is a Television and Film Producer. She is the Joint Managing Director and
Creative Director of Balaji Telefilms. She has produced several TV serials, the most popular of
which include Hum Paanch, Kyunki Saas Bhi Kabhi Bahu Thi, Kahaani Ghar Ghar Kii, Kasautii
Zindagii Kay, Kkusum, Pavitra Rishta, and Bade Achhe Lagte Hain, to name but a few.
Ms Kapoor branched out into Bollywood movie production in 2001, beginning with Kyo Kii Main
Jhuth Nahin Bolta. Kyaa Kool Hai Hum, starring her brother Mr Tusshar Kapoor proved to be her
breakout hit and became one of the highest earners of 2005. The years 2010 and 2011 proved to
be important for her, with critical and commercial successes such as Love Sex Aur Dhokha, Once
Upon a Time in Mumbaai, Shor in the City, Ragini MMS and The Dirty Picture.
Among the awards Ms Kapoor received in 2012 are: Indian Telly Awards' Special Award for Best
Breakout in Films, Screen Awards' Best Performer of the Year, and Dadasaheb Phalke Academy
Awards' Phalke Icon Film & Television Producer. She received wide recognition for The Dirty
Picture (Hindi movie), Taryanche Bait (Marathi movie) and Bade Acche Lagte Hain (TV serial).
Thematic
Presentation
Panel discussions
1.
25 Years of Wealth Creation
2.
Navigating Through Business Cycles
Mr Motilal Oswal
CMD, Motilal Oswal Group
Mr Raamdeo Agrawal
Joint MD, Motilal Oswal Group
Mr Glenn Saldanha
Glenmark Pharma, CMD
Mr Sanjiv Bajaj
Bajaj Finserv, MD
Mr Akash Prakash
CEO, Amansa Capital
1987 - 2012
Mr Vivek Chaand Sehgal
Motherson Sumi Group
Founder Chairman
Mr B Nagesh
Shoppers Stop
Vice-Chairman
August 27 - 31, 2012
13

8th Annual Global Investor Conference
India at a glance
From the 7th to the ...
... 8th Annual Global Investor Conference
India At A Glance
Macroeconomy, corporate earnings, markets
August 27 - 31, 2012
14

8th Annual Global Investor Conference
India at a glance: Macro
The macro backdrop is challenging with weakening fundamentals confronting
risks of twin deficits and policy stasis.
The quarterly GDP growth has come down to nine-year low and is further slowing
down to 5% level.
Inflation though have come down from their peak level, still hovers around 7%
level with core inflation somewhat above 5%.
It would be difficult to achieve any meaningful fiscal correction in FY13 due to
rising oil, food, fertilizer subsidy and on account of shortfall from spectrum sale
and disinvestment.
RBI pursued tight money in view of still high inflation and fiscal deficit. However,
slowing bank credit has eased pressures on liquidity.
On the external front, trade and current account deficit were record and
unsustainably high in FY12. However, decline in gold imports and higher portfolio
flows has stabilized the INR somewhat.
Slowing policy making have come in for critical focus with government still touting
booming FDI as sign of continued confidence in India. However, by its own
reckoning government needs to move forward on critical reform such as DTC, GST,
FDI, infrastructure and good governance.
GDP growth - annual (YoY %)
GDP growth - quarterly (YoY %)
IIP growth (YoY %)
WPI Inflation (YoY %)
August 27 - 31, 2012
15

8th Annual Global Investor Conference
India at a glance: Macro
Fiscal deficit (% of GDP)
Oil price and underrecoveries
Banking indicators
RBI rates
Liquidity situation
Currency and reserves
External balance (% of GDP)
FDI (USD b)
August 27 - 31, 2012
16

8th Annual Global Investor Conference
India at a glance: Corporate earnings
Corporate India is facing slowdown driven by both domestic and global headwinds
and weathered it only partially. While its topline growth was protected in FY12
the bottomline was severely dented. In contrast in FY13 while sales growth is
expected to nearly halve, PAT growth seem to have plateaued.
MOSL Universe Ex RMs has seen a revenue growth of 23% andd 12% PAT growth for
FY12. However we estimate the same for FY13 at 12% and 9% respectively.
MOSL Universe Mar-12 PAT at INR803bn is at its all time high. However the same
moderarted to INR735bn for June-12 quarter.
Oil & Gas and Financials contribute 46% to the total earnings (v/s 44% YoY). Metals
has seen a drop in contribution from 15% to 12%. Overall the contribution of
domestic plays are expected to increase in FY13.
FY13 Sensex EPS expected to grow 8% to 1,213 and FY14 EPS to grow 14% to 1,380.
As a pointer to the importance of the interest rates for the corporate sector, interest
/ sales for BSE 500 companies Excl Financials and RMS went upto 3.4% as against
~2.9% registered in past several quarters.
Profitability as reflected by PAT margin declined to 7.9% as against 8.8% registered
in Mar-12 quarter.
MOSL Universe Ex RMS PAT Growth (%)
MOSL Universe Ex RMS Sales Growth (%)
Quarterly PAT (MOSL Universe Ex RMs, INR b)
August 27 - 31, 2012
17

8th Annual Global Investor Conference
India at a glance: Corporate earnings
Sensex EPS (INR)
MOSL Universe contribution to PAT (%)
Sector
Domestic Plays
Banking
Pvt
PSU
NBFC
Domestic Consumer
Auto Ex Tata Motors
Telecom
Consumer
Domestic Non - Consumer
Utilities
Capital Goods
Cement
Real Estate
Others
Global Plays
Cyclical
Oil & Gas ex RMs
Metals
Tata Motors
Non-Cyclical
Technology
Healthcare
MOSL Universe ex RMs
FY06
49
18
4
11
3
10
3
3
4
21
14
3
2
1
1
51
41
26
14
1
10
7
3
100
FY07
48
16
4
10
3
11
2
5
4
21
10
4
4
3
1
52
41
22
17
1
11
8
3
100
FY08
53
17
4
10
3
13
3
7
4
22
8
3
4
6
1
47
38
21
15
1
10
7
3
100
FY09
55
21
4
13
3
14
2
7
4
21
9
4
4
3
1
45
34
20
15
-1
11
8
2
100
FY10
59
23
5
13
4
14
4
6
4
22
11
5
4
2
1
41
29
19
10
1
11
9
3
100
FY11
53
22
6
12
5
11
3
3
4
20
10
5
3
2
1
47
36
20
12
3
11
8
3
100
FY12
54
24
7
12
5
9
3
2
4
21
11
5
3
1
1
46
34
21
9
4
12
9
3
100
FY13E
56
25
7
13
5
10
3
1
5
21
11
4
3
1
1
44
31
18
9
3
14
10
4
100
BSE 500 Companies Excluding Financials & RMS
August 27 - 31, 2012
18

8th Annual Global Investor Conference
India at a glance: Indian equities
After a 25% decline in CY11, Sensex has delivered a 15% return in CY12YTD. Over
the last 10 years, Sensex delivered a return CAGR of 18%; among the best
performing global markets.
FII flows for CY12 YTD has been at USD11.5b after a outflow of USD0.5B in CY11.
Market cap of 30 billion-dollar market cap companies in 2002 was USD82b; the
number of billion-dollar market cap companies has ballooned to 163 with market
cap of USD947b.
Indian Market Cap to GDP has fallen from 89% in FY11 to 70% in FY12. At current
ratio of 62%, the markets are trading in line with long-term averages.
Valuations remain below historical average (rolling 12-month forward PE of 13.8x
v/s 10-year average of 14.7x). However, RoEs are also below the averages.
Indian Markets Annual Return
India Vs Global 10 Year CAGR (%)
August 27 - 31, 2012
19

8th Annual Global Investor Conference
India at a glance: Indian equities
Trend in FII Flows (USD b)
Companies with over USD1b market cap
Market Cap to GDP (%)
Sensex PE (x)
Sensex P/BV (x)
Sensex earnings yield v/s bond yield (%)
Indian market volumes
India Volatility Index (%)
August 27 - 31, 2012
20

8th Annual Global Investor Conference
Participating Companies
ACC
AIA Engineering
Ambuja Cements
Ashok Leyland
Au Financiers
Axis Bank
Bajaj Auto
Bajaj Electricals
Bajaj Finance
Bajaj FinSer
Bharat Petroleum Corporation
Bharti Airtel
Cairn India
CESC
Container Corporation of India
DB Corp
Dewan Housing Finance
Dish TV
DLF
Emami
Fort Point Automotive
GAIL India
GlaxoSmithKline Pharmaceuticals
Glenmark Pharmaceuticals
Godrej Consumer Products
Grasim Industries
HDFC
HDFC Bank
Hero MotorCorp
Hindalco Industries
Hindustan Unilever
HPCL
HT Media
ICICI Bank
ICRA
Idea Cellular
IDFC
Indusind Bank
Info Edge (India)
Infosys
ING Vysya Bank
IPCA Laboratories
ITC
Jindal Steel & Power
JP Associates
JSW Energy
JSW Steel
Kotak Mahindra Bank
Larsen & Toubro
LIC Housing Finance
Lupin
Mahindra Finance
Mahindra & Mahindra
Manappuram Finance
Marico
Maruti Suzuki
McLeod Russel
MCX
Motherson Sumi Systems
Muthoot Finance
NTPC
Oil India
ONGC
Phoenix Mills
Pidilite Industries
Power Grid
Radico Khaitan
Raymonds
Reliance Communications
Reliance Industries
Reliance Infrastructure
Rural Electric Corporation
Shoppers Stop
Shriram Transport Finance
Sidhivinayak Logistics
Simplex Infrastructure
State Bank of India
Sun Pharmaceuticals
Tata Consultancy Services
Tata Motors
Tata Steel
Titan Industries
Ultratech Cement
Union Bank of India
Unitech Automobile
Voltas
Wipro
Yes Bank
Zee Entertainment Enterprises
August 27 - 31, 2012
21

8th Annual Global Investor Conference
ACC
Company description
ACC, part of Holcim group, is the third largest cement
company in India with total capacity of 30.7m tons, and
pan-India presence with 16 plants. It is the oldest player
in the Indian cement industry with ~10% market share.
Key investment positives
ACC has one of the highest dependence on
domestic coal, necessitating shift towards open
market/imported coal as availability of domestic
linkage coal reduces.
Turning around loss-making RMC (ready-mix
concrete) subsidiary (INR25m PBIT loss), which is
going to be merged into ACC.
ACC is the best proxy on the Indian cement industry.
It is a market leader with share of ~10%, and without
revenue concentration in any particular region.
Strong brand equity and focus on trade segment
(~75% of volumes) drives premium pricing.
Focused on reducing power cost through captive
power plants and increasing use of alternate fuels.
It has equity stake in two coal blocks, viz, 200mt
reserve in MP (50% stake) and 685mt reserve in West
Bengal (14% stake). The mines, expected to become
operational in 3-4 years, will provide cost-effective
and long-term assured supply of energy.
High sensitivity to cement prices as every INR1/bag
change in cement price changes CY13E EPS by 2.4%.
With completion of major capex and strong cash flow
from operations, we estimate ACC to have net cash
balance of INR180/share by Dec-12.
Key news flows / triggers to watch
Cement demand recovery over next 12-18 months,
driven by pick-up in infrastructure activity.
Sustenance of pricing discipline in the key markets
of South and North India.
Outcome of the sector's appeal against CCI order
on alleged cartelization.
2QCY12 highlights
Realization improved 8% QoQ (+13% YoY) to
INR4,591/ton (v/s est INR4,396), led robust price
uptick across markets.
Volumes grew just 2% YoY (-10% QoQ) to 6.05mt
(v/s est 6.1mt).
Costs were largely in-line with estimates, as higher
than freight and other expenses were offset by
lower than estimated fuel cost.
Despite cost push, positive surprise in realizations
led to INR180/ton QoQ improvement in EBITDA/ton
to INR1,076 (v/s est INR905).
Key challenges
Very limited scope to increase production through
blending as already 85% of cement sold is blended.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
ACC IN
188
1,328
4.5
1,422 / 982
2 / 1 / 28
Quarterly Performance
Y/E December
Jun-11
Operating Income 24,030
Change (%)
18.9
EBITDA
5,503
Change (%)
-0.5
EBITDA Margin (%) 22.9
Reported PAT
3,366
Adjusted PAT
3,366
Change (%)
-6.2
PAT Margin (%)
14.0
Key Operating metrics
Volume (mt)
5.93
Realizations(INR/t) 4,052
EBITDA (INR/t)
928
E: MOSL Estimates
Sep-11
21,500
31.3
2,204
29.7
10.3
1,676
1,229
22.8
5.7
5.69
3,779
387
Dec-11
25,027
27.8
3,893
86.4
15.6
3,227
1,935
39.2
7.7
5.95
4,206
654
Mar-12
28,602
19.3
6,161
11.2
21.5
1,554
3,859
10.1
13.5
6.72
4,256
917
Jun-12
27,778
15.6
6,508
18.3
23.4
4,179
4,179
24.2
15.0
6.05
4,591
1,076
(INR Million)
CY11
94,387
22.3
16,992
9.3
18.0
13,254
11,083
9.3
11.7
23.7
3,978
716
CY12E
112,721
19.4
22,428
32.0
19.9
11,675
13,981
26.1
12.4
25.5
4,429
881
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
50.5
12.1
18.9
18.6
Mar-12
50.5
11.8
18.7
19.1
Jun-11
50.5
15.2
15.7
18.8
22
August 27 - 31, 2012

8th Annual Global Investor Conference
ACC: Financials and valuation
Income Statement
Y/E December
Net Sales
Change (%)
EBITDA
Change (%)
Margin (%)
Depreciation
Int. and Fin. Charges
Other Income - Rec.
EO Income/(Expense)
PBT After EO Item
Tax Rate (%)
Adjusted PAT
Change (%)
CY10
77,173
-3.9
15,540
-38.5
20.1
-3,927
-568
2,925
1,465
15,435
27.4
10,137
-38.2
CY11
94,387
22.3
16,992
9.3
18.0
-4,753
-969
3,518
17,685
25.1
11,083
9.3
(INR Million)
CY12E
112,721
19.4
22,428
32.0
19.9
-5,448
-1,216
4,150
16,560
29.5
13,981
26.1
CY13E
129,592
15.0
25,501
13.7
19.7
-5,736
-750
4,400
23,415
29.5
16,508
18.1
Ratios
Y/E December
Basic (INR)
EPS
Consolidated EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield
EV/ton (USD-Cap)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtors (Days)
Inventories (Days)
Creditors (Days)
CY10
53.9
52.4
74.8
344.3
30.5
59.5
CY11
59.0
57.7
84.3
382.7
28.0
46.0
CY12E
74.4
72.4
103.4
409.7
30.0
56.5
CY13E
87.8
87.8
118.4
459.6
32.5
43.3
Balance Sheet
Y/E December
Share Capital
Net Worth
Loans
Deferred Tax Liability
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr. Assets, Loans&Adv.
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liab. and Prov.
Account Payables
Other Liabilities
Provisions
Net Current Assets
Application of Funds
CY10
1,879
64,695
5,238
3,615
73,548
50,824
15,628
17,027
27,533
9,150
1,783
10,800
5,801
37,464
17,730
3,209
16,525
-9,931
73,548
CY11
1,879
71,923
5,107
5,184
82,214
62,075
4,353
16,250
36,179
10,997
2,604
16,526
6,053
36,644
20,687
5,416
10,540
-464
82,214
(INR Million)
CY12E
1,879
77,001
3,000
5,598
85,598
65,481
3,000
17,720
43,405
13,125
3,088
19,301
7,890
44,007
24,706
5,404
13,897
-602
85,598
CY13E
1,879
86,362
3,000
5,949
95,311
69,745
8,000
18,258
49,902
15,089
3,550
22,190
9,071
50,594
28,404
6,213
15,977
-692
95,311
23.6
16.1
2.4
13.4
3.6
2.1
135
18.8
13.2
2.0
9.9
3.3
2.2
131
15.5
11.5
1.7
8.6
3.0
2.4
129
16.2
16.3
16.2
15.7
18.8
20.2
20.2
21.9
8
43
84
10
43
80
10
43
80
10
43
80
Cash Flow Statement
Y/E December
OP/(Loss) before Tax
Interest/Div. Recd.
Direct Taxes Paid
(Inc)/Dec in WC
EO Income/(Exp)
CF from Op. incl EO Exp.
(inc)/dec in FA
(Pur)/Sale of Invest.
CF from Investments
Issue of Shares
(Inc)/Dec in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
CY10
15,540
2,925
-4,112
4,690
1,465
20,507
-7,234
-2,270
-9,504
1
-431
-568
-6,668
-7,666
CY11
16,992
3,518
-2,863
-3,741
-2,897
16,803
-4,729
777
-3,952
69
-131
-969
-6,095
-7,126
5,725
10,800
16,526
(INR Million)
CY12E
22,428
4,150
-4,471
2,914
3,354
21,666
-7,500
-1,470
-8,970
0
-2,107
-1,216
-6,597
-9,920
2,776
16,526
19,301
CY13E
25,501
4,400
-6,556
2,979
0
26,324
-15,000
-538
-15,538
0
0
-750
-7,147
-7,897
2,889
19,301
22,190
Key assumptions/operating metrics
Capacity (MT)
Dispatches (MT)
Growth (%)
Cap Util (%)
Net realization (INR/t)
Growth (%)
EBITDA (INR/t)
EBITDA Margins (%)
CY10
30.7
21.3
-1.1
69.4
3,625
-2.8
730
20.1
CY11
30.7
23.7
11.5
77.4
3,978
9.7
716
18.0
CY12E
30.7
25.5
7.3
83.0
4,429
11.4
881
19.9
CY13E
30.7
28.0
10.0
91.3
4,629
4.5
911
19.7
Inc/Dec of Cash
3,337
Add: Beginning Balance 7,464
Closing Balance
10,800
August 27 - 31, 2012
23

8th Annual Global Investor Conference
Ambuja Cements
Company description
Ambuja Cements, a part of Holcim group, is the fourth
largest cement company in India with total capacity of
27.5m tons under its control.
It is one of the lowest cost producers of cement with
focus on structurally sound markets of North, West and
East. It is also one of the largest exporters of cement
from India.
Key challenges
Given limited capacity addition, any strong
recovery in sector volume growth would result in
capacity constraint for Ambuja in CY14.
Any downturn in the export market would result in
oversupply in the domestic market, resulting in
pressure on prices in Ambuja's key market, Gujarat.
Key news flows / triggers to watch
Cement demand recovery over next 12-18 months,
driven by pick-up in infrastructure activity.
Sustenance of pricing discipline in the key markets
of South and North India.
Outcome of the appeal against CCI order in the
appellate tribunal on alleged cartelization.
Key investment positives
Ambuja Cement is the best cement company in
India with strong brand equity, favorable market mix
(West, North & East), focused segment mix (on
retail/ trade) and well-diversified fuel and transport
mix, translating into one of the highest profitability,
capital efficiency and payout.
Ambuja enjoys leadership in key markets (#1 in
North and #2 in West).
It has well diversified fuel mix, with only 55-57%
dependence on domestic coal (of which 33%
linkage), ~30% requirement met by imported coal,
and balance by domestic pet-coke.
Expect softening in imported coal prices to benefit
Ambuja, given ~30% dependence on imported coal.
Given its strong cash flow from operations and
completion of major capex, we estimate Ambuja to
have net cash balance of INR22/share by Dec-12.
2QCY12 highlights
1QCY12 realization improved 7% QoQ (10.7% YoY)
to INR4,556/ton (v/s est INR4,380), driven by strong
price improvement in domestic market and better
market/product mix (higher domestic cement
contribution).
Volumes grew 6.5% YoY (-9% QoQ) to 5.63mt (v/s
est 5.8mt) incl clinker.
Costs were largely in-line with estimates, as higher
than freight and other expenses were offset by
lower than estimated fuel cost
1QCY12 EBITDA/ton improved by ~INR80 QoQ to
INR1,283 (v/s est INR1,138).
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
ACEM IN
1,538
189
5.2
197 / 130
9 / 13 / 36
Quarterly Performance
Y/E December
Jun-11
Operating Income 21,764
Change (%)
6.3
EBITDA
5,853
Change (%)
-3.0
EBITDA Margin (%) 26.9
Reported PAT
3,475
Adjusted PAT
3,475
Change (%)
-11.2
PAT Margin (%)
16.0
Key Operating metrics
Volume (mt)
5.29
Realizations(INR/t) 4,114
EBITDA (INR/T)
1,106
E: MOSL Estimates
Sep-11
18,051
15.4
3,115
10.0
17.3
1,715
1,854
21.9
10.3
4.81
3,754
648
Dec-11
23,366
30.6
4,285
36.2
18.3
3,099
3,305
31.2
14.1
5.71
4,092
750
Mar-12
26,333
19.0
7,445
20.7
28.3
3,122
5,075
24.5
19.3
6.18
4,260
1,204
Jun-12
25,660
17.9
7,223
23.4
28.2
4,689
4,689
34.9
18.3
5.63
4,556
1,283
(INR Million)
FY12
85,306
15.4
19,315
5.9
22.6
12,289
12,547
0.9
14.7
21.45
3,977
901
FY13E
102,540
38.8
27,021
48.2
26.4
15,987
17,940
43.0
17.5
23.27
4,406
1,161
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
50.2
12.4
29.9
7.5
Mar-12
50.3
12.5
29.5
7.7
Jun-11
50.4
14.6
26.7
8.3
24
August 27 - 31, 2012

8th Annual Global Investor Conference
Ambuja Cements Financials and valuation
Income Statement
Y/E December
Net Sales
Change (%)
EBITDA
Change (%)
Margin (%)
Depreciation
Interest
Other Income - Rec.
EO Expense/(Income)
PBT after EO Exp.
Tax Rate (%)
PAT Adj for EO Items
Change (%)
2010
73,902
4.4
18,236
-2.3
24.7
3,872
487
2,476
-265
16,619
24.0
12,434
4.7
2011
85,306
15.4
19,315
5.9
22.6
4,452
526
3,050
358
17,029
27.8
12,547
0.9
(INR Million)
2012E
102,540
20.2
27,021
39.9
26.4
4,995
646
4,250
2,791
22,839
30.0
17,940
43.0
2013E
117,913
15.0
30,722
13.7
26.1
5,380
600
4,350
0
29,092
30.0
20,364
13.5
Ratios
Y/E December
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
EV/Ton (Cap) - US$
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Asset Turnover (x)
Debtor (Days)
Inventory (Days)
Creditor (Days)
2010
8.1
10.7
47.8
2.6
36.7
2011
8.2
11.1
52.4
3.2
46.7
2012E
11.7
14.9
58.3
3.5
44.9
2013E
13.3
16.8
66.3
4.0
39.7
Balance Sheet
Y/E December
Equity Share Capital
Net Worth
Deferred Liabilities
Total Loans
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Account Receivables
Cash and Bank Bal.
Curr. Liability & Prov.
Account Payables
Provisions
Net Current Assets
Appl. of Funds
2010
3,060
73,301
5,309
650
79,260
56,278
9,307
6,260
31,353
9,019
1,282
17,482
23,942
12,976
10,966
7,412
79,260
2011
3,069
80,694
6,436
494
87,624
61,865
5,773
8,643
38,283
9,250
2,409
20,712
26,942
15,881
11,061
11,341
87,624
(INR Million)
2012E
3,069
89,704
7,350
500
97,554
64,642
5,000
13,597
42,140
11,237
2,809
22,474
27,827
14,483
13,344
14,312
97,554
2013E
3,069
101,990
8,222
500
110,713
69,262
8,000
17,057
48,458
12,922
3,231
25,844
32,067
16,722
15,345
16,391
110,713
24.0
17.7
3.7
3.2
14.1
180
1.6
16.8
13.1
3.4
2.6
9.8
175
1.8
14.8
11.7
3.0
2.2
8.4
171
2.0
18.1
24.1
16.3
23.2
21.1
30.7
21.3
30.9
0.9
6
44.5
64
1.0
10
39.6
68
1.1
10
40.0
52
1.1
10
40.0
52
Cash Flow Statement
Y/E December
2010
Op. Profit/(Loss) bef. Tax 18,236
Interest/Dividends Recd. 2,476
Direct Taxes Paid
-3,983
(Inc)/Dec in WC
3,617
EO Income
265
CF from Op. incl EO Exp
20,612
(inc)/dec in FA
-7,870
(Pur)/Sale of Investments
965
CF from Investments
-6,905
Issue of Shares
(Inc)/Dec in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
618
-534
-487
-4,632
-5,035
8,673
8,809
17,482
2011
19,315
3,050
-4,740
-699
-358
16,568
-6,504
-2,384
-8,888
846
972
-526
-5,741
-4,449
3,231
17,482
20,712
(INR Million)
2012E
27,021
4,250
-6,852
-1,209
-2,791
20,419
-7,000
-4,953
-11,953
204
920
-646
-7,181
-6,703
1,762
20,712
22,474
2013E
30,722
4,350
-8,728
1,291
0
27,635
-13,000
-3,460
-16,460
0
873
-600
-8,078
-7,806
3,370
22,474
25,844
Key assumptions/operating metrics
Parameters
Capacity (MT)
Despatches (MT)
Growth (%)
Net Realizations (INR/t)
Growth (%)
EBITDA (INR/ton)
EBITDA Margins (%)
CY10
25.0
20.3
8.2
3,633
-3.5
896
24.7
CY11
27.5
21.4
5.4
3,977
9.5
901
22.6
CY12E
27.5
23.3
8.5
4,406
10.8
1,161
26.4
CY13E
27.5
25.6
10.0
4,606
4.5
1,200
26.1
August 27 - 31, 2012
25

8th Annual Global Investor Conference
Ashok Leyland
Company description
Ashok Leyland (AL), the flagship company of Hinduja
Group, is India's 2nd largest M&HCV player (~25% share)
and largest bus manufacturer.
To expand its product offerings, AL has entered into
50:50 JV with Nissan for LCVs and John Deere for
construction equipment.
Key challenges
Higher capex plans (INR4.5b in FY13) and investment
in JVs/subsidiaries (INR3-3.5b) would restrict
balance sheet improvement.
Intensifying competition, particularly from Daimler
(Bharat Benz) could materially alter Indian M&HCV
market's duopoly structure in the long term.
Key news flows / triggers to watch
Key investment positives
Despite weakness in M&HCV demand due to macro-
headwinds, AL is expected to report 5% MHCV
volume growth in FY13 with pick-up in its key
Southern market and new launches in 2HFY13.
Launch of LCV
Dost
by AL-Nissan JV plugs gap in AL's
product portfolio and marks entry in high growth
LCV segment.
While
Dost
would have adverse impact of 80bp/
120bp on standalone margins in FY13/14, it would
contribute 8%/9% to profits.
Ramp-up at Pantnagar plant and operating leverage
is expected to offset margin pressure arising from
higher discounts and increasing
Dost
contribution.
We expect EBITDA margin to decline only 20bp in
FY13 to 9.6%.
To counter the cyclical nature of the M&HCV
business, AL is focusing on enhancing contribution
from businesses like LCVs, spares, defense kits and
power solutions. Also, ramp-up in nascent exports
would help offset domestic cyclicality.
Reduction in interest rates & pick-up in economic
activity to boost CV demand.
Launch of new products under AL-Nissan JV.
Capex & investment plans for FY13.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 realization declined 16% YoY (-10% QoQ)
impacted by higher discounts & product mix change
in favor of LCV
Dost.
EBITDA margin declined 290bp QoQ (-170bp YoY) to
8% on the back of lower realizations and negative
operating leverage. Higher interest cost dragged
down PAT to INR670m, down 22% YoY (-74% QoQ).
AL earned ~INR150m PAT in 1QFY13 by contract
manufacturing & marketing
Dost.
However, the JV
would still be loss-making, and is expected to break
even at ~50,000 volumes.
AL expects domestic M&HCV sector volumes to
remain flat in FY13. It expects its own volumes of
~132k (incl
Dost),
with M&HCV growth of 6-7%. It
has also cut Pantnagar's volume guidance to 30,000.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
AL IN
2,661
22
1.1
33 / 20
-10 / -20 / -10
Quarterly Performance
Y/E March
Jun-11
Operating Income 25,127
Change (%)
7.0
EBITDA
2,446
Change (%)
3.9
EBITDA Margin (%) 9.7
Reported PAT
862
Adjusted PAT
862
Change (%)
(29.6)
PAT Margin (%)
3.4
Key Operating metrics
Volumes
19,277
Avg Realizn (INR m) 1.30
RM Cost (%)
27.9
E: MOSL Estimates
Sep-11
30,946
14.0
3,312
8.6
10.7
1,541
1,541
(7.8)
5.0
23,628
1.31
26.5
Dec-11
29,035
30.4
2,104
26.7
7.2
669
669
54.3
2.3
23,218
1.25
26.0
Mar-12
43,110
12.0
4,700
(7.5)
10.9
2,587
2,574
(13.7)
6.0
35,689
1.21
25.6
Jun-12
30,074
19.7
2,407
(1.6)
8.0
670
670
(22.3)
2.2
27,578
1.09
27.2
(INR Million)
FY12
128,420
14.9
12,561
3.5
9.8
5,660
5,647
(10.6)
4.4
101,812
1.26
25.2
FY13E
142,231
12.5
13,587
28.6
9.6
5,697
5,697
56.1
4.0
130,959
1.09
26.3
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
38.7
14.1
30.1
17.1
Mar-12
38.7
14.7
30.6
16.1
Jun-11
38.7
16.5
27.9
16.9
26
August 27 - 31, 2012

8th Annual Global Investor Conference
Ashok Leyland: Financials and valuation
Income Statement
Y/E March
2011
Net Sales
111,771
Change (%)
54.3
Expenditure
99,634
EBITDA
12,137
EBITDA (%)
10.9
Depreciation
2,674
Interest & Fin. Charges
1,889
Other Income
445
Non-recurring Expense / (Inc)
PBT
8,018
Effective Rate (%)
21.3
Adjusted PAT
6,313
Change (%)
48.1
(INR Million)
2012
2013E
2014E
128,420 142,231 162,996
14.9
10.8
14.6
115,859 128,644 146,994
12,561
13,587
16,001
9.8
9.6
9.8
3,528
3,828
4,266
2,553
3,162
3,387
404
350
545
-
(16)
-
-
6,900
6,947
8,893
18.0
18.0
18.0
5,647
5,697
7,292
-10.6
0.9
28.0
Ratios
Y/E March
Basic (INR)
EPS (INR)
EPS Growth (%)
Cash EPS (INR)
Book Value per Share
DPS (INR)
Payout (Excl. Div. Tax) %
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
2.4
49.0
3.4
14.9
1.0
42.1
2012
2.1
-10.3
3.4
15.8
1.0
47.0
2013E
2.1
0.7
3.6
16.8
1.0
46.7
2014E
2.7
28.0
4.3
18.1
1.2
43.8
Balance Sheet
Y/E March
Share Capital
Net Worth
Loans
Deferred Tax Liability
Foreign curr. translation
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr.Assets, L & Adv.
Inventory
Sundry Debtors
Cash & Bank Balances
Current Liab. & Prov.
Sundry Creditors
Net Current Assets
Application of Funds
2011
1,330
39,630
26,733
4,439
-
70,802
46,338
3,580
12,300
43,716
22,089
11,645
1,795
35,131
23,085
8,584
70,802
2012
2,661
42,082
32,630
4,904
42
79,657
49,135
5,482
15,345
49,195
22,306
12,302
326
39,501
27,725
9,695
79,657
(INR Million)
2013E
2,661
44,687
37,630
5,251
42
87,609
53,289
2,500
18,845
57,177
26,108
13,639
1,454
44,202
31,174
12,975
87,609
2014E
2,661
48,269
37,630
5,696
42
91,636
52,023
3,000
21,345
66,091
29,027
15,630
3,125
50,822
35,725
15,268
91,636
10.8
6.7
7.1
0.7
1.5
4.4
10.7
6.4
6.8
0.7
1.4
4.4
8.4
5.3
5.7
0.6
1.3
5.2
15.9
14.8
13.4
12.5
12.7
12.1
15.1
13.7
0.7
0.8
0.8
0.8
Cash Flow Statement
Y/E March
2011
OP/(Loss) before Tax
8,018
Interest/Divi. Received
139
Depr. & Amortisation
2,674
Direct Taxes Paid
-1,503
(Inc)/Dec in Wkg. Capital -4,914
Other Items
1,638
CF from Oper. Activity
6,053
Extra-ordinary Items
CF after EO Items
(Inc)/Dec in FA+CWIP
(Pur)/Sale of Invest.
CF from Inv. Activity
Issue of Shares
Inc/(Dec) in Debt
Interest Rec./(Paid)
Dividends Paid
CF from Fin. Activity
0
6,053
-3,501
-5,816
-9,317
0
3,733
-1,542
-2,327
-136
2012
9,033
404
3,528
-775
-2,580
0
9,609
16
9,625
-5,645
-3,045
-8,690
1,330
5,897
-2,553
-3,092
1,582
2,517
1,755
4,272
(INR Million)
2013E
9,759
350
3,828
-903
-2,152
0
10,882
0
10,882
-5,000
-3,500
-8,500
0
5,000
-3,162
-3,092
-1,253
1,128
4,272
5,400
2014E
11,735
545
4,266
-1,156
-622
0
14,768
0
14,768
-3,500
-2,500
-6,000
0
0
-3,387
-3,710
-7,097
1,671
5,400
7,072
Key assumptions/operating metrics
Y/E March
2011
Total Volumes (units)
94,106
Change (%)
47.2
of which Dost (units)
0
Change (%)
-
Realisations (INR '000)
1,188
Change (%)
4.8
2012
101,812
8.2
7593
-
1,261
6.2
2013E
130,959
28.6
32000
321
1,086
-13.9
2014E
150,855
15.2
42000
31
1,080
-0.5
Inc/(Dec) in Cash
-3,400
Add: Beginning Balance 5,155
Closing Balance
1,755
August 27 - 31, 2012
27

8th Annual Global Investor Conference
Axis Bank
Company description
Axis Bank (AXSB) is a leading private sector bank in
India, with a balance sheet size of INR2.9t+.
Promoted by UTI in 1994, the bank has a countrywide
presence through 1,681 branches and extension
counters in 1,080 locations and 10,300+ ATMs.
Over the past 10 years AXSB's assets CAGR is 35% and
PAT CAGR 42%. The bank has emerged as one of India's
best run banks and third largest private sector bank.
Key challenges
Reliance on bulk deposits is high; in case of tight
liquidity, managing margins may be a challenge.
AXSB's Tier-I capital stood at 9.5% (including 1Q
PAT). In our view, it would have to raise capital in
next 3-4 quarters to support its growth momentum.
Maintain tight cost-to-income ratio of 45% is a
challenge, considering growing retail business and
pressure on core earnings.
Considering significant macroeconomic stress, and
AXSB's higher exposure to SME and infrastructure
segments, asset quality may come under pressure
Key investment positives
Margins have come to a normalized level of 3.25-
3.5% after a decline of ~40bp to 3.4% over the past
two quarters. CASA ratio of ~36% (of which higher
share of granular SA of ~23%) and fall in bulk
deposits rates will cushion margins going forward.
Strong corporate relationships, faster branch
expansion, and high customer acquisitions led to
strong CASA CAGR of 45%+ over FY02-12. We expect
this trend of healthy growth to continue in SA;
however, structural issues in CA deposits growth
might lead to overall moderation in CASA growth.
AXSB's strengths in loan syndication, strong liability
franchise, and SME relationships lead to higher
contribution of fee income (~1.8%) to RoA.
Led by healthy core income growth and controlled
opex, return ratios remain superior with RoA of 1.5%
and RoE of 20%.
Key news flows / triggers to watch
Resolution of key issues in infrastructure, materially
altering asset quality and growth outlook
Improvement in margins and lower than expected
stress on loan book may provide earnings surprise.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
Reported loan
growth of 30% (adjusted 21%), 18bp QoQ decline in
NIMs to 3.37%, SA growth of 22% YoY, Fee income
growth of ~10% YoY, annualized slippage ratio of
1.4%, additions to restructured loans of INR6.2b,
and outstanding restructured loans at 2.2% of loans.
Guidance for FY13:
Loan growth of 1.3-1.4x industry
with higher focus on retail loans; NIM of 3.25-3.5%,
fee income growth in-line with asset growth, stable
cost to income ratio of 45%, credit cost of 80-85bp
and addition of 200-250 branches every year.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
AXSB IN
414
1,110
8.2
1309 / 785
5 / -10 / -10
Quarterly Performance
Y/E March
Jun-11
Net Int. Income
17,241
% Change (Y-o-Y)
13.9
Other Income
11,679
Net Income
28,920
Operating Exp.
13,335
Operating Profit
15,585
% Change (Y-o-Y)
7.5
Other Provisions
1,758
Net Profit
9,424
% Change (Y-o-Y)
27.0
Loan Growth (%)
21.4
NIM (%)
3.3
GNPA (on cust. assets, %) 1.1
E: MOSL Estimates
Sep-11
20,073
24.3
12,349
32,422
14,665
17,756
19.5
4,056
9,203
25.2
26.7
3.8
1.1
Dec-11
21,403
23.5
14,298
35,701
15,109
20,592
24.2
4,223
11,023
23.7
20.4
3.8
1.1
Mar-12
21,461
26.2
15,876
37,337
16,962
20,376
11.9
1,393
12,773
25.2
19.2
3.6
0.9
(INR Million)
Jun-12
FY12
21,799 80,177
26.4
22.2
13,355 54,202
35,154 134,380
15,517 60,071
19,637 74,309
26.0
15.8
2,588 11,430
11,535 42,422
22.4
25.2
29.8
19.2
3.4
3.6
1.1
0.9
FY13E
95,633
19.3
65,224
160,857
71,341
89,516
20.5
17,297
48,748
14.9
20.0
3.6
1.6
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
37.3
13.9
36.1
12.8
Mar-12
37.4
13.4
41.7
7.5
Jun-11
37.2
5.7
45.6
11.5
28
August 27 - 31, 2012

8th Annual Global Investor Conference
Axis Bank: Financials and valuation
Income Statement
Y/E March
2011
2012
Interest Income
151,548 219,946
Interest Expense
85,918 139,769
Net Interest Income
65,630
80,177
Change (%)
31.1
22.2
Non Interest Income
46,321
54,202
Net Income
111,951 134,380
Change (%)
25.1
20.0
Operating Expenses
47,794
60,071
Pre Provision Profits
64,157
74,309
Change (%)
22.4
15.8
Provisions (excl tax)
12,800
11,430
PBT
51,357
62,878
Tax
17,472
20,456
Tax Rate (%)
34.0
32.5
PAT
33,885
42,422
Change (%)
34.8
25.2
Equity Dividend (Incl tax) 6,704
7,701
Core PPP*
57,241
70,662
Change (%)
32.2
23.4
*Core PPP is (NII+Fee income-Opex)
(INR Million)
2013E
270,186
174,553
95,633
19.3
65,224
160,857
19.7
71,341
89,516
20.5
17,297
72,219
23,471
32.5
48,748
14.9
8,840
84,119
19.0
2014E
311,278
197,753
113,525
18.7
78,891
192,417
19.6
85,232
107,185
19.7
24,143
83,041
26,988
32.5
56,053
15.0
10,165
100,538
19.5
Ratios
Y/E March
Spreads Analysis (%)
Avg. Yield-Earning Assets
Avg. Yield on loans
Avg. Yield on Investments
Avg. Cost-Int. Bear. Liab.
Avg. Cost of Deposits
Interest Spread
Net Interest Margin
Profitability Ratios (%)
RoE
RoA
Int. Expense/Int.Income
Fee Income/Net Income
Non Int. Inc./Net Income
Efficiency Ratios (%)
Cost/Income*
Empl. Cost/Op. Exps.
Busi. per Empl. (INR m)
NP per Empl. (INR lac)
* ex treasury
Asset-Liability Profile (%)
Loans/Deposit Ratio
CASA Ratio
Investment/Deposit Ratio
G-Sec/Investment Ratio
CAR
Tier 1
2011
7.8
8.4
6.9
4.6
4.5
3.2
3.4
2012
9.0
9.9
7.7
6.0
6.0
3.1
3.3
2013E
9.4
10.3
7.6
6.3
6.4
3.1
3.3
2014E
9.1
9.9
7.6
6.0
6.0
3.1
3.3
19.3
1.6
56.7
26.1
41.4
20.3
1.6
63.5
28.2
40.3
19.6
1.6
64.6
29.4
40.5
19.1
1.5
63.5
29.8
41.0
Balance Sheet
(INR Million)
2014E
4,253
312,510
316,763
3,116,677
20.0
1,203,178
16.0
445,762
118,943
3,998,145
214,539
1,178,880
15.0
2,485,280
22.0
22,202
97,244
3,998,145
42.7
33.8
120.1
1.4
44.7
34.6
124.0
1.5
44.4
34.4
125.3
1.4
44.3
34.6
130.9
1.4
Y/E March
2011
2012
2013E
Equity Share Capital
4,105
4,132
4,253
Reserves & Surplus
185,883 223,953 265,145
Net Worth
189,988 228,085 269,398
Deposits
1,892,378 2,201,043 2,597,231
Change (%)
33.9
16.3
18.0
of which CASA Dep
777,674 914,220 1,037,433
Change (%)
17.8
17.6
13.5
Borrowings
262,679 340,717 390,301
Other Liabilities & Prov. 82,089
86,433 101,586
Total Liabilities
2,427,134 2,856,278 3,358,516
Current Assets
214,087 139,339 192,694
Investments
719,916 931,921 1,025,113
Change (%)
28.6
29.4
10.0
Loans
1,424,078 1,697,595 2,037,114
Change (%)
36.5
19.2
20.0
Fixed Assets
22,731
22,593
22,558
Other Assets
46,321
64,829
81,037
Total Assets
2,427,134 2,856,278 3,358,516
75.3
41.1
38.0
61.3
12.7
9.4
77.1
41.5
42.3
62.7
13.7
9.5
78.4
39.9
39.5
63.3
13.0
9.4
79.7
38.6
37.8
66.1
12.2
9.1
Valuation
Book Value (INR)
Change (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
EPS (INR)
Change (%)
Price-Earnings (x)
Dividend Per Share (INR)
Dividend Yield (%)
463.1
16.9
456.6
82.5
33.0
14.0
547.4
18.2
2.0
540.0
2.1
102.7
24.4
10.8
16.0
1.4
629.0
14.9
1.8
612.6
1.8
114.6
11.6
9.7
17.8
1.6
740.4
17.7
1.5
716.8
1.5
131.8
15.0
8.4
20.4
1.8
Asset Quality
GNPA (INR m)
15,994
NNPA (INR m)
4,104
GNPA Ratio
1.11
NNPA Ratio
0.29
PCR (Excl Tech. write off)
74.2
PCR (Incl Tech. Write off)
80.9
E: MOSL Estimates
18,063
4,726
1.06
0.28
73.3
80.9
33,244
10,724
1.61
0.53
67.7
73.1
(%)
51,618
15,406
2.05
0.62
70.2
73.6
August 27 - 31, 2012
29

8th Annual Global Investor Conference
Bajaj Auto
Company description
Bajaj Auto (BJAUT), the flagship company of the Bajaj
group, is India's leading manufacturer of two-wheelers
(~88% of sales volume mix) and three-wheelers
(balance 12% of volume mix).
BJAUT is the leader in India's three-wheeler market,
and the second largest player in motorcycles, where it
enjoys leadership in the premium segment. It is also
the largest exporter of two- and three-wheelers
(exports account for 36% of its volumes).
Key challenges
Increasing competitive intensity in the domestic
two-wheeler market could restrict pricing power.
Strengthening of commodity prices tends to put
pressure on margins.
Key news flows / triggers to watch
Scale-up of recent launches -
Pulsar 200NS
and
Discover 125ST
would be critical for growth.
Response to Honda's recently launched 110cc
Dream
Yuga
(first mass motorcycle) needs to be watched.
Recovery in key export markets of SL & Egypt.
Weak INR would support margins. While FY13 is
largely hedged with peak realization of INR50/USD,
it would get good rates for FY14 hedges, which
would support FY14 margins.
Key investment positives
Well-diversified product/market mix with both
presence in both two- and three-wheelers, and both
domestic and export markets. Its exposure to
domestic <125cc segment, where competitive
intensity is set to increase, is only ~26%.
Prime beneficiary of uptrading, over the longer
term, with rise in customers' income and aspiration
levels helped by its leadership in premium
motorcycle segment.
Exports, which are scaling up rapidly to ~40% in FY13,
should benefit from alliance with Kawasaki (market
access) and KTM (access to technology & markets).
Renewed strategy with focus on more profitable
Pulsar
&
Discover
brands would sustain high margin.
Significant free cash flow generation coupled with
limited capex would help sustain dividend payout
at higher levels (~49% in FY12).
1QFY13 highlights; guidance for FY13, FY14
1QFY13 volumes de-grew 1% YoY (+6% QoQ) to
1.08m. Adverse product/market mix led to
sequential decline (-1.4% QoQ) in realizations.
EBITDA margin declined 190bp QoQ (+10bp YoY) to
17.9% (v/s est 18.7%), impacted by adverse mix of
product (lower 3W volumes) & market (lower
exports), higher staff cost and higher other
expenses. Higher other income boosted adj PAT to
INR7.2b (- 1% YoY, -5% QoQ).
BJAUT expects exports to recover from August 2012,
resulting in additional three-wheeler sales volume
of 12-13,000/month.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
BJAUT IN
289
1,697
8.8
1839 / 1401
14 / -3 / 12
Quarterly Performance
Y/E March
Jun-11
Net Op. Income
47,063
Change (%)
21.0
EBITDA
8398.4
Change (%)
8.1
EBITDA Margin (%) 17.8
Adjusted PAT
7,111
Change (%)
20.5
Key Operating metrics
Volumes ('000)
1,093
Realization (INR) 43,066
Gross margin (%)
26.4
E: MOSL Estimates
Sep-11
51,854
19.4
9754.7
(9.0)
18.8
7,898
15.8
1,164
44,543
27.5
Dec-11
49,859
19.4
9841.3
15.9
19.7
8,340
25.0
1,075
46,361
28.5
Mar-12
46,514
12.2
9205.5
14.6
19.8
7,590
12.3
1,017
45,729
28.8
Jun-12
48,657
3.4
8,717
3.8
17.9
7,184
1.0
1,079
45,095
27.9
(INR Million)
FY12
195,290
19.1
37,200
17.3
19.0
31,069
(9.7)
4,350
44,899
27.8
FY13E
211,738
8.4
39,323
5.7
18.6
31,744
2.2
4,685
45,196
28.2
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
50.0
9.8
15.3
24.9
Mar-12
50.0
8.4
16.9
24.7
Jun-11
50.0
8.1
16.3
25.6
30
August 27 - 31, 2012

8th Annual Global Investor Conference
Bajaj Auto: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
EBITDA
EBITDA Margins (%)
Depreciation
Int. & Fin. Charges
Other Income
Non-recurring Exp.
PBT
Effective Rate (%)
Adj. PAT
Change (%)
2011
163,981
37.6
31,711
19.3
1,228
17
5,765
-7,246
43,476
23.2
26,150
43.9
2012
195,290
19.1
37,200
19.0
1,456
222
6,080
1,340
40,262
25.4
31,069
18.8
(INR Million)
2013E
211,738
8.4
39,323
18.6
1,466
102
7,271
0
45,027
29.5
31,744
2.2
2014E
246,132
16.2
49,315
20.0
1,532
13
8,909
0
56,680
29.5
39,959
25.9
Ratios
Y/E March
EPS (INR)
EPS growth (%)
Cash EPS (INR)
Book Value per Share
DPS (INR)
Payout (Incl. Div. Tax) %
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
90.4
43.9
94.6
169.7
40.0
51.4
2012
107.4
18.8
112.4
208.8
45.0
48.7
2013E
109.7
2.2
114.8
260.0
50.0
53.3
2014E
138.1
25.9
143.4
333.7
55.0
46.6
Balance Sheet
Y/E March
Share Capital
Net Worth
Deferred Tax
Loans
Capital Employed
2011
2,894
49,102
297
3,252
52,651
2012
2,894
60,411
484
975
61,870
14,817
417
48,828
46,749
6,785
4,228
16,538
48,941
20,031
-2,192
61,870
(INR Million)
2013E
2,894
75,226
1,160
975
77,361
15,268
1,000
48,828
65,873
7,946
4,891
32,862
53,609
23,231
12,265
77,361
2014E
2,894
96,565
2,010
975
99,550
16,737
1,000
48,828
94,345
9,258
5,699
56,594
61,360
27,068
32,985
99,550
18.7
17.9
13.8
2.7
10.0
2.4
15.8
15.0
11.4
2.2
8.1
2.7
15.4
14.7
10.4
1.9
6.5
3.0
12.2
11.8
7.8
1.6
5.1
3.3
66.7
76.0
56.7
73.0
46.8
64.8
46.5
64.1
0.1
0.0
0.0
0.0
Net Fixed Assets
14,827
Capital WIP
699
Investments
47,952
Current Assets
28,726
Inventory
5,473
Sundry Debtors
3,628
Cash & Bank Balances
5,565
Current Liab. & Prov.
39,553
Sundry Creditors
19,431
Net Current Assets
-10,827
Application of Funds
52,651
Cash Flow Statement
Y/E March
2011
2012
OP/(Loss) before Tax
32,867
38,829
Interest/Div. Received
3,631
3,261
Depreciation & Amort.
1,228
1,456
Direct Taxes Paid
-9,743
-11,483
(Inc)/Dec in Working Capital-8,215
797
CF from Oper. Activity
19,768
32,860
(Inc)/Dec in FA+CWIP
(Pur)/Sale of Invest.
CF from Inv. Activity
Inc. / Dec.in Networth
Inc/(Dec) in Debt
Interest Paid
Dividends Paid
CF from Fin. Activity
Inc/(Dec) in Cash
Add: Beginning Bal.
Closing Balance
-1,678
-8,184
-9,863
0
-1,866
-17
-6,737
-8,620
1,285.4
1,002
2,287
-1,159
-6,557
-7,716
0
-2,001
-222
-13,420
-15,644
9,501
5,565
15,066
(INR Million)
2013E
37,857
7,271
1,466
-12,607
1,867
35,854
-2,500
0
-2,500
0
0
-102
-16,928
-17,030
16,324
16,538
32,862
2014E
47,784
8,909
1,532
-15,870
3,011
45,365
-3,000
0
-3,000
0
0
-13
-18,621
-18,634
23,731
32,862
56,594
Key assumptions/operating metrics
Y/E March
Volumes ('000 units)
Change (%)
Realisations (INR)
Change (%)
INR/USD
RM Cost (% of sales)
2011
3,844
34.2
42,883
2.6
46.5
71.9
2012
4,350
13.1
44,899
4.7
48.0
72.2
2013E
4,685
7.7
45,196
0.7
50.0
71.8
2014E
5,295
13.0
46,484
2.9
52.0
70.7
August 27 - 31, 2012
31

8th Annual Global Investor Conference
Bharat Petroleum Corporation
Company description
A Fortune 500 company, BPCL has interests in oil refining
and marketing of petroleum products. It is the third
largest refining company in India with a capacity of
12mmtpa at its Mumbai refinery and 9.5mmtpa at Kochi.
BPCL has majority stake (63%) in Numaligarh Refineries,
a 3mmtpa refinery in the north-east. Besides, it has
investments in IGL (22.5% stake) and Petronet LNG
(12.5% stake). BPCL is a public sector undertaking in
which the government of India holds 54.93%.
Key challenges
Ad hoc subsidy sharing, delays in diesel
deregulation.
Non-commensurate increase in retail fuel prices as
crude price rises leads to under-recoveries for BPCL.
Further, ad-hoc nature of subsidy sharing impacts
profits, even more so on a quarterly basis.
Key news flows / triggers to watch
Clarity on certified recoverable reserves from its
E&P blocks in Brazil and Mozambique.
Capacity utilization and GRM performance at its new
6mmtpa Bina refinery.
Subsidy rationalization by the government and de-
control of diesel prices.
Timelines on (1) cash transfer for PDS kerosene,
and (2) limiting of LPG cylinders to households.
Key investment positives
Earnings contingent on subsidy sharing:
BPCL's
profitability continues to be determined by
quantum of under-recoveries and sharing
mechanism, rather than fundamentals. Post de-
regulation and subsidy rationalization, BPCL's
valuations should benefit due to improvements in
(1) earnings quality, (2) RoCE and RoE, (3) cash cycle,
and (4) debt levels.
Bina refinery to boost medium-term growth:
BPCL
has 49% stake in the ~INR114b Bina refinery, which
will have a capacity of 6mmtpa. Bina is expected to
ramp-up commercial production going forward.
Expect upside potential in E&P value:
BPCL's E&P
portfolio is likely to add substantial value as it
completes its appraisal program and gives out the
certified resource/reserve numbers.
1QFY13 highlights; guidance for FY13, FY14
BPCL's net under-recovery in 1QFY13 stood at INR80b
due to (1) absence of any budgetary support from
government, and (2) upstream subsidy sharing at
only 32% (v/s 40% in FY12).
BPCL's 1QFY13 reported GRM stood at USD2.6/bbl
v/s negative GRM reported by HPCL (USD-2.1/bbl)
and IOC (USD-4.8/bbl).
BPCL expects 100% utilization for its JV refinery at
Bina, Madhya Pradesh.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
BPCL IN
723
341
4.4
395 / 230
-13 / 13 / -5
Quarterly Performance
Y/E March
Jun-11
Sep-11 Dec-11
Operating Income
461
423
588
Change (%)
34.7
19.7
60.4
EBITDA
-22
-27
37
Change (%)
nm
nm
406.3
EBITDA Margin (%) -4.7
-6.4
6.3
Reported PAT
-26
-32
31
Adjusted PAT
-26
-32
31
Change (%)
nm
nm
1575.5
PAT Margin (%)
nm
nm
5.3
Key operating Metrics
GRM (USD/bbl)
3.0
1.7
3.5
Gross under recovery 103
49
76
Upstream sharing
34
16
36
Oil Bonds
35
0
70
Net Under/(Over) reco.34
32
-29
As a % of Gross
32.6
nm
nm
E: MOSL Estimates; nm - Not Meaningful
Mar-12
646
42.9
51
207.6
7.8
40
40
323.8
6.1
4.2
98
43
92
-36
nm
Jun-12
545
18.2
-82
nm
-15.0
-88
-88
nm
nm
2.6
116
37
0
80
68.5
(INR Billion)
FY12
2,119
39.9
38
13
1.8
13
13
-15.2
0.6
3.2
326
130
197
00
0.0
FY13E
2,222
4.9
42
10
1.9
12
12
-10.3
0.5
4.7
353
140
213
0.0
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
55.8
18.1
9.0
17.0
Mar-12
55.8
18.8
8.0
17.5
Jun-11
55.8
20.2
6.8
17.2
32
August 27 - 31, 2012

8th Annual Global Investor Conference
Bharat Petroleum Corporation: Financials and valuation
Income Statement (Consolidated)
(INR Million)
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
Dividend
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV / EBITDA
EV / Sales
Price / Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Asset Turnover (x)
Leverage Ratio
Debt / Equity (x)
2011
22.6
48.8
212.3
7.0
39.4
2012
10.8
44.1
216.7
5.5
59.6
2013E
20.9
56.4
231.7
5.0
28.0
2014E
21.9
59.7
248.9
4.0
21.3
Y/E March
2011
2012
2013E
2014E
Net Sales
1,536,450 2,119,639 2,392,999 2,280,411
Change (%)
24.1
38.0
12.9
-4.7
Finished Gds Purchase 701,497 918,786 1,066,497 986,722
RM & Other exp
692,475 1,030,487 1,173,849 1,167,766
Other operating Exp.
99,865 123,996
94,279
68,340
EBITDA
42,612
46,370
58,375
57,583
% of Net Sales
2.8
2.2
2.4
2.5
Depreciation
18,914
24,108
25,715
27,300
Interest
12,468
22,591
20,582
15,776
Other Income
17,252
16,324
11,517
9,391
PBT
28,483
15,995
23,594
23,898
Tax
11,062
7,482
7,489
7,038
Rate (%)
38.8
46.8
31.7
29.5
Minority Interest
1,071
705
1,005
1,005
PAT
16,350
7,809
15,101
15,856
Adj. PAT
16,350
7,809
15,101
15,856
Change (%)
0.2
-52.2
93.4
5.0
15.1
7.0
11.8
0.3
1.6
2.1
31.6
7.7
10.3
0.2
1.6
1.6
16.3
6.0
7.9
0.2
1.5
1.5
15.6
5.7
7.8
0.2
1.4
1.2
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Minority interest
Loans
Deferred Tax
Capital Employed
2011
7,231
146,277
153,508
9,975
251,855
13,074
428,412
2012
7,231
149,434
156,664
10,679
237,117
13,074
417,535
375,695
176,690
199,005
90,000
96,510
3,855
186,953
42,576
20,174
86,356
278,217
29,709
28,133
33
417,535
(INR Million)
2013E
7,231
160,305
167,535
11,684
207,115
12,733
399,068
459,927
202,405
257,522
45,000
111,510
3,855
178,997
38,034
2,955
86,356
295,725
29,469
-18,852
33
399,068
2014E
7,231
172,776
180,007
12,689
197,217
12,392
402,305
481,870
229,705
252,165
45,000
126,510
3,855
169,887
35,443
9,430
86,356
297,598
28,777
-25,258
33
402,305
11.1
5.5
5.0
5.3
9.3
8.0
9.1
7.6
7
4.8
6
5.9
6
5.7
6
4.8
1.6
1.5
1.2
1.1
Gross Fixed Assets
344,851
Less: Depreciation
152,581
Net Fixed Assets
192,269
Capital WIP
82,864
Investments
84,600
Intangibles
3,855
Curr. Assets, L & Adv.
Inventory
182,135
Debtors
28,779
Cash & Bank Balance
7,971
Loans & Advances
86,421
Current Liab. & Prov.
Liabilities
206,051
Provisions
34,462
Net Current Assets
64,792
Less: Miscellaneous exp.
33
Application of Funds
428,412
Cash Flow Statement
Y/E March
2011
OP/(Loss) before Tax
28,632
Depreciation
18,914
Interest Paid
12,468
Direct Taxes Paid
-12,475
Other operating items -13,028
(Inc)/Dec in Wkg. Capital 13,489
CF from Op. Activity
48,001
(Inc)/Dec in FA & CWIP
-43,057
(Pur)/Sale of Investments 38,532
CF from Inv. Activity
-4,525
Issue of Shares
Net Inc / (Dec) in Debt
Interest paid
Dividends Paid
Other Fi. Activities
CF from Fin. Activity
0
4,137
-13,967
-6,449
3,278
-13,001
2012
15,995
24,108
22,591
-7,482
0
48,863
104,075
-37,980
-11,910
-49,890
0
-14,738
-22,591
-4,653
0
-41,981
12,203
7,971
20,174
(INR Million)
2013E
23,594
25,715
20,582
-7,830
0
29,765
91,827
-39,232
-15,000
-54,232
0
-30,002
-20,582
-4,230
0
-54,814
-17,219
20,174
2,955
2014E
23,898
27,300
15,776
-7,379
0
12,881
72,476
-21,943
-15,000
-36,943
0
-9,898
-15,776
-3,384
0
-29,058
6,475
2,955
9,430
Key assumptions/operating metrics
Y/E March
Exchange rate
Marketing sales (mmt)
Refinery throughput (mmt)
GRM (USD/bbl)
Singapore GRM (USD/bbl)
Prem/(disc)
E: MOSL Estimates
August 27 - 31, 2012
2011
45.6
29.1
21.8
4.5
5.2
-0.7
2012
47.9
31.1
22.9
3.2
8.2
-5.1
2013E
53.5
32.9
24.0
4.7
7.8
-3.1
2014E
52.0
33.5
24.2
6.0
8.0
-2.0
Inc / ( Dec) in Cash
30,475
Cash (incl ST borrowings) -22,504
Closing Balance
7,971
33

8th Annual Global Investor Conference
Bharti Airtel
Company description
Bharti Airtel is one of the world's leading providers of
telecom services with significant presence in India,
operations spread over 17 countries of Africa, Sri Lanka
and Bangladesh with an aggregate customer base of
~260m. It is an integrated operator with presence in
wireless, fixed-line and broadband, long distance,
enterprise, and passive infrastructure. It is India's
largest wireless operator with revenue market share
of ~30% and population coverage of 86%.
Key news flows / triggers to watch
2G spectrum auction mandated by the Supreme
Court is expected to be held in Nov-12. The auction
is expected to set the base price for all future
spectrum payments.
Potential listing of passive infrastructure subsidiary
Bharti Infratel.
Final government decision on spectrum re-farming.
Ramp-up of its 3G subscriber base post recent sharp
tariff cuts introduced by the industry.
Key investment positives
Bharti continues to consolidate its wireless
leadership in India with wireless subscriber share
of ~20% and revenue share of ~30%.
Well positioned to capture rural growth given deep
coverage and favorable frequency allocation.
Industry consolidation is inevitable given continued
high losses of challengers and stretched balance
sheets across operators.
1QFY13 highlights; guidance for FY13, FY14
Key challenges
Hyper-competition in the Indian mobile business.
Regulatory uncertainty and significant potential
liability of ~INR400b related to allocated spectrum
if incumbents are required to pay in line with the
announced reserve price of INR28b per MHz for pan-
India spectrum in 1,800MHz band.
High sensitivity to forex and interest rates.
Adverse macro environment in Africa.
1QFY13 PAT declined 37% YoY and 24% QoQ to
INR7.6b, significantly below estimate of INR10.7b.
Consolidated revenue of INR 193.5b (+ 3.3% QoQ)
was broadly in-line. EBITDA/PAT were 8/29% below
estimates due to 300bp QoQ EBITDA margin
decline. PAT was boosted by INR1.6b forex gain.
India mobile traffic grew 3.7% QoQ and mobile RPM
declined 2.5% QoQ to 42.7p; both in-line.
Africa EBITDA declined 8% QoQ to USD275m (v/s
est flat) on 0.4% QoQ revenue growth (2.7% traffic
growth, 3.1% RPM decline). EBITDA margin declined
200bp QoQ to 25.8%.
Africa business was impacted from higher economic
linkages of economy with Europe, violence in
Nigeria/DRC and increased competition in Ghana.
Net debt increased by INR32.5b QoQ to ~INR683b.
Bharti has guided for capex of USD2-2.2b in India &
SA, and USD900m in Africa.
(INR Million)
Sep-11
172,698
13.5
58,151
13.5
33.7
10,270
-38.2
Dec-11
184,767
17.3
59,584
19.6
32.2
10,113
-22.4
Mar-12
187,294
15.1
62,329
14.4
33.3
10,059
-28.2
Jun-12
193,501
14.0
58,487
2.5
30.2
7,622
-37.3
FY12
714,507
20.2
237,122
18.8
33.2
42,595
-29.6
FY13E
801,736
12.2
244,597
3.2
30.5
28,439
-33.2
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
BHARTI IN
3,798
262
17.8
417 / 253
-22 / -22 / -39
Quarterly Performance
Y/E March
Jun-11
Revenue
169,749
YoY Change(%)
38.8
EBITDA
57,058
YoY Change(%)
29.3
EBITDA Margin(%) 33.6
Adjusted PAT
12,152
YoY Change(%)
-27.7
Key operating metrics
India Mobile
Traffic (B Min)
221
RPM (INR/min)
0.43
Africa
Subscribers (m)
46
ARPU (USD/mon)
7.2
EBITDA margin (%) 25.2
E: MOSL Estimates
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
45.7
8.4
39.9
6.0
Mar-12
45.7
8.2
40.0
6.2
Jun-11
45.5
8.5
40.6
5.4
217
0.43
48
7.3
26.2
219
0.45
51
7.1
26.7
231
0.44
53
6.8
27.8
239
0.43
56
6.5
25.8
889
0.44
53
7.1
26.5
997
0.43
65
6
25.9
34
August 27 - 31, 2012

8th Annual Global Investor Conference
Bharti Airtel: Financials and valuation
Income Statement
Y/E March
Revenues
Change (%)
Total Expenses
EBITDA
% of Gross Sales
Depn. & Amortization
EBIT
Net finance cost
Other Income
PBT
Tax
Rate (%)
Minority Interest
Adjusted PAT
2011
594,672
42.1
395,007
199,664
33.6
102,066
97,598
21,813
998
76,783
17,790
23.2
-1,475
60,468
2012
714,507
20.2
477,385
237,122
33.2
133,680
103,442
38,185
-73
65,184
22,602
34.7
-13
42,595
(INR Million)
2013E
801,736
12.2
557,138
244,597
30.5
155,780
88,818
38,559
-222
50,037
21,217
42.4
381
28,439
2014E
884,756
10.4
609,474
275,282
31.1
162,892
112,390
38,963
-245
73,182
27,654
37.8
5,952
39,577
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
DPS
Payout %(Incl.Div.Taxes)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Asset Turnover (x)
Leverage Ratio
Net Debt/Equity (x)
2011
15.9
42.8
136.1
1.0
6.3
2012
11.2
46.5
140.7
1.1
10.0
2013E
7.5
48.6
143.7
0.7
10.0
2014E
10.4
53.4
154.0
1.0
10.0
16.4
6.1
8.0
2.7
1.9
0.4
23.3
5.6
6.9
2.3
1.9
0.4
35.0
5.4
6.9
2.1
1.8
0.3
25.1
4.9
5.8
1.8
1.7
0.4
Balance Sheet
(INR Million)
Y/E March
2011
2012
2013E
2014E
Share Capital
18,988
18,988
18,988
18,988
Add. Paid up Capital
56,499
56,499
56,499
56,499
Reserves
412,181 430,626 443,150 476,363
Net Worth
487,668 506,113 518,637 551,850
Loans
616,708 690,232 871,062 970,254
Minority Interest
28,563
27,695
26,409
32,360
Other Liabilities
28,078
31,920
38,739
39,845
Deferred Tax Liability
18,572
18,861
22,124
22,943
Capital Employed
1,179,589 1,274,821 1,476,971 1,617,252
Gross Block
1,599,377 1,776,560 1,928,439 2,037,680
Less : Depreciation
310,634 440,740 517,139 680,037
Net Block
1,288,743 1,335,820 1,411,300 1,357,643
Other Non-Curr. Assets
64,244
86,711 106,505 107,146
Curr. Assets
112,077
Inventories
2,139
Debtors
54,929
Cash & Bank Balance
9,575
Short-term investments
6,968
Other Current Assets
38,466
148,084
1,308
63,735
20,300
18,934
43,807
304,832
1,341
75,675
82,921
93,490
51,405
345,666
297,728
47,937
-40,834
504,140
1,479
82,182
172,921
193,490
54,068
351,678
303,465
48,213
152,462
12.6
8.7
8.1
6.2
5.3
4.5
7.0
5.1
34
0.78
33
0.65
34
0.70
34
0.78
1.2
1.2
1.3
1.0
Cash Flow Statement
Y/E March
2011
Op.Profit/(Loss) bef Tax 199,664
Other Income
998
Interest Paid
-21,813
Direct Taxes Paid
-37,970
(Inc)/Dec in Wkg. Cap. 120,819
CF from Op.Activity
261,699
2012
237,122
-73
-38,185
-25,730
-18,280
154,854
(INR Million)
2013E
244,597
-222
-38,559
-28,673
42,819
219,963
2014E
275,282
-245
-38,963
-27,654
-4,344
204,076
(inc)/Dec in FA + CWIP -848,290 -180,757 -231,260 -109,235
(Pur)/Sale of Investments 45,451 -11,990 -83,761 -100,000
CF from Inv. Activity
-802,839 -192,748 -315,020 -209,235
Issue of Shares
9,624
Inc/(Dec) in Debt
514,810
Other Financing Activities
961
CF from Fin.Activity
525,395
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
-15,748
25,323
9,575
-19,791
73,524
-5,113
48,620
10,725
9,575
20,300
-18,641
180,830
-4,508
157,681
62,621
20,300
82,921
-74
99,192
-3,959
95,159
90,000
82,921
172,921
Curr. Liab. & Prov.
285,475 295,795
Creditors
249,737 243,461
Other Current Liabilities 35,738
52,334
Net Curr. Assets
-173,398 -147,710
Appl. of Funds
E: MOSL Estimates
1,179,589 1,274,821 1,476,970 1,617,252
August 27 - 31, 2012
35

8th Annual Global Investor Conference
Cairn India
Company description
Cairn India, an E&P company, listed in January 2007
through an IPO after it spun off from its parent Cairn
Energy Plc. Recently, Cairn Energy sold its majority stake
in Cairn India to Vedanta Group. Cairn has working
interest in 10 E&P blocks. Ravva and Cambay blocks
produce about 40kboepd (Cairn WI ~10kbpd). The
Rajasthan block, which accounts for ~80% of Cairn's
reserves, produced at 167kbpd (Cairn WI ~ 117kbpd) in
1QFY13 and is currently producing at 175kbpd.
Key challenges
Smooth approvals for Rajasthan production
ramp-up
Clarity on cash utilization and payment of maiden
dividend.
Key news flows / triggers to watch
Debottlenecking of pipeline.
Approvals for further exploration in Rajasthan
block.
Likely special dividend given the comfortable cash
position (net cash at USD2b as on June 30, 2012).
Key investment positives
Expect ramp-up in production, smooth government
approvals:
Resolution of royalty and cess issue has
realigned its economic interests with its JV partner,
ONGC, and the government. Post Vedanta
acquisition, it has ramped up its production from
125 to 175kbpd. Key things to be watch out in near
term are (1) debottlenecking of pipeline, and (2)
production ramp-up. Expect significant free cash
flow as production from Rajasthan ramps up.
Upside from additional exploration:
Rajasthan block
is a world-class asset. There remains upside from
current area and additional area to be developed.
Initial success in other exploratory blocks:
Of the
current 7 exploration blocks, 3 (2 in KG basin and 1
in Sri Lanka) have already recorded discoveries and
are likely to provide valuation upsides.
1QFY13 highlights; guidance for FY13, FY14
Rajasthan production averaged 167kbpd in 1QFY13
with exit rate of 175kbpd.
Rajasthan realization stood at USD100/bbl, implying
9.1% discount to Brent price.
Guided capex of USD2b over FY13-14 includes:
(1) USD600m for Rajasthan exploratory activities
(subject to government approvals), (2) USD600m for
Rajasthan development activities (management
hopeful of easy approvals), and (3) USD800m for
other exploratory activities in its exploration blocks.
Ramp-up delayed due to (a) delay in pipeline de-
bottlenecking, and (b) delay in the Aishwarya start
from 2HCY12 to 4QFY13.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
CAIR IN
1,908
334
11.4
401 / 250
2 / -10 / 15
Quarterly Performance
Y/E March
Jun-11
Sep-11
Operating Income
37
27
Change (%)
341.7
-1.3
EBITDA
32
21
Change (%)
390.6
-3.3
EBITDA Margin (%) 85.5
79.3
Reported PAT
27
21
Adjusted PAT
27
8
Change (%)
868.9
-51.9
PAT Margin (%)
73.4
28.8
Key Metrics
Rajasthan (gross) 125.1
125.3
Sales - Cairn's Share (kboepd)
Ravva and Cambay 12.1
11.5
Rajasthan
87.6
87.7
Realiz. (USD/bbl) 103.4
100.0
Disc. to Brent (%)
10.5
10.0
E: MOSL Estimates
Dec-11
31
0.0
25
-0.7
82.2
23
23
12.5
73.0
125.1
11.4
87.6
98.3
8.2
Mar-12
37
-0.1
30
-5.0
81.6
22
22
-11.0
59.9
137.6
10.9
96.3
106.7
8.7
Jun-12
44
19.6
35
10.0
78.7
38
38
40.3
86.2
167.1
10.2
117.0
99.3
8.7
(INR Billion)
FY12
131
27.6
108
27
82.4
93
79
25.3
60.5
128.3
11.5
89.8
102.1
9.0
FY13E
175
33.1
132
22
75.6
107
107
35.1
61.4
173.0
10.2
121.1
92.5
11.0
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
58.9
6.4
26.9
7.9
Mar-12
58.9
7.0
29.2
4.9
Jun-11
62.2
7.3
7.5
23.0
36
August 27 - 31, 2012

8th Annual Global Investor Conference
Cairn India: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
Change in Stock
Employee Costs
Operating Costs
EBITDA
% of Net Sales
D,D&A (incl. w/off)
Interest
Other Income
EBIT
Forex Fluctuations
Exceptional Item
PBT
Tax
Rate (%)
PAT
Adjusted PAT
Change (%)
2011
102,779
533.3
-264
1,105
16,709
85,228
82.9
-13,596
-2,909
1,288
70,011
-1,112
0
68,899
5,556
7.9
63,343
63,343
502.6
2012
131,130
27.6
-263
861
22,475
108,056
82.4
-17,391
-2,220
3,194
91,639
6,148
-13,552
84,235
4,857
5.3
79,378
92,929
46.7
(INR Million)
2013E
174,533
33.1
-180
991
41,793
131,929
75.6
-25,255
-345
4,861
111,190
5,841
0
117,031
9,824
8.8
107,207
107,207
15.4
2014E
180,090
3.2
0
1,139
53,901
125,050
69.4
-27,668
0
7,378
104,761
0
0
104,761
12,647
12.1
92,113
92,113
-14.1
Ratios
Y/E March
Basic (INR)
EPS
Adjusted EPS
Cash EPS
Book Value
Adj. Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV / EBITDA
EV / BOE (in USD, 1P basis)
Price / Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Fixed Asset Turnover (x)
Leverage Ratio
Net Debt / Equity (x)
2011
33.3
33.3
39.6
211.9
78.7
0.0
0.0
2012
41.7
48.8
49.3
244.0
110.9
8.3
19.5
2013E
56.3
56.3
67.0
287.4
154.3
11.3
22.9
2014E
48.4
48.4
60.2
324.7
191.7
9.7
22.9
8.0
6.8
5.3
16.5
1.4
2.5
5.9
5.0
3.9
13.3
1.2
3.4
6.9
5.5
3.8
12.5
1.0
2.9
17.1
17.9
21.4
20.7
21.2
21.7
15.8
17.7
Balance Sheet
Y/E March
Share Capital
Reserves & Surplus
Net Worth
Total Loans
Deferred Tax
Capital Employed
2011
19,019
383,913
402,932
26,782
5,750
435,465
2012
19,026
445,126
464,152
0
6,876
471,027
61,582
54,101
10,318
253,193
18,356
138
5,389
10,419
70,933
16,655
14,370
16,628
72,397
943
471,027
47.9
114
128
104
9
(INR Million)
2013E
19,026
527,800
546,826
0
11,643
558,468
60,678
42,329
51,209
253,193
18,356
138
7,173
11,954
131,595
16,655
19,127
16,628
131,622
943
558,468
53.5
105
173
93
11
2014E
19,026
598,834
617,860
0
9,623
627,483
99,485
33,557
45,963
253,193
18,356
138
7,401
12,335
175,820
16,655
19,736
16,628
175,848
943
627,483
52.0
100
200
88
13
32
1.5
29.0
1.7
25.0
2.1
25.0
1.3
0.0
-0.1
-0.2
-0.3
Cash Flow Statement
Y/E March
Profit /(Loss) before Tax
Depreciation
Other op activities
Direct Taxes Paid
(Inc)/Dec in Wkg. Capital
CF from Op. Activity
(Inc)/Dec in FA & CWIP
(Pur)/Sale of Invest.
Other In activities
CF from Inv. Activity
Change in Equity
Inc / (Dec) in Debt
Other fin, activities
Dividends Paid
CF from Fin. Activity
Inc / ( Dec) in Cash
Add: Opening Balance
Closing Balance
Bank deposit adj
Closing Balance
2011
68,900
12,226
4,860
-12,592
-10,088
63,306
-25,648
-24,004
903
-48,749
670
-7,255
-2,071
0
-8,656
5,902
6,367
12,269
32,578
44,847
2012
84,235
14,403
14,801
-15,544
4,031
101,925
-23,488
-7,411
0
-30,899
7
-26,782
0
-18,165
-44,940
26,086
12,045
38,132
32,802
70,933
(INR Million)
2013E
117,031
20,175
10,030
-10,007
1,437
138,666
-53,471
0
0
-53,471
0
0
0
-24,533
-24,533
60,662
70,933
131,595
0
131,595
2014E
104,761
22,422
5,246
-14,666
0
117,762
-52,457
0
0
-52,457
0
0
0
-21,079
-21,079
44,225
131,595
175,820
0
175,820
Net Fixed Assets
59,236
Prod. Proper.(net ofdeple.)20,850
Capital WIP
39,819
Goodwill
253,193
Investments
10,945
Deferred tax assets
138
Curr. Assets, L & Adv.
Inventory
3,277
Debtors
14,829
Cash & Bank Balance
44,847
Loans&Adv. and Other CA 16,655
Current Liab. & Prov.
Liabilities
12,638
Provisions
16,628
Net Current Assets
50,342
Misc. Expenses
943
Application of Funds
435,465
Exchange rate (USD/INR)
45.6
Brent (USD/bbl)
87
Rajasthan gross prod. (kbpd) 99
Rajasthan net reali. (USD/bbl)76
Disc.(Rajasthan Crude-USD/bbl)12
E: MOSL Estimates
August 27 - 31, 2012
Key assumptions/operating metrics
37

8th Annual Global Investor Conference
CESC
Company description
CESC, an RP Sanjiv Goenka Group Company, is one of
the oldest integrated power utilities in India with
presence in generation, distribution and mining. Its
installed generation capacity stands at 1.2GW and
distribution network encompasses 2.5m consumers in
Kolkata and Howrah region. 1.2GW of generation
projects are under construction and additional 5.9GW
of projects are in pipeline. CESC has presence in retail
business with ~1msf area in operation under the brand
Spencer's.
Key risk
Continued losses at Spencer's and funding through
standalone cash flows of CESC. Economic slowdown
could have a bearing on revival of
Spencer's.
Fuel availability and tariff/structure PPA for balance
(0.8GW) open capacity of the 1.2GW of projects
under construction.
Possible funding gap if the development on Orissa
/ Chattisgarh project has to commence in near term.
Key news flows / triggers to watch
Committee of Secretaries (CoS) recommended 51%
FDI in multi-brand retail. Cabinet approval awaited.
Improvement in cash losses at Spencer's and
improvement in store level EBITDA.
Improved visibility return for 1.2GW of project
based on PPA and Fuel sourcing.
Key investment positives
Assured return from existing generation and
distribution business provides steady cash flow at
INR4b+ p.a.
Recent multi-year tariff order improves visibility on
capex till FY14 and hence, on core profit growth.
CESC has spent INR8.3b towards under construction
projects of 1.2GW and has initiated development
activity for further generation projects of 5.9GW.
Restructuring at Spencer's has led to improvement
in gross margins and reduction in EBITDA losses to
INR1.5b in FY12 v/s INR1.7b in FY11. Store level
EBITDA has further improved to INR42/sft/mth in
1QFY13 v/s INR26 in 1QFY12. Further reduction in
losses / value unlocking would be key positive.
CESC has cash/liquid investment of INR10b, which
along with regulated profit of INR4b pa provides
near term growth capital.
1QFY13 highlights; guidance for FY13, FY14
CESC's 1QFY13 PAT stood in-line with estimate.
Store revenue growth and higher store EBITDA for
Spencer was key positive.
Tariff Approval for the period of FY12-14 received
for Kolkata Distribution business; capex of INR19b
over FY12-14E approved; RoE increased by 1.5%.
Consolidation continues at Spencer's with closure
of 19 Small Express Stores. 1QFY13 store level
EBITDA stood at INR42/sft/mth, up from INR26 YoY.
CESC targets to reduce Spencer's cash losses by
INR400m in FY13E.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
CESC IN
125
312
0.7
320 / 186
1 / 11 / -1
Quarterly Performance
Y/E March
Jun-11
Sep-11
Operating Income 11,830
12,410
Change (%)
7.9
12.3
EBITDA
2,671
2,600
Change (%)
4.3
-18.2
EBITDA Margin (%) 22.6
21.0
Reported PAT
1,111
1,140
Adjusted PAT
1,111
1,140
Change (%)
1.0
-15.6
PAT Margin (%)
9.4
9.2
Key Operating metrics
Plant PLF (%)
94.9
91.8
Spencer Area (msf) 0.95
0.99
EBITDA(INR/sft/mth)* 26
31
E: MOSL Estimates; * Spencer Store
Dec-11
10,320
9.9
2,130
-15.8
20.6
740
740
-32.7
7.2
86.5
1.01
35
Mar-12
13,790
57.6
4,320
75.6
31.3
2,660
2,510
124.1
18.2
76.6
1.00
n.a.
Jun-12
14,200
20.0
2,900
8.6
20.4
1,250
1,250
12.5
8.8
96.4
0.97
43
(INR Million)
FY12
45,930
12.2
11,570
7.8
25.2
5,500
5,500
17.8
12.0
88
1.00
32
FY13E
52,527
14.4
12,426
7.4
23.7
5,970
5,970
8.5
11.4
92.5
1.17
n.a.
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
52.5
16.0
18.4
13.1
Mar-12
52.5
16.8
17.9
12.9
Jun-11
52.5
18.0
17.9
11.6
38
August 27 - 31, 2012

8th Annual Global Investor Conference
CESC: Financials and valuation
Income Statement
Y/E March
2011
Total Revenues
40,942
EBITDA
10,047
% of Total Revenues
24.5
Depreciation
2,674
Interest
2,755
Other Income
1,524
PBT
6,142
Tax
1,259
Rate (%)
20.5
Reported PAT
4,870
Adjusted PAT
4,670
Change (%)
7.8
Excl Spencers; fully diluted
2012
46,050
10,822
23.5
2,900
2,758
1,769
6,933
1,390
20.0
5,543
5,543
18.7
(INR Million)
2013E
52,527
11,706
22.3
3,171
2,982
1,914
7,467
1,497
20.0
5,970
5,970
7.7
2014E
58,139
12,352
21.2
3,323
3,044
2,348
8,333
1,671
20.0
6,662
6,662
11.6
Ratios
Y/E March
Basic (INR)
EPS *
CEPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
38.9
60.2
342.7
4.0
10.2
8.0
5.5
1.3
0.9
1.3
11.3
10.2
55
86
55.2
0.6
2012
44.1
67.2
386.6
5.0
11.3
7.1
5.2
1.2
0.8
1.6
12.1
10.6
82
67
0.6
0.5
2013E
47.5
72.8
428.5
5.0
10.5
6.6
4.9
1.1
0.7
1.6
11.7
10.4
74
61
0.7
0.6
2014E
53.0
79.5
475.8
5.0
9.4
5.9
4.6
1.0
0.7
1.6
11.7
10.2
66
55
0.7
0.6
Balance Sheet
Y/E March
Share Capital
Reserves and Surplus
Revaluations Reserves
Share Holder Funds
LT Borrowings
Advance against Depn.
Consumer Security Dep.
Other LT Liabilities
LT Provisions
Non Current Liabilities
2011
1,256
41,787
12,650
55,692
21,529
5,143
9,355
7,423
673
44,122
2012
1,256
47,304
11,558
60,118
21,671
5,660
10,509
7,997
893
46,730
4,328
2,910
12,305
20,427
127,274
80,915
10,482
92,142
850
2,947
9,770
8,598
12,215
752
35,132
127,274
(INR Million)
2013E
1,256
52,558
10,980
64,794
26,904
5,660
11,034
7,997
982
52,577
3,895
3,515
13,223
21,641
139,012
83,700
13,583
98,028
850
3,137
10,619
12,105
13,415
857
40,984
139,012
2014E
1,256
58,505
10,431
70,191
29,781
5,660
11,586
7,997
1,080
56,104
3,505
3,890
14,029
22,541
148,836
86,843
16,783
104,372
850
2,965
10,578
14,707
14,415
949
44,464
148,836
Cash Flow Statement
PBT before EO Items
Add: Depreciation
Interest
Less : Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
CF from Op. incl EOI
2011
6,142
2,674
2,755
1,259
-832
9,480
9,480
2012
6,933
2,900
2,758
1,390
-1,336
9,865
9,865
-3,561
-1,939
-5,499
-690
-1,174
-1,154
2,758
716
-4,156
210
8,388
8,598
(INR Million)
2013E
7,467
3,171
2,982
1,497
-2,467
9,656
9,656
-2,785
-3,102
-5,886
0
-5,233
-525
2,982
716
-263
3,507
8,598
12,105
2014E
8,333
3,323
3,044
1,671
-2,445
10,584
10,584
-3,143
-3,200
-6,343
0
-2,876
-552
3,044
716
-1,639
2,602
12,105
14,707
ST Borrowings
4,897
Trade Payables
2,803
Other Current Liabilities 9,084
Current Liabilities
17,506
Total Equity & Liab.
117,321
Fixed Assets
77,355
Non Current Investments 8,543
Non Current Assets
86,855
Current Investments
2,300
Inventories
2,944
Trade Receivables
5,589
Cash and Bank Balance
8,388
ST Loan and Advances
10,908
Other Current Assets
336
Current Assets
30,466
Total Assets
117,321
(Inc)/dec in FA
-5,070
(Pur)/Sale of Investments -4,058
CF from Investments
-9,127
(Inc)/Dec in Net Worth
-557
(Inc)/Dec in Debt
2,039
(Inc)/Dec in Custo. Secu. Dep.390
Less: Interest Paid
2,755
Dividend Paid
581
CF from Fin. Activity
-3,163
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
-2,810
11,198
8,388
Key assumptions/operating metrics
Y/E March
Capex
Regulated Equity
Infra Investments
Spencer Investments
Installed Capacity (MW)
2011
5,500
23,303
7,161
10,029
1,225
2012
6,238
24,834
8,261
11,093
1,225
2013E
6,603
27,379
11,312
12,293
1,225
2014E
6,466
29,602
14,412
13,293
1,825
August 27 - 31, 2012
39

8th Annual Global Investor Conference
DB Corp
Company description
D B Corp (DBCL), one of the largest print media
companies of India, publishes 8 newspapers with
65 editions and 199 sub editions in 4 languages
(Hindi, Gujarati, English and Marathi) across 13 states
in India.
Flagship newspapers Dainik Bhaskar (in Hindi)
established in 1958, Divya Bhaskar and Saurashtra
Samachar (in Gujarati) have a combined readership
of ~19 million.
Other business interests include (1) the radio
segment through the brand "My FM" Radio station
with presence in 7 states and 17 cities, and (2) a
strong online presence in internet portals.
Relatively lower average cover price at INR2.5 for
DB Corp acts as a competitive barrier.
Key challenges
Lower ad spends led by macro slowdown.
Newsprint cost inflation; INR depreciation resulting
in higher cost of newsprint.
EBITDA losses in emerging editions.
Key news flows / triggers to watch
Break-even of Jharkhand and Maharashtra business.
Improvement in macro factors.
Potential moderation in the newsprint prices.
1QFY13 highlights; guidance for FY13, FY14
Key investment positives
DBCL is the only media conglomerate to enjoy
leadership position in multiple states, in multiple
languages. It is a dominant player in all its major
markets.
EBITDA margin in mature editions remains healthy
at ~30% despite significant slowdown in ad
revenues led by lower GDP growth.
With most of the launches related to Maharashtra
entry already through, we expect EBITDA loss in
emerging editions to peak out and start reversing.
While national advertising remains under pressure,
local growth has continued to be strong.
Revenue improved 7% YoY and 5% QoQ to INR3.77b.
Ad revenue remained flat YoY at INR2.7b; Circulation
revenue grew 15% YoY to INR656m.
EBITDA declined 24% YoY to INR765m, primarily due
to sluggish revenue growth.
EBITDA margin declined ~800bp YoY to 20.3%.
PAT declined 29% YoY to INR437m.
Raw material cost as a percentage of revenue
increased ~200bp QoQ to 35.3%. Newsprint costs
increased by ~13% YoY led by ~6% increase in
volumes as well as pricing.
Management expects newsprint tonnage growth to
be in low single digits in FY13.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
DBCL IN
183
187
0.6
253 / 170
-12 / -6 / -31
Quarterly Performance
Y/E March
Jun-11
Revenue
3,537
YoY Change (%)
18.4
EBITDA
1,003
YoY Change(%)
-11.7
EBITDA Margin (%)
28.4
Adjusted PAT
611
YoY Change (%)
-12.1
PAT Margin (%)
17.3
Key operating metrics
Ad growth (%)
20.3
Circulation revenue growth (%) 5.8
RM cost (INR b)
1.2
YoY (%)
42.3
% of revenue
33.5
E: MOSL Estimates
Sep-11
3,539
17.6
771
-18.9
21.8
403
-26.9
11.4
15.6
13.0
1.2
38.2
35.2
Dec-11
3,956
13.6
1,018
-11.3
25.7
554
-16.1
14.0
8.2
17.0
1.4
26.9
34.1
Mar-12
3,606
13.6
757
-4.9
21.0
454
0.8
12.6
5.4
16.1
1.3
24.9
36.1
(INR Million)
Jun-12
3,770
6.6
765
-23.8
20.3
437
-28.5
11.6
-0.2
15.5
1.3
12.5
35.3
FY12
14,638
15.7
3,550
-11.9
24.3
2,021
-11.9
13.8
12.1
12.9
5.1
32.3
34.7
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
81.5
6.3
8.2
4.0
Mar-12
86.4
4.7
4.9
4.0
Jun-11
86.5
3.5
8.7
1.3
40
August 27 - 31, 2012

8th Annual Global Investor Conference
DB Corp: Financials and valuation
Income Statement
Y/E March
Net Sales
YoY (%)
Operating expenses
Printing and other exp
Employee Cost
Administrative exp
EBITDA
EBITDA margin (%)
Depreciation
Interest
Other Income
PBT
Tax
Tax rate (%)
PAT
Minority Interest
Adjusted PAT
Change (%)
Extra-ordinary items
Reported PAT
2009
9,610
11.4
8,137
4,075
1,331
2,731
1,473
15.3
290
510
109
781
423
54.2
358
-118
476
-37
0
476
2010
10,630
10.6
7,200
3,279
1,318
2,604
3,429
32.3
378
357
112
2,806
1,057
37.7
1,749
-79
1,828
284
0
1,828
(INR Million)
2011
12,652
19.0
8,621
3,839
1,846
2,937
4,031
31.9
433
153
123
3,569
1,273
35.7
2,296
3
2,293
25
273
2,566
2012
14,638
15.7
11,088
5,080
2,429
3,579
3,550
24.3
506
155
115
3,004
982
32.7
2,022
2
2,021
-12
0
2,021
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.) (%)
Valuation
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors. (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2009
2.8
-37.3
4.5
16.0
0.5
21
2010
10.1
257.0
12.2
36.0
2.0
23
2011
12.6
24.8
14.9
45.5
4.0
37
2012
11.0
-12.3
13.8
52.4
4.0
42
65.8
40.9
24.8
3.8
11.6
0.3
18.4
15.3
10.2
3.3
5.2
1.1
14.8
12.4
8.6
2.7
4.1
2.2
16.8
13.5
9.6
2.3
3.5
2.2
18.5
9.2
39.6
20.7
30.9
24.6
22.6
17.8
Balance Sheet
Y/E March
Share Capital
Share Premium
Reserves
Net Worth
Loans
Minority Interest
Deffered Tax Liability
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
2009
1,688
0
889
2,577
5,631
124
393
8,724
4,695
932
3,763
2,708
238
3,988
711
1,774
452
1,052
2010
1,828
2,366
2,293
6,487
3,207
44
609
10,347
7,165
1,305
5,861
614
205
5,614
722
1,934
1,951
1,008
2,073
1,706
367
3,542
126
10,347
(INR Million)
2011
1,862
2,373
4,054
8,289
2,372
4
695
11,359
8,408
1,729
6,678
680
163
5,918
728
2,401
1,731
1,058
2,189
1,648
541
3,729
110
11,359
2012
1,862
2,373
5,356
9,590
2,130
15
746
12,482
9,487
2,235
7,252
681
460
6,945
1,186
2,481
1,884
1,394
2,962
2,442
520
3,983
106
12,482
67
27
82
1.5
66
25
86
1.3
69
21
70
1.5
62
30
80
1.5
2.1
0.5
0.3
0.2
Cash Flow Statement
Y/E March
EBITDA
Other Income
Interest Paid
Direct Taxes Paid
(Inc)/Dec in Wkg. Cap.
CF from Op.Activity
2009
1,473
109
-510
-377
161
856
2010
3,429
112
-357
-841
-153
2,190
-382
33
-350
2,506
-2,424
-424
0
-341
1,499
452
1,951
(INR Million)
2011
4,305
123
-153
-1,187
-346
2,741
-1,316
42
-1,274
41
-835
-849
-43
-1,687
-220
1,951
1,730
2012
3,550
115
-155
-931
37
2,616
-1,080
-297
-1,378
0
-242
-854
10
-1,085
153
1,731
1,884
41
(inc)/Dec in FA + CWIP
-3,138
(Pur)/Sale of Investments -170
CF from Inv.Activity
-3,308
Issue of Shares
0
Inc/(Dec) in Debt
2,195
Dividends Paid
-99
Other Financing Activities
0
CF from Fin.Activity
2,096
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
-356
808
452
Current Liab. & Prov.
2,189
Creditors
1,817
Provisions and other Liab. 372
Net Current Assets
1,799
Miscellanous exp
217
Application of Funds
8,724
E: MOSL Estimates
August 27 - 31, 2012

8th Annual Global Investor Conference
Dewan Housing Finance
Company description
Dewan Housing Finance (DEWH) focuses on providing
housing loans to low and middle income households in
rural and semi-urban areas. It scores higher in terms of
competitive pricing from money lenders and co-
operative banks. As on June 2012, DEWH was present
across 450+ locations at a group level and has
consolidated AUM of ~INR290b.
augur well from the margin perspective for the
company.
Key challenges
With standalone debt / equity of more than 9x, the
company may have to raise capital in near future.
However, uncertain market conditions may act as a
deterrent, thereby affecting growth.
Banks and other NBFCs getting aggressive in the
housing finance space may check DEWH's rapid
growth trajectory.
Key investment positives
With the acquisition of DPHFL (now renamed as First
Blue Housing Finance Ltd.), DEWH is present across
the spectrum in the housing finance market right
from the low-end consumer to the affluent class. It
is growing at a rapid pace and grabbing market share
across segments.
DEWH has been maintaining high standards in asset
quality despite being present in low and middle
income group. As on June 2012, its %GNPA was only
90bp and %NNPA at 13bp. While sharp rise in
interest rates and strong growth in the near term
raises concerns over asset quality, impeccable asset
quality track record across cycles provides comfort.
DEWH has historically maintained its margins in a
narrow band of 2.8-3.0%. While margins remained
under pressure in FY12 due to steep increase in
interest rates, management expects to maintain
margins in the similar band going forward.
DEWH targets to increase the share of high yielding
projects loans (currently at ~6% levels), which would
Key news flows / triggers to watch
Interest rates have peaked, and rate cut by the RBI,
if any, would augur well for DEWH.
High Court and other approvals for First Blue merger.
1QFY13 highlights; guidance for FY13, FY14
DEWH's 1QFY13 PAT grew 18% YoY and 13% QoQ, in-
line with estimates.
Loans grew strongly by 39% YoY and 10% QoQ,
reported margins remained largely stable
sequentially at ~2.8% levels.
GNPAs in absolute terms increased 50% QoQ ,
seasonal in nature. PCR remained healthy at 86%.
For FY13, the management expects loan growth of
25-30%, margins to remain stable at 2.8-3.0%, and
asset quality also to remain healthy.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
DEWH IN
117
162
0.3
279 / 142
-7 / -34 / -25
Quarterly Performance (Standalone)
Y/E March
Jun-11
Net Interest Income 4,972
YoY Gr. (%)
66.6
Operating Profit
907
YoY Gr. (%)
36.1
Provisions
33
PBT
874
Tax
216
Profit after Tax
658
YoY Gr. (%)
28.4
Key Operating Metrics
Loan Gr. (%)
56.7
Borrowings Gr. (%) 55.9
Cost to Inc. Ratio (%) 34.2
E: MOSL Estimates
Sep-11
5,886
78.2
983
27.0
116
867
148
719
23.9
50.7
61.7
38.5
Dec-11
6,615
71.3
1,138
40.4
150
988
238
750
21.4
49.8
50.8
37.8
Mar-12
7,205
65.8
1,193
36.4
(62)
1,255
317
938
59.9
37.2
28.9
40.3
Jun-12
7,385
48.5
1,196
31.9
150
1,046
268
778
18.2
39.5
38.6
36.0
(INR Million)
FY12
3,816
28.6
3,936
24.9
237
3,984
920
3,064
15.6
37.2
28.9
38.7
FY13E
6,747
76.8
5,907
50.1
582
5,325
1,385
3,941
28.6
44.6
47.6
35.4
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
35.2
1.0
42.3
21.6
Mar-12
35.2
0.8
43.7
20.2
Jun-11
39.3
8.7
34.3
17.7
42
August 27 - 31, 2012

8th Annual Global Investor Conference
Dewan Housing Finance: Financials and valuation
Income Statement (Consolidated)
Y/E March
Operating Income
Interest Expended
Net Interest Income
Change (%)
Fee Income
Treasury Income
Other Income
Net Income
Change (%)
Operating Expenses
Operating Profits
Change (%)
Provisions
% of average loans
Extra ordinary Income
PBT
Tax
Tax Rate (%)
Reported PAT
Change (%)
Adjusted PAT
Change (%)
Minority Interest
PAT Post MI
Change (%)
Proposed Dividend
2011
18,456
13,901
4,555
35.1
1,495
987
90
7,126
48.2
2,562
4,564
49.5
214
0.15
354
4,705
1,131
24.0
3,574
125.6
3,220
103.3
283
2,937
89.5
521
2012
28,633
23,496
5,138
28.6
2,395
610
275
8,418
34.3
3,349
5,069
24.9
463
0.20
250
4,857
1,304
26.9
3,553
-0.6
3,303
2.6
315
2,987
1.7
478
(INR Million)
2013E
38,829
29,966
8,863
76.8
1,834
1,250
211
12,158
42.4
4,622
7,536
50.1
764
0.25
0
6,772
1,961
29.0
4,811
35.4
4,811
45.7
403
4,408
47.6
692
2014E
51,015
39,354
11,661
35.9
1,981
1,350
232
15,225
28.3
5,581
9,644
30.2
1,231
0.30
0
8,412
2,414
28.7
5,998
24.7
5,998
24.7
491
5,507
25.0
865
Ratios (Consolidated)
Y/E March
2011
Spreads Analysis (%)
Avg. Yield - Housing loans 12.7
Avg. Cost of Funds
9.3
Int. Spread on Hsg. loans
3.4
Net Interest Margin
3.1
Profitability Ratios (%)
RoAE
RoAA
Int. Expended/Int.Earned
Other Inc./Net Income
Efficiency Ratios (%)
Fees/Operating income
Op. Exps./Net Income
Empl. Cost/Op. Exps.
2012
12.6
10.4
2.3
2.3
2013E
12.8
10.1
2.7
2.9
2014E
12.5
9.8
2.8
2.9
26.7
2.0
75.3
36.1
18.5
1.3
82.1
39.0
21.7
1.5
77.2
27.1
22.7
1.4
77.1
23.4
32.7
35.9
39.9
47.2
39.8
35.5
24.3
38.0
34.3
20.5
36.7
34.9
Balance Sheet (Consolidated)
Y/E March
Share Capital
Reserves & Surplus
Net Worth (Excl Pref sh)
Borrowings
Change (%)
Total Liabilities
Investments
Change (%)
Loans
Change (%)
Net Fixed Assets
Goodwill
Net Current Assets
Total Assets
E: MOSL Estimates
2011
1,044
14,512
15,556
206,897
122.3
224,978
6,877
562.7
199,304
117.1
2,354
3,452
12,991
224,978
2012
1,168
19,047
20,215
246,717
19.2
268,859
2,141
-46.8
254,694
27.8
2,582
3,495
5,947
268,859
(INR Million)
2013E
1,168
22,863
24,032
348,180
41.1
374,543
5,228
65.5
352,656
38.5
2,680
3,150
10,829
374,543
2014E
1,168
27,632
28,800
456,850
31.2
488,473
7,800
32.7
461,783
34.0
2,765
2,805
13,319
488,473
Valuations (Consolidated)
Book Value (INR)
149.0
173.0
Price-BV (x)
0.9
Adjusted BV (INR)*
115.9
143.1
Price-ABV (x)
1.1
OPS (INR)
43.7
43.4
Price-OP (x)
3.7
EPS (INR)
28.1
25.6
Growth (%)
48.8
-9.1
Price-Earnings (x)
6.4
Dividend Per Share
3.5
3.5
Dividend Yield (%)
2.2
E: MOSL Estimates * Adj. for Goodwill
205.7
0.8
178.7
0.9
64.5
2.5
37.7
47.6
4.3
5.1
3.1
246.5
0.7
222.5
0.7
82.5
2.0
51.3
36.1
3.2
6.3
3.9
August 27 - 31, 2012
43

8th Annual Global Investor Conference
Dish TV
Company description
Dish TV is Asia Pacific's largest direct-to-home (DTH)
company and part of the Zee Group. Dish TV has on its
platform more than 400 channels & services with 13.4m
gross subscribers and 9.7m net subscribers as of June
30, 2012. The company has a vast distribution network
of over 1,400 distributors and over 90,000 dealers that
span across 8,000+ towns in India.
Key news flows / triggers to watch
Key investment positives
Leader in high growth DTH segment.
We expect 28% EBITDA CAGR for Dish TV over FY12-
14 led by 18% subscriber CAGR and 4% ARPU CAGR.
DTH subscriber additions to get boosted by demand
from subscribers expected to transition from analog
systems led by mandatory digitization.
Mandatory digitization to result in addressability of
subscribers leading to higher costs of content as
well as taxes for cable networks. Potential increase
in cable ARPU can drive ARPU enhancement for DTH
operators like Dish as well.
Successful implementation of mandatory
digitization.
Contract renegotiations with content providers.
Potential increase in subscriber additions in the
festive season.
Competitive discipline post "mandatory
digitization" would be key towards achievement of
continued ARPU up-tick.
Sustenance of current EBITDA margin of ~30%.
1QFY13 highlights; guidance for FY13, FY14
Key challenges
Increase in churn rate for the industry.
INR depreciation resulting in higher cost of STB.
Potential increase in competitive intensity in
markets where digitization is being mandated.
Possible postponement of digitization deadline.
Dish TV's 1QFY13 EBITDA grew 39% YoY and 8% QoQ
to INR1.56b (v/s estimate of INR1.37b).
While overall revenue declined 1% QoQ to INR5.2b
due to change in lease rental accounting, EBITDA
growth was driven by opex decline.
EBITDA margin improved 250bp QoQ to 29.9%.
EBITDA ex lease rental grew 40% QoQ.
Net loss for the quarter increased 77% YoY but
declined 34% QoQ to INR323m despite higher forex
loss (INR140m v/s INR65m in 4QFY12).
Subs revenue grew 5% QoQ to INR4.6b led by 3%
increase in net sub base to 9.8m and 3% increase in
ARPU to INR156 (highlight of the quarter).
Gross subscriber adds at 0.5m increased 20% QoQ
but was 30% lower YoY. Churn rate (based on net
subscribers) remained steady at 1% per month.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
DITV IN
1,064
73
1.4
87 / 52
2 / 12 / -20
Quarterly Performance
Y/E March
Jun-11
Revenue
4,604
YoY Change(%)
51.3
EBITDA
1,122
YoY Change(%)
248.5
EBITDA Margin(%) 24.4
Adjusted PAT
-183
YoY Change(%)
-71.0
PAT Margin(%)
-4.0
Key operating metrics
Gross adds (m)
0.7
Net subs (m)
8.9
Net adds (m)
0.4
ARPU (INR/month)
150
Monthly churn (%)
1.1
E: MOSL Estimates
Sep-11
4,822
47.8
1,217
144.5
25.2
-487
7.7
-10.1
0.6
9.2
0.3
152
1.2
Dec-11
4,905
31.4
1,202
80.2
24.5
-430
-3.0
-8.8
0.7
9.5
0.3
152
1.6
Mar-12
5,247
21.2
1,442
59.9
27.5
-490
32.4
-9.3
0.4
9.6
0.2
151
0.9
Jun-12
5,200
12.9
1,556
38.7
29.9
-324
76.8
-6.2
0.5
9.8
0.2
156
1.0
(INR Million)
FY12
19,578
36.3
4,984
108.7
25.5
-1,588
-16.3
-8.1
2.5
9.6
1.1
153
1.2
FY13E
22,622
15.5
6,296
26.3
27.8
-653
-58.9
-2.9
3.0
11.3
1.7
157
1.0
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
64.8
5.0
23.4
6.9
Mar-12
64.8
5.4
22.4
7.4
Jun-11
64.8
6.2
22.3
6.7
44
August 27 - 31, 2012

8th Annual Global Investor Conference
Dish TV: Financials and valuation
Income Statement
Y/E March
2011
Net Sales
14,366
YoY (%)
32.4
Operating expenses
11,977
Cost of goods and services 7,803
Employee Cost
566
Selling & distribution exps 2,847
Administrative exps
761
EBITDA
2,388
EBITDA margin (%)
16.6
Depreciation
3,654
Interest
1,511
Other Income
880
PBT
-1,897
Adjusted PAT
-1,897
Change (%)
-27.6
Reported PAT
-1,897
2012
19,578
36.3
14,594
9,960
709
2,909
1,016
4,984
25.5
5,180
1,778
386
-1,588
-1,588
-16.3
-1,588
(INR Million)
2013E
22,622
15.5
16,326
11,182
833
3,371
940
6,296
27.8
5,939
1,442
432
-653
-653
NA
-653
2014E
28,197
24.6
19,984
13,557
983
4,449
994
8,213
29.1
7,024
1,426
550
314
314
-148.0
314
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
Valuation
P/E
Cash P/E
EV/EBITDA
EV/EBITDA (ex. lease rent.)
EV/Sales
Price/Book Value
EV/net subscriber (INR)
EV/net subscriber (USD)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors. (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
-1.8
-44.1
1.7
0.6
2012
-1.5
-16.3
3.4
-0.9
2013E
-0.6
-58.9
5.0
-1.5
2014E
0.3
-148.0
6.9
-1.2
NA
21.6
16.9
30.4
4.3
NA
8,751
159
NA
14.7
13.4
19.7
3.7
NA
7,428
135
247.2
10.6
10.3
14.6
3.0
NA
6,141
111
Balance Sheet
Y/E March
Share Capital
Share Premium
Reserves
Net Worth
Loans
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
2011
1,063
15,314
-15,750
628
10,763
11,390
23,520
9,883
13,637
4,580
2,002
2012
1,064
15,314
-17,316
-938
12,144
11,205
29,668
15,063
14,605
3,483
1,500
6,752
69
286
3,851
2,546
15,135
10,136
4,999
-8,382
11,205
13
24
2.5
-30
9.6
13
1.1
-60
(INR Million)
2013E
1,064
15,314
-17,969
-1,592
12,208
10,616
38,120
21,002
17,118
3,500
1,500
7,083
79
331
4,000
2,673
18,585
12,712
5,873
-11,502
10,616
16
23
3.0
22
11.3
18
1.7
51
2014E
1,064
15,314
-17,655
-1,278
14,303
13,026
48,725
28,026
20,699
3,500
1,500
9,318
99
412
6,000
2,807
21,991
15,060
6,931
-12,673
13,026
20
25
4.0
33
13.7
21
2.4
40
NA
NA
NA
NA
NA
2.5
NA
10.4
5
1
380
2.5
5
1
253
3.3
5
1
284
4.1
5
1
275
5.3
NA
NA
NA
NA
Cash Flow Statement
Curr. Assets
6,649
Inventory
44
Debtors
215
Cash & Bank Balance
3,202
Loans & Advances
3,188
Current Liab. & Prov.
15,478
Creditors
12,471
Provisions & other liab.
3,007
Net Current Assets
-8,829
Application of Funds
11,390
Key assumptions/operating metrics
Gross subscribers (m)
10
YoY (%)
51
Gross adds (m)
3.5
YoY (%)
93
Net subscribers (m)
8.5
YoY (%)
50
Net adds (m)
2.8
YoY (%)
106
E: MOSL Estimates
Y/E March
Op.Profit/(Loss) bef Tax
Other Income
Interest Paid
(Inc)/Dec in Wkg. Cap.
CF from Op.Activity
2011
2,388
880
-1,511
3,371
5,129
2012
4,984
386
-1,778
225
3,817
-5,050
502
-4,549
1
1,381
1,382
650
3,202
3,851
(INR Million)
2013E
6,296
432
-1,442
3,268
8,554
-8,470
0
-8,470
0
64
64
149
3,851
4,000
2014E
8,213
550
-1,426
3,171
10,509
-10,604
0
-10,604
0
2,096
2,096
2,000
4,000
6,000
(inc)/Dec in FA + CWIP
-9,470
(Pur)/Sale of Investments
504
CF from Inv.Activity
-8,966
Issue of Shares
Inc/(Dec) in Debt
CF from Fin.Activity
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
33
1,585
1,617
-2,220
5,422
3,202
August 27 - 31, 2012
45

8th Annual Global Investor Conference
DLF
Company description
DLF, one of the largest and most respected real estate
companies in India, has developed many well known
urban colonies in Gurgaon, Delhi including South
Extension, Greater Kailash, Kailash Colony and Hauz
Khas. Since inception, DLF has developed ~240msf, and
an integrated 3,000-acre township in Gurgaon, called
DLF City. The company holds 345msf land bank with
almost 80% concentrated in super metros and metros.
Key challenges
DLF's gross debt stood at to INR250b, while net debt
at INR236b, implying net DER of 0.91x.
Cost of debt increased to 12.75% as against 10.5%
18 months back.
Overall macro challenges impacting real estate
sector.
Key news flows / triggers to watch
The company has made meaningful progress in
asset sales through divesting NTC Mill land (INR27b)
against a target of INR50-60b in FY13.
Improvement in operations, launch of super
premium project in Gurgaon, progress in other asset
sales are near-term triggers.
Key investment positives
DLF is uniquely positioned to leverage long-term
opportunities in India. It has a significant presence
in key cities and market leadership across segments.
Recently adopted operating strategy to combat
prevailing challenges, without sacrificing longer
term growth is a key positive: (1) Focus on premium
and plotted segment to mitigate inflations and
maintain profitability (2) Ramp-up execution with
third party contractors to augment delivery and cash
cycle (3) Consolidating land parcels at
outperforming NCR markets, and (4) Value creations
through infrastructure developments around
existing land parcels
Sincere effort to asset divestments and higher
visibility in large ticket deals would be key trigger
to de-leveraging
1QFY13 highlights; guidance for FY13, FY14
DLF posted a subdued sales performance in 1QFY13.
It sold 1.34msf (estimated sales value of ~INR6b) v/
s 6.8msf (INR26b) in 4QFY12 and 2.2msf (INR11b) in
1QFY12.
However the management has guided for INR65b
of sales in FY13 on the back of new launch plan in
2HFY13. Leasing volume remain weak at 2msf owing
to weaker demand and several cancellations over
FY12.
Targets to reduce debt by INR50b by FY13 led by
divestments.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap. (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
DLFU IN
1,714.4
215
6.6
261/170
3/-8/-8
Quarterly Performance
Y/E March
Jun-11
Sep-11 Dec-11
Operating Income 24,458
25,324
20,344
Change (%)
20.6
6.9
(18.0)
EBITDA
11,110
11,730
8,227
Change (%)
13.4
26.3
-30.2
EBITDA Margin (%) 45.4
46.3
40.4
Reported PAT
3,584
3,724
2,584
Adjusted PAT
3,584
3,724
2,584
Change (%)
(12.8)
(11.0)
(44.5)
PAT Margin (%)
14.7
14.7
12.7
Key Operating metrics
Sales volume (msf)
2.2
1.3
3.3
Sales value (INR b)
11.0
6.0
9.6
Leasing volume (msf)
0.73 0.21
0.22
E: MOSL Estimates
Mar-12
26,168
-2.5
7,976
19.7
30.5
2,117
2,117
(38.6)
8.1
6.8
25.8
0.25
Jun-12
21,977
-10.1
10,670
-4.0
48.6
2,928
2,928
(18.3)
13.3
1.3
6.0
0.29
(INR Million)
FY12
96,294
0.7
39,043
4.0
40.5
12,008
12,008
(26.8)
12.5
13.5
52.7
1.41
FY13E
105,281
9.3
44,083
12.9
41.9
13,843
13,843
15.3
13.1
10.5
60.0
1.8
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
78.6
0.3
15.8
5.3
Mar-12
78.6
0.3
15.6
5.5
Jun-11
78.6
0.4
15.1
5.9
46
August 27 - 31, 2012

8th Annual Global Investor Conference
DLF: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
Reported PAT
Change (%)
2011
95,606
28.8
37,527
39.3
6,307
17,056
5,839
20,002
4,594
23.0
16,396
-5.2
(INR Million)
2012
2013E
2014E
96,294 105,281 107,880
0.7
9.3
2.5
39,043 44,083 45,116
40.5
41.9
41.8
6,888
7,311
7,703
22,465
23,265
20,015
5,945
4,722
4,429
15,635 18,229 21,828
3,694
4,740
5,675
23.6
26.0
26.0
12,008 13,843 16,542
-26.8
15.3
19.5
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
9.7
-5.2
12.8
147.0
0.9
11.0
2012
7.1
-26.8
11.0
150.9
2.0
33.1
2013E
8.2
15.3
12.3
156.7
2.0
28.7
2014E
9.7
19.5
14.1
164.1
2.0
24.0
Balance Sheet
Y/E March
Equity Capital
Preference Capital
Reserves
Net Worth
Loans
Minority Interest
Capital Employed
Goodwill
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Inventory
Loans and Advances
Other Current Assets
Current Liab. & Prov.
Creditors
Provisions
Net Current Assets
Application of Funds
2011
3,394
13,960
245,967
263,321
239,906
5,752
508,979
2012
3,394
13,850
255,114
272,359
250,660
4,207
527,225
(INR Million)
2013E
3,394
13,850
264,986
282,230
224,133
4,207
510,570
2014E
3,394
13,850
277,556
294,801
201,719
4,207
500,727
30.7
19.8
15.2
6.2
1.4
0.9
26.7
17.8
13.0
5.4
1.4
0.9
22.3
15.5
12.2
5.1
1.3
0.9
5.8
7.1
4.5
7.4
5.0
8.0
5.7
8.3
0.9
0.9
0.8
0.7
13,840
16,248
16,248
16,248
198,277 212,949 217,096 223,054
19,556
25,809
33,120
40,822
178,721 187,140 183,976 182,232
102,344 89,928 100,925 103,198
9,958
11,268
11,268
11,268
452,069
150,388
17,536
13,218
150,388
41,664
78,875
99,199
92,249
6,950
202,482
508,979
487,718
161,756
19,100
15,063
161,756
51,741
78,302
106,671
98,639
8,032
219,291
527,225
467,260
156,222
19,731
10,906
156,222
53,706
70,472
116,234
108,203
8,032
194,804
510,570
462,018
150,800
21,359
12,690
150,800
55,898
70,472
126,786
118,754
8,032
184,432
500,727
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Interest
Less : Direct Taxes Paid
Inc/Dec in WC
CF from Operations
CF from Investments
(Inc)/Dec in Networth
(Inc)/Dec in Debt
Less : Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2011
20,002
6,307
17,056
4,594
13,260
25,511
31,286
-58,114
23,139
17,056
1,803
-53,833
3,936
9,282
13,218
(INR Million)
2012
15,475
6,888
22,465
3,694
14,964
26,170
-6,842
1,000
10,754
22,465
3,971
-14,682
1,845
13,218
15,063
2013E
18,229
7,311
23,265
4,740
-20,331
64,293
-15,143
0
-26,527
23,265
3,971
-53,764
-4,156
15,063
10,907
2014E
21,828
7,703
20,015
5,675
-12,155
55,912
-8,231
0
-22,413
20,015
3,971
-46,400
1,784
10,906
12,690
Key assumptions/operating metrics
Y/E March
Sales (INR b)*
Sales volume (msf)
Delivery (msf)
Annuity income (INR b)
Net debt (INR b)
2011
67
10
7
15
227
2012
52
14
13
18
236
2013E
53
11
12
20
213
2014E
58
12
12
22
189
August 27 - 31, 2012
47

8th Annual Global Investor Conference
Emami
Company description
Emami is a unique player in the personal and healthcare
space, with a strong herbal positioning. It has
established leadership in niche categories like Cooling
Oil (~49%), Antiseptic Cream (~75%), Men's fairness
cream (~60%) and Pain Balm (~57%). Emami derives
~14% of its revenues through exports with key regions
being Middle East, Africa and SAARC.
Key challenges
Volatile prices in Mentha oil, LLP (two largest inputs)
and other crude related inputs are key risks to
margins.
Increasing competition in Cooling oils from
domestic hair oil players (Marico, Bajaj Corp) and in
Men's fairness from MNCs (Hindustan Unilever,
L'Oreal, and Nivea) could impact growth and market
shares.
Key investment positives
Emami enjoys strong leadership position in its 4 key
categories (Cooling oil, Balm, Men's fairness cream
and Antiseptic cream); it continues to post strong
double-digit sales growth in these categories.
High level of innovations and focus on the acquired
OTC portfolio (of erstwhile Zandu) will further
accelerate volume growth.
International business growth has been robust and
with setting up manufacturing in key markets of
Bangladesh and Middle East, profitability is also
likely to improve.
Strong balance sheet with little debt as of FY12
provides room for inorganic foray.
Key news flows / triggers to watch
Growth and market shares in Cooling oil and Men's
fairness categories which have seen new entrants.
Aggressive acquisition intent in the domestic
market; high deal multiples could be a key risk.
Softening of crude prices can boost profit margins
(70% of input costs are crude linked).
1QFY13 highlights; guidance for FY13, FY14
In 1QFY13,
Navaratna
sales were up ~60% YoY, Talcs
grew ~60% YoY,
Boroplus
cream grew ~70% YoY, and
Fair & Handsome
(flat growth yoy), and OTC
products (up ~24%, led by
Zandu Pancharishta).
PAT grew 24% YoY to INR495m (INR398m in 1QFY12).
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HMN IN
151
476
1.3
553 / 318
-7 / 26 / -6
Quarterly Performance
Y/E March
Operating Income
Change (%)
EBITDA
Change (%)
EBITDA Margin (%)
Reported PAT
Adjusted PAT
Change (%)
PAT Margin (%)
E: MOSL Estimates
Jun-12
2,843
22.9
732
71.0
25.8
398
398
7.0
14.0
Sep-12
2,969
13.2
826
-9.6
27.8
500
500
-11.7
16.8
Dec-12
4,465
13.2
1,468
15.5
32.9
1,013
1,013
23.6
22.7
Mar-12
3,768
15.2
1,124
17.4
29.8
656
718
53.4
19.0
(INR Million)
Jun-13
3,310
16.4
872
19.1
26.3
495
495
24.1
14.9
FY12
14,044
15.6
4,149
16.2
29.5
2,568
2,630
18.1
18.7
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
72.7
4.0
14.9
8.4
Mar-12
72.7
3.5
15.0
8.7
Jun-11
72.7
3.2
15.0
9.1
48
August 27 - 31, 2012

8th Annual Global Investor Conference
Emami: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
COGS
Gross Profit
Gross Margin (%)
Operating expenses
EBITDA
Change (%)
Margin (%)
Depreciation
Int. and Fin. Charges
Financial Other Income
Profit before Taxes
Change (%)
Margin (%)
Tax
Deferred Tax
Tax Rate (%)
Adjusted PAT
Change (%)
Margin (%)
Non-rec. (Exp)/Income
Reported PAT
2009
7,474
30.5
2,671
4,803
64.3
3,528
1,275
33.8
17.1
84
227
94
1,059
0.9
14.2
118
23
13.3
919
-1.0
12.3
0
919
2010
10,217
36.7
3,805
6,412
62.8
3,960
2,452
92.3
24.0
154
210
83
2,171
105.0
21.2
342
10
16.2
1,798
95.7
17.6
121
1,697
(INR Million)
2011
12,590
23.2
5,232
7,358
58.4
4,824
2,534
3.4
20.1
140
-112
185
2,691
24.0
21.4
337
67
15.0
2,287
27.2
18.2
0
2,287
2012
15,121
20.1
6,618
8,503
56.2
5,631
2,871
13.3
19.0
167
-141
235
3,080
14.5
20.4
412
-67
11.2
2,735
19.6
18.1
0
2,735
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout %
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2009
7.0
7.6
22.9
2.7
43.4
2010
11.9
12.9
41.3
3.0
29.5
2011
15.1
16.0
45.6
3.5
27.0
2012
18.1
19.2
51.7
4.5
29.0
68.0
62.4
8.9
52.1
20.7
0.6
40.1
36.9
7.1
29.5
11.5
0.6
31.5
29.7
5.7
28.5
10.4
0.7
26.3
24.8
4.7
24.6
9.2
0.9
31.1
23.7
38.8
28.9
34.8
28.3
37.1
30.4
34
1.4
27
1.2
31
1.4
31
1.6
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Minority Interest
Loans
Deferred Liability
Capital Employed
2009
131
2,881
3,013
0
4,482
60
7,554
2010
151
6,103
6,254
0
2,591
70
8,914
0
7,638
2,027
5,611
62
616
4,247
826
755
1,614
1,051
1,621
890
37
695
2,625
8,914
(INR Million)
2011
151
6,747
6,898
1
2,294
137
9,330
8
7,993
3,148
4,845
65
66
5,997
1,234
1,089
2,105
1,570
1,651
883
34
733
4,347
9,330
2012
151
7,675
7,827
8
1,994
150
9,978
77
8,593
4,336
4,257
0
367
7,238
1,401
1,306
2,992
1,538
1,961
1,089
1
871
5,277
9,978
1.3
0.2
0.0
-0.2
Cash Flow Statement
Y/E March
OP/(loss) before Tax
Int./Div. Received
Interest Paid
Direct Taxes Paid
(Incr)/Decr in WC
CF from Operations
2009
1,275
191
-391
-141
831
1,764
2010
2,452
342
-547
-352
-532
1,362
-266
-223
-489
3,100
-1,892
-531
-78
599
1,473
141
1,614
(INR Million)
2011
2,534
269
-152
-404
-1,217
1,030
-358
550
192
0
-297
-618
183
-731
491
1,614
2,105
2012
2,871
301
-159
-345
-44
2,624
-535
-301
-836
0
-300
-794
193
-901
887
2,105
2,992
Goodwill on consolidation
0
Gross Block
7,067
Less: Accum. Depn.
940
Net Fixed Assets
6,128
Capital WIP
367
Investments
393
Curr. Assets, L&A
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liab. and Prov.
Account Payables
Other Liabilities
Provisions
Net Current Assets
Application of Funds
E: MOSL Estimates
2,430
738
710
141
840
1,764
1,201
68
494
666
7,554
(Incr)/Decr in FA
-6,242
(Pur)/Sale of Investments
636
CF from Invest.
-5,606
Change in Equity
(Incr)/Decr in Debt
Dividend Paid
Others
CF from Fin. Activity
Incr/Decr of Cash
Add: Opening Balance
Closing Balance
7
4,100
-398
247
3,955
114
28
142
August 27 - 31, 2012
49

8th Annual Global Investor Conference
GAIL (India)
Company description
GAIL (India) is a major public sector undertaking in India,
with interests in gas distribution, petrochemicals, LPG,
and telecom. It owns ~9,500km of natural gas pipelines,
two LPG transmission pipelines of 2,000km, 450,000 tpa
petchem capacity, ~1.4mt LPG/other hydrocarbons
capacity, and over 13,000km of optical fiber cable
network. GAIL is also involved in city gas distribution,
E&P and power businesses through its joint ventures.
Key challenges
To arrange for incremental gas volumes for its
growing transmission capacity.
To diversify earnings in view of high and ad hoc
subsidy sharing.
Pressure on petchem sales volume led by increased
imports in India.
Likely regulation to cap marketing margins on gas
sales.
Key investment arguments
Capex to increase capacities significantly:
GAIL is in
the midst of a high capex cycle, which will increase
its transmission capacity by 1.7x and double its
petchem capacity.
Incremental gas availability to remain near-term
headwind:
While we like management strategy to
build capacity to benefit in the long term, near-term
challenges of incremental gas availability remain.
Model 1.4% transmission volume CAGR through
FY14:
The promise of transmission business growth,
though strong in the long term, there are concerns
in the medium term as ramp-up in Reliance
Industries' KG-D6 gas output has halted.
Near term pressure on profitability:
We believe
GAIL's profitability ratios would be under pressure
for next 2-3 years due to underutilization of new
pipelines. Earnings would be depressed due to
revenue increase not commensurate with increase
in interest and depreciation.
Key news flows / triggers to watch
Clarity on the subsidy sharing.
Likelihood of transmission volume increase in near
to medium term.
1QFY13 highlights; guidance for FY13, FY14
Gas transmission volumes stood at ~110mmsmcd
(-6.3% YoY and 5% QoQ).
Gas trading EBIT was boosted by one-time LNG
inventory gain of ~INR2b.
Petchem EBIT was impacted by lower sales volume
due to capacity shutdown.
GAIL expects its 5mmtpa Dabhol terminal to get
commissioned in 2HFY13.
GAIL expects to complete both its major expansion
projects by December 2013 -
(1) Pata plant expansion (from 450ktpa to 900ktpa);
(2) Bharamputra Cracker and Polymer Ltd (BCPL).
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
GAIL IN
1,268
361
8.2
446 / 303
-2 / -2 / -23
Quarterly Performance
Y/E March
Jun-11
Operating Income
89
Change (%)
25.0
EBITDA
16
Change (%)
8
EBITDA Margin (%) 17.5
Reported PAT
10
Adjusted PAT
10
Change (%)
11.0
PAT Margin (%)
11.1
Key Metrics (mmscmd)
Gas transmission
117
Petchem sales(000MT)88
Subsidy (INR b)
7
E: MOSL Estimates
Sep-11
97
19.7
16
15
17.0
11
11
18.5
11.3
119
129
6
Dec-11
113
34.6
18
34
15.6
11
11
12.8
9.7
119
113
5
Mar-12
105
17.6
7
-42
7.0
5
5
-38.3
4.6
116
118
14
Jun-12
111
25.0
19
22
17.1
11
11
15.1
10.2
110
66
7
(INR Million)
FY12
403
24.1
57
4
14.1
37
37
2.6
9.1
118
448
32
FY13E
439
9.1
64
12
14.6
39
39
5.8
8.8
114
396
32
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
64.6
17.7
14.6
3.2
Mar-12
64.6
17.9
14.2
3.3
Jun-11
64.6
18.5
13.8
3.1
50
August 27 - 31, 2012

8th Annual Global Investor Conference
GAIL India: Financials and valuation
Income Statement
Y/E March
2011
Net Sales
324,586
Change (%)
30.2
Purchases
220,059
Raw Materials
21,788
Change in Stocks
-1,325
Employee Costs
7,527
Power&fuel & other exp. 21,994
EBITDA
54,544
% of Net Sales
16.8
Depreciation
6,503
Interest
829
Other Income
5,186
PBT
52,398
Tax
16,788
Rate (%)
32.0
Reported PAT
35,610
Adjusted PAT
36,408
Change (%)
13.4
2012
402,807
24.1
286,791
24,941
-4,978
6,075
32,997
56,981
14.1
7,907
1,165
5,491
53,400
16,862
31.6
36,538
36,538
2.6
(INR Million)
2013E
439,439
9.1
270,255
27,209
2,349
6,682
68,937
64,007
14.6
8,954
2,384
3,949
56,618
17,976
31.7
38,642
38,642
5.8
2014E
481,622
9.6
298,606
29,821
0
7,351
73,857
71,988
14.9
11,710
4,968
5,611
60,922
19,162
31.5
41,760
41,760
8.1
Ratios
Y/E March
EPS
Cash EPS
Book Value
DPS
Payout
Valuation (x)
P/E
Cash P/E
EV / EBITDA
EV / Sales
Price / Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Fixed Asset Turnover (x)
Leverage Ratio
Debt / Equity (x)
2011
28.7
33.2
151.8
7.5
26.1
2012
28.8
35.0
170.4
8.70
30.2
2013E
30.5
37.5
190.2
9.0
29.5
2014E
32.9
42.2
211.6
10.0
30.4
10.1
8.5
6.3
1.2
1.9
2.1
9.8
8.1
6.5
1.0
1.7
2.4
9.3
7.5
6.6
1.0
1.5
2.5
8.6
6.7
6.2
1.0
1.3
2.8
18.5
22.9
16.9
19.2
16.0
15.5
15.6
15.7
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Tax
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Current Assets
Inventory
Debtors
Cash & Bank Balance
Loansand advances
Current Liab. & Prov.
Liabilities
Provisions
Net Current Assets
Application of Funds
2011
12,685
179,849
192,533
23,100
16,332
231,966
221,444
97,408
124,036
58,792
25,825
8,551
19,059
21,314
62,538
47,544
40,605
23,313
231,966
2012
12,685
203,476
216,160
49,659
18,909
284,729
269,778
105,315
164,463
76,793
25,825
14,145
20,764
23,583
64,167
60,473
44,539
17,648
284,728
2012
48
32
118
894
448
(INR Million)
2013E
12,685
228,613
241,298
117,659
21,174
380,130
327,137
114,269
212,868
96,544
25,825
13,696
22,173
48,615
65,892
58,923
46,559
44,893
380,130
2013E
54
32
114
878
396
2014E
12,685
255,680
268,365
127,659
23,611
419,635
453,542
125,979
327,563
39,696
25,825
14,724
24,547
31,632
67,721
63,313
48,760
26,550
419,634
2014E
52
24
121
889
464
21
1.4
19
1.4
18
1.2
19
1.1
0.1
0.2
0.5
0.5
Cash Flow Statement
Y/E March
2011
2012
OP/(Loss) before Tax
52,400
53,400
Depreciation
6,504
7,907
Other op items
-873
0
Direct Taxes Paid
-14,839
-14,285
Inc/Dec in Wkg.Capital -12,420
7,935
CF from Op. Activity
30,773
54,958
(Inc)/Dec in FA & CWIP -46,290
Pur/Sale of Investments -5,095
Inc from Invst
4,090
CF from Inv. Activity
-47,295
Inc / (Dec) in Debt
Dividends Paid
CF from Fin. Activity
7,215
-11,094
-3,879
-66,336
0
0
-66,336
26,559
-12,911
13,647
2,270
21,314
23,583
(INR Million)
2013E
56,618
8,954
0
-15,711
-2,214
47,646
-77,110
0
0
-77,110
68,000
-13,505
54,495
25,031
23,583
48,615
2014E
60,922
11,710
0
-16,725
1,360
57,267
-69,558
0
0
-69,558
10,000
-14,692
-4,692
-16,983
48,615
31,632
Key assumptions/operating metrics
Y/E March
2011
Exchange rate
46
Subsidy (INRb)
21
Natural Gas Transmission
Volume (mmsmd)
118
Average Tariff (INR/mscm) 880
Petchem Sales ('000 MT)
420
August 27 - 31, 2012
Inc / ( Dec) in Cash
-20,402
Add: Opening Balance 41,715
Closing Balance
21,314
51

8th Annual Global Investor Conference
GlaxoSmithKline Pharmaceuticals
Company description
GSK Pharma (a 50% subsidiary of GlaxoSmithKline Plc)
is the fourth largest formulations company in India and
the second largest MNC, with a strong presence in
segments like dermatology, respiratory and vaccines.
Its parent has one of the richest product and R&D
pipelines among pharmaceutical companies
worldwide. Further GSK Pharma's profitability is one of
the best in the industry.
Key challenges
The proposed new "Pharma Policy", if
implemented in the current form will have adverse
impact of 13% on GSK's annualized earnings.
Possible pre-grant and post-grant patent challenges
by domestic generic companies could hamper the
plans and prospects of the launch of patented
products by GSK Pharma in India
Key news flows / triggers to watch
Ability of the company to ramp up its presence in
the high-growth lifestyle segments, which are
negligible contributors as of now.
Sustained launch of new products - this is
imperative to drive future topline growth.
Government's progress on the implementation of
the new Pharma Policy.
Key investment positives
GSK has an excellent branded portfolio and a strong
presence in the dermatology, anti-infective,
respiratory and vaccines segments.
The parent's strong pipeline holds good upside
potential after IPR implementation, with no conflict
of interest issues with any other subsidiary.
GSK deserves premium valuations due to strong
parentage (giving access to large product pipeline),
brand-building ability, and likely positioning in
patent era. It is one of the very few companies with
ability to drive reasonable growth without any major
capital requirement leading to high RoCE.
GSK is likely to sustain double-digit topline growth
over the next few years. Given the high profitability
of its operations, we expect this growth to lead to
sustainable double-digit earnings growth and RoE
of ~30%. This growth is likely to be funded through
miniscule capex and negative net working capital.
2QCY12 highlights
Performance was in-line with topline growth of
16.1%, EBITDA growth of 8.4% and Adj PAT growth
of 11.8%. Topline growth was led by dermatology
and vaccine segments. GSK Pharma launched 3 new
products in the quarter.
EBITDA margins declined 220bp YoY (v/s our
estimate of 60bp decline). Effectively, higher sales
have compensated for lower EBITDA margins.
Adj PAT growth is higher than EBITDA growth due to
lower depreciation (down 13%) and higher other
income (up 14%).
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
GLXO IN
85
2,091
3.2
2338 / 1830
-2 / 4 / -8
Quarterly Performance
Y/E December
Jun-11
Operating Income
5,615
Change (%)
12.8
EBITDA
1,870
Change (%)
2.9
EBITDA Margin (%) 33.3
Reported PAT
1,475
Adjusted PAT
1,517
Change (%)
8.6
PAT Margin (%)
27.0
Key Operating Metrics
RM Cost (% of sales) 36.4
Staff Cost (% Chg YoY) 22.5
Other Exp (% of sales) 18.3
E: MOSL Estimates
Sep-11
6,076
4.4
1,760
-15.7
29.0
1,459
1,460
-7.7
24.0
39.8
15.5
22.0
Dec-11
5,660
15.4
1,706
15.8
30.1
1,367
1,474
20.5
26.0
41.0
8.1
11.3
Mar-12
6,228
3.3
1,957
-7.2
31.4
1,229
1,857
-0.3
29.8
42.1
0.9
17.4
Jun-12
6,520
16.1
2,028
8.4
31.1
1,635
1,696
11.8
26.0
41.5
1.6
17.3
(INR Million)
CY11
23,380
10.7
7,445
0.9
31.8
4,306
6,314
8.6
27.0
38.9
15.6
17.4
CY12E
25,650
9.7
7,944
6.7
31.0
6,175
6,864
8.7
26.8
41.0
2.0
17.0
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
50.7
14.2
18.6
16.6
Mar-12
50.7
14.5
18.5
16.4
Jun-11
50.7
15.9
17.1
16.4
52
August 27 - 31, 2012

8th Annual Global Investor Conference
GlaxoSmithKline Pharmaceuticals: Financials and valuation
Income Statement
Y/E December
Net Sales
Change (%)
EBITDA
Change (%)
Margin (%)
Depreciation
Int. and Fin. Charges
Other Income - Rec.
PBT & EO Expense
Tax
Tax Rate (%)
Adj PAT
EO Expense (net of tax)
Reported PAT
Change (%)
Margin (%)
2010
21,116
12.9
7,378
12.7
34.9
176
6
1,477
8,673
2,859
33.0
5,814
177
5,637
15.2
26.7
2011
23,380
10.7
7,445
0.9
31.8
204
3
1,978
9,216
2,902
31.5
6,314
-2,008
4,306
8.6
18.4
(INR Million)
2012E
25,650
9.7
7,944
6.7
31.0
171
0
2,248
10,020
3,156
31.5
6,864
-689
6,175
8.7
24.1
2013E
28,899
12.7
9,156
15.3
31.7
215
0
2,504
11,445
3,605
31.5
7,840
0
7,840
14.2
27.1
Income Statement
Y/E December
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Fixed Asset Turnover (x)
Debtor (Days)
Inventory (Days)
Working Capital (Days)
Leverage Ratio
Debt/Equity
2010
68.6
70.7
228.0
40.0
66.5
2011
74.5
76.9
226.7
50.0
76.5
(INR Million)
2012E
81.0
83.1
241.8
60.0
84.4
2013E
92.6
95.1
270.7
70.0
86.2
30.5
29.6
9.2
7.4
21.2
1.9
28.1
27.2
9.2
6.7
20.9
2.4
25.8
25.2
8.6
6.1
19.6
2.9
22.6
22.0
7.7
5.3
16.8
3.3
Balance Sheet
Y/E December
Equity Share Capital
Reserves
Capital Reserve
Net Worth
Loans
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Account Receivables
Cash & Bank Balance
Others
Curr. Liability & Prov.
Account Payables
Provisions
Net Current Assets
Deferred Tax Assets
Appl. of Funds
2010
847
18,445
17
19,308
52
19,360
1,089
87
1,604
24,483
2,815
470
19,481
1,717
8,468
3,567
4,900
16,016
564
19,360
2011
847
18,336
17
19,199
49
19,248
991
254
1,598
26,959
3,301
853
19,864
2,940
11,168
3,545
7,623
15,790
615
19,248
(INR Million)
2012E
847
19,614
17
20,478
0
20,478
1,620
254
20,426
8,849
3,848
770
1,283
2,950
11,286
3,591
7,695
-2,437
615
20,478
2013E
847
22,069
17
22,933
0
22,933
2,204
254
21,882
9,826
4,479
867
1,445
3,034
11,849
3,757
8,092
-2,023
615
22,932
30.1
44.8
32.9
47.9
33.5
48.9
34.2
49.9
20.9
8
49
-60
22.5
13
52
-64
19.6
11
55
-53
15.1
11
57
-44
0.0
0.0
0.0
0.0
Cash Flow Statement
Y/E December
2010
Oper. Profit/Loss bef. Tax 7,378
Interest/Div. Recd.
1,477
Direct Taxes Paid
-2,976
(Inc)/Dec in WC
-3
CF from Operations
5,876
EO expense
CF frm Op. incl EO exp.
(inc)/dec in FA
(Pur)/Sale of Investments
CF from investments
Change in Net Worth
Inc/(Dec) in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
177
5,699
-166
216
50
0
-3
-6
-2,985
-2,994
2011
5,438
1,978
-2,953
-357
4,105
-2,008
6,113
-272
5
-267
-1,593
-3
-3
-3,863
-5,462
383
19,481
19,864
(INR Million)
2012E
7,255
2,248
-3,156
-1,320
5,026
-689
5,715
-800
-18,929
-19,729
311
-49
0
-4,829
-4,567
-18,581
19,864
1,283
2013E
9,156
2,504
-3,605
-1,217
6,838
0
6,838
-800
-1,557
-2,357
1,476
0
0
-5,795
-4,319
163
1,283
1,445
53
Revenue Mix (INR M)
Pharmaceuticals
Growth (%)
Exports
Growth (%)
Iodex
Growth (%)
Total
Growth (%)
August 27 - 31, 2012
CY10
19,603
14.3
631
-11.9
882
3.9
21,116
12.9
CY11
22,049
11.2
365
-42.2
966
9.5
23,380
10.7
CY12E
24,695
12.0
183
-50.0
773
-20.0
25,650
9.7
CY13E
27,905
13.0
183
-
811
5.0
28,899
12.7
Inc/Dec of Cash
2,755
Add: Beginning Balance 16,726
Closing Balance
19,481

8th Annual Global Investor Conference
Glenmark Pharmaceuticals
Company description
Glenmark is a second-tier generic company. It has
differentiated itself through successful NCE research.
It has a pipeline of 5 novel drugs in different phases of
clinical studies, generating cumulative R&D licensing
income of USD207m. Its key markets are: US (38% of
sales), India (27%) and emerging markets (19%).
Key challenges
The proposed new "Domestic Pharma Policy", may
adversely impact earnings.
NCE research is a high-gestation and expensive
business, and may pressurize margins in near term.
Needs to broaden its therapeutic coverage in India
to fully exploit the domestic market potential.
Key investment positives
Key news flows / triggers to watch
Approvals & ramp-up of the OC portfolio in the US.
Reduction in debt – expected to begin in FY13.
Release of data from Revamilast clinical trials (likely
by 1QFY14); favourable data could lead to successful
out-licensing.
Most successful NCE research company from India
with cumulative licensing income of USD207m.
Currently, it has 2 out-licensed NCEs (to Sanofi) and
a total of 5 NCEs undergoing clinical trials.
Expect improved working capital and moderate
capex to help the management reduce debt. Return
ratios are expected to gradually improve over the
next two years – RoCE from 12.1% to 21% and RoE
from 13.5% to 21%.
Improved working capital cycle coupled with
potential debt reduction is likely to address investor
concerns on adverse balance sheet.
Glenmark is trying to build a differentiated product
portfolio in the US through a combination of oral
contraceptives (OC) and dermatology products.
Expect 54% EPS CAGR over FY12-14, albeit on a low
base.
1QFY13 highlights
Performance was above estimates led by strong
traction in US, India and emerging markets but partly
boosted by favorable currency.
Core EBITDA at INR1.85b was higher than our
estimate of INR1.47b while core EBITDA margin was
18.7% v/s our estimate of 16.2%.
Adj PAT de-growth of 54% was mainly due to forex
losses of INR550m.
Overall working capital continued to be under
control at 125-130 days.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
GNP IN
271
416
2.0
427 / 265
4 / 42 / 24
Quarterly Performance
Y/E March
Jun-11 Sep-11 Dec-11
Operating Income
8,683 10,554 10,311
Op.Inc.(ex one-offs&R&D) 7,570
9,272
9,780
Change (%)
27.8
32.3
34.3
EBITDA
2,966
2,983
2,046
EBITDA (ex one-offs)
1,854
1,731
1,603
Change (%)
32.7
12.7
6.4
EBITDA Margin (%)
24.5
18.7
16.4
Reported PAT
2,093
548
451
Adj.PAT (ex one-offs)
1,092
745
76
Change (%)
17.8
-24.6
-92.2
PAT Margin (%)
14.4
8.0
0.8
Key Operating Metrics - Revenue Break-up
US
2,512
3,001
3,190
Europe
390
563
971
India
2,254
2,539
2,547
Latam
621
780
860
ROW
1,047
1,479
1,571
APIs
646
763
836
R&D Income
1,112
1,185
238
Others
101
246
97
E: MOSL Estimates
Mar-12
10,659
10,302
30.0
1,864
1,631
511.1
15.8
1,511
1,331
101.4
12.9
3,435
1,083
2,682
751
1,828
850
-
30
Jun-12
10,404
9,863
30.3
2,198
1,841
-0.7
18.7
783
506
-53.6
5.1
(INR Million)
FY12
40,206
36,925
31.2
9,860
6,819
44.9
18.5
4,603
3,244
-8.6
8.8
FY13E
47,946
47,404
28.4
9,487
9,129
33.9
19.3
6,484
5,493
69.3
11.6
16,233
3,525
12,026
3,932
7,624
3,892
241
474
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
48.3
5.4
34.0
12.3
Mar-12
48.3
4.6
35.5
11.7
Jun-11
48.3
6.9
31.9
12.9
3,924 12,137
602 3,008
2,798 10,021
670 3,012
1,348 5,926
1,005 3,094
- 2,535
58
474
54
August 27 - 31, 2012

8th Annual Global Investor Conference
Glenmark Pharmaceuticals: Financials and valuation
Income Statement
(INR Million)
Ratio
Y/E March
Basic (INR)
EPS (Fully diluted)*
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E (Fully diluted)
PEG (x)
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Fixed Asset Turnover (x)
Debtor (Days)
Inventory (Days)
Working Capital (Days)
Leverage Ratio (x)
Current Ratio
Debt/Equity
2011
12.5
15.8
75.4
3.7
5.2
2012
11.4
14.9
88.8
10.0
13.6
2013E
19.3
23.1
108.9
5.0
5.4
2014E
27.1
31.3
136.8
5.7
4.5
Y/E March
2011
2012
2013E
2014E
Net Sales
29,491
40,206
47,946
54,603
Change (%)
19.8
36.3
19.2
13.9
EBITDA
5,923
9,860
9,487
11,618
Margin (%)
20.1
24.5
19.8
21.3
Adjusted EBITDA
5,028
7,325
9,246
11,384
Margin (%)
17.6
19.4
19.4
20.9
Depreciation
947
979
1,067
1,189
EBIT
4,976
8,882
8,420
10,429
Interest
1,566
1,466
1,462
1,280
OI & forex gains/losses
1,405
-1,218
-91
281
PBT before EO Expense
4,816
6,198
6,867
9,431
PBT after EO Exp.
4,816
4,881
6,867
9,431
Tax
237
238
1,018
1,415
Tax Rate (%)
4.9
4.9
14.8
15.0
Reported PAT
4,578
4,643
5,849
8,016
Adj PAT**
3,548
3,244
5,493
7,713
Margin (%)
12.4
8.6
11.5
14.2
**Excl NCE upsides & incl adjustment for R&D exp capitalization
33.3
4.6
26.3
5.5
4.5
22.2
0.9
36.4
-4.3
28.0
4.7
3.2
13.2
2.4
21.5
0.3
18.0
3.8
2.7
13.7
1.2
15.3
0.4
13.3
3.0
2.3
10.9
1.4
17.4
13.4
13.5
12.1
18.6
17.5
20.8
20.9
Balance Sheet
Y/E March
Equity Share Capital
Fully Diluted Eq Cap
Reserves
Net Worth
Minority Interest
Loans
Deferred liabilities
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Intangibles (net)
Curr. Assets
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liability & Prov.
Net Current Assets
Appl. of Funds
2011
270
284
20,102
20,372
267
21,258
-1081
40,816
21,023
1,100
309
10,329
25,988
8,070
11,308
1,959
4,651
7,605
18,384
40,816
2012
271
284
23,746
24,016
250
20,779
-2674
42,371
23,790
1,100
298
11,862
29,472
7,877
12,436
3,201
5,958
12,289
17,183
42,371
(INR Million)
2013E
271
284
29,198
29,468
170
19,279
-2674
46,243
25,681
1,100
298
11,031
32,750
9,852
15,106
1,224
6,568
13,586
19,165
46,243
2014E
271
284
36,751
37,022
70
15,779
-2674
50,197
26,992
1,100
298
10,259
37,267
11,220
17,204
1,364
7,480
15,460
21,807
50,197
1.5
140
100
203
1.8
113
72
127
1.9
115
75
137
2.1
115
75
137
3.4
1.0
2.4
0.9
2.4
0.7
2.4
0.4
Cash Flow Statement
Y/E March
Op. Profit/Loss before Tax
Interest/Dividends Recd.
Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
CF frm Op.incl EO Exp.
(Inc)/Dec in FA
CF from Investments
Change in Networth
Inc/(Dec) in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2011
5,923
1,405
-2,029
1,530
6,829
6,829
810
682
-7,521
2,701
-1,566
-236
-6,621
890
1,069
1,959
2012
9,860
-1,218
-1,830
2,443
9,254
7,937
-3,746
-3,735
-366
-496
-1,466
-633
-2,961
1,242
1,959
3,201
(INR Million)
2013E
9,487
-91
-1,018
-3,958
4,420
4,420
-2,957
-2,957
-80
-1,580
-1,462
-317
-3,439
-1,976
3,201
1,224
2014E
11,618
281
-1,415
-2,503
7,982
7,982
-2,500
-2,500
-100
-3,600
-1,280
-363
-5,342
139
1,224
1,364
Revenue model (INR M)
Y/E March
India Formulations
Branded form. exports
Generics
NCE Income
API & Others
Gross Sales
2011
8,447
7,516
9,296
895
3,337
29,491
2012
10,021
10,771
13,311
2,535
3,568
40,206
2013E
12,026
13,568
17,746
241
4,366
47,946
2014E
13,950
15,686
19,909
234
4,824
54,603
August 27 - 31, 2012
55

8th Annual Global Investor Conference
Godrej Consumer Products
Company description
Godrej Consumer Products (GCPL) enjoys leadership
position in India's household insecticide business.
Besides, it is the second largest player in the INR90b
Toilet Soap category (~10% market share) and market
leader in the INR10b hair dye category with a market
share of ~32%. GCPL has been very aggressive in
international acquisitions which now account for more
than 36% of consolidated revenues.
Key challenges
GCPL will have to pay INR3-4b every year to acquire
remaining geographies of Darling Group. Given the
already laid-out roadmap for this, incremental
acquisitions can impact cash flows.
Sustaining 20%+ growth and margins in toilet soaps
is a challenge, given the high penetration and
competitive intensity.
Key news flows / triggers to watch
Key investment positives
Synergies from GHPL (Godrej Home Products Ltd)
post the merger have paid of well by way of strong
volume growth, increase in distribution reach, and
access to various new geographies.
Market leadership and strong 20%+ growth in the
domestic household insecticides business is the key
growth driver for the company. GCPL has ~37%
market share in the INR25b market in India.
GCPL has acquired leading brands in their respective
geographies. In several of these territories these
companies are already competing with their MNC
counterparts and have shown ability to compete
with them and grow successfully. Megasari has been
competing with S C Johnson in Indonesia, whereas
the LatAm subsidiaries have been competing with
MNCs like L'Oreal and P&G.
Any big ticket acquisition by the company.
Synergies
and cross-pollination between
geographies and acquired companies.
INR and PFAD prices are an overhang on margins.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 Consolidated sales grew 39% to INR13.8b
led by 27% sales growth in domestic Household
Insectices, 42% growth in Toilet Soaps, 40% growth
in Megasari, and 94% growth in Latin America.
GCPL received INR165m (INR80m after minority
interest) as a result of zero tax status to its Nigeria
business. It will enjoy this status for 5 years.
We remain positive on the rapidly growing
household insecticides business which has in the
last two years consistently outperformed market
growth. We expect profit margins in toilet soaps in
the coming quarters to remain under check due to
firm PFAD prices.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
GCPL IN
340
639
3.9
658 / 370
9 / 49 / 49
Quarterly Performance
Y/E March
Jun-11
Operating Income
9,978
Change (%)
39.6
EBITDA
1,427
Change (%)
11.5
EBITDA Margin (%)
14.3
Reported PAT
2,393
Adjusted PAT
1,002
Change (%)
10.3
PAT Margin (%)
10.0
Key Operating metrics
India EBITDA margin (%) 15.3
Intl. EBITDA margin (%) 12.6
E: MOSL Estimates
Sep-11
11,860
23.3
2,088
25.1
17.6
1,277
1,277
-2.0
10.8
17.6
17.2
Dec-11
13,441
35.9
2,653
60.1
19.7
1,671
1,671
40.7
12.4
18.8
21.0
Mar-12
13,230
32.4
2,481
39.6
18.8
1,927
1,730
22.1
13.1
19.0
18.3
Jun-12
13886
39.2
1988
39.3
14.3
1305
1305
30.2
9.4
14.1
14.5
(INR Million)
FY12
48,509
32.0
8,607
35.4
17.7
7,267
5,266
11.2
10.9
FY13E
63147
30.17
11298
31.26
17.89
7446
7446
41.42
11.79
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
64.0
1.0
27.2
7.8
Mar-12
64.0
1.8
25.3
9.0
Jun-11
67.3
2.2
19.3
11.2
56
August 27 - 31, 2012

8th Annual Global Investor Conference
Godrej Consumer Products: Financials and valuation
Income Statement (Consolidated)
Y/E March
Net Sales
Change (%)
Total Expenditure
EBITDA
Change (%)
Margin (%)
Depreciation
Int. and Fin. Charges
Interest Income
Other Income-rec.
forex gain/(loss)
PBT
Change (%)
Tax
Deferred Tax
Tax Rate (%)
PAT
Change (%)
minority interest
Group Adjusted PAT
Non-rec. (Exp.)/Income
Reported PAT
2011
36,763
80.1
30,405
6,358
55.7
17.3
499
436
643
0
-52.8
6,118
45.7
1,382
0
22.6
4,736
39.5
0.0
4,736
411
5,148
2012
48,509
32.0
39,903
8,607
35.4
17.7
644
658
672
0
205
7,771
27.0
2,261
0
29.1
5,511
16.4
245
5,266
2,002
7,267
(INR Million)
2013E
63,147
30.2
51,849
11,298
31.3
17.9
887
1,046
430
660
0
10,454
34.5
2,352
-76
23.2
8,025
45.6
579
7,446
0
8,025
2014E
78,327
24.0
64,378
13,949
23.5
17.8
1,044
1,114
596
713
0
13,102
25.3
3,079
-91
24.2
9,932
23.8
856
9,076
0
9,932
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
14.6
16.2
53.3
5.0
34.4
2012
16.3
18.3
64.5
6.0
36.9
2013E
21.9
24.5
94.0
8.0
36.6
2014E
26.7
29.7
109.0
10.0
37.5
37.2
33.1
4.5
25.4
9.4
1.0
27.6
24.7
3.6
20.0
6.4
1.3
22.7
20.3
2.9
16.3
5.6
1.7
27.5
18.4
25.2
20.4
23.3
22.7
24.5
24.5
Balance Sheet
Y/E March
Share Capital
Reserves
Minority Int
Networth
Loans
Deferred Liability
Capital Employed
Gross Block
Less: Accum. Depn.
Net Fixed Assets
Capital WIP
Goodwill
Currents Assets
Inventory
Account Receivables
Cash and Bank Balance
Loans and Advances
Other Current Assets
Curr. Liab. & Prov.
Account Payables
Other Liabilities
Provisions
Net Current Assets
Net Assets
2011
324
16,928
17,252
20,054
14
37,320
19,147
3,775
15,373
154
15,404
15,062
4,394
3,840
2,269
4,437
122
8,673
5,499
3,084
89
6,389
37,320
2012
324
20,561
591
20,885
23,800
74
45,350
23,347
4,452
18,896
150
20,444
16,776
6,264
3,998
1,311
4,703
500
10,916
7,424
3,466
26
5,860
45,350
(INR Million)
2013E
340
31,656
1,170
31,996
23,250
150
56,567
29,562
5,339
24,224
150
23,444
22,266
8,131
5,190
2,985
5,360
600
13,518
9,556
3,926
35
8,748
56,567
2014E
340
36,750
2,027
37,090
24,750
241
64,108
34,787
6,382
28,405
150
25,444
26,334
10,086
6,438
2,979
6,110
720
16,225
11,780
4,399
46
10,108
64,108
38
2.4
30
2.5
30
2.6
30
2.7
1.2
1.1
0.7
0.7
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Other Income
Interest Paid
Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
Extraordinary Items
Inc in FA
Pur of Investments
Goodwill
CF from Investments
Issue of Shares
Inc in Debt
Dividend Paid
Other Item
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2011
6,358
643
436
1,382
3,605
1,578
411
15,144
-670
12,285
-26,348
4,976
19,685
1,966
1,293
23,988
-782
3,052
2,269
2012
8,607
672
658
2,261
429
5,931
2,002
4,196
0
5,040
-7,235
337
3,746
2,272
-1,466
345
-958
2,269
1,311
(INR Million)
2013E
11,298
1,089
1,046
2,352
1,214
7,774
0
6,215
0
3,000
-9,215
6,850
-550
3,185
3,115
1,674
1,311
2,985
2014E
13,949
1,310
1,114
3,079
1,365
9,701
0
5,225
0
2,000
-7,225
0
1,500
3,982
-2,482
-5
2,985
2,979
Key assumptions/operating metrics
Net Sales Growth (%)
EBITDA
EBIT Margin (%)
FY11
80.1
6,358
17.3
FY12
32.0
8,607
17.7
FY13E
30.2
11,298
17.9
FY14E
24.0
13,949
17.8
August 27 - 31, 2012
57

8th Annual Global Investor Conference
Grasim Industries
Company description
Grasim is a diversified company with business interest
in VSF (35% of revenue) and cement (through subsidiary
UltraTech, 65% of revenue). UltraTech Cement, its
subsidiary, is number one cement company in India
with total capacity of ~50mt.
Key news flows / triggers to watch
Entered into agreement to acquire 40% stakein
Terrace Bay Inc (US-based paper grade pulp maker)
for USD44m.
Grasim's capex program to add 156,500 tons of VSF
capacity is on track:
(1) Harihar brownfield addition of 36,000 tons in
two phases by Aug-12 and Jan-13, and
(2) Vilayat greenfield addition of 120,000 tons by
4QFY13.
It is also expanding pulp capacity in Domsjo by 45,000
tons to 255,000 tons, which is expected to be
operational by 2QFY13.
Key investment positives
UltraTech, Grasim's 60% subsidiary, is a truly pan-
India play without concentration in any particular
region, insulating it from volatility in regional
demand & prices.
Grasim is a global leader in VSF business, with
backward integration in pulp. Expect robust VSF
demand in both global and domestic markets.
The outlook for VSF is improving driven by likely
low cotton output in FY13, coupled with limited
downside risk to VSF prices from current levels as
some Chinese players are making EBITDA loss.
With planned VSF capacity expansion of ~50% of
existing capacity, Grasim is well placed to benefit
from any improvement in demand and pricing.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 VSF volumes were ahead of estimate at
77,013 tons (v/s estimate 73,375 tons), up 40% YoY
(-19% QoQ).
Average realization was also ahead of estimate at
INR128/kg (v/s estimate INR125/Kg).
Higher realizations and softening costs (e.g. pulp
prices down 3% QoQ ) led to PBDIT margin improving
710bp QoQ.
Grasim indicated that it does not see any further
downside to VSF prices, as at current levels of global
VSF prices, Chinese players would be making
losses. Chinese players are operating at 65-68%
utilizations.
Key challenges
Post ongoing capex in VSF, Grasim needs avenues
to deploy its strong cash flow from VSF business.
Deriving synergies from recent acquisitions of
Domsjo, Terrace Bay, and planned capacity addition
in Turkey through JV.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
GRASIM IN
92
3,017
5.0
3,046 / 2,040
13 / 8 / 37
Quarterly Performance
Y/E March
Jun-11
Net Op. Income
10,237
Change (%)
8.3
EBITDA
3,529
Change (%)
17.2
EBITDA Margin (%) 34.5
Reported PAT
3,141
Adjusted PAT
3,141
Change (%)
40.3
PAT Margin (%)
30.7
Key Operating metrics
VSF Volume (t)
54,839
Realiz.(INR/t)
152,409
Cem. Volume (mt)
9.86
E: MOSL Estimates
Sep-11
12,035
29.0
2,905
10.1
24.1
3,448
3,448
23.3
28.7
78,959
124,689
9.22
Dec-11
12,429
2.4
2,854
-21.5
23.0
2,745
2,745
-2.9
22.1
78,215
128,499
10.11
Mar-12
13,885
-2.6
2,168
-53.3
15.6
2,436
2,436
-38.4
17.5
94,904
121,293
11.54
Jun-12
12,390
21.0
2,953
-16.3
23.8
2,729
2,729
-13.1
22.0
77,013
128,024
10.33
(INR Million)
FY12
48,724
7.3
11,611
-18.3
23.8
11,770
11,770
-0.4
24.2
306,917
129,563
40.7
FY13E
50,876
4.4
11,984
3.2
23.6
12,327
12,327
4.7
24.2
338,428
127,293
43.8
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
25.5
16.8
39.0
18.7
Mar-12
25.6
16.9
38.6
19.0
Jun-11
25.6
17.8
38.2
18.5
58
August 27 - 31, 2012

8th Annual Global Investor Conference
Grasim Industries: Financials and valuation
Income Statement (Consolidated)
Y/E March
Net Sales
Change (%)
EBITDA
Change (%)
Margin (%)
Depreciation
Interest cost
Other Income - Rec.
PBT after EO items
Tax Rate (%)
Consolidated PAT
Change (%)
2011
213,183
6.9
47,635
-17.7
22.3
11,384
4,068
6,310
38,494
24.8
22,790
-16.6
2012
249,878
17.2
53,184
11.7
21.3
11,544
3,136
10,018
48,522
27.2
26,475
16.2
(INR Million)
2013E
269,921
8
62,923
18.3
23.3
12,108
2,868
10,306
58,252
26.2
31,673
19.6
2014E
308,646
14.3
72,112
14.6
23.4
15,363
2,810
9,906
63,845
27.4
34,098
7.7
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
P/BV
EV/ EBITDA
Dividend Yield (%)
EV/Ton (US$)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Inventory (Days)
Creditor (Days)
Leverage Ratio
Debt/Equity (x)
2011
248.5
371
1,587
20
9.4
2012
288.6
458
1,861
22.5
9
2013E
345.3
534.7
2,171
30
10.2
2014E
371.8
586.8
2,502
35
11
Consolidated Balance Sheet
Y/E March
Equity Share Capital
Net Worth
Loans
Deferred liabilities
Minority Interest
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Goodwill
Curr. Assets
Inventory
Debtors
Cash & Bank Bal.
Others
Curr. Liability & Prov.
Account Payables
Other Liabilities
Net Current Assets
Appl. of Funds
2011
917
145,586
67,827
19,616
43,514
276,543
144,316
13,578
79,185
24,191
58,797
27,229
14,346
2,844
14,378
43,524
29,357
6,395
15,273
276,542
2012
917
170,687
65,513
19,790
52,334
308,324
153,140
22,000
78,758
24,964
86,483
30,711
17,288
3,252
35,232
57,020
26,353
20,883
29,462
308,324
2013E
917
199,140
62,420
19,790
63,661
345,012
176,532
70,000
58,670
24,964
71,529
32,390
17,545
4,049
17,545
56,683
37,789
8,098
14,846
345,012
2014E
917
229,483
57,420
19,711
75,898
382,512
244,169
20,000
76,404
24,964
81,791
37,037
20,062
4,630
20,062
64,816
43,210
9,259
16,976
382,512
12
8
1.9
6.6
0.7
115
10.3
6.5
1.6
6.6
0.8
121
8.6
5.6
1.4
5.9
1
124
8
5.1
1.2
4.8
1.2
90
15.7
19.9
15.5
21.9
15.9
23.4
14.9
23.2
25
47
50
25
45
38
24
44
51
24
44
51
0.5
0.4
0.3
0.3
Consolidated Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Interest/Div./ Recd.
Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
(inc)/dec in FA
(Pur)/Sale of Invest.
CF from Invest.
Issue of Shares
(Inc)/Dec in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Bal.
Closing Balance
2011
47,635
6,310
-9,984
-8,311
35,650
-23,751
-16,742
-40,493
-304
11,835
-4,068
-2,146
5,317
474
2,370
2,844
2012
53,184
10,018
-13,033
-13,781
36,389
-28,790
-347
-29,136
1,020
-2,314
-3,136
-2,394
-6,824
428
2,844
3,252
2013E
62,923
10,306
-15,252
15,413
73,389
-83,500
20,088
-63,412
0
-3,093
-2,868
-3,219
-9,181
797
3,252
4,049
2014E
72,112
9,906
-17,589
-1,549
62,880
-33,000
-17,734
-50,734
0
-5,000
-2,810
-3,756
-11,566
581
4,049
4,630
VSF business - Key assumptions
Capacity (ton)
Sales volume (ton)
Net Turnover (INR m)
Avg Realiz. (INR/ton)
PBIDT Margin (%)
PBDIT (INR m)
FY11
333,975
305,072
41,695
126,614
35.5
14,793
FY12
333,975
306,917
42,924
129,563
27.2
11,673
FY13E
490,475
338,428
46,440
127,293
25.3
11,772
FY14E
490,475
362,952
50,587
129,293
25.8
13,036
August 27 - 31, 2012
59

8th Annual Global Investor Conference
HDFC
Company description
Housing Development Finance Corporation (HDFC) is
India's largest housing finance company, operating
through a pan India network of 318 outlets. Its AUM
size was INR1.6t as on 30th June 2012 with 2/3rd of the
portfolio coming from individual loans. Besides the
core housing finance business, HDFC has interest in
banking, insurance and asset management businesses
through its group companies.
capital infusion. HDFC does not need to dilute
capital to fund subsidiaries; strong core RoE's will
help fund own growth. Value unlocking through
listing of insurance subsidiary could provide capital
for infusion in HDFC Bank, as and when needed.
Key challenges
Continued change in regulation from NHB relating
to (a) Teaser loan portfolio, (b) uniform rates for
existing and new customers could act as a deterrent
to growth and margins.
Moderation in economic growth and high real
estate prices may impact overall demand.
Key investment positives
Across the cycle, HDFC has demonstrated a
successful track record of healthy growth. Over
FY02-12, disbursements and sanctions have both
grown @ 25% CAGR each. During the same period,
individual loans (including sell-downs) grew @ 23%.
Despite higher interest rates and elevated property
prices in India, HDFC's sanctions and disbursements
growth remains healthy at 17% and 20% in 1QFY13.
HDFC has done a commendable job of managing
spreads in the range of 2.1-2.3% irrespective of the
interest rate cycle and competitive pressure. With
the teaser loan portfolio repricing and expected fall
in interest rates, we expect HDFC to comfortably
maintain spreads in its stated band of 2.1-2.3%.
HDFC has demonstrated its superior credit appraisal
capabilities by maintaining healthy asset quality
with gross NPAs remaining below 1%.
Its subsidiaries/associates have grown sizably and
become self-sufficient. The life insurance business
has turned profitable and should not need further
Key news flows / triggers to watch
Warrants issued in September 2009 to get converted
into equity in August 2012.
Any announcement by NHB related to capital
requirements.
Listing of insurance venture.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
Individual loan
growth (including sell down) of 22%, spread at
227bp, GNPA ratio of 79bp, interest on ZCBs of
INR1.5b charged to reserves, and CAR at 14.6% with
Tier I ratio of 11.6%.
Guidance for FY13-14:
Loan growth of 18-20%,
spreads in the range of 2.15-2.35%, Consolidated
ROE to improve 100bp every year (except FY13 due
to warrant conversion), stable cost to income ratio.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HDFC IN
1,489
712
19.0
726 / 601
1/3/3
Quarterly Performance
Y/E March
Jun-11
Net Int. Income
10,948
YoY Change (%)
17.1
Profit on Sale of Inv. 163
Other oper. income 1,909
Net Oper. Income 13,020
Pre Provi. Profit
11,935
YoY Change (%)
21.6
PAT
8,445
YoY Change (%)
21.6
Key Operating Metrics
AUM Growth (%)
20.6
Spreads (%; Cum.) 2.30
GNPA (%)
0.83
E: MOSL Estimates
Sep-11
12,435
14.7
869
1,430
14,734
13,547
17.9
9,707
20.2
20.2
2.29
0.82
Dec-11
12,364
15.1
880
1,306
14,549
13,483
9.8
9,813
10.1
20.7
2.27
0.82
Mar-12
17,434
27.2
791
1,233
19,458
18,491
17.1
13,261
16.1
20.2
2.27
0.74
Jun-12
13,042
19.1
202
2,223
15,467
14,199
19.0
10,019
18.6
19.2
2.27
0.79
(INR Million)
FY12
52,121
16.3
2,702
6,939
61,762
57,456
16.4
41,226
16.6
20.2
2.27
0.74
FY13E
63,852
22.5
2,500
8,524
74,876
69,622
21.2
49,225
19.4
22.0
NA
0.74
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
0.0
15.1
71.3
13.6
Mar-12
0.0
15.4
70.8
13.9
Jun-11
0.0
14.3
73.3
12.4
60
August 27 - 31, 2012

8th Annual Global Investor Conference
HDFC: Financials and valuation
Income statement
Y/E March
2011
Interest Income
120,431
Interest Expended
75,599
Net Interest Income
44,832
Change (%)
25.3
Fees and Other Charges 2,204
Net Int. Inc. (incl fees)
47,035
Change (%)
23.5
Other Operating Income 5,894
Miscellanous Income
251
Net Income
53,181
Change (%)
23.7
Operating Expenses
3,812
Operating Income
49,370
Change (%)
24.2
Provisions/write offs
700
Reported PBT
48,670
Tax
13,320
Tax Rate (%)
27.4
Reported PAT
35,350
Change (%)
25.1
PAT adjusted for EO
35,350
Change (%)
25.1
2012
163,689
111,568
52,121
16.3
2,684
54,805
16.5
6,957
213
61,975
16.5
4,519
57,456
16.4
800
56,656
15,430
27.2
41,226
16.6
41,226
16.6
(INR Million)
2013E
203,277
139,426
63,852
22.5
3,419
67,270
22.7
7,606
250
75,126
21.2
5,504
69,622
21.2
1,958
67,664
18,438
27.3
49,225
19.4
49,225
19.4
2014E
236,504
159,267
77,237
21.0
4,034
81,271
20.8
8,627
275
90,173
20.0
6,647
83,525
20.0
2,187
81,338
22,165
27.3
59,173
20.2
59,173
20.2
Ratios
Y/E March
2011
Spreads Analysis (%)
Avg Yield on Housing Loans 10.5
Avg. Yield on Earning Assets 9.8
Avg. Cost-Int. Bear. Liab.
7.1
Interest Spread
2.6
Net Interest Margin
3.6
Profitability Ratios (%)
RoE
Adjusted RoE
RoA
Adjusted RoA
Efficiency Ratios (%)
Int. Expended/Int.Earned
Other Inc./Net Income
Op. Exps./Net Income
Empl. Cost/Op. Exps.
2012
11.8
11.1
8.8
2.3
3.5
2013E
12.1
11.6
9.3
2.4
3.6
2014E
11.6
11.4
9.0
2.5
3.7
21.7
26.6
2.9
2.8
22.7
27.3
2.8
2.7
22.7
29.4
2.9
2.7
22.8
30.9
2.9
2.8
62.8
15.7
7.2
46.1
68.2
15.9
7.3
45.5
68.6
15.0
7.3
44.9
67.3
14.3
7.4
44.6
Valuation
Book Value (INR)
118.1
128.8
159.3
179.2
Price-BV (x)
5.3
4.3
3.8
Adjusted BV* (INR)
91.2
100.5
105.9
125.8
Adj Price-ABV (x)
5.0
4.5
3.6
EPS (INR)
24.1
27.9
32.1
38.6
EPS Growth (%)
22.4
15.8
15.1
20.2
Adj Price-Earnings (x)
18.0
15.0
11.6
Adjusted EPS (INR)#
22.6
26.0
29.8
35.7
Adjusted EPS Growth (%)
21.8
15.1
14.4
20.0
Adj Price-Adj EPS (x)
19.3
16.1
12.5
Dividend per share (INR)
9.0
11.0
12.2
14.7
Dividend yield (%)
1.6
1.8
2.1
E: MOSL Estimates; * BV is adj. by deducting investments in key
ventures from NW; # Adjusted EPS is adjusting for dividend
from key ventures
Balance sheet
Y/E March
Capital
Reserves & Surplus
Net Worth
Loans from Banks
Bonds/Debentures
Deposits
Borrowings
Change (%)
Total Liabilities
Housing Loans
Change (%)
Investments
Change (%)
Total Assets
2011
2,934
170,231
173,165
424,898
482,956
243,269
1,151,123
19.2
1,324,288
1,171,266
19.6
118,324
10.3
1,324,288
2012
2,954
187,222
190,176
406,966
621,381
362,928
1,391,275
20.9
1,581,451
1,408,746
20.3
122,070
3.2
1,581,451
(INR Million)
2013E
3,063
240,945
244,008
460,313
745,657
417,367
1,623,338
16.7
1,867,346
1,726,955
22.6
128,174
5.0
1,867,346
2014E
3,063
271,410
274,473
560,947
894,789
479,972
1,935,708
19.2
2,210,181
2,081,406
20.5
134,582
5.0
2,210,181
August 27 - 31, 2012
61

8th Annual Global Investor Conference
HDFC Bank
Company description
HDFC Bank (HDFCB) is India's largest retail bank and
second largest private sector bank, with balance sheet
size of INR3.6t+. Backed by its consistent performance
(enviable track record of 52 quarters of 30%+ earnings
growth), HDFCB enjoys highest market capitalization
among Indian banks. Retail assets and liabilities are its
core strategy. Rated as one of the best banks in India, it
has 2,550+ branches and 9,700+ ATMs across the country.
HDFCB also carries floating provision of INR16.75b
(INR7/share) created during FY11-12 to smoothen
earnings growth led by better than factored in
credit cost on retail loans. In FY13/14, even though
slippages might get normalized to average levels
in retail segment and credit cost would increase,
buffer on account of higher base due to floating
provisions would provide cushion to earnings.
Key challenges
Key investment positives
HDFCB is best placed in the current environment,
with (1) CASA ratio of ~46%, (2) growth outlook of
1.3x the industry, and (5) best-in-class asset quality.
HDFCB's loan growth is expected to stay strong due
to (1) sharper focus on medium/long tenure
corporate loans, (2) strong demand for auto loans,
and (3) growth from rural and semi-urban areas for
existing products.
Strong CASA ratio and a higher share of retail loans
helped HDFCB to post NIMs (on total assets) of 4%+.
It is expected to retain its funding cost advantage
through strong focus on new customer acquisitions
and floats from multiple transaction banking
franchises. In a falling interest rate scenario, higher
share of fixed rate loans will also cushion margins.
A third of HDFCB's branches are less than 24 months
old; further, a large part of branch expansion
happened outside top 9 cities, where break-even
period is 24-30 months. This strong expansion in
hinterland will help (1) customer acquisition, (2)
product penetration, and (3) priority sector targets.
Lower systemic loan growth and expected increase
in credit cost pose threat to 30% earnings growth.
Operating efficiencies and improvement in
productivity remain key.
Key news flows / triggers to watch
Retail loans asset quality is the decadal best,
increase in stress here could threaten earnings.
Competitors' strategy on retail products need to be
watched. Recently Axis, Yes, IndusInd, State Bank
and foreign banks have become very aggressive.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
(a) Above
industry loan growth (+9% QoQ, 22% YoY), (b) NIM
of 4.3% (+10bp QoQ), (c) strong fee income (+23%
YoY), (d) SA deposits up 4% QoQ and 18% YoY, and
(e) stable asset quality.
Guidance for FY13-14:
Loan growth 3-5% higher than
system, margins of 3.9-4.3%, fall in cost to income
ratio with higher productivity and ageing of new
branches, and annual addition of 250-300 branches.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HDFCB IN
2356
595
25.1
610 / 400
-1 / 16 / 22
Quarterly Performance
Y/E March
Jun-11
Net Int. Income
28,480
% Change (Y-o-Y)
18.6
Other Income
11,200
Operating Exp.
19,346
Operating Profit
20,334
% Change (Y-o-Y)
16.3
Other Provisions
4,437
Net Profit
10,850
% Change (Y-o-Y)
33.7
Loan Growth (%)
20.0
NIM (%)
4.2
Gross NPA (%)
1.0
E: MOSL Estimates
Sep-11
29,445
16.6
12,117
20,304
21,258
17.6
3,661
11,994
31.5
20.0
4.1
1.0
Dec-11
31,160
12.2
14,200
21,580
23,780
14.7
3,292
14,297
31.4
22.1
4.1
1.0
Mar-12
33,883
19.3
14,920
24,671
24,132
15.1
2,983
14,531
30.4
22.2
4.2
1.0
Jun-12
34,841
22.3
15,295
24,326
25,809
26.9
4,873
14,174
30.6
21.5
4.3
1.0
(INR Million)
FY12
122,968
16.6
52,437
85,901
89,504
15.9
14,373
51,671
31.6
22.2
4.2
1.0
FY13E
148,233
20.5
68,990
102,860
114,364
27.8
15,819
67,257
30.2
22.0
4.1
1.3
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
23.1
10.7
49.0
17.3
Mar-12
23.2
10.5
48.8
17.5
Jun-11
23.3
11.1
47.7
17.9
62
August 27 - 31, 2012

8th Annual Global Investor Conference
HDFC Bank: Financials and valuation
Income Statement
Y/E March
2011
2012
Interest Income
199,282 272,864
Interest Expense
93,851 149,896
Net Interest Income
105,431 122,968
Change (%)
25.7
16.6
Non Interest Income
43,352
52,437
Net Income
148,783 175,405
Change (%)
20.3
17.9
Operating Expenses
71,529
85,901
Pre Provision Profits
77,254
89,504
Change (%)
20.2
15.9
Provisions (excl tax)
19,067
14,373
PBT
58,187
75,132
Tax
18,923
23,461
Tax Rate (%)
32.5
31.2
PAT
39,264
51,671
Change (%)
33.2
31.6
Equity Dividend (Incl tax)
8,948
11,806
Core PPP*
77,780
91,463
Change (%)
27.8
17.6
*Core PPP is (NII+Fee income-Opex)
(INR Million)
2013E
335,204
186,971
148,233
20.5
68,990
217,224
23.8
102,860
114,364
27.8
15,819
98,544
31,288
31.8
67,257
30.2
15,737
111,364
21.8
2014E
392,809
214,486
178,323
20.3
85,039
263,361
21.2
121,182
142,179
24.3
19,818
122,361
38,544
31.5
83,817
24.6
16,763
137,679
23.6
Ratios
Y/E March
Spreads Analysis (%)
Avg. Yield-Earning Assets
Avg. Yield on loans
Avg. Yield on Invt
Avg. Cost-Int. Bear. Liab.
Avg. Cost of Deposits
Interest Spread
Net Interest Margin
Profitability Ratios (%)
RoE
RoA
Int. Expense/Int.Income
Fee Income/Net Income
Non Int. Inc./Net Income
Efficiency Ratios (%)
Cost/Income*
Empl. Cost/Op. Exps.
Busi. per Empl. (INR m)
NP per Empl. (INR lac)
* ex treasury
Asset-Liability Profile (%)
Loans/Deposit
CASA Ratio
Investment/Deposit
G-Sec/Investment
CAR
Tier 1
2011
9.2
10.6
7.2
4.7
4.3
4.5
4.9
2012
10.2
11.6
7.7
6.1
5.6
4.1
4.6
2013E
10.2
11.7
7.5
6.3
5.7
3.9
4.5
2014E
9.9
11.2
7.3
6.0
5.3
3.9
4.5
16.7
1.6
47.1
29.5
29.1
18.7
1.7
54.9
31.0
29.9
20.7
1.8
55.8
30.4
31.8
21.9
1.8
54.6
30.6
32.3
Balance Sheet
Y/E March
2011
Equity Share Capital
4,652
Reserves & Surplus
249,140
Net Worth
253,793
Deposits
2,085,864
Change (%)
24.6
of which CASA Dep
1,099,083
Change (%)
26.2
Borrowings
143,941
Other Liabilities & Prov. 289,929
Total Liabilities
2,773,526
Current Assets
296,688
Investments
709,294
Change (%)
21.0
Loans
1,599,827
Change (%)
27.1
Fixed Assets
21,706
Other Assets
146,011
Total Assets
2,773,526
2012
4,693
294,553
299,247
2,467,064
18.3
1,194,059
8.6
238,465
374,319
3,379,095
209,377
974,829
37.4
1,954,200
22.2
23,472
217,216
3,379,095
(INR Million)
2013E
4,693
346,073
350,766
2,985,148
21.0
1,372,663
15.0
243,581
522,123
4,101,618
245,251
1,121,053
15.0
2,384,124
22.0
25,365
325,825
4,101,618
2014E
4,693
410,278
414,971
3,701,584
24.0
1,647,196
20.0
256,397
729,025
5,101,977
316,212
1,289,211
15.0
2,980,155
25.0
27,660
488,737
5,101,977
47.9
39.6
61.5
0.7
48.4
39.6
66.5
0.8
48.0
40.3
71.4
1.0
46.8
40.4
81.8
1.1
76.7
52.7
34.0
75.6
16.2
12.2
79.2
48.4
39.5
78.2
16.5
11.6
79.9
46.0
37.6
74.6
15.1
11.0
80.5
44.5
34.8
77.5
13.6
10.3
Valuation
Book Value (INR)
Change (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
EPS (INR)
Change (%)
Price-Earnings (x)
Dividend Per Sh (INR)
Dividend Yield (%)
E: MOSL Estimates
109.1
16.0
108.2
16.9
31.0
3.3
127.4
16.8
4.7
126.4
4.7
22.0
30.4
27.0
4.3
0.7
149.4
17.2
4.0
147.1
4.0
28.7
30.2
20.8
5.7
1.0
176.7
18.3
3.4
172.2
3.5
35.7
24.6
16.7
7.1
1.2
Asset Quality
Y/E March
2011
GNPA (INR m)
16,943
NNPA (INR m)
2,964
GNPA Ratio
1.05
NNPA Ratio
0.19
PCR (Excl Tech. write off)
82.5
E: MOSL Estimates
2012
19,994
3,523
1.01
0.18
82.4
2013E
31,263
7,692
1.30
0.32
75.4
(%)
2014E
55,169
15,165
1.83
0.51
72.5
August 27 - 31, 2012
63

8th Annual Global Investor Conference
Hero MotorCorp
Company description
Hero MotoCorp (HMCL), erstwhile JV between Honda
Corporation Japan and the Munjal family, is the leader
in India's domestic motorcycle market with ~45% share.
It has a strong dealer network and high penetration in
rural areas (~45% of sales). Post split from Honda, HMCL
is free to tap global opportunity in 2W.
Key challenges
Maintaining market share amidst rising competitive
pressure to test pricing power and margins.
Ensure continuous flow of new/refreshed products.
Weak INR may put pressure on margins.
Scaling up nascent export business, where it is late
entrant.
Key investment positives
Key news flows / triggers to watch
Announces capex plan of ~INR26b over FY13-14, to
add 2m capacity (at two new plants), R&D center.
Performance of the Hero branded products,
particularly in the rural markets.
Response to new launches of
Ignitor
and
Maestro.
Strong franchise of
Splendor
&
Passion,
and wide
distribution reach makes it best placed to tap strong
demand growth, especially in rural markets. We
estimate ~9% volume growth in FY13 to 6.8m.
Apart from recent launch of
Impulse
and
Maestro,
HMCL further plans to launch the 125cc
Ignitor
and
110cc
Passion XPro
(both showcased at Auto Expo
2012) along with 5-6 other model refreshes in FY13.
Model launches and addition of 500 dealers should
reduce impact of demand slowdown, if any.
Margins to improve from historical low levels,
driven by vendor rationalization, operating
leverage, and completion of fixed royalty payment
by Jun-14.
Post split with Honda, Hero MotoCorp is free to
explore global markets; it is targeting exports of 1m
units by FY16 (of total target sales of 10m units).
The company has announced plans to invest
INR25.75b in the coming years to (1) expand
capacity (by 2m units to 9m units), (2) set up a part
distribution centre (Rajasthan) and R&D center.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 realization was flat QoQ (+2.6% YoY) at
INR37,799 (v/s est INR38,284) impacted by adverse
market mix, despite price increases in April & May
and higher excise benefit at Haridwar plant.
Adj EBITDA margin was flat QoQ and YoY at 10.8% as
benefit of operating leverage was offset by hit of
weaker INR on RM and royalty. Higher other income
and lower tax boosted reported PAT to INR6.15b.
While consumer sentiments remain weak, it
maintained its industry growth guidance at 9-10%
for FY13. It expects short-run margins to remain
under pressure due to weaker INR and increase in
advertising spends.
Plans to start exports to Africa and LatAm in 2QFY13.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HMCL IN
200
1,930
6.9
2279 / 1703
-11 / -5 / -5
Quarterly Performance
Y/E March
Jun-11
Net Op. Income
56,376
Change (%)
32.2
EBITDA
6,020
Change (%)
5.5
EBITDA Margin (%) 10.7
Adjusted PAT
5,579
Change (%)
13.5
Key Operating metrics
Volumes (m units) 1.53
Realiz. (INR)
36,858
RM Cost (%)
75.3
E: MOSL Estimates
Sep-11
57,843
28.2
6,637
17.0
11.5
6,036
19.4
1.54
37,456
73.0
Dec-11
59,836
16.9
6,669
25.1
11.1
6,130
24.3
1.59
37,649
73.4
Mar-12
59,625
11.4
6,449
5.2
10.8
6,036
20.3
1.57
37,929
74.1
(INR Million)
Jun-12
FY12
FY13E
62,078 233,681 261,940
10.1
21.4
12.1
6,694
25,775
29,015
11.2
12.9
12.6
10.8
11.0
11.1
6,155
23,781
26,406
10.3
18.5
11.0
1.64
37,799
74.1
6.24
37,478
74.0
6.80
38,541
74.0
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
52.2
5.9
33.3
8.5
Mar-12
52.2
5.6
33.5
8.7
Jun-11
52.2
4.6
33.8
9.5
64
August 27 - 31, 2012

8th Annual Global Investor Conference
Hero MotorCorp: Financials and valuation
Income Statement
Y/E March
Total Op. Income
Change (%)
EBITDA
Adj. EBITDA (%)
Depreciation
Interest
Other Income
PBT
Effective tax Rate (%)
Adj. PAT
Change (%)
2011
192,450
22.1
24,603
11.8
4,024
-19
4,249
24,048
19.8
20,077
-10
2012
233,681
21.4
34,078
11
10,973
213
5,756
28,647
17
23,781
18.4
(INR Million)
2013E
261,940
12.1
37,715
11.1
11,693
120
5,722
31,624
16.5
26,406
11
2014E
300,369
14.7
44,179
11.8
12,105
100
6,618
38,592
24.3
29,205
10.6
Ratios
Y/E March
EPS (INR)
EPS Growth (%)
Cash EPS (INR)
Book Value per Share
DPS (INR)
Payout (Incl. Div. Tax) %
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
100.5
-10
107.6
148
105
125.1
2012
119.1
18.4
132.1
214.8
45
43.5
2013E
132.2
11
147.2
282.7
55
47.8
2014E
146.2
10.6
163.3
358.7
60
47.2
Balance Sheet
Y/E March
Share Capital
Net Worth
Loans
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr.Assets, Loans
Inventory
Sundry Debtors
Cash/ Bank Bal.
Current Liab. & Prov.
Sundry Creditors
Net Current Assets
Appl. of Funds
2011
399
29,501
14,912
46,940
40,803
1,251
51,288
15,046
5,249
1,306
715
61,448
14,268
-46,402
46,940
2012
399
42,839
10,114
55,035
33,504
5,000
39,643
20,743
6,756
2,723
768
43,854
22,932
-23,111
55,035
(INR Million)
2013E
399
56,394
3,028
61,505
46,511
1,000
39,643
31,420
7,573
3,052
9,030
57,069
25,705
-25,648
61,505
2014E
399
71,580
327
73,990
53,106
1,000
39,643
44,965
8,684
3,500
19,290
64,724
29,476
-19,759
73,990
15.8
14.2
10.1
1.5
8.7
2.4
14.2
12.8
8.7
1.3
6.6
2.9
12.8
11.5
7.2
1.1
5.2
3.2
62.5
59.2
55.4
52.4
46.8
51.6
40.8
52.3
0.5
0.2
0.1
0
Cash Flow Statement
Y/E March
2011
Profit before Tax
24,048
Depreciation & Amort.
4,024
Direct Taxes Paid
-4,812
Inc/Dec in Working Capital 2,181
Extra-ordinary Items
-798
CF after EO Items
23,262
(Inc)/Dec in FA+CWIP
(Pur)/Sale of Invest.
CF from Inv. Activity
Inc/(Dec) in Debt
Interest Paid
Dividends Paid
CF from Fin. Activity
Inc/(Dec) in Cash
Add: Beginning Balance
Closing Balance
-3,292
-9,994
-13,286
-333
-158
-9,401
-9,892
84
632
716
2012
28,647
10,973
-4,866
-23,238
0
11,517
-7,797
11,645
3,848
-4,798
0
-10,514
-15,312
53
715
768
(INR Million)
2013E
31,624
11,693
-5,218
10,799
0
48,898
-20,700
0
-20,700
-7,086
0
-12,851
-19,936
8,262
768
9,030
2014E
38,592
12,105
-9,387
4,370
0
45,680
-18,700
0
-18,700
-2,701
0
-14,019
-16,720
10,260
9,030
19,290
Key assumptions/operating metrics
Y/E March
2011
Volumes ('000 units)
5.4
Growth (%)
17.4
Realizations (INR/unit) 35,623
Growth (%)
4
RM Cost (% of sales)
73.3
FCF (CFO-Capex)
20,768
Net Debt
-37,091
2012
6.24
15.4
37,478
5.2
74
3,720
-30,297
2013E
6.8
9
38,541
2.8
74
28,198
-45,644
2014E
7.65
12.5
39,285
1.9
73.5
26,980
-58,605
August 27 - 31, 2012
65

8th Annual Global Investor Conference
Hindalco Industries
Company description
Hindalco (HNDL) is the largest aluminum producer in
India. It has captive bauxite mines from which it sources
67% of the requirement for its 1.5mtpa alumina refinery.
The company also has a 0.54mtpa smelting capacity and
is the largest maker of flat-rolled aluminum products
in India. After turning Novelis around in 2010, HNDL is
focusing on tripling its aluminum production capacity
in India in the next three years through brownfield and
greenfield projects. Its copper smelting capacity of
500ktpa is the largest in Asia.
set up with capex of INR105b. Timely start of coal
mining will lead to rerating of the company.
Current LME prices for aluminium at USD1,850/ton
are close to marginal cost of production. Stronger
spot regional premiums and subsidies by Chinese
and Australian governments have so far prevented
production cutbacks. Significant capacity shutdowns
will boost prices in subdued demand scenario.
1QFY13 highlights; guidance for FY13, FY14
Hindalco standalone 1QFY13 performance was
below estimate due to disappointing copper
segment and production disturbances at aluminum
smelter. Dividends from subsidiaries boosted other
income, and Adj S/A PAT at INR4.2b was broadly in-
line with estimate of INR4.4b.
Novelis' adjusted EBITDA improved QoQ on
expected lines to USD259m. Novelis is experiencing
gradual recovery in volumes with 3% QoQ growth.
Hindalco will commission Hirakud smelter
expansion from 155kt to 213kt and 200kt FRP
facilities by end of FY13. Further, 1.5mtpa Uktal
Alumina is likely to get commissioned by end of
FY13 although uncertainty still persists. We are
modeling in 600kt incremental alumina volume
from Utkal in FY14.
Mahan smelters are in advance stage, but the actual
commissioning is being delayed due to weak LME.
So far, INR222b has been spent on all Indian projects
with total capex of INR306b.
Key investment positives
Its new smelting capacities are coming up near
energy sources and its alumina facilities are near
bauxite mines, ensuring low cost of production.
We expect Novelis to deliver strong earnings
growth, given its focus on high-margin business,
expansions in its key markets, and continued efforts
to improve operating efficiencies across its
locations.
Key challenges
Unexpected fall in aluminum prices, sluggish growth
in developed countries, and further delays in
expansion could adversely impact earnings.
Key news flows / triggers to watch
Mahan coal mine is very critical for the viability of
359ktpa Mahan aluminum smelter, which is being
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HNDL IN
1915
114
3.9
165 / 105
-8 / -21 / -25
Quarterly Performance
Y/E March
Jun-11
Operating Income 60,309
Change (%)
16.5
EBITDA
8,671
Change (%)
4.2
EBITDA Margin (%) 14.4
Reported PAT
6,440
Adjusted PAT
6,440
Change (%)
20.5
PAT Margin (%)
10.7
Key operating metrics
Alumina (Prodn, kt) 335
Aluminium (sales,kt) 131
Copper (sales, kt)
73
E: MOSL Estimates
Sep-11
62,719
7.0
6,692
-7.1
10.7
5,025
5,025
10.2
8.0
332
129
75
Dec-11
66,470
11.3
7,149
-3.4
10.8
4,507
4,507
-2.1
6.8
343
147
84
Mar-12
76,471
11.7
8,648
-1.0
11.3
6,400
6,400
-4.1
8.4
345
149
94
Jun-12
60,279
0.0
4,631
-46.6
7.7
4,248
4,248
-34.0
7.0
335
124
71
(INR Million)
FY12
265,968
11.5
31,160
-1.6
11.7
22,372
22,372
5.6
8.4
1355
556
325
FY13E
269,665
1.4
24,462
-21.5
9.1
17,115
17,115
-23.5
6.3
1400
564
332
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
32.1
15.2
36.5
16.2
Mar-12
32.1
14.9
37.5
15.5
Jun-11
32.1
12.8
42.4
12.7
66
August 27 - 31, 2012

8th Annual Global Investor Conference
Hindalco Industries: Financials and valuation
Income Statement (Consolidated)
Y/E March
Net sales
EBITDA
% of Net Sales
Depn. & Amortization
EBIT
Net Interest
Other income
PBT before EO
EO income
PBT after EO
Tax
Reported PAT
Minority interests
Share of asso.
Adjusted PAT
2011
720,779
85,868
11.9
27,500
58,368
14,411
4,309
48,266
-9,834
38,432
9,638
28,793
3,659
29
34,998
2012
808,214
81,897
10.1
28,699
53,199
17,579
7,831
43,450
-14,616
28,834
7,862
20,972
2,113
496
33,970
(INR Million)
2013E
802,787
85,602
10.7
25,090
60,512
19,082
7,907
49,337
-54
49,284
12,223
37,061
1,089
29
36,054
2014E
840,886
100,019
11.9
28,394
71,625
23,661
4,905
52,869
52,869
12,448
40,421
1,089
29
39,360
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share (adj.)
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE (pre-tax)
RoIC (pre-tax)
Growth (%)
Sales
EBITDA
PAT
Leverage Ratio (x)
Current Ratio
Interest Cover Ratio
Debt/Equity
2011
17.6
28.3
83.6
1.5
8.5
2012
17.1
25.0
94.9
1.5
8.8
2013E
18.1
31.2
111.2
1.5
8.3
2014E
19.8
34.6
129.3
1.5
7.6
6.7
4.6
1.2
0.7
6.5
1.3
6.3
3.6
1.0
0.7
6.8
1.3
5.8
3.3
0.9
0.7
5.7
1.3
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Minority Interest
Total Loans
Deferred Tax Liability
Capital Employed
Gross Block
Less: Accum. Deprn.
Net Fixed Assets
Goodwill on consolid.
Capital WIP
Investments
Curr. Assets
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liability & Prov.
Account Payables
Provisions & Others
Net Current Assets
Appl. of Funds
2011
1,990
288,243
290,233
22,169
276,920
37,596
626,918
392,654
158,014
234,640
123,940
131,308
20,124
333,746
140,956
79,996
79,461
33,334
216,840
164,692
52,149
116,906
626,918
2012
1,990
310,762
312,752
14,167
361,920
36,556
725,395
426,359
182,873
243,486
123,940
228,770
20,124
290,061
128,021
75,364
53,342
33,334
180,987
129,015
51,971
109,074
725,395
2013E
1,990
343,334
345,324
14,167
411,920
40,299
811,709
436,859
207,962
228,896
123,940
323,795
20,124
295,243
126,560
75,085
60,265
33,334
180,290
128,319
51,971
114,953
811,709
2014E
1,990
379,265
381,255
14,167
416,920
43,898
856,240
530,259
236,356
293,902
123,940
281,345
20,124
325,235
135,184
79,657
77,061
33,334
188,307
136,336
51,971
136,928
856,240
23.1
10.2
15.6
19.1
7.9
13.0
17.6
7.9
14.6
16.4
8.6
16.2
18.7
21.9
279.5
12.1
-4.6
-2.9
-0.7
4.5
6.1
4.7
16.8
9.2
1.5
4.1
1.2
1.6
3.0
1.6
1.6
3.2
1.6
1.7
3.0
1.3
Cash Flow Statement
Y/E March
2011
EBITDA
85,868
Non-cash items in EBITDA -3,443
tax paid
-13,131
Change in working Capital-7,031
CF from Op. Activity
62,263
2012
81,897
-20,905
-7,862
-18,287
34,843
(INR Million)
2013E
85,602
-53.5
-8,481
1,044
78,112
2014E
100,019
-8,849
-5,180
85,991
-50,950
3,844
-47,106
(Inc)/Dec in FA + CWIP -77,171 -131,167 -105,525
(Pur)/Sale of Investments
& yield thereon
5,143
6,213
6,846
CF from Inv. Activity
-72,027 -124,954 -98,679
Equity raised/(repaid)
Debt raised/(repaid)
Interest
Dividend (incl. tax)
CF from Fin. Activity
(Inc)/Dec in Cash
Add: Opening Balance
Closing Balance
99
37,384
-25,410
-3,838
8,236
-1,528
80,990
79,461
Key assumptions/operating metrics
Y/E March
2011
Alumina (Production, kt) 1,353
Aluminium (sales, kt)
535
Copper (sales, kt)
330
Exchange USD/INR
45.6
Avg LME Al (USD/T)
2,282
EBITDA-Al (INR m)
24,223
EBITDA-Cu (INRm)
7,441
August 27 - 31, 2012
2012
1,355
556
325
47.9
2,352
21,309
9,851
2013E
1,400
564
332
53.5
1,996
14,118
10,343
2014E
2,000
700
333
52.0
2,100
27,272
10,861
85,000
-17,579
-3,429
63,992
-26,119
79,461
53,342
50,000
-19,082
-3,429
27,490
6,923
53,342
60,265
5,000
-23,661
-3,429
-22,089
16,796
60,265
77,061
67

8th Annual Global Investor Conference
Hindustan Unilever
Company description
Hindustan Unilever (HUL, a 52.5% Unilever subsidiary)
is one of the largest Consumer companies in India with
presence across segments like Household and Personal
Care, Processed Foods and Water (Purifier). It has
leading market shares in Toilet Soaps, Detergents, Skin
Care and Shampoos and has strong presence in oral care,
coffee, tea and processed foods categories.
Continued high competitive intensity is likely to
keep ad spends at high levels which remains a key
challenge and could restrict margin expansion.
Key news flows / triggers to watch
Volume growth trend in soaps & detergents and
personal care products (PP) in the coming quarters.
Gross margin and EBITDA margin trends.
Success of new launches in skin care, hair care, oral
care and processed foods.
Level of competitive activity by players like ITC,
P&G, Godrej Consumer, Colgate and L'Oreal.
Key investment positives
HUL has the widest product range in Indian
Consumer space, and being a subsidiary of Unilever,
has access to a host of products, brands and the
latest technology. Aggressive new product launches
and increasing innovation are key positives.
HUL has the largest distribution network in the
entire Consumer universe; it expanded direct rural
reach by 0.5m outlets in FY11 and plans to further
expand rural distribution.
Sustained growth in Soaps and detergents and
personal products is a key positive.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 revenue grew 14% YoY, EBITDA margin
expanded 170bp YoY and Adj PAT grew 28% YoY.
Soaps & detergents sales grew 23.7% while EBIT
grew 63%, as margins expanded 300bp to 12.2%.
Laundry products reported robust double-digit
growth.
Personal products sales grew 16.7%, with healthy
performance in Skin Care, Hair Care and Oral Care.
Over FY12-14, we expect double-digit growth to
continue in the Personal Products segment, with
~25% EBIT margin. Also, Soaps & detergents margins
should sustain at ~12%.
Key challenges
After 4 quarters of ~10% volume growth, further
price hikes could moderate volume growth.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HUVR IN
2,162
502
19.5
504 / 311
9 / 34 / 54
Quarterly Performance
Y/E March
Jun-12
Operating Income 55,889
Change (%)
14.6
EBITDA
7,543
Change (%)
10.8
EBITDA Margin (%) 13.5
Reported PAT
6,172
Adjusted PAT
5,684
Change (%)
9.1
PAT Margin (%)
10.2
Key Operating metrics
Volume Growth (%) 8.3
S& D EBIT margin (%) 9.2
PP EBIT margin (%) 25.3
E: MOSL Estimates
Sep-12
56,105
17.8
8,267
27.8
14.7
6,889
6,525
22.3
11.6
9.8
12.4
24.4
Dec-12
59,561
16.2
9,890
36.4
16.6
7,538
7,622
29.9
12.8
9.1
13.5
25.9
Mar-12
57,659
16.1
8,334
29.8
14.5
6,866
6,636
29.0
11.5
10.0
11.3
26.3
Jun-13
63,788
14.1
9,665
28.1
15.2
13,312
7,265
27.8
11.4
9.0
12.2
25.8
(INR Million)
FY12
221,164
12.1
32,913
22.9
14.9
26,914
25,725
22.6
11.6
9.3
11.6
25.5
FY13E
259,476
17.3
39,626
20.4
15.3
32,201
32,201
25.2
12.4
9.0
12.5
25.3
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
52.5
9.9
20.4
17.2
Mar-12
52.5
10.3
19.8
17.4
Jun-11
52.5
11.8
18.7
17.0
68
August 27 - 31, 2012

8th Annual Global Investor Conference
Hindustan Unilever: Financials and valuation
Income Statement
Y/E March
2011
Net Sales
194,011
Other Oper. Income
3,341
Total Revenue
197,352
Change (%)
11.3
COGS
100,569
Gross Profit
96,783
Operating Exp
69,790
EBITDA
26,993
Margin (%)
13.7
Depreciation
2,208
Int. and Fin. Charges
2
Other Income - Recurring 2,520
Profit before Taxes
27,302
Change (%)
0.9
Margin (%)
14.1
Tax
5,488
Deferred Tax
281
Tax Rate (%)
21.1
Profit after Taxes
21,533
Change (%)
2.4
Margin (%)
11.1
Non-rec. (Exp)/Income
1,527
Reported PAT
23,060
2012
217,356
3,808
221,164
12.1
117,378
103,786
70,873
32,913
14.9
2,182
12
2,783
33,502
22.7
15.4
7,776
0
23.2
25,725
19.5
11.8
1,189
26,914
(INR Million)
2013E
255,319
4,157
259,476
17.3
135,733
123,744
84,117
39,626
15.3
2,357
70
4,894
42,093
25.6
16.5
9,471
421
23.5
32,201
25.2
12.6
0
32,201
2014E
284,554
4,611
289,164
11.4
151,008
138156
92,949
45,207
15.6
2,721
20
6,386
48,852
16.1
17.2
11,236
489
24.0
37,128
15.3
13.0
0
37,128
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout %
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
10.0
11.0
12.2
6.5
65.5
2012
11.9
13.3
16.0
7.5
63.0
2013E
14.9
16.0
20.9
8.5
57.0
2014E
17.2
18.5
27.0
9.5
55.3
38.8
34.8
4.4
29.2
28.9
1.6
31.0
28.9
3.7
24.0
22.1
1.8
26.9
25.0
3.3
20.7
17.1
2.1
81.8
103.7
74.6
97.2
71.2
93.3
63.7
83.8
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Capital Employed
Gross Block
Less: Accum. Depn.
Net Fixed Assets
Capital WIP
Investments
Deferred Charges
2011
2,160
24,180
26,339
26,339
37,596
-15,905
21,692
2,991
26,188
2,097
2012
2,160
32,318
34,477
34,477
40,596
-18,250
22,346
2,500
32,571
2,243
(INR Million)
2013E
2,160
43,043
45,202
45,202
43,596
-20,608
22,988
2,500
45,136
2,399
58,478
35,216
12,591
2,953
7,718
86,300
57,750
18,832
9,718
-27,822
45,202
2014E
2,160
56,167
58,327
58,327
47,096
-23,329
23,768
2,500
59,455
2,566
64,523
39,249
14,033
3,183
8,059
94,485
63,340
20,348
10,798
-29,962
58,327
18
7.4
19
6.3
18
5.6
18
4.9
0.0
0.0
0.0
0.0
Cash Flow Statement
Y/E March
OP/(loss) before Tax
Int./Div. Received
Interest Paid
Direct Taxes Paid
(Incr)/Decr in WC
Change in Deff
CF from Operations
Extraordinary Items
(Incr)/Decr in FA
(Pur)/Sale of Investments
CF from Invest.
Change in Networth
change in equity
change in reserves
Dividend Paid
Others
CF from Fin. Activity
2011
26,993
2,520
-2
-5,488
-2,345
392
22,068
1,527
-2,028
3,062
2,561
2012
32,913
2,783
-12
-7,776
-989
-146
26,773
1,189
-2,509
-6,383
-7,703
174
0
174
-18,950
163
-18,613
(INR Million)
2013E
39,626
4,894
-70
-9,471
2,317
-156
37,140
0
-3,000
-12,566
-15,566
0
0
0
-21,476
-421
-21,897
-323
3,276
2,953
2014E
45,207
6,386
-20
-11,236
2,371
-167
42,540
0
-3,500
-14,319
-17,819
0
0
0
-24,003
-549
-24,552
168
2,953
3,183
Curr. Assets, L&A
47,371
53,095
Inventory
28,113
31,348
Account Receivables
9,432
11,131
Cash and Bank Balance
2,819
3,276
Others
7,007
7,340
Curr. Liab. and Prov.
73,999
78,277
Account Payables
47,262
52,211
Other Liabilities
19,178
17,428
Provisions
7,558
8,638
Net Current Assets
-26,628 -25,182
Application of Funds
26,339
34,477
Key assumptions/operating metrics
Sales Growth (%)
Soaps and Detergents
1.5
6.4
Personal Products
15.8
17.1
EBIT Margin (%)
Soaps and Detergents
9.5
11.6
Personal Products
25.6
25.5
E: MOSL Estimates
August 27 - 31, 2012
21.0
14.0
12.5
25.3
8.2
16.8
12.3
25.3
-6,136
-22
-6,114
-16,420
-1,568
-24,124
Incr/Decr of Cash
506
457
Add: Opening Balance
2,314
2,819
Closing Balance
2,819
3,276
FY09 Fifteen month ending (March)
69

8th Annual Global Investor Conference
Hindustan Petroleum Corporation
Company description
A Fortune-500 company, HPCL is an oil refining and
marketing in India with also interests in upstream. It
owns 14.8mmt of refining capacity, split across Mumbai
(6.5mmt) and Vishakapatnam (8.3mmt). It has a crude
and product pipeline network of ~2,100km and sells
~30mmt of petroleum products. HPCL also holds 49%
stake in the new Bhatinda refinery and 16.9% stake in
MRPL. HPCL is a state-owned company, with 51.11%
stake held by Government of India.
Key challenges
Delays in the diesel deregulation and ad hoc subsidy
sharing.
Non-commensurate increase in retail fuel prices as
crude prices rise leads to under-recoveries for the
company.
Ad hoc nature of subsidy sharing impacts profits.
Key news flows / triggers to watch
Start of commercial production at Bhatinda refinery
at full utilization levels.
Subsidy rationalization by the government and
decontrol of diesel prices.
Timelines on cash transfer for PDS kerosene, and
limiting of LPG cylinders to households.
Key investment positives
Earnings contingent on subsidy sharing:
HPCL's
profitability continues to be determined by the
quantum of under-recoveries and sharing
mechanism, rather than fundamentals.
Bhatinda refinery to boost medium-term growth:
Medium to long-term growth would come from its
9mmtpa grassroot refinery being set up in JV (49%
stake) with Mittal Energy Investments, with an
estimated capex of INR172b.
Eventual likely deregulation to boost valuations:
Post deregulation and subsidy rationalization,
HPCL's valuations should rise due to improvement
in (1) earnings quality, (2) RoCE/RoE, (3) cash cycle,
and (4) debt levels.
1QFY13 highlights; guidance for FY13, FY14
Of the gross under-recovery of INR107b in 1QFY13,
HPCL received INR33.6b (32%) from upstream and
nil from the government, resulting in net under-
recoveries of INR73.2b (68%).
1QFY13 GRM stood at USD-2.1/bbl v/s USD1.1 in
1QFY12 and USD3.7 in 4QFY12.
HPCL plans to set up 9mmtpa refinery at Bramer in
Rajasthan.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HPCL IN
339
311
1.9
395 / 239
-14 / 11 / -23
Quarterly Performance (Standalone)
Y/E March
Jun-11
Operating Income
408
Change (%)
39.6
EBITDA
-27
Change (%)
66
EBITDA Margin (%) nm
Reported PAT
-31
Adjusted PAT
-31
Change (%)
nm
PAT Margin (%)
nm
Key Metrics
GRM (USD/bbl)
1.1
Gross under recovery 95
Upstream sharing
32
Govt. sharing
33
Net Under/(Over)reco. 31
As a % of Gross
32.2
E: MOSL Estimates
Sep-11
370
31.6
-29
nm
nm
-34
-34
nm
nm
1.9
47
16
0
31
66.7
Dec-11
479
41.3
36
470
7.5
27
27
1191.6
5.7
4.8
71
34
66
-28
-39.4
Mar-12
524
32.1
55
177
10.4
46
46
312.5
8.8
3.7
91
40
85
-34
-36.9
Jun-12
441
8.0
-89
nm
nm
-92
-92
nm
nm
-2.1
107
34
0
73
68.6
(INR Billion)
FY12
1,781
36.1
34
3.0
1.9
9
9
-40.8
0.5
3.1
304
121
183
0
0.0
FY13E
1,821
2.2
32
-218
1.7
8
8
-11.8
0.4
4.4
327
130
197
0
0.0
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
51.1
27.5
7.6
13.8
Mar-12
51.1
26.6
9.0
13.4
Jun-11
51.1
29.1
9.6
10.2
70
August 27 - 31, 2012

8th Annual Global Investor Conference
HPCL: Financials and valuation
Income Statement
(INR Million)
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV / EBITDA
EV / Sales
Price / Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Asset Turnover (x)
Leverage Ratio
Debt / Equity (x)
2011
45.4
143.0
370.1
14.0
30.7
2012
26.9
127.4
387.0
8.5
37.0
2013E
23.8
117.0
403.7
6.1
30.0
2014E
28.5
144.2
423.2
7.7
31.6
Y/E March
2011
2012
2013E
2014E
Net Sales
1,309,342 1,781,392 1,820,739 1,892,506
Change (%)
19.9
36.1
2.2
3.9
Finished Goods
843,135 1,093,707 1,131,891 1,235,601
Raw Materials Cons
366,443 561,189 595,964 574,728
Other Exp
66,677
92,414
61,274
42,941
EBITDA
33,088
34,082
31,610
39,236
% Growth
30.1
3.0
-7.3
24.1
Depreciation
14,070
17,129
18,822
20,297
Interest
8,840
16,977
15,732
13,063
Other Income
13,435
12,222
13,023
8,358
Extraordinary Items (net) -152
-5
0
0
PBT
23,461
12,192
10,078
14,235
Tax
8,071
3,077
2,010
4,571
Total Rate (%)
34.4
25.2
19.9
32.1
PAT
15,390
9,115
8,068
9,664
Adjusted PAT
15,390
9,115
8,068
9,664
Change (%)
18.3
-40.8
-11.5
19.8
6.9
2.2
8.3
0.2
0.8
4.5
11.6
2.4
8.6
0.2
0.8
2.7
13.1
2.7
8.2
0.1
0.8
2.0
10.9
2.2
6.3
0.1
0.7
2.5
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Tax
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets, L & Adv.
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other Current Assets
Current Liab. & Prov.
Liabilities
Provisions
Net Current Assets
Application of Funds
2011
3,390
122,068
125,458
250,212
31,956
407,626
296,484
110,039
186,445
37,987
113,350
265,910
166,223
26,544
800
71,358
985
196,066
178,018
18,048
69,844
407,626
2012
3,390
127,812
131,202
285,000
31,956
448,158
344,471
127,168
217,303
20,000
113,350
315,147
192,257
36,174
14,372
71,358
985
217,642
199,977
17,665
97,504
448,158
(INR Million)
2013E
3,390
133,461
136,851
250,000
31,956
418,807
379,471
145,990
233,481
15,000
113,350
277,411
198,421
36,973
14,272
26,759
985
220,436
202,642
17,793
56,976
418,807
2014E
3,390
140,071
143,461
225,000
33,380
401,840
416,471
166,287
250,184
8,000
113,350
271,450
201,991
38,431
3,284
26,759
985
241,144
218,343
22,801
30,306
401,840
12.8
8.6
7.1
6.8
6.0
6.0
6.9
6.7
7.1
4.8
6.4
5.6
7.3
5.0
7.3
4.8
2.0
2.2
1.8
1.6
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Depreciation
Other op
Interest Paid
Direct Taxes Paid
(Inc)/Dec in Wkg.Capital
CF from Op. Activity
2011
23,461
14,082
-2,456
6,457
-5,645
-25,876
10,024
2012
12,192
17,129
0
16,977
-3,077
-14,090
29,132
-30,000
0
0
-30,000
34,788
-16,977
-3,371
14,440
13,572
800
0
14,372
(INR Million)
2013E
10,078
18,822
0
15,732
-2,010
40,429
83,052
-30,000
0
0
-30,000
-35,000
-15,732
-2,419
-53,152
-100
14,372
0
14,272
2014E
14,235
20,297
0
13,063
-3,147
15,682
60,129
-30,000
0
0
-30,000
-25,000
-13,063
-3,054
-41,117
-10,988
14,272
0
3,284
(Inc)/Dec in FA & CWIP -46,101
(Pur)/Sale of Investments 5,371
Inc from Invst
6,919
CF from Inv. Activity
-33,810
Inc / (Dec) in Debt
30,408
Interest paid & other Inv -8,933
Dividends Paid
-4,731
CF from Fin. Activity
16,744
Inc / ( Dec) in Cash
Add: Op. Balance
Bank Balance Adj.
Closing Balance
-7,042
2,431
5,410
800
Key assumptions/operating metrics
Y/E March
Exchange rate (USD/INR)
Marketing sales (mmt)
Refinery throughput (mmt)
GRM (USD/bbl)
Singapore GRM (USD/bbl)
Prem/(disc)
August 27 - 31, 2012
2011
46.0
27.0
14.8
5.0
5.2
-0.2
2012
47.9
29.5
16.2
3.1
8.2
-5.0
2013E
53.5
30.5
16.2
4.4
7.8
-3.4
2014E
52.0
31.7
17.0
5.9
8.0
-2.2
71

8th Annual Global Investor Conference
HT Media
Company description
HT Media has a diversified portfolio of media assets
with exposure to English, Hindi, Business, Radio, and
online. Hindustan Times (English daily) and Hindustan
(Hindi daily) are ranked 2nd and 3rd respectively in their
respective genres pan-India with a combined
readership base of ~16m. 'Mint' is the second most read
business daily in India. Radio business is concentrated
in four metros. HT Media's online portfolio is focused
on news, networking, jobs and education space.
Key news flows / triggers to watch
Break-even of Mint and HT Mumbai business.
Plans on expansion of radio business with phase III
likely to be introduced.
HT Media is highly leveraged to macroeconomic
recovery given its lower margin profile and high
exposure to the mature Delhi market.
1QFY13 highlights; guidance for FY13, FY14
Key investment positives
HT has a strong franchise in Delhi (INR15b+ market)
and Bihar. Its readership share in Delhi is ~50%
(head-to-head with TOI) and ~70% share in the fast-
growing Bihar market.
Several investments made by HT Media are at an
inflection point. While Radio business posted a
sharp turnaround in FY11, HT Mumbai and Mint are
yet to break even.
Diversified presence across media platforms. HT is
the only listed print media company with significant
presence in English as well as Hindi.
Key challenges
Lower ad spends led by macro slowdown, especially
given high exposure to metro markets like Mumbai
and Delhi.
Weak INR results in higher cost of newsprint.
1QFY13 revenue declined 1% YoY/QoQ to INR4.9b
(9% below our estimate of INR5.4b).
EBITDA declined 26% YoY to INR669m (v/s our
estimate of INR684m), primarily due to sluggish
revenue growth. EBITDA margin declined ~450bp
YoY to 13.7%. Raw material cost as a percentage of
revenue increased ~160bp QoQ to 36.3%.
PAT declined 21% YoY to INR407m (20% above our
estimate).
Ad revenue declined 3% YoY to INR3.73b (9% below
our estimate) despite a 5% YoY growth in the Hindi
segment. Circulation revenue grew 8-9% YoY/QoQ
to INR525m.
1QFY13 EBITDA performance was broadly in line
with our expectations, despite significant revenue
shortfall, as the company was able to keep costs
under control.
HT Media does not expect meaningful inflation in
its cost base for the rest of FY13.
(INR Million)
Sep-11
4,931
10.7
713
-9.9
14.4
438
438
13.0
8.9
12
8
24
21
34
16
Dec-11
5,266
13.2
777
-12.0
14.8
482
482
0.8
9.1
10
11
8
7
0
10
Mar-12
4,941
5.0
481
-45.1
9.7
220
220
-58.5
4.4
3
-4
21
3
-15
13
Jun-12
4,899
-1.4
669
-25.9
13.7
407
407
-21.0
8.3
-3
-6
5
8
-3
13
FY12
20,107
12.6
2,873
-14.2
14.3
1,655
1,655
-8.5
8.2
10
8
17
8
4
10
FY13E
20,144
0.2
2,558
-10.9
12.7
1,437
1,437
-13.2
7.1
-2
-6
8
9
-2
14
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
HTML IN
235
85
0.4
157 / 82
-15 / -37 / -49
Quarterly Performance
Y/E March
Jun-11
Revenue
4,969
YoY Change(%)
22.9
EBITDA
903
YoY Change(%)
13.0
EBITDA Margin(%) 18.2
PAT
515
Adjusted PAT
515
YoY Change(%)
24.4
PAT Margin(%)
10.4
Key operating metrics
Ad revenue growth (%) 17
- English
18
- Hindi
15
Circulation rev. gr. (%)
3
-English
4
-Hindi
3
E: MOSL Estimates
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
68.8
10.4
12.5
8.3
Mar-12
68.8
11.2
12.1
7.8
Jun-11
68.8
13.2
12.6
5.4
72
August 27 - 31, 2012

8th Annual Global Investor Conference
HT Media: Financials and valuation
Income Statement
Y/E March
Net Sales
YoY (%)
EBITDA
EBITDA margin (%)
Depreciation
Interest
Other Income
PBT
Tax
Tax rate (%)
PAT
Minority Interest
Reported PAT
Change (%)
Adjustments
Adjusted PAT
2011
17,861
24.2
3,357
18.8
842
236
291
2,571
713
27.7
1,858
49
1,809
33
0
1,809
2012
20,030
12.1
2,869
14.3
916
362
750
2,341
626
26.7
1,715
60
1,655
-9
0
1,655
(INR Million)
2013E
20,144
0.6
2,558
12.7
923
405
774
2,006
401
20.0
1,605
167
1,437
-13
-160
1,277
2014E
22,329
10.8
2,899
13.0
964
411
816
2,340
468
20.0
1,872
203
1,669
16
-187
1,482
Ratios
Y/E March
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.) (%)
Valuation
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors. (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
7.7
26.1
11.3
60.9
0.4
5
2012
7.0
-8.5
10.9
67.4
0.4
7
2013E
5.4
-22.8
10.0
72.9
0.5
10
2014E
6.3
16.1
11.2
79.4
0.6
8
11.0
7.5
5.0
0.9
1.4
0.4
12.1
7.8
5.8
0.8
1.3
0.5
15.6
8.5
6.0
0.8
1.2
0.6
13.5
7.6
4.9
0.6
1.1
0.7
Balance Sheet
Y/E March
Share Capital
Share Premium
Reserves
Net Worth
Loans
Minority Interest
Deffered Tax Liability
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Deferred Tax Assets
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other current assets
Current Liab. & Prov.
Creditors
Prov. & other liabilities
Net Current Assets
Application of Funds
2011
470
4,012
8,540
13,022
3,122
1,299
0
17,444
12,127
4,077
8,050
194
86
7,595
7,557
1,456
2,525
1,152
2,109
315
6,037
3,176
2,862
1,520
17,444
2012
470
4,012
9,988
14,470
3,462
1,360
460
19,752
12,928
4,993
7,935
125
807
8,320
8,914
1,819
2,757
1,571
2,320
447
6,349
3,224
3,125
2,565
19,752
(INR Million)
2013E
470
4,012
11,118
15,600
3,281
1,527
460
20,868
13,432
5,915
7,516
125
897
8,320
10,516
1,849
2,887
3,000
2,333
447
6,506
3,304
3,202
4,010
20,868
2014E
470
4,012
12,438
16,920
3,568
1,730
460
22,678
14,101
6,879
7,222
125
897
8,320
13,302
2,055
3,214
5,000
2,586
447
7,188
3,650
3,538
6,114
22,678
14.9
13.0
11.0
10.5
7.7
9.2
8.3
9.8
52
30
80
2.2
50
33
69
2.3
52
33
69
2.3
53
34
69
2.6
0.2
0.2
0.2
0.2
Cash Flow Statement
Y/E March
EBITDA
Other Income
Interest Paid
Direct Taxes Paid
(Inc)/Dec in Wkg. Cap.
CF from Op.Activity
2011
3,357
291
-236
-977
395
2,831
2012
2,869
750
-362
-887
-723
1,646
-733
-725
-1,458
340
-110
1
231
419
1,152
1,571
(INR Million)
2013E
2,558
774
-405
-491
-177
2,260
-504
0
-504
-181
-147
0
-328
1,429
1,571
3,000
2014E
2,899
816
-411
-468
-291
2,545
-670
0
-670
287
-162
0
125
2,000
3,000
5,000
(inc)/Dec in FA + CWIP
-679
(Pur)/Sale of Investments -2,840
CF from Inv.Activity
-3,519
Inc/(Dec) in Debt
-180
Dividends Paid
-99
Other Financing Activities 1,032
CF from Fin.Activity
753
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
65
1,087
1,152
August 27 - 31, 2012
73

8th Annual Global Investor Conference
ICICI Bank
Company description
ICICI Bank (ICICIBC) has effectively used consolidation
phase in business (FY08-10) to structurally improve
balance sheet profile, bring in efficiency and reduce
risk. Combination of all the above factors has led to
sharp improvement in core operating profitability and
RoA (1.5% in FY12 v/s 1.1% in FY10). ICICIBC, through its
subsidiaries, is also a leading player in insurance and
asset management.
Key challenges
Rapid loan growth in corporate segment, particularly
in infrastructure and power, could lead to higher
slippages.
ICICI Bank is highly leveraged to growth; slower than
expected loan growth can impact earnings and
valuations.
Key news flows / triggers to watch
Continued better than expected performance on
asset quality and improvement in fee income.
Life insurance venture holds significant value.
Increase in FDI limit in insurance/listing would lead
to potential unlocking of value for the company.
Key investment positives
NIM has significantly improved from 2.2% in FY08 to
2.7% in FY12 (3% in 1QFY13). Strong CASA ratio of
40%+, lower securitization losses, and higher
international NIMs, will help ICICIBC to gradually
improve NIM in FY13 as well. We factor 25bp
improvement in FY13.
Lower proportion of unsecured loan (1.3% as against
high of 9.8%), loan sourcing via branches rather than
DSAs, and higher provision coverage will help
cushion asset quality. However, there may be some
stress in corporate segment. We have modeled in
credit cost of 75bp in FY13 v/s 42bp in FY12. This
would however be offset by higher NIM, and risk-
adjusted margin is expected to improve to 2.3% v/s
average of 1.3% (FY08-11).
Expect excess capitalization (in standalone entity
and international subs) and value unlocking from
insurance venture will ensure dilution-free growth
for next 3-4 years.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
Reported loan
growth of 22% led by strong growth in corporate,
SME and international portfolio. Even after the
sharp 30bp+ QoQ improvement in NIM in 4QFY12,
stable NIM QoQ was a positive surprise. Fee income
growth was muted at 4% YoY, and asset quality was
stable.
Management guidance:
Domestic loan growth of
20%, (b) CASA ratio to be maintained in the range
of 38-40%, (c) NIM guidance raised to 3-3.1% from
2.85-2.9% earlier, (d) credit cost maintained at
~75bp for FY13, and (e) fee income growth to be in
low double digits.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
ICICIBC IN
1153
962
19.9
999 / 641
1/1/1
Quarterly Performance
Y/E March
Jun-11
NII
24,109
Change (%)
21.1
Other Income
16,429
Opex
18,200
Operating Profit
22,338
Change (%)
2.1
Provisions
4,539
PAT
13,320
Change (%)
29.8
Key Operating metrics
NIM (%)
2.6
Loan Gr. YoY (%)
19.7
GNPA (%)
4.4
E: MOSL Estimates
Sep-11
25,064
13.7
17,396
18,922
23,537
6.4
3,188
15,032
21.6
2.6
20.5
4.1
Dec-11
27,120
17.3
18,919
19,168
26,871
14.7
3,411
17,281
20.3
2.7
19.1
3.8
Mar-12
31,048
23.7
22,285
22,216
31,116
35.0
4,693
19,018
31.0
3.0
17.3
3.6
Jun-12
31,929
32.4
18,799
21,235
29,493
32.0
4,659
18,151
36.3
3.0
21.6
3.5
(INR Million)
FY12
107,342
19.0
75,028
78,504
103,865
14.8
15,830
64,653
25.5
2.7
17.3
3.6
FY13E
137,069
27.7
85,969
90,880
132,158
27.2
22,443
80,092
23.9
3.0
15.4
3.3
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
0.0
27.7
62.7
9.6
Mar-12
0.0
26.6
63.2
10.2
Jun-11
0.0
24.9
65.5
9.6
74
August 27 - 31, 2012

8th Annual Global Investor Conference
ICICI Bank: Financials and valuation
Income Statement
Y/E March
2011
2012
Interest Income
259,741 335,427
Interest Expended
169,572 228,085
Net Interest Income
90,169 107,342
Change (%)
11.1
19.0
Other Income
66,479
75,028
Net Income
156,648 182,369
Change (%)
0.5
16.4
Operating Exp.
66,172
78,504
Operating Profits
90,475 103,865
Change (%)
-7.0
14.8
Provisions & Cont.
22,868
15,830
PBT
67,607
88,034
Tax
16,093
23,382
Tax Rate (%)
23.8
26.6
PAT
51,514
64,653
Change (%)
28.0
25.5
Dividend (Including Tax)
18,170
21,228
Core PPP*
92,625 103,995
Change (%)
8.3
12.3
*Core PPP is (NII+Fee income-Opex)
(INR Million)
2013E
399,260
262,190
137,069
27.7
85,969
223,038
22.3
90,880
132,158
27.2
22,443
109,715
29,623
27.0
80,092
23.9
28,112
127,158
22.3
2014E
455,433
295,216
160,217
16.9
101,001
261,219
17.1
105,441
155,778
17.9
28,141
127,637
34,462
27.0
93,175
16.3
32,704
148,278
16.6
Ratios
Y/E March
2011
Spreads Analysis (%)
Avg. Yield - Earning Assets 7.7
Avg. Yield on loans
8.3
Avg. Yield on Investments
6.2
Avg. Cost-Int. Bear. Liab.
4.8
Avg. Cost of Deposits
4.7
Interest Spread
2.9
Net Interest Margin
2.7
Profitability Ratios (%)
RoE
Adjusted RoE
RoA
Int. Expended/Int.Earned
Other Inc./Net Income
Efficiency Ratios (%)
Op. Exps./Net Income*
Empl. Cost/Op. Exps.
Busi. per Empl. (INR m)
NP per Empl. (INR lac)
* ex treasury
Asset-Liability Profile (%)
Loan/Deposit Ratio
CASA Ratio %
Invest./Deposit Ratio
G-Sec/Invest. Ratio
CAR
Tier 1
2012
8.5
9.4
6.6
5.7
5.9
2.8
2.7
2013E
8.7
9.8
6.6
5.6
6.0
3.1
3.0
2014E
8.6
9.6
6.7
5.5
5.8
3.1
3.0
9.7
12.2
1.3
65.3
42.4
11.3
13.3
1.5
68.0
41.1
12.9
15.1
1.6
65.7
38.5
13.7
15.7
1.6
64.8
38.7
41.7
42.6
72.4
9.0
43.0
44.8
81.6
11.1
41.7
46.4
89.5
12.9
41.6
47.2
99.5
14.1
Balance Sheet
Y/E March
Share Capital
Equity Share Capital
Preference Capital
Reserves & Surplus
Net Worth
Deposits
Change (%)
Of which CASA Deposits
(INR Million)
2011
15,018
11,518
3,500
539,391
554,409
2012
15,028
11,528
3,500
592,525
607,552
604,052
2013E
15,028
11,528
3,500
644,504
659,532
656,032
2014E
15,028
11,528
3,500
704,975
720,003
716,503
Of which Equity Net Worth 550,909
2,256,021 2,555,000 3,082,483 3,707,468
11.7
13.3
20.6
20.3
1,016,465 1,110,194 1,259,236 1,474,358
95.9
45.1
59.7
47.6
19.5
13.2
99.3
43.5
62.5
54.5
18.5
12.7
95.0
40.9
58.2
56.9
17.0
11.8
93.1
39.8
55.7
56.8
15.5
11.0
Valuation
Book Value (INR)
478.7
BV Growth (%)
3.4
Price-BV (x)
ABV (for Subsidaries, INR) 365.2
ABV Growth (%)
4.9
Price-ABV (x)
ABV(for Subs Invst&NPA,INR)351.6
Adjusted Price-ABV (x)
EPS (INR)
44.7
EPS Growth (%)
23.9
Price-Earnings (x)
Adj. Price-Earnings (x)
Dividend Per Share (INR)
14.0
Dividend Yield (%)
E: MOSL Estimates
516.6
7.9
1.9
402.4
10.2
2.0
391.9
2.0
56.1
25.4
17.1
14.2
16.5
1.7
561.7
8.7
1.7
447.5
11.2
1.7
438.4
1.7
69.5
23.9
13.8
10.8
20.8
2.2
614.1
9.3
1.6
499.9
11.7
1.5
489.1
1.5
80.8
16.3
11.9
9.7
24.2
2.5
Change (%)
20.7
9.2
13.4
17.1
Borrowings
1,092,043 1,398,149 1,507,768 1,692,315
Other Liabilities & Prov. 159,864 175,770 209,915 251,172
Total Liabilities
4,062,337 4,736,471 5,459,698 6,370,958
Current Assets
340,901 362,293 457,268 526,370
Investments
1,346,860 1,595,600 1,795,050 2,064,308
Change (%)
11.4
18.5
12.5
15.0
Loans
2,163,659 2,537,277 2,927,362 3,451,990
Change (%)
19.4
17.3
15.4
17.9
Net Fixed Assets
47,443
46,147
45,833
47,268
Other Assets
163,475 195,154 234,185 281,022
Total Assets
4,062,337 4,736,471 5,459,698 6,370,958
Asset Quality
GNPA (INR m)
100,343
NNPA (INR m)
24,074
GNPA Ratio
4.5
NNPA Ratio
1.1
PCR (Excl Tech. write off)
76.0
94,753
18,608
3.6
0.7
80.4
99,327
16,024
3.3
0.5
83.9
(%)
114,352
19,118
3.2
0.6
83.3
August 27 - 31, 2012
75

8th Annual Global Investor Conference
Idea Cellular
Company description
Idea Cellular, an Aditya Birla Group company, is India's
third largest wireless operator with a revenue market
share of ~15%. Idea operates in all 22 Indian telecom
service areas, of which 13 are classified as established
service areas and balance nine as new service areas.
Idea carries 1.4b+ minutes on a daily basis (among top
10 globally) and has a strong ~20% revenue market
share in its established circles.
Key news flows / triggers to watch
2G spectrum auction mandated by the Supreme
Court is expected to be held in November 2012.
The auction is expected to set the base price for all
future spectrum payments.
Potential monetization of tower assets.
Final government decision on the issue of spectrum
re-farming.
Ramp-up of 3G subscriber base post recent sharp
tariff cuts introduced by the industry.
Key investment positives
Idea is the fastest growing major wireless company
in India. Over FY08-12, its revenue market share has
increased from 10% to 15%.
Strong incumbency advantage in eight established
circles and spectrum allocation in the 900MHz band
in nine circles.
Well positioned to capture rural growth given deep
coverage and favorable frequency allocation.
Industry consolidation is inevitable given continued
high losses of challengers and stretched balance
sheets across operators.
1QFY13 highlights; guidance for FY13, FY14
Key challenges
Hyper-competition in the Indian mobile business.
Regulatory uncertainty and significant potential
liability of ~INR300b related to allocated spectrum
if incumbents are required to pay in line with the
announced reserve price of INR28b per MHz for pan-
India spectrum in 1,800MHz band.
1QFY13 proforma EBITDA declined ~5% QoQ but
grew 19% YoY to INR14.4b (v/s estimate of INR15.5b).
Revenue grew 22% YoY and 2.5% QoQ to INR55b
(v/s estimate of INR55.3b) led by ~5% QoQ traffic
growth but offset by 2.5% RPM decline (second
consecutive quarter of QoQ decline).
EBITDA margin stood at 26.1%, down ~200bp QoQ
on an adjusted basis. Margin decline was largely
led by network costs (up 100bp) and roaming and
access charges (up 60bp).
Proforma PAT increased 32% YoY but declined 32%
QoQ to INR2.34b.
Capex guidance for FY13 remains unchanged at
INR35b.
We expect consolidated EBITDA CAGR of 20% over
FY12-14E driven by 15-16% CAGR in revenue/
wireless traffic.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
IDEA IN
3,310
76
4.5
104 / 71
-12 / -16 / -29
Quarterly Performance
Y/E March
Jun-11
Revenue
45,207
YoY Change(%)
23.7
EBITDA
12,040
YoY Change(%)
35.5
EBITDA Margin(%) 26.6
Adjusted PAT
1,773
YoY Change(%)
-12.0
PAT Margin(%)
3.9
Key operating metrics
Mobile Traffic (B Min)109
QoQ Change(%)
6.5
Mobile RPM (INR)
0.41
QoQ Change(%)
0.9
E: MOSL Estimates
Sep-11
46,199
26.3
11,866
35.0
25.7
1,058
-41.1
2.3
106
-2.2
0.43
4.1
Dec-11
50,308
27.2
13,446
41.8
26.7
2,010
-17.3
4.0
114
7.3
0.43
1.2
Mar-12
53,697
27.8
15,071
50.2
28.1
3,429
69.4
6.4
124
9.1
0.42
-2.0
Jun-12
55,037
21.7
14,355
19.2
26.1
2,342
32.1
4.3
131
2.7
0.41
-2.5
(INR Million)
FY12
195,411
26.0
50,924
34.3
26.1
7,231
-19.5
3.7
453
0.42
FY13E
231,314
18.4
60,919
19.6
26.3
11,707
61.9
5.1
556
0.41
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
46.0
6.9
44.8
2.4
Mar-12
46.0
6.2
45.2
2.6
Jun-11
46.0
8.0
43.0
3.0
76
August 27 - 31, 2012

8th Annual Global Investor Conference
Idea Cellular: Financials and valuation
Income Statement
Y/E March
Revenues
Change (%)
Total Expenses
EBITDA
% of Gross Sales
Depn.&Amortization
EBIT
Net Interest
PBT
Tax
Rate (%)
Adjusted PAT
Change (%)
PAT after EO
2011
155,032
24.5
117,127
37,906
24.5
23,973
13,933
3,965
9,968
982
9.9
8,986
-5.8
8,986
2012
195,412
26.0
144,489
50,924
26.1
29,814
21,110
10,557
10,553
3,322
31.5
7,231
-19.5
7,231
(INR Million)
2013E
231,315
18.4
170,397
60,919
26.3
34,474
26,445
9,706
16,739
5,032
30.1
11,707
61.9
11,707
2014E
260,293
12.5
187,317
72,976
28.0
36,023
36,953
8,709
28,244
8,473
30.0
19,770
68.9
19,770
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity Ratio(x)
2011
2.7
10.0
37.2
2012
2.2
11.2
39.5
2013E
3.5
14.0
43.0
2014E
6.0
16.9
48.9
27.7
7.6
9.3
2.3
2.0
34.4
6.7
7.5
1.9
1.9
21.3
5.4
6.1
1.6
1.8
12.6
4.5
4.7
1.3
1.5
7.6
5.2
5.7
5.4
8.6
6.6
13.0
9.3
Balance Sheet
Y/E March
Share Capital
Add. Paid up Capital
Reserves
Net Worth
Loans
Other Liabilities
Capital Employed
Gross Block
Less : Depreciation
Net Block
Curr. Assets
Inventories
Debtors
Cash & Bank Balance
Other Current Assets
Curr. Liab. & Prov.
Net Curr. Assets
Appl. of Funds
E: MOSL Estimates
2011
33,033
139,406
-49,440
122,999
120,228
3,099
246,326
373,505
112,128
261,377
42,378
542
4,057
14,777
23,002
57,429
-15,051
246,326
2012
33,088
139,406
-41,994
130,501
133,372
6,273
270,146
418,016
141,040
276,976
36,192
688
5,144
2,497
27,863
43,022
-6,830
270,146
(INR Million)
2013E
33,097
139,406
-30,334
142,170
124,050
7,129
273,349
455,316
175,514
279,802
58,823
1,136
10,324
3,632
43,731
65,277
-6,454
273,349
2014E
33,097
139,406
-10,563
161,940
100,035
7,129
269,104
480,181
211,537
268,644
65,737
1,278
11,618
3,632
49,210
65,277
460
269,104
10
0.75
10
0.78
16
0.86
16
0.97
1.0
1.0
0.9
0.6
Cash Flow Statement
Y/E March
Op.Profit/(Loss) bef Tax
Interest Paid
Direct Taxes Paid
(Inc)/Dec in Wkg. Cap.
CF from Op.Activity
(inc)/Dec in FA + CWIP
CF from Inv.Activity
2011
37,906
-3,965
-25
23,098
57,014
-98,145
-98,145
2012
50,924
-10,557
-148
-20,156
20,063
-45,413
-45,413
-74
13,144
-2
13,070
-12,280
14,777
2,497
(INR Million)
2013E
60,919
-9,706
-4,176
712
47,748
-37,300
-37,300
9
-9,322
-2
-9,313
1,135
2,497
3,632
2014E
72,976
-8,709
-8,473
-6,914
48,879
-24,865
-24,865
0
-24,015
-2
-24,015
0
3,632
3,632
Issue of Shares
69
Inc/(Dec) in Debt
41,635
Other Financing Activities
-2
CF from Fin.Activity
41,704
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
573
14,204
14,777
August 27 - 31, 2012
77

8th Annual Global Investor Conference
IDFC
Company description
Incorporated in 1997, Infrastructure Development
Finance Company (IDFC) is India's leading infrastructure
finance player. Besides infrastructure financing, IDFC
has interests in broking, asset management and
investment banking. It has strategic investments in
institutions like NSE and ARCIL. As of June 2012, IDFC's
loan book was INR500b and total asset base INR630b.
Key challenges
Over 40% of IDFC's exposure is to the power
segment, which in an uncertain environment poses
a threat to asset quality due to execution risks,
inadequate fuel supply, and delays in getting
requisite clearances.
Outlook for the capital market business is
challenging and would act as a drag on earnings.
Key investment positives
Over FY08-12, IDFC posted 25% loan CAGR to
INR500b.Considering lumpy nature of business,
future growth can be similar if there is any change
in macro environment led by policy action.
IDFC maintained spreads at 2.2%+ over the years. In
an uncertain environment and high interest rate
scenario, the management does not plan to grow
aggressively, thereby spreads are likely to be
protected at current levels.
Asset quality is healthy with gross NPAs at 0.3% and
net NPAs at 0.2%. IDFC has negligible exposure to
state utilities, which reduces the threat to asset
quality to a great extent in the current scenario.
IDFC has been prudently making provisions, which
provides cushion in case of any asset quality shocks.
Outstanding loan loss provisions stand at 1.6% of
loans as on June 2012.
Key news flows / triggers to watch
Expected monetary easing and government
addressing key issues faced by the infrastructure
sector would be major catalysts in further improving
IDFC's growth and profitability outlook.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
Loan growth of
34% YoY and 4% QoQ; TTM basis spreads improved
10bp to 2.5%; healthy fee income growth led by
strong sanctions growth; muted trading gains; stable
asset quality; higher provisions for investments;
significant control over cost.
Guidance for FY13:
15-20% loan growth, stable
spreads at 2.2-2.4%, no significant pressure points
on asset quality for now.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
IDFC IN
1,513
141
3.8
161 / 90
0 / -2 / 20
Quarterly Performance
Y/E March
Jun-11
Net Int. Income
10,948
YoY Change (%)
17.1
Profit on Sale of Inv. 163
Other Op. income 1,909
Net Op. Income
13,020
Pre Prov. Profit
11,935
YoY Change (%)
21.6
PAT
8,445
YoY Change (%)
21.6
Key Operating Metrics
Loan Growth (%)
22.2
Spreads (%, Cumu.) 2.30
GNPA (%)
0.83
E: MOSL Estimates
Sep-11
12,435
14.7
869
1,430
14,734
13,547
17.9
9,707
20.2
19.5
2.29
0.82
Dec-11
12,364
15.1
880
1,306
14,549
13,483
9.8
9,813
10.1
21.2
2.27
0.82
Mar-12
17,434
27.2
791
1,233
19,458
18,491
17.1
13,261
16.1
20.3
2.27
0.74
Jun-12
13,042
19.1
202
2,223
15,467
14,199
19.0
10,019
18.6
19.4
2.27
0.79
(INR Million)
FY12
52,121
16.3
2,702
6,939
61,762
57,456
16.4
41,226
16.6
20.3
2.27
0.74
FY13E
63,852
22.5
2,500
8,524
74,876
69,622
21.2
49,225
19.4
22.6
NA
0.74
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
0.0
35.1
50.2
14.7
Mar-12
0.0
34.7
49.6
15.7
Jun-11
0.0
36.9
47.1
16.0
78
August 27 - 31, 2012

8th Annual Global Investor Conference
IDFC: Financials and valuation
Income Statement (Consolidated)
(INR Million)
Ratios
Y/E March
2011
Spreads Analysis (%)
Avg. Yield - Infra. loans
11.0
Avg. Yield - Earning Assets 11.0
Avg. Cost-Int. Bear. Liab.
7.5
Interest Spread on loans
3.5
Net Interest Margin
3.8
Profitability Ratios (%)
RoE
Core RoE
RoA
Int. Expended/Int.Earned
Other Income./Net Income
Efficiency Ratios (%)
Total Assets/Equity(x)
Debt/Equity (x)
Fee income/Net Income
Op. Exps./Net Income
Empl. Cost/Op. Exps.
2012
11.2
10.9
8.2
2.7
3.7
2013E
11.8
11.6
8.6
3.0
4.0
2014E
11.3
11.1
8.0
3.1
4.0
Y/E March
2011
2012
2013E
2014E
Interest Income*
40,186
54,841
71,296
81,757
Interest Expended
23,875
34,562
44,746
50,312
Net Interest Income
16,311
20,279
26,550
31,444
Change (%)
44.8
24.3
30.9
18.4
Other Income
9,144
9,509
6,786
8,366
Fees Based income
6,413
4,495
5,162
6,092
Principal Invt-Incl Carry Inc**2,350 3,890
1,424
2,024
Miscellanous Income
382
1,124
200
250
Net Income
25,455
29,788
33,336
39,810
Change (%)
20.7
17.0
11.9
19.4
Operating Expenses
5,321
5,216
5,734
6,867
Operating Income
20,135
24,573
27,603
32,943
Change (%)
29.4
22.0
12.3
19.3
Other Provisions
2,346
2,846
3,716
3,675
PBT
17,788
21,727
23,886
29,268
Tax
4,998
6,219
7,166
9,073
Tax Rate (%)
28.1
28.6
30.0
31.0
PAT
12,791
15,508
16,720
20,195
Change (%)
20.5
21.2
7.8
20.8
(MI)/Associate profit
25.7
32.0
0.0
10.0
Consolidated PAT
12,817
15,540
16,720
20,205
Change (%)
20.7
21.3
7.6
20.8
Proposed Dividend
2,925
3,478
3,762
4,546
*Includes debt trading gains; ** Excludes debt trading gains
14.7
17.8
3.2
59.4
35.9
13.7
16.2
2.9
63.0
31.9
13.0
15.0
2.6
62.8
20.4
14.2
16.1
2.6
61.5
21.0
4.6
3.6
25.2
20.9
55.6
4.8
3.8
15.1
17.5
58.4
5.2
4.2
15.5
17.2
52.3
5.6
4.6
15.3
17.3
52.2
Valuation
Book Value (INR)
71.2
81.2
89.4
99.2
Price-BV (x)
1.7
1.6
1.4
Adjusted BV (INR)*
60.6
72.7
80.9
90.7
Price-ABV (x)
1.6
1.5
1.3
EPS (INR)
8.8
10.3
11.1
13.4
EPS Growth (%)
7.4
17.1
7.6
20.8
Price-Earnings (x)
13.7
12.7
10.5
OPS (Rs)
13.8
16.2
18.3
21.8
OPS Growth (%)
15.2
17.9
12.3
19.3
Price-OP (x)
8.7
7.7
6.5
Dividend per Share (INR)
2.0
2.3
2.5
3.0
Dividend Yield (%)
1.6
1.8
2.1
E: MOSL Estimates; *Adj. for Inv. in subsidaries, Prices adj. for
other ventures
Balance Sheet
Y/E March
Capital
Reserves & Surplus
Net Worth
Minority Interest
Borrowings
Change (%)
Total Liabilities
Investments
Change (%)
Loans
Change (%)
Goodwill
Net Fixed Assets
Deferred Tax Assets
Net current Assets
Total Assets
2011
14,609
89,475
104,084
2
371,439
39.9
475,526
69,611
49.5
376,523
50.4
11,638
4,469
2,480
10,804
475,526
2012
15,124
107,733
122,856
178
472,750
27.3
595,784
84,857
21.9
481,846
28.0
9,668
4,165
3,202
12,047
595,784
(INR Million)
2013E
15,124
120,052
135,175
178
571,467
20.9
706,820
102,102
20.3
578,215
20.0
9,468
4,248
3,202
9,584
706,820
2014E
15,124
134,937
150,061
178
692,072
21.1
842,311
120,345
17.9
693,858
20.0
9,468
4,333
3,202
11,106
842,311
August 27 - 31, 2012
79

8th Annual Global Investor Conference
Indusind Bank
Company description
IndusInd Bank (IIB) is one of India's new generation
banks, established in 1994. The team, led by Managing
Director Mr Romesh Sobti, has been instrumental in
improving the core operating performance of the bank
(RoA improved from 0.6% in FY09 to 1.6% in FY12). Focus
of the management is to achieve scale while
maintaining profitability.
Key challenges
Strong growth in consumer finance division
particularly vehicle finance could result in higher
than expected delinquency and credit cost.
The strong turnaround in IIB's operations is driven
by the change in top management. Attrition at the
senior level could impact performance of the bank.
Key investment positives
Capitalizing on its niche presence in vehicle
financing (48% of overall loans) and strong
corporate relationship, IIB has been able to deliver
above-industry level loan growth. Over FY12-14, IIB
is expected to grow at ~25% and gain market share,
with focus being on core retail liabilities.
With ~50% of deposits wholesale in nature, IIB is
leveraged to systemic interest rates and liquidity.
NIM is expected to improve in 2HFY13 and FY14 with
(a) 50% of loan book fixed in nature, (b) increasing
share of consumer finance, (c) expected benefit of
fall in interest rates on wholesale deposits, and
(d) increasing traction in CASA deposits.
While asset quality remains strong, moderating
economic growth coupled with high exposure in CV
segment remains a concern. However, superior
margins, focused fee income strategy (1.8%, a key
driver for RoA) and control over C/I ratio will keep
core operating profitability strong.
Key news flows / triggers to watch
Faster than expected fall in interest rate could lead
to surprise on margin.
Easing liquidity condition and pick-up in GDP growth
could allay concerns regarding slippages especially
on vehicle financing portfolio.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
Margins
declined 7bp QoQ to 3.2% led by increase in cost of
funds (+35bp QoQ). Growth in loan (+6% QoQ, 31%
YoY) and SA deposits (+9% QoQ, 59% YoY) remains
strong. Fee income (+44% YoY) and asset quality
(GNPA up 5% QoQ) also remain impressive despite
challenging macro environment.
Management guidance:
Loan growth of 25-30% over
FY13/14, (b) CASA ratio of 35% by FY14 v/s 28% at
end of 1QFY13, (c) Fee income growth to be faster
than balance sheet growth, and (d) credit cost
guidance of ~70bp for FY13.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
IIB IN
469
333
2.8
352 / 222
-4 / 10 / 31
Quarterly Performance
Y/E March
Jun-11
NII
3,900
Change (%)
31.9
Other Income
2,154
Opex
2,937
Operating Profit
3,117
Change (%)
35.2
Provisions
446
PAT
1,802
Change (%)
52.0
Key Operating metrics
NIM (%)
3.4
Loan Gr. YoY (%)
31.4
GNPA (%)
1.1
E: MOSL Estimates
Sep-11
4,192
27.1
2,392
3,254
3,330
27.2
470
1,931
45.0
3.4
28.5
1.1
Dec-11
4,307
18.6
2,651
3,465
3,492
19.9
428
2,060
33.9
3.3
29.7
1.0
Mar-12
4,644
19.7
2,921
3,774
3,791
27.2
460
2,234
30.1
3.3
34.0
1.0
Jun-12
4,841
24.1
3,188
3,989
4,040
29.6
535
2,363
31.1
3.2
31.2
1.0
(INR Million)
FY12
17,042
23.8
10,118
13,430
13,730
26.9
1,804
8,026
39.0
3.3
34.0
1.0
FY13E
21,44
25.8
13,581
17,481
17,543
27.8
2,717
10,007
24.7
3.4
25.0
1.2
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
19.4
8.7
49.4
22.5
Mar-12
19.5
7.9
50.6
22.1
Jun-11
19.5
8.1
51.0
21.4
80
August 27 - 31, 2012

8th Annual Global Investor Conference
Indusind Bank: Financials and valuation
Income Statement
Y/E March
2011
2012
Interest Income
35,894
53,592
Interest Expense
22,129
36,549
Net Interest Income
13,765
17,042
Change (%)
55.3
23.8
Non Interest Income
7,137
10,118
Net Income
20,902
27,160
Change (%)
45.2
29.9
Operating Expenses
10,085
13,430
Pre Provision Profits
10,817
13,730
Change (%)
53.7
26.9
Provisions (excl tax)
2,019
1,804
PBT
8,798
11,927
Tax
3,025
3,900
Tax Rate (%)
34.4
32.7
PAT
5,773
8,026
Change (%)
64.8
39.0
Equity Dividend (Incl tax)
932
1,196
Core PPP*
9,764
12,680
Change (%)
67.6
29.9
*Core PPP is (NII+Fee income-Opex)
(INR Million)
2013E
69,126
47,684
21,442
25.8
13,581
35,024
29.0
17,481
17,543
27.8
2,717
14,825
4,818
32.5
10,007
24.7
1,464
15,763
24.3
2014E
80,467
52,749
27,719
29.3
17,404
45,122
28.8
21,806
23,316
32.9
4,136
19,179
6,233
32.5
12,946
29.4
1,893
20,986
33.1
Ratios
Y/E March
Spreads Analysis (%)
Avg. Yield-Earning Assets
Avg. Yield on loans
Avg. Yield on Investments
Avg. Cost-Int. Bear. Liab.
Avg. Cost of Deposits
Interest Spread
Net Interest Margin
Profitability Ratios (%)
RoE
RoA
Int. Expense/Int.Income
Fee Income/Net Income
Non Int. Inc./Net Income
2011
9.9
12.1
6.1
6.2
6.0
3.7
3.8
2012
11.5
13.8
7.7
8.0
8.0
3.4
3.6
2013E
11.9
14.3
7.7
8.4
8.5
3.5
3.7
2014E
11.3
13.4
7.4
7.6
7.4
3.7
3.9
19.3
1.4
61.7
30.1
34.1
19.2
1.6
68.2
33.6
37.3
20.2
1.6
69.0
33.7
38.8
21.8
1.7
65.6
33.4
38.6
Balance Sheet
Y/E March
Equity Share Capital
Reserves & Surplus
Net Worth
Deposits
Change (%)
of which CASA Dep
Change (%)
Borrowings
Other Liabilities & Prov.
Total Liabilities
Current Assets
Investments
Change (%)
Loans
Change (%)
Fixed Assets
Other Assets
Total Assets
2011
4,660
35,842
40,502
343,654
28.7
93,309
47.6
55,254
16,948
456,358
40,246
135,508
30.3
261,656
27.3
5,965
12,983
456,358
2012
4,677
42,740
47,417
423,615
23.3
115,631
23.9
86,820
18,108
575,961
55,396
145,719
7.5
350,640
34.0
6,568
17,638
575,961
(INR Million)
2013E
4,677
51,223
55,900
529,519
25.0
155,622
34.6
92,687
20,131
698,237
60,182
171,949
18.0
438,299
25.0
6,642
21,165
698,237
2014E
4,677
62,216
66,893
661,899
25.0
205,836
32.3
102,000
24,247
855,040
70,997
202,900
18.0
547,874
25.0
6,812
26,456
855,040
Efficiency Ratios (%)
Cost/Income*
50.3
51.3
52.6
Empl. Cost/Op. Exps.
37.9
36.1
36.7
Busi. per Empl. (INR m)
87.0
84.2
83.3
NP per Empl. (INR lac)
0.9
1.0
1.0
* ex treasury and Recoveries from written off accounts
Asset-Liability Profile (%)
Loans/Deposit Ratio
CASA Ratio
Investment/Deposit Ratio
G-Sec/Investment Ratio
CAR
Tier 1
51.0
36.7
84.2
1.0
76.1
27.2
39.4
74.0
15.9
12.3
82.8
27.3
34.4
81.7
13.9
11.4
82.8
29.4
32.5
80.1
12.6
10.7
82.8
31.1
30.7
81.6
11.6
10.1
Valuation
Book Value (INR)
Change (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
EPS (INR)
Change (%)
Price-Earnings (x)
Dividend Per Share (INR)
Dividend Yield (%)
82.1
55.7
81.1
12.4
45.3
2.0
96.7
17.8
3.4
95.4
3.5
17.2
38.5
19.4
2.2
0.7
115.0
18.9
2.9
113.0
2.9
21.4
24.7
15.5
2.7
0.8
138.6
20.6
2.4
135.8
2.5
27.7
29.4
12.0
3.5
1.0
Asset Quality
GNPA (INR M)
NNPA (INR M)
GNPA Ratio
NNPA Ratio
PCR (Excl Tech. write off)
E: MOSL Estimates
2,659
728
1.01
0.28
72.6
3,471
947
0.98
0.27
72.7
5,124
1,378
1.16
0.31
73.1
(%)
8,483
2,044
1.53
0.37
75.9
August 27 - 31, 2012
81

8th Annual Global Investor Conference
Info Edge (India)
Company description
Info Edge is among the leading internet companies in
India. It runs four major businesses:
(1) Naukri.com,
India's no. 1 job site,
(2) Jeevansathi.com,
India's fastest growing
matrimonial portal,
(3) 99acres.com,
India's No.1 real estate portal, and
(4) Shiksha.com,
an education portal.
The company also owns Quadrangle - an offline
executive search firm, and Naukri Gulf (its foray into
the Middle East market). Info Edge also owns Brijj.com,
a professional networking site, and Allcheckdeals.com,
an online real estate brokerage firm which is run as a
subsidiary company.
The company, with a view to tap into the growing Indian
internet market, also invests in early stage companies
and start-up ventures.
property sites. (3) Jeevansathi ranks third in the
highly competitive online matrimonial space.
Key news flows / triggers to watch
Reported hiring activity as per Naukri's Job Speak
index was robust in the first month of the financial
year, growing 12% YoY.
Key challenges
Slowdown in GDP growth could impact the
company's business.
Increasing threat from competition – Naukri is faced
up with Monster's Trovix platform and Jeevansathi
operates in a crowded space where new entrants
are focusing on specific communities in India.
Greater adoption of social networking sites (such
as LinkedIn and Facebook) as a medium of online
job search.
Key investment positives
Healthy job market in the growing economy, along
with factors such as IT/ITeS hiring and internet
penetration directly aid the growth of singlemost
important segment Naukri.
Leadership across key businesses: (1) Naukri is the
clear market leader with ~60% market share in the
online jobs space. (2) 99acres.com enjoys the
highest traffic share amongst all the real estate
1QFY13 highlights; guidance for FY13, FY14
1QFY13 revenue at INR1.1b was up 22% YoY and flat
sequentially. EBITDA margin was 34.8%, down
170bp YoY. PAT margin was 21.7%, down 50bp YoY.
The company cited lower economic growth and a
more subdued environment leading to deceleration
in the recruitment market, driving company's
cautious outlook for FY13.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
INFOE IN
109
356
0.7
400 / 274
4 / 10 / -4
Quarterly Performance
Y/E March
Jun-11
Net Sales
867
Changes (%)
31.5
EBITDA
316
Changes (%)
54.7
EBITDA Margin (%)
36.5
Reported PAT
256
Adjusted PAT
256
Changes YoY (%)
48.3
PAT Margin (%)
29.6
Key Operating metrics
Resumes on Naukri (m) 26
Unique Naukri cust. 22,900
Avg Res. added daily 12,000
E: MOSL Estimates
Sep-11
911
28.0
323
50.8
35.4
282
282
57.9
31.0
27
23,500
12,000
Dec-11
920
22.5
349
26.0
37.9
289
289
31.6
31.4
28
23,500
11,000
Mar-12
1,073
30.0
418
49.0
38.9
399
402
71.8
37.9
29
25,000
9,000
Jun-12
1,060
22.3
369
16.6
34.8
318
318
24.1
30.0
30
25,000
13,000
(INR Million)
FY11
3,223
35.9
829
41.1
25.7
840
840
47.4
26.1
FY12
3,771
21.6
1,174
41.6
31.1
1,226
1,226
46.0
32.5
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
53.5
10.8
29.4
6.4
Mar-12
53.6
10.1
30.0
6.3
Jun-11
54.1
7.3
31.9
6.8
25
29
42,000 46,000
12,000 11,000
82
August 27 - 31, 2012

8th Annual Global Investor Conference
Info Edge (India): Financials and valuation
Income Statement (Consolidated)
Y/E March
2009
Net Sales
2,458
Other Income
279
Total Income
2,737
Power & Fuel Cost
25
Employee Cost
899
Other Manufacturing Exp.
113
Selling and Admn Expenses 692
Miscellaneous Expenses
67
Total Expenditure
1,796
EBITDA
662
Operating Profit
941
Interest
17
Gross Profit
924
Depreciation
71
Profit before Tax
853
Tax
269
Fringe Benefit Tax
9
Deferred Tax
-8
Net Profit
582
Minority Interest (after tax)
0
Profit/Loss of Associate Co. -12
PAT after MI & P/L Asso.Co.
570
Extraordinary Items
57
Adjusted Net Profit
513
2010
2,371
307
2,678
24
882
116
651
111
1,783
588
895
20
875
65
810
332
0
-15
492
-34
-6
521
-23
544
(INR Million)
2011
3,223
329
3,552
30
1,232
147
803
182
2,394
829
1,159
23
1,136
80
1,056
426
0
-25
656
23
-1
631
30
601
2012
3,919
509
4,428
32
1,434
139
864
276
2,745
1,174
1,683
22
1,662
83
1,578
512
0
17
1,050
30
14
1,033
51
982
Ratios
Y/E March
Basic (INR)
EPS
Book Value
Key Ratios
Current Ratio
Turnover Ratios
Fixed Assets
Debtors
Interest Cover Ratio
PBIDTM (%)
PBITM (%)
PBDTM (%)
CPM (%)
APATM (%)
RoCE (%)
RoNW (%)
Payout (%)
2009
5.2
29.5
2010
4.7
34.1
2011
5.7
39.9
2012
9.3
48.3
2.3
3.9
2.0
1.2
4.9
70.0
50.3
38.3
35.4
37.6
26.6
23.7
29.5
19.8
3.5
4.3
41.6
42.3
37.7
35.0
36.9
23.5
20.8
23.8
14.1
4.2
4.3
28.2
47.7
36.0
33.5
35.3
22.8
20.3
26.6
16.2
6.3
4.2
34.1
73.4
43.0
40.8
42.4
28.9
26.8
33.3
21.8
10.6
Cash Flow Statement (INR Million)
Y/E March
2009
Cash and Cash Equivalents
at Beginning of the year
485
Net Cash fr. Oper. Activities
198
Net Cash Used in
Investing Activities
2,563
Net Cash Used in
Financing Activities
-25
Net Inc/(Dec) in Cash and
Cash Equivalent
2,736
Cash and Cash Equivalents
at End of the year
3,221
2010
3,221
376
-784
-22
-430
2,791
2011
2,791
1,038
-1,728
-24
-714
2,076
2012
2,076
1,008
-180
-49
779
2,856
Balance Sheet
Y/E March
2009
Share Capital
273
Reserves Total
2,951
Equity Application Money
0
Total Shareholders Funds
3,224
Minority Interest
0
Total Debt
4
Other Liabilities
0
Total Liabilities
3,228
Gross Block
528
Less: Accumulated Depn.
226
Net Block
302
Capital Work in Progress
83
Investments
183
Current Assets, Loans & Advances
Sundry Debtors
35
Cash and Bank
3,221
Loans and Advances
180
Total Current Assets
3,436
Current Liabilities
734
Provisions
61
Total Current Liabilities
795
Net Current Assets
2,641
Deferred Tax Assets
19
Net Deferred Tax
19
Other Assets
0
Total Assets
3,228
2010
273
3,446
28
3,747
0
6
0
3,753
581
287
294
69
1,141
80
2,791
240
3,110
812
84
896
2,214
34
34
0
3,753
(INR Million)
2011
546
3,805
0
4,351
16
3
1
4,371
919
332
587
89
2,628
149
1,319
122
1,590
1,305
190
1,496
94
59
59
914
4,371
2012
546
4,727
0
5,273
-25
3
1
5,251
936
389
548
94
3,152
81
2,216
154
2,451
1,618
234
1,852
599
42
42
817
5,251
Key Operating Metrics (Nos)
Resumes on Naukri - m
17
Unique Naukri customers 34,000
Avg Resumes added daily 14,000
21
35,500
11,000
25
42,000
12,000
29
46,000
11,000
August 27 - 31, 2012
83

8th Annual Global Investor Conference
Infosys
Company description
Infosys is India's second largest IT Services Company
with revenues of around USD6b and employing over
151,000 people. Infosys defines designs and delivers IT
enabled business solutions that help many Global 2000
companies.
Infosys has a global footprint in 23 countries and
development centers in India, China, Australia, the UK,
Canada and Japan. Its service offerings span business
and technology consulting, ADM, SI, product
engineering, IT infrastructure services and BPO. The
company obtains ~64% of its revenues from North
America, 22% from UK and ~2% from India. 35% of its
revenues come from BFSI, followed by 23% from Retail
& Life Sciences, the key verticals.
Key challenges
Continued pricing decline akin to that witnessed in
1QFY13 could lead to prolonged pain on the bottom-
line, despite offset coming in the form of healthy
volume growth.
Appreciation in rupee could hamper profitability.
Macro headwinds impact the company more due
to higher discretionary mix in its portfolio.
Key news flows / triggers to watch
The company won 4 large deals, 1 with TCV of
USD300m+, and 4 transformational deals during
1QFY13.
Infosys had 8 client wins in products and platforms
during the quarter.
After the pricing cut in 1Q, trend in pricing and
margin performance will be keenly watched.
Key investment arguments
Most profitable company among frontline Indian IT
companies, with a wide offering of services profile
and deep domain knowledge.
The company witnessed a pricing decline and
simultaneously increased its volume guidance for
FY13. We believe: (1) Brand value enjoyed by Infosys
allows it to attract customers with even a moderate
cut in price, and (2) the company will be extremely
selective in offering such price cuts; only the need
to hold on to bread-and-butter business in key
accounts could have forced its hand at the cuts.
1QFY13 highlights; guidance for FY13, FY14
Volume growth in 1QFY13 was the only bright spot
in what was a largely disappointing quarter on most
fronts – margins, pricing and revenues.
Guidance of 'at least' 5% USD revenue growth in
FY13 was lower than 6% that we had expected at
the lower end. Further, Infosys also discontinued
the practice of giving quarterly guidance.
We have moderated our FY14 volume growth to
11.3% v/s 14.3% earlier, as management indicated
macro stress could continue for 4-8 quarters.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
INFO IN
574
2,351
24.2
2977 / 2102
5 / -17 / -9
Quarterly Performance
Y/E March
Jun-11
Operating Income 74,850
Change - QoQ (%)
3.2
EBITDA
21,750
Change - QoQ (%) (6.1)
EBITDA Margin (%) 29.1
Reported PAT
17,220
Adjusted PAT
17,220
Change - QoQ (%) (5.3)
PAT Margin (%)
23.0
Key Operating Metrics
Volume growth
3.2
Headcount
133,560
Utiz. (incl. trainees) 69.6
E: MOSL Estimates
Sep-11
80,990
8.2
25,160
15.7
31.1
19,060
19,060
10.7
23.5
4.4
141,822
70.2
Dec-11
92,980
14.8
31,350
24.6
33.7
23,720
23,720
24.4
25.5
3.0
145,088
69.9
Mar-12
88,520
(4.8)
28,900
(7.8)
32.6
23,160
23,160
(2.4)
26.2
(0.6)
149,994
67.2
Jun-12
96,160
8.6
29,460
1.9
30.6
22,890
22,890
(1.2)
23.8
2.8
151,151
67.2
(INR Million)
FY12
337,340
22.7
107,160
19.7
31.8
83,160
83,160
21.9
24.7
10.8
149,994
69.2
FY13E
393,740
16.7
122,854
14.6
31.2
94,560
94,560
13.7
24.0
9.6
162,880
68.5
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
16.0
18.3
51.8
13.9
Mar-12
16.0
16.6
53.4
14.0
Jun-11
16.0
9.8
52.4
21.7
84
August 27 - 31, 2012

8th Annual Global Investor Conference
Infosys: Financials and valuation
Income Statement
Y/E March
Sales
Change (%)
Software Develop. Exp.
Selling and Mktg. Exp.
Administration Exp.
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
Adjusted PAT
Reported PAT
Change (%)
2011
275,010
20.9
150,620
15,320
19,510
89,560
32.6
8,540
0
12,110
93,130
24,900
26.7
68,230
68,230
8.9
2012
337,340
22.7
188,710
17,570
23,900
107,160
31.8
9,370
0
19,040
116,830
33,670
28.8
83,160
83,160
21.9
(INR Million)
2013E
393,740
16.7
225,152
19,660
26,074
122,854
31.2
10,451
0
19,432
131,835
37,368
28.3
94,467
94,467
13.6
2014E
426,266
8.3
249,068
21,634
27,753
127,810
30.0
10,631
0
21,979
139,158
38,964
28.0
100,194
100,194
6.1
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
DPS
Payout % (excl.div.tax)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Fixed Asset Turnover (x)
2011
119.4
134.2
454.1
60.3
50.5
2012
145.5
161.8
585.0
47.0
32.3
2013E
165.5
183.4
632.4
70.0
42.3
2014E
175.4
193.7
760.8
40.0
22.8
19.7
17.5
13.3
4.3
5.2
2.6
16.2
14.5
10.6
3.4
4.0
2.0
14.2
12.8
9.1
2.8
3.7
3.0
13.4
12.1
8.3
2.5
3.1
1.7
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Capital Employed
Gross Block
Less : Depreciation
Net Block
CWIP
Investments
Curr. Assets
Debtors
Cash & Bank Balance
Loans & Advances
Other Current Assets
Current Liab. & Prov
Current Liabilities
Provisions
Net Current Assets
Application of Funds
2011
2,860
256,900
259,760
0
259,760
85,010
32,660
52,350
5,250
1,440
253,890
46,530
150,950
53,200
3,210
53,170
26,770
26,400
200,720
259,760
2012
2,860
331,750
334,610
0
334,610
91,740
36,210
55,530
10,340
3,770
313,840
77,550
205,910
27,220
3,160
48,870
30,810
18,060
264,970
334,610
(INR Million)
2013E
2,860
358,885
361,745
0
361,745
106,100
46,741
59,359
10,490
25,650
349,700
97,817
205,173
43,409
3,300
83,454
39,822
43,632
266,246
361,745
2014E
2,860
432,338
435,198
0
435,198
120,100
57,372
62,728
10,490
25,650
407,564
93,428
258,612
52,224
3,300
71,233
43,890
27,343
336,331
435,198
27.8
33.1
28.0
32.9
27.1
32.3
25.1
29.4
62
5.6
84
6.6
91
7.2
80
7.3
Cash Flow Statement
Y/E March
2011
CF from Operations
75,560
Cash for Working Capital -14,300
Net Operating CF
61,260
Net Purchase of FA
Net Purchase of Invest.
Net Cash from Invest.
Proceeds from Equity
Dividend Payments
Cash Flow from Fin.
Net Cash Flow
Opening Cash Bal.
Add: Net Cash
Closing Cash Bal.
-12,590
35,680
23,090
1,170
-40,130
-38,960
45,390
105,560
45,390
150,950
2012
90,230
-9,340
80,890
-17,640
-2,330
-19,970
23,109
-29,069
-5,960
54,960
150,950
54,960
205,910
(INR Million)
2013E
104,778
-1,873
102,906
-14,430
-21,880
-36,310
-20,630
-46,795
-67,425
-830
205,910
-830
205,080
2014E
110,825
-16,646
94,179
-14,000
0
-14,000
0
-26,740
-26,740
53,439
205,080
53,439
258,519
Key Operating Metrics
Volume Growth (%)
18.0
Headcount
104,850
Utiliz. incl trainees (%)
68.6
E: MOSL Estimates
6.2
113,796
68.1
21.5
130,820
72.0
10.8
149,994
69.2
August 27 - 31, 2012
85

8th Annual Global Investor Conference
ING Vysya Bank
Company description
ING Vysya Bank (VYSB) had a balance sheet size of
INR487b and franchise of 527 branches and 446 ATMs
across India as of June 2012. With a strong management
at the helm of affairs, VYSB has built a robust platform,
delivering consistent performance. Improvement in key
ratios reaffirms the bank's turnaround and the
management's strong execution skills.
Key challenges
VYSB's RoA has improved from -0.3% in FY05 to 1.1%
in FY12. For further improvement, fall in opex to
average assets (improvement in productivity) is
imperative, as there is limited scope for positive
surprises on margins and credit cost.
Over the past three quarters, bank has not added
any branch to its existing network, which may act
as hurdle to growth in medium term.
Key investment positives
VYSB has been able to deliver healthy margins of
3%+ led by stable CASA ratio of 32-33% and higher
share of SME (31% v/s 25% in FY10) and retail loans
(~20%). Easing of liquidity conditions and lower cost
of funds hold key for better margin performance.
Asset quality performance has been commendable
so far (GNPA/NNPA down from 3.2%/1.4% in 1QFY11
to 2%/0.2% in 1QFY13. While slippages are expected
to rise led by challenges in macro environment,
strong buffer built by boosting PCR (90 %+) would
provide cushion to earning.
With systems/processes in line with large private
banks, and niche expertise in SME, VYSB is well
placed to grow its loan book above industry rates.
Operating efficiency and improvement in core
income helped VYSB improve cost to core income
ratio from 71% (FY09) to 61% (FY12). With above-
industry loan growth, and higher fee income, expect
gradual decline in cost to income ratio to continue.
Key news flows / triggers to watch
Continuous positive surprise on asset quality
despite higher share of SME portfolio could lead to
earning upgrade.
Fee income growth improved in 1QFY13;
sustainability of the same would be one of the key
drivers of RoA going forward.
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
While slippages
increased QoQ, strong recoveries and upgrades
contained GNPA (up 4% QoQ). NIM stable at 3.3%
unlike historic trend of 1Q. Strong fee income
growth of 20% YoY led by traction across fee income
streams. Loan growth was strong at 23% YoY, CASA
ratio declined 200bp QoQ to 32%.
Management guidance for FY13:
(a) Margin
guidance of 3.2-3.3%, (b) Loan growth to be above
industry average, (c) CASA ratio to be in the current
range of 32-34%.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
VYSB IN
150
392
1.1
405 / 275
0 / 14 / 18
Quarterly Performance
Y/E March
Jun-11
NII
2,620
Change (%)
10.1
Other Income
1,405
Opex
2,557
Operating Profit
1,468
Change (%)
-1.2
Provisions
62
PAT
940
Change (%)
36.1
Key Operating metrics
NIM (%)
3.0
Loan Growth YoY (%) 25.5
GNPA (%)
2.2
E: MOSL Estimates
Sep-11
3,036
19.4
1,625
2,767
1,894
2.8
175
1,154
53.3
3.4
22.8
2.0
Dec-11
3,236
31.6
1,699
2,822
2,113
32.5
334
1,195
44.0
3.5
22.6
2.0
Mar-12
3,192
18.9
1,968
2,957
2,203
53.9
566
1,274
39.5
3.3
21.8
1.9
Jun-12
3,433
31.0
1,710
2,967
2,175
48.1
267
1,301
38.4
3.3
22.9
2.0
(INR Million)
FY12
12,084
20.1
6,698
11,102
7,679
20.9
1,138
4,563
43.2
3.3
21.8
1.9
FY13E
14,324
18.5
8,022
12,844
9,502
23.7
1,594
5,377
17.8
3.3
20.0
2.1
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
43.7
13.9
26.9
15.5
Mar-12
43.8
13.7
26.9
15.6
Jun-11
43.9
12.8
27.4
15.9
86
August 27 - 31, 2012

8th Annual Global Investor Conference
ING Vysya Bank: Financials and valuation
Income Statement
Y/E March
2011
2012
Interest Income
26,941
38,568
Interest Expense
16,876
26,485
Net Interest Income
10,064 12,084
Change (%)
21.3
20.1
Non Interest Income
6,550
6,698
Net Income
16,614 18,781
Change (%)
14.6
13.0
Operating Expenses
10,260
11,102
Pre Provision Profits
6,354
7,679
Change (%)
-1.0
20.9
Provisions (excl tax)
1,516
1,138
PBT
4,838
6,541
Tax
1,652
1,978
Tax Rate (%)
34.2
30.2
PAT
3,186
4,563
Change (%)
31.5
43.2
Adjusted PAT
3,186
4,563
Change (%)
43.5
43.2
Equity Dividend
363
600
Core PPP*
5,014
7,143
Change (%)
5.8
42.4
*Core PPP is (NII+Fee income-Opex)
(INR Million)
2013E
48,141
33,816
14,324
18.5
8,022
22,346
19.0
12,844
9,502
23.7
1,594
7,908
2,531
32.0
5,377
17.8
5,377
17.8
699
8,678
21.5
2014E
54,845
38,133
16,713
16.7
9,552
26,265
17.5
14,730
11,535
21.4
2,600
8,935
2,859
32.0
6,076
13.0
6,076
13.0
790
10,506
21.1
Ratios
Y/E March
Spreads Analysis (%)
Avg. Yield-Earning Assets
Avg. Yield on loans
Avg. Yield on Investments
Avg. Cost-Int. Bear. Liab.
Avg. Cost of Deposits
Interest Spread
Net Interest Margin
Profitability Ratios (%)
RoE
RoA
Int. Expense/Int.Income
Fee Income/Net Income
Non Int. Inc./Net Income
Efficiency Ratios (%)
Cost/Income*
Empl. Cost/Op. Exps.
Busi. per Empl. (Rs m)
NP per Empl. (Rs lac)
* ex treasury
Asset-Liability Profile (%)
Loans/Deposit Ratio
CASA Ratio
Investment/Deposit Ratio
G-Sec/Investment Ratio
CAR
Tier 1
2011
7.9
9.7
6.0
5.3
4.8
2.6
2.9
2012
9.5
11.0
8.3
7.0
6.6
2.5
3.0
2013E
10.0
11.3
9.1
7.5
7.1
2.4
3.0
2014E
9.5
10.8
8.7
7.0
6.5
2.5
2.9
13.4
0.9
62.6
34.5
39.4
14.3
1.1
68.7
35.0
35.7
13.1
1.0
70.2
34.3
35.9
13.2
1.0
69.5
34.7
36.4
67.2
59.0
73.9
0.5
60.9
58.6
69.1
0.5
59.7
60.8
69.6
0.5
58.4
62.6
82.2
0.6
Balance Sheet
Y/E March
Equity Share Capital
Reserves & Surplus
Net Worth
Deposits
Change (%)
of which CASA Dep
Change (%)
Borrowings
Other Liabilities & Prov.
Total Liabilities
Current Assets
Investments
Change (%)
Loans
Change (%)
Fixed Assets
Other Assets
Total Assets
2011
1,210
25,033
26,243
301,942
16.7
104,586
24.1
41,469
20,485
390,140
25,214
110,583
5.6
236,021
27.5
5,028
13,293
390,140
2012
1,501
38,297
39,798
351,954
16.6
120,473
15.2
56,965
21,288
470,005
32,306
127,155
15.0
287,367
21.8
5,008
18,170
470,005
(INR Million)
2013E
1,501
42,856
44,357
429,384
22.0
135,723
12.7
58,810
23,502
556,053
41,062
142,414
12.0
344,840
20.0
5,024
22,713
556,053
2014E
1,501
48,008
49,509
532,436
24.0
156,081
15.0
62,140
25,987
670,072
52,235
163,776
15.0
420,705
22.0
4,966
28,391
670,072
78.2
34.6
36.6
74.4
12.9
9.4
81.6
34.2
36.1
70.5
14.0
11.2
80.3
31.6
33.2
78.4
13.1
10.5
79.0
29.3
30.8
81.3
11.8
9.5
Valuation
Book Value (INR)
Change (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
EPS (INR)
Change (%)
Price-Earnings (x)
Dividend Per Share (INR)
Dividend Yield (%)
E: MOSL Estimates
208.3
12.4
203.4
26.3
42.3
3.0
258.2
24.0
1.5
255.9
1.5
30.4
15.4
12.9
4.0
1.0
288.6
11.8
1.4
281.2
1.4
35.8
17.8
10.9
4.7
1.2
322.9
11.9
1.2
310.3
1.3
40.5
13.0
9.7
5.3
1.3
Asset Quality
GNPA (INR m)
NNPA (INR m)
GNPA Ratio
NNPA Ratio
PCR (Excl Tech. write off)
PCR (Incl Tech. Write off)
1,554
918
0.66
0.39
40.9
83.4
1,495
525
0.52
0.18
64.9
90.7
3,337
1,702
0.96
0.49
49.0
77.2
(%)
6,241
2,910
1.47
0.69
53.4
72.0
87
August 27 - 31, 2012

8th Annual Global Investor Conference
IPCA Laboratories
Company description
IPCA Laboratories is one of India's better managed mid-
sized pharma companies. It has presence in:
(1) domestic branded formulations (35% of sales)
(2) global branded and generic formulations (35%), and
(3) global APIs (29%).
IPCA's core business strategy is to leverage its strength
in manufacturing API to develop vertically integrated
and highly competitive formulations. Most of IPCA's
formulations are backed by its own APIs. It is also one
of the key suppliers of anti-malarial drugs to WHO and
has scaled up this business significantly.
Key challenges
The proposed new "Domestic Pharma Policy", may
adversely impact earnings.
Needs to broaden its therapeutic coverage in India
to fully exploit the domestic market potential.
Sustaining profitability despite being a late entrant
in the US generic market will be challenging.
Key news flows / triggers to watch
Approvals for and ramp-up of products from Indore
SEZ; this is imperative to drive growth in the US.
Ability to drive growth in India despite the lower
incidence of malaria.
How IPCA manages to counter price erosion in UK.
Key investment positives
Strong capability in API manufacturing is at the core
of IPCA's business success. The company has
attained global leadership position in select APIs
where it is the lowest cost producer which gives
the company vertical integration advantage.
It has outperformed the domestic industry growth
over the past 5 years on the back of its rising
presence in fast-growing chronic therapy segments.
We expect a significant ramp-up in IPCA's
international formulations revenues led by 37%
CAGR for the US business and 25% CAGR for branded
formulations business.
Expect 31% EPS CAGR for FY12-14, led by expected
ramp-up in the US and recovery of growth for the
domestic formulations business.
1QFY13 highlights
IPCA's 1QFY13 performance was slightly below
estimates due to deferment of shipments in the
institutional business to next quarter. India
formulations growth of 18.6% was a positive
surprise, but the same may not be sustainable given
the lower incidence of infectious diseases as a
result of delayed monsoon.
EBITDA grew 40% YoY to INR1.33b (below our
estimate of INR1.4b); EBITDA margin expanded
300bp YoY to 21% (our estimate 21.9%) largely
impacted by lower institutional segment revenues.
Adjusted PAT declined 30% YoY to INR430m due to
INR580m of forex losses.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
IPCA IN
126
403
0.9
425 / 230
4 / 30 / 21
Quarterly Performance
Y/E March
Jun-11
Sep-11 Dec-11
Operating Income
5,299
6,235
6,148
Change (%)
26.8
20.3
31.8
EBITDA
952
1,580
1,513
Change (%)
33.6
33.9
66.2
EBITDA Margin (%) 18.0
25.3
24.6
Reported PAT
617
780
639
Adjusted PAT
617
780
639
Change (%)
58.8
-17.1
0.0
PAT Margin (%)
11.6
12.5
10.4
Key Operating Metrics - Revenue Break-up
Dom. Formulations 1,890
2,292
1,876
Intl Formulations 2,066
2,605
2,898
Domestic APIs
407
356
333
Intl APIs
901
927
911
E: MOSL Estimates
Mar-12
5,611
13.5
1,117
16.4
19.9
766
766
16.9
13.7
1,477
2,393
343
1,319
Jun-12
6,344
19.7
1,329
39.7
21.0
430
430
-30.3
6.8
2,242
2,245
393
1,422
(INR Million)
FY12
23,587
24.3
5,135
36.5
21.8
2,762
2,762
5.3
11.7
7,534
9,961
1,439
4,058
FY13E
27,855
18.1
6,318
23.0
22.7
3,866
3,866
40.0
13.9
8,664
12,496
1,439
4,719
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
45.9
21.4
10.9
21.9
Mar-12
46.0
22.2
9.8
22.0
Jun-11
46.1
22.2
10.4
21.4
88
August 27 - 31, 2012

8th Annual Global Investor Conference
IPCA Laboratories: Financials and valuation
Income Statement
Y/E March
2011
Net Revenues
18,969
Change (%)
21.4
EBITDA
3,761
Margin (%)
19.8
Depreciation
558
EBIT
3,203
Int. and Finance Charges
314
Other Income - Rec.
518
PBT after EO Expense
3,407
Current Tax
770
Deferred Tax
14
Tax
784
Tax Rate (%)
23.0
Reported PAT
2,623
Less: Minority Interest
-5
Net Profit
2,628
Adj PAT
2,628
2012
23,587
24.3
5,135
21.8
671
4,464
413
-408
3,643
881
0
881
24.2
2,762
0
2,762
2,762
(INR Million)
2013E
27,855
18.1
6,318
22.7
843
5,475
426
105
5,154
1,031
258
1,289
25.0
3,866
0
3,866
3,866
2014E
32,257
15.8
7,364
22.8
1,002
6,362
426
180
6,116
1,284
122
1,407
23.0
4,709
0
4,709
4,709
Ratios
Y/E March
EPS (INR)
Cash EPS
BV/Share
Valuation (x)
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
FCF per Share
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Asset Turnover (x)
Fixed Asset Turnover (x)
Debtor (Days)
Inventory (Days)
Leverage Ratio (x)
Current Ratio
Interest Cover Ratio
Debt/Equity
2011
20.9
25.3
83.7
2012
21.9
27.2
99.4
2013E
30.6
37.3
123.9
2014E
37.3
45.3
153.8
19.3
15.9
4.8
2.9
14.9
0.9
3.9
18.4
14.8
4.1
2.4
10.9
1.1
8.5
13.2
10.8
3.3
2.0
8.8
1.5
9.5
10.8
8.9
2.6
1.7
7.5
1.9
16.9
27.4
25.6
24.0
24.1
27.4
28.7
26.9
28.6
Balance Sheet
Y/E March
Equity Share Capital
Total Reserves
Net Worth
Deferred liabilities
Total Loans
Capital Employed
Gross Block
Less: Accum. Deprn.
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Account Receivables
Cash and Bank Balance
Loans & Advances
Curr. Liability & Prov.
Account Payables
Provisions
Net Current Assets
Appl. of Funds
2011
251
10,265
10,516
807
5,308
16,625
9,884
2,892
6,992
1,132
408
10,586
4,664
4,637
104
1,182
2,493
2,073
420
8,093
16,625
2012
252
12,288
12,540
932
5,326
18,798
12,890
3,563
9,326
1,132
341
12,475
6,699
3,491
122
2,163
4,475
4,099
377
7,999
18,798
(INR Million)
2013E
252
15,380
15,633
1189
5,326
22,148
15,690
4,407
11,283
1,132
341
14,746
6,786
5,278
119
2,563
5,353
4,825
528
9,393
22,148
2014E
252
19,147
19,400
1312
5,326
26,038
18,190
5,409
12,781
1,132
341
17,979
8,027
6,107
878
2,966
6,195
5,584
611
11,784
26,038
1.9
2.8
87
90
1.8
2.9
54
104
1.8
2.7
69
89
1.8
2.7
69
91
4.2
10.2
0.5
2.8
10.8
0.4
2.8
12.8
0.3
2.9
14.9
0.3
Cash Flow Statement
Y/E March
2011
Oper.Profit/Loss before Tax 3,761
Interest/Dividends Recd.
518
Direct Taxes Paid
-770
(Inc)/Dec in WC
-1,203
CF from Operations
2,307
(inc)/dec in FA
-1,821
(Pur)/Sale of Investments
-83
CF from Investments
-1,904
Issue of shares
(Inc)/Dec in Debt
Interest Paid
Dividend Paid
Others
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
1
762
-314
-468
-388
-407
-4
108
104
2012
5,135
-408
-757
111
4,082
-3,006
68
-2,938
1
25
-413
-554
-185
-1,126
18
104
122
(INR Million)
2013E
6,318
105
-1,031
-1,396
3,997
-2,800
0
-2,800
0
0
-426
-773
0
-1,199
-3
122
119
2014E
7,364
180
-1,284
-1,632
4,627
-2,500
0
-2,500
0
0
-426
-942
0
-1,368
760
119
878
Revenue model (INR M)
Y/E March
2011
Domestic formulation
6,964
International formulation 6,917
APIs
4,778
Net Sales
18,659
2012
7,534
9,961
5,497
22,992
2013E
8,664
12,496
6,157
27,318
2014E
10,050
14,789
6,773
31,613
August 27 - 31, 2012
89

8th Annual Global Investor Conference
ITC
Company description
ITC, an associate of BAT (British American Tobacco),
enjoys ~80% market share of India's organized cigarettes
market. Over the years, ITC has diversified into FMCG,
Hotels, Paper and Paperboard and agri businesses as it
looks to build a conglomerate and reduce dependence
on cigarettes.
volume growth. Differential and rising VAT rates
across states are also a key challenge.
Higher than expected losses in Consumer business
due to input cost pressure and new brand launches
can delay the expected breakeven.
Key news flows / triggers to watch
News of various tax hikes in cigarettes has been a
recent overhang on the stock and needs to be
monitored.
Extent of price increases and launch of 64mm
variant in the cigarettes portfolio.
Increase in dividend payout from historical average
of ~45% could be a key positive.
Key investment positives
Dominant market share ~80% and strong pricing
power in cigarettes business offers strong growth
potential due to rising affordability and ban on FDI
(restricts potential MNC entrants).
Despite price hikes, ~1.5% cigarette volume growth
in 1QFY13 reflects strong consumer preference for
ITC's cigarette brands.
Significant improvement in margin profile of paper
and agri divisions and steady reduction in Consumer
division losses have helped boost EBITDA margins
by 280bp over the last 2 years.
Limited capex requirement and huge cash flow
generation (~4x capex requirement) can provide
upsides to dividend payouts in coming years.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 cigarette volumes grew ~1.5% YoY and
realizations grew 13.5%, driving Net sales growth
of 15% to INR33b.
Consumer division losses fell to INR388m; margins
improved despite increased pace of new launches.
ITC has also started test marketing filter cigarettes
of length not exceeding 65mm in UP and Bihar.
We model cigarettes volume growth of 2%/7% for
FY13/14, translating to 15% EBIT CAGR and 17% PAT
CAGR over FY12-14.
Key challenges
Steep increase in taxes on cigarettes in the middle
of the year or in the next Union Budget can impact
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
ITC IN
7823
262
36.7
269 / 185
-1 / 31 / 23
Quarterly Performance
Y/E March
Jun-12
Operating Income 58,524
Change (%)
20.4
EBITDA
19,579
Change (%)
19.1
EBITDA Margin (%) 33.5
Reported PAT
13,327
Adjusted PAT
13,327
Change (%)
24.5
PAT Margin (%)
22.8
Key Operating metrics
Cigarette
Volume Growth (%) 8.0
EBIT Growth (%)
20.8
E: MOSL Estimates
Sep-12
60,852
17.6
22,190
18.0
36.5
15,143
15,143
21.5
24.9
Dec-12
62,478
14.2
23,811
18.0
38.1
17,010
17,010
22.5
27.2
Mar-12
69,545
16.9
22,633
18.8
32.5
16,143
16,143
26.0
23.2
Jun-13
67,131
14.7
23,683
21.0
35.3
16,021
16,021
20.2
23.9
(INR Million)
FY12
251,738
17.3
88,486
19.4
35.2
61,624
61,624
23.6
24.5
FY13E
291,436
15.8
104,650
18.3
35.9
71,726
71,726
16.4
24.6
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
0.0
34.1
49.4
16.4
Mar-12
0.0
34.3
49.1
16.6
Jun-11
0.0
35.9
46.6
17.5
7.5
18.6
5.0
20.3
5.0
19.5
1.5
20.5
6.4
20.1
2.0
15.2
90
August 27 - 31, 2012

8th Annual Global Investor Conference
ITC: Financials and valuation
Income Statement
Y/E March
Net Sales
Operational Income
Total Revenue
Change (%)
Total Expenditure
EBITDA
Margin (%)
Depreciation
Int. and Fin. Charges
Other Inc. - Recurring
Profit before Taxes
Margin (%)
Tax
Tax Rate (%)
Profit after Taxes
Change (%)
Margin (%)
Reported PAT
(INR Million)
2011
2012
2013E
2014E
211,676 247,984 287,603 330,714
2,914
3,754
3,833
4,176
214,590 251,738 291,436 334,890
16.7
17.3
15.8
14.9
140,472 163,252 186,786 212,236
74,118 88,486 104,650 122,653
35.0
35.7
36.4
37.1
6,560
6,985
8,041
8,806
684
779
750
750
5,798
8,253
7,717
8,960
72,673 88,975 103,576 122,057
34.3
35.9
36.0
36.9
22,806
27,352
31,332
36,922
31.4
30.7
30.8
30.8
49,867 61,624 71,726 84,525
28.9
23.6
16.4
17.8
23.6
24.8
24.9
25.6
49,867 61,624 71,726 84,525
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout %
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
6.4
7.3
20.6
4.5
80.2
2012
8.0
8.9
24.3
3.5
52.7
2013E
9.3
10.3
28.7
4.2
52.7
2014E
10.9
12.1
33.9
4.9
52.7
38.6
34.1
8.7
25.0
12.1
1.8
31.7
28.3
7.4
20.9
10.2
1.4
26.9
24.2
6.3
17.4
8.7
1.7
22.8
20.6
5.4
14.6
7.3
2.0
31.3
43.5
32.7
45.7
32.3
45.4
32.2
45.7
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Liability
Capital Employed
Gross Block
Less: Accum. Depn.
Net Fixed Assets
Capital WIP
Investments
(INR Million)
2011
2012
2013E
2014E
7,738
7,738
7,738
7,738
151,795 180,597 214,559 254,582
159,533 188,335 222,297 262,320
992
992
992
992
8,019
7,227
6,330
5,303
168,543 196,554 229,619 268,615
127,658 142,658 157,658 172,658
44,208
51,483
59,524
68,329
83,451 91,175 98,135 104,329
13,334
10,000
10,000
10,000
55,547
67,973
92,073 124,392
15
1.3
15
1.3
16
1.3
16
1.2
0.0
0.0
0.0
0.0
Cash Flow Statement
Y/E March
2011
OP/(loss) before Tax
72,673
Int./Div. Received
5,798
Depreciation and Amort. 6,560
Interest Paid
684
Direct Taxes Paid
22,806
Incr in WC
1,827
Diff in dep
607
CF from Operations
50,092
Extraordinary Items
Incr Decr in FA
Pur of Investments
CF from Invest.
Issue of shares
Incr in Debt
Interest Income
Interest Paid
Dividend Paid
Others
CF from Fin. Activity
Incr of Cash
Add: Opening Balance
Closing Balance
0
11,224
-1,722
-9,502
5,220
0
5,798
684
38,182
-1,574
-29,421
11,170
11,263
22,432
(INR Million)
2012
2013E
2014E
88,975 103,576 122,057
8,253
7,717
8,960
6,985
8,041
8,806
779
750
750
27,352
31,850
37,533
32,919
24,078
31,017
-290
0
0
27,925 48,722 54,103
1
11,666
12,427
-24,092
0
0
8,253
779
34,435
13,829
-13,132
-9,298
22,432
13,135
2
15,000
24,100
-39,098
0
0
7,717
750
27,373
12,809
-7,597
2,027
13,134
15,161
3
15,000
32,319
-47,316
0
-992
8,960
750
32,277
20,056
-5,003
1,784
15,161
16,945
Curr. Assets, L&A
101,840 109,176 123,621 138,480
Inventory
52,675
62,747
71,083
79,490
Account Receivables
9,076
11,647
13,395
15,403
Cash and Bank Balance 22,432
13,134
15,161
16,945
Others
17,656
21,648
23,982
26,642
Curr. Liab. and Prov.
85,628 81,770 94,210 108,587
Account Payables
43,821
47,779
54,283
61,705
Other Liabilities
7,371
6,617
7,648
8,845
Provisions
34,436
27,374
32,278
38,037
Net Current Assets
16,212 27,406 29,411 29,894
Application of Funds
168,543 196,554 229,619 268,615
Key assumptions/operating metrics
Cigarettes
Volume Growth (%)
VAT (%)
Net Realisation Gr (%)
EBIT Growth (%)
August 27 - 31, 2012
FY11
-2.8
14.5
16.6
16.8
FY12
7.0
18.2
10.4
20.1
FY13E
2.0
20.8
10.5
15.2
FY14E
7.1
20.8
7.4
15.5
91

8th Annual Global Investor Conference
Jaiprakash Associates
Company description
Jaiprakash Associates (JPA) is a diversified infrastructure
player with presence in Cement, Power, Roads, Real
Estate and Hospitality. The company is set to become
India's third largest cement player with target capacity
of ~36m tons and is among the top 10 private sector
power project developers currently (project pipeline
of 13GW), and has access to ~3.7b sq ft of land bank in
and around Noida, Uttar Pradesh.
Key challenges
JPA's earnings are lumpy in nature given commodity
nature of cement business and project nature of
EPC and Real Estate businesses.
Consolidated debt stands at INR467b as of March
2012, implying DER of 3.8x.
Slowdown in real estate revenue bookings,
regulatory overhang on Cement / Power business.
Key investment positives
JPA plans to ramp up cement capacity to ~36m tons
by end-FY13, up from 13.5m tons in FY09.
Of the 13GW of power projects under development,
1.8GW is operational while equipment awards have
been placed for 3.8GW, indicating good progress. It
has also commissioned 1GW of Karcham Wangtoo
hydro project.
JPA is the EPC contractor for the Real Estate project
at Noida, own power projects, etc. This provides
good revenue visibility for E&C division.
JPA group has outlined a strategy for consolidation
and de-leveraging. It plans to lower debt through
project cash flows, stake sale in Cement business,
and divestment in Jaypee Infratech.
Key news flows / triggers to watch
Possibility of disinvestment in Cement business and
application of funds.
Commissioning of Bina power project and
developments on Nigrie thermal project and status
on Karcham Wangtoo PPA.
Ramp-up in real estate business both at standalone
and consolidated levels.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 EBITDA was in-line with estimate, but led
by mixed trends across business. Performance was
boosted by higher EBITDA margin and cement
realization, while RE bookings were lower.
Expect consolidated cement sales of over 25m tons
in FY13E.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
JPA IN
2,126
76
2.9
89 / 50
-5 / -7 / 26
Quarterly Performance
Y/E March
Jun-11
Operating Income 31,833
Change (%)
0.3
EBITDA
7,728
Change (%)
20.4
EBITDA Margin (%) 24.3
Reported PAT
1,070
Adjusted PAT
1,072
Change (%)
1.3
Key operating metrics
Cement div. EBIT 34,854
EPC division EBIT 12,748
RE division EBIT
3,469
E: MOSL Estimates
Sep-11
31,324
4.6
7,482
9.9
23.9
1,287
1,287
11.4
34,854
15,540
2,018
Dec-11
33,054
14.2
8,160
3.1
24.7
2,050
2,034
-12.9
36,014
12,421
3,078
Mar-12
40,621
4.0
10,194
31.7
25.1
2,838
2,789
-3.3
37,014
17,706
5,604
Jun-12
29,636
7,713
26.0
1,388
1,379
(INR Million)
FY12
128,531
-0.9
34,397
19.1
26.8
10,264
10,203
37.8
54,650
58,423
14,170
FY13E
141,997
35,101
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
46.7
13.6
20.6
19.1
Mar-12
46.8
13.7
20.6
18.9
Jun-11
46.8
11.6
20.4
21.2
7,973
7,973
15,629
12,160
1,651
66,806
57,519
15,000
92
August 27 - 31, 2012

8th Annual Global Investor Conference
Jaiprakash Associates: Financials and valuation
Income Statement
(INR Million)
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Consolidated EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E (standalone)
P/E (consolidated)
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
3.5
-17.0
6.5
355.1
6.3
44.2
0.7
14.5
2012
4.8
37.5
3.0
-54.2
7.7
47.9
1.0
22.7
2013E
3.7
-21.9
5.0
69.3
7.1
45.2
0.7
22.8
2014E
4.8
29.0
6.2
23.5
8.3
48.9
1.0
22.8
Y/E March
2011
2012
2013E
2014E
Net Sales
129,650 128,531 141,997 161,157
Change (%)
28.5
-0.9
10.5
13.5
EBITDA
28,889 34,397 35,101 39,140
% of Net Sales
22.3
26.8
24.7
24.3
Depreciation
6,078
6,142
7,176
7,286
Interest
13,942 17,817 18,874 18,091
Other Income
8,668
2,706
2,505
2,098
PBT
17,537 13,143 11,556 15,861
Tax
5,867
2,880
3,582
5,576
Rate (%)
33.5
21.9
31.0
35.2
Reported PAT
11,670 10,264
7,973 10,286
Extra-ord. Inc. (net of exp)
0
61
0
0
Adjusted PAT
7,421 10,203
7,973 10,286
Change (%)
-16.9
37.5
-21.9
29.0
Consolidated PAT
13,839
6,336 10,725 13,241
Change (%)
355.1
-54.2
69.3
23.5
Balancesheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deffered Tax Liability
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other Current Assets
Current Liab. & Prov.
Net Current Assets
Application of Funds
(INR Million)
2011
2012
2013E
2014E
4,253
4,253
4,253
4,253
89,721 97,658 91,814 99,754
93,974 101,911 96,067 104,007
217,076 181,628 163,205 163,033
11,940 12,440 12,440 12,940
322,990 295,979 271,712 279,980
147,964 160,589 163,089 165,589
28,395 34,537 41,713 48,999
119,569 126,052 121,376 116,590
63,527
1,500
1,545
1,591
64,838 80,461 83,940 86,966
131,523 147,339 127,952 144,306
32,833 36,311 39,008 43,609
28,106 29,313 31,512 36,205
24,625 33,010
6,548 10,209
45,697 48,442 50,623 54,022
262
262
262
262
56,467 59,372 63,101 69,473
75,057 87,966 64,851 74,833
322,990 295,979 271,712 279,980
15.8
25.4
9.8
9.0
2.4
1.6
1.3
20.2
15.0
10.6
9.0
2.2
1.7
1.0
15.6
12.1
9.1
8.0
1.9
1.5
1.3
8.3
10.6
10.4
10.0
8.1
10.7
10.3
12.3
79
0.4
80
0.4
81
0.5
82
0.6
2.3
1.8
1.7
1.6
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Interest
Less : Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
2011
17,546
6,078
13,942
5,867
-16,762
14,936
2012
13,143
6,142
17,817
2,880
-4,525
29,698
49,402
-15,623
33,779
500
-35,448
17,817
2,326
-55,092
8,385
24,625
33,010
(INR Million)
2013E
11,556
7,176
18,874
3,582
-3,347
30,676
-2,545
-3,479
-6,024
-12,000
-18,423
18,874
1,818
-51,115
-26,463
33,010
6,548
2014E
15,861
7,286
18,091
5,576
-6,321
29,341
-2,546
-3,027
-5,573
500
-172
18,091
2,345
-20,108
3,661
6,548
10,209
93
EBIT mix (INR m)
Y/E March
Construction
Cement
Hospitality
BOT Dividend
Power
Real estate
Exceptional
Unallocated
Total
2011
9,264
8,396
152
1,036
122
8,708
2,496
(3,819)
26,355
2012
16,054
8,475
36
1,950
152
5,625
-
(2,082)
30,209
2013E
13,517
9,135
220
1,000
183
6,375
-
-
30,430
2014E
11,779
12,780
253
1,000
219
7,920
-
-
33,952
(Inc)/Dec in FA
-44,070
(Pur)/Sale of Investments -9,075
CF from Investments
-53,145
(Inc)/Dec in Net Worth
(Inc)/Dec in Debt
Less : Interest Paid
Dividend Paid
CF from Fin. Activity
1,688
37,988
13,942
1,692
24,042
Inc/Dec of Cash
-14,167
Add: Beginning Balance 38,792
Closing Balance
24,625
August 27 - 31, 2012

8th Annual Global Investor Conference
Jindal Steel & Power
Company description
Jindal Steel & Power (JSP) currently has 3mtpa of
operational steel-making capacity at Raigarh. It has one
of the best iron ore and coal resources in India, with
assets spread over various mineral-rich countries.
JSP offers the best insulation from iron ore and coking
coal prices among Indian steel producers, and is the
only power producer in India, most of whose projects
are secured for coal from captive mines.
The company has rich iron ore and coal resources
overseas, mainly in Mozambique, South Africa and
Indonesia.
Key challenges
Sluggish steel demand, cheaper imports and
enhanced capacity of steel majors due to recent
expansions will put pressure on prices. Domestic
producers will have to resort to more aggressive
pricing which will results in lower margins
Expected return on new projects (i.e. Angul and
Tamnar) has declined significantly due to repeated
delays and cost escalations. Moreover, increased
regulatory vigil on mining will lead to higher input
prices.
Key news flows / triggers to watch
Key investment positives
JSP has planned to increase its steel capacity 4x over
the next four years. It is augmenting its existing
3mtpa capacity, by setting up a 1.6mtpa module at
Angul, which will use the coal gasification route. It
plans to add two more modules of 1.6mtpa each at
Angul and Raigarh, using this technology. At Patratu
(Jharkhand), JSP has selected the blast furnace
route for steel making.
Only 1/3rd of the 12mtpa steel capacity will be
exposed to coking coal imports.
Jindal Power plans to increase capacity by 10x in 10
years by adding 4,380MW of thermal power projects
in Chhattisgarh and Jharkhand at a capex of USD5.3b
and 6,100MW of hydro power projects in Arunachal
Pradesh at a capex of USD8.1b.
Utkal B1 coal mine is critical for value accretion in
its Angul Steel and Power projects which are
expected to be commissioned by June 2013.
1QFY13 highlights; guidance for FY13, FY14
JSP's 1QFY13 Adj Cons PAT grew 4.4% YoY to INR9.6b
(9% below our estimate) due to lower sales
volumes in the steel business, higher costs in Jindal
Power, and higher interest costs. Reported Cons PAT
of INR3.85b included INR5.7b on account of
impairment in value of investment in Bolivia.
Production of steel and pellets remained strong,
but sales volumes disappointed, as demand and
prices deteriorated sharply in June 2012.
The accumulated inventory is likely to yield lower
profits in the next quarter because of lower steel
prices.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
JSP IN
935
405
6.8
663 / 390
-9 / -34 / -27
Quarterly Performance
Y/E March
Jun-11
Operating Income 39,441
Change (%)
31.4
EBITDA
16,257
Change (%)
3.9
EBITDA Margin (%) 41.2
Reported PAT
9,330
Adjusted PAT
9,188
Change (%)
-2.4
PAT Margin (%)
23.3
Key operating metrics
Steel (000 tons)
457
Pellets (000 tons)
347
Jindal Power(M kwh)1,906
E: MOSL Estimates
Sep-11
44,232
43.5
18,038
20.1
40.8
8,918
10,495
19.1
23.7
598
526
1,839
Dec-11
43,577
37.3
17,922
12.1
41.1
10,161
10,210
9.1
23.4
591
464
2,030
Mar-12
54,823
42.2
19,144
10.8
34.9
11,615
11,670
17.3
21.3
737
691
1,976
Jun-12
47,015
19.2
15,932
-2.0
33.9
3,855
9,594
4.4
20.4
561
395
2,015
(INR Million)
FY12
182,073
38.9
71,361
11.6
39.2
40,025
41,563
10.7
22.8
2,385
2,028
7,750
FY13E
208,923
14.7
67,012
-6.1
32.1
31,229
36,763
-11.5
17.6
2,465
1,934
8,002
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
59.0
7.3
21.9
11.8
Mar-12
58.9
6.9
23.1
11.1
Jun-11
58.4
6.5
24.1
11.0
94
August 27 - 31, 2012

8th Annual Global Investor Conference
Jindal Steel & Power: Financials and valuation
Income Statement (Consolidated)
Y/E March
Net sales
Change (%)
Total Expenses
EBITDA
% of Net Sales
Depn. & Amortization
EBIT
Net Interest
Other income
PBT before EO
EO income
PBT after EO
Tax
Rate (%)
Reported PAT
Minority interests
Share of Associates
Adjusted PAT
Change (%)
(INR Million)
Ratios (Consolidated)
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE (pre-tax)
Working Capital Ratios
Asset Turnover (x)
Debtor (Days)
Inventory (Days)
Work.Cap.Turnover (Days)
Payable (Days)
Leverage Ratio (x)
Current Ratio
Interest Cover Ratio
Debt/Equity
2011
40.1
53.0
150.8
1.5
3.8
2012
44.4
57.7
193.9
1.6
3.7
2013E
39.3
48.5
230.9
2.0
5.2
2014E
37.0
56.5
264.2
2.0
5.5
2011
2012
2013E
2014E
131,116 182,073 208,923 221,316
18.2
38.9
14.7
5.9
67,190 110,713 141,911 146,212
63,926 71,361 67,012 75,104
48.8
39.2
32.1
33.9
11,510 13,863 14,113 17,795
52,416 57,498 52,899 57,309
3,356
5,059
6,981 12,563
820
1,432
1,183
1,355
49,880 53,871 47,101 46,100
-1,982
-5,741
0
49,880 51,888 41,360 46,100
11,840 11,863 10,130 11,154
23.7
22.9
24.5
24.2
38,040 40,025 31,229 34,946
659
644
509
470
158
200
301
158
37,539 41,563 36,763 34,634
4.7
10.7
-11.5
-5.8
9.0
7.0
2.1
2.9
7.3
0.4
10.2
8.3
1.7
2.8
8.7
0.5
10.9
7.1
1.5
2.8
8.4
0.5
30.6
21.6
25.8
18.5
18.5
13.8
15.0
12.0
Balance Sheet (Consolidated)
Y/E March
Share Capital
Reserves
Net Worth
Minority Interest
Total Loans
Deferred Tax Liability
Capital Employed
2011
934
139,965
140,899
2,335
139,766
10,055
293,054
2012
934
180,218
181,152
2,985
150,146
11,520
345,804
225,668
58,120
167,548
139,784
1,018
2,979
114,640
32,243
14,204
4,404
63,790
80,165
49,103
31,063
34,475
345,804
2,385
164
2,028
1,446
7,750
3.9
(INR Million)
2013E
934
214,718
215,653
3,526
209,146
12,788
441,114
231,911
72,239
159,672
232,519
1,018
2,979
122,076
35,849
17,827
4,611
63,790
77,150
46,088
31,063
44,926
441,114
2,465
18
1,934
2,550
8,002
3.7
2014E
934
245,856
246,790
4,047
276,146
14,299
541,282
397,074
90,034
307,041
165,135
1,018
2,979
144,389
37,893
18,691
24,017
63,790
79,279
48,216
31,063
65,111
541,282
3,176
56
1,538
3,359
7,984
3.6
0.4
32.1
21.2
27.0
101.8
0.5
28.5
17.7
16.5
98.4
0.5
31.1
17.2
19.3
80.5
0.4
30.8
17.1
18.6
79.5
1.6
15.6
1.0
1.4
11.4
0.8
1.6
7.6
0.9
1.8
4.6
1.0
Gross Block
192,756
Less: Accum. Deprn.
44,321
Net Fixed Assets
148,435
Capital WIP
100,409
Good will
1,018
Investments
2,979
Curr. Assets
107,863
Inventory
27,734
Account Receivables
11,537
Cash and Bank Balance
4,802
loans & advances
63,790
Curr. Liability & Prov.
67,649
Account Payables
36,587
Provisions & Others
31,063
Net Current Assets
40,214
Appl. of Funds
293,054
JSP Operating Parameters
Steel (000 tons)
1,900
Metalics (000 tons)
336
Pellets (000 tons)
565
CPP (M kwh)
1,066
Jindal Power (M kwh)
7,920
JSP Realization (INR/kwh)
4.2
August 27 - 31, 2012
Cash Flow Statement (Consolidated)
Y/E March
2011
Pre-tax profit
49,880
Depreciation
11,510
(Inc)/Dec in Wkg. Cap.
-18,929
Tax paid
-9,472
Other operating activities
262
CF from Op. Activity
33,252
(Inc)/Dec in FA + CWIP
-82,070
(Pur)/Sale of Investments
206
CF from Inv. Activity
-81,864
Equity raised/(repaid)
3
Debt raised/(repaid)
53,723
Dividend (incl. tax)
-1,439
Other financing activities
CF from Fin. Activity
52,287
(Inc)/Dec in Cash
Add: Opening Balance
Closing Balance
3,674
1,128
4,802
(INR Million)
2013E
41,360
14,113
-10,244
-8,104
-784
36,341
-98,978
0
-98,978
0
59,000
-1,919
57,081
-5,556
4,404
-1,152
2014E
46,100
17,795
-779
-8,909
-2,104
52,104
-97,779
0
-97,779
0
67,000
-1,919
65,081
19,406
4,611
24,017
95
2012
51,888
13,863
5,341
-9,491
-250
61,351
-72,287
0
-72,287
0
10,380
-1,535
1,663
10,508
-427
4,802
4,404

8th Annual Global Investor Conference
JSW Energy
Company description
JSW Energy (JSWEL), a Sajjan Jindal group company, has
a power generation project portfolio of 11.4GW. Of this,
2.6GW is operational, 0.5GW is under construction
(expected to be commissioned in FY13), and the
remaining 8GW is under various stages of development
and planning. The company is an early entrant in power
trading business, and also has a JV with Toshiba for super
critical steam turbines and generator.
Key challenges
Imported coal prices have been softening, but any
major rebound could impact earnings.
INR depreciation in the past has been steep and is
yet to see signs of easing out.
Approval of Raj West tariff crucial to improve near
term profitability of the project.
Key news flows / triggers to watch
Higher merchant prices over FY13/14E. We expect
merchant prices at INR4.0/unit.
Continued weakness in imported coal prices and
rupee appreciation could be twin benefits.
Approval of lignite production expansion for
Kapurdi mines from MoEF (Raj West project).
Favorable tariff order on Raj West and 300MW PPA
with MSEDCL.
Key investment positives
JSWEL's business model in the medium term is a
combination of merchant power sales and spot coal
purchases. Of the 3.1GW operational capacity by
FY13E, 44% of offtake will be on short-term (ST) sales
and 66% of the fuel purchases will be on spot basis.
Global thermal coal indices are down ~35% since
their peak in Dec-10, led by changing US energy
dynamics, slowdown in demand from China, etc.
Even in INR terms, the indices are down by ~17%
despite rupee depreciation. JSWEL is a key
beneficiary with ~1.4GW merchant capacity located
in high-deficit consumption regions. JSWEL has
already tied up sizable capacity under ST contract at
price range of INR4.5-5.0/unit.
JSWEL has lowest DER among private sector players
at 1.76x as at June 2012. Higher operating cash flows
and no sizable commitment would ensure that
equity dilution is not necessary in the near term.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 performance was higher than estimates led
by higher generation at 4.7BUs, and better gross
margin at INR2.10/unit, v/s INR0.2/unit in 2QFY12.
in 1QFY13, JSWEL synchronized Raj West's Unit-V
and Unit-VI and is expecting project CoD in FY13.
It expects to file for revised tariff order of Raj West
in 3QFY13.
Management expects merchant realization in the
range of INR4-4.25/unit, with an upward bias.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
JSW IN
1,640
50
1.5
77 / 36
-7 / -28 / -16
Quarterly Performance
Y/E March
Jun-11
Operating Income 12,724
Change (%)
36.5
EBITDA
3,932
Change (%)
-13.1
EBITDA Margin (%) 31
Reported PAT
1,363
Adjusted PAT
1,363
Change (%)
-54.4
PAT Margin (%)
10.7
Key Operating metrics
Merc. Tar. (INR/Unit) 4.51
Fuel Cost (INR/Unit) 2.92
Plant PLF (%)
71
E: MOSL Estimates
Sep-11
9,965
17.8
1,182
-63.6
12
-1,089
-221
-114.3
-2.2
3.15
2.94
74
Dec-11
17,687
64.3
3,495
-1.2
20
-827
549
-60.2
3.1
3.99
2.69
81
Mar-12
20,812
44.6
5,869
35.5
28
2,303
1,683
-18.3
8.1
4.18
2.43
92
Jun-12
21,915
72.2
5,834
48.4
27
34
1,949
43.0
8.9
4.56
2.44
92
(INR Million)
FY12
61,187
42.5
14,477
-7.4
24
1,700
3,313
-60.6
5.4
4.37
2.69
72
FY13E
81,635
33.4
24,852
71.7
30
4,308
6,223
87.9
7.6
4.05
2.27
80
Shareholding pattern (%)
Jun-12
Promoter
76.7
Domestic Instn
5.9
Foreign
9.2
Others
8.2
Mar-12
76.7
5.7
10.3
7.2
Jun-11
76.7
5.8
10.5
6.9
96
August 27 - 31, 2012

8th Annual Global Investor Conference
JSW Energy: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
Operating Expenses
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
PAT before Min. Int.
Reported PAT
Change (%)
Adjusted PAT
Change (%)
2011
42,944
82.3
27,302
15,642
36.4
2,668
4,325
1,332
9,980
1,563
15.7
8,418
8,418
12.9
8,418
12.5
2012
61,189
42.5
46,710
14,478
23.7
5,033
7,172
1,466
3,739
419
11.2
3,320
3,314
-60.6
3,314
-60.6
(INR Million)
2013E
81,635
33.4
56,783
24,852
30.4
7,742
10,252
1,656
8,515
2,377
27.9
6,138
6,223
87.8
6,223
87.8
2014E
91,302
11.8
60,063
31,239
34.2
8,841
10,105
1,156
13,448
3,070
22.8
10,378
10,483
68.5
10,483
68.5
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
5.1
12.5
6.5
34.6
1.0
19.5
2012
2.0
-60.6
4.1
34.8
0.5
24.7
2013E
3.8
87.8
7.1
36.8
0.4
9.6
2014E
6.4
68.5
11.8
42.1
1.0
15.0
24.5
12.1
11.4
2.7
1.4
1.0
13.0
6.9
7.5
2.3
1.3
0.7
7.7
4.2
5.6
1.9
1.2
1.9
Balance Sheet
Y/E March
Share Capital
Reserves and Surplus
Share Holder Funds
Minority
LT Borrowings
Deffered Tax Liabilities
Other LT Liabilities
LT Provisions
Non Current Liabilities
Current Liabilities
Total Equity & liabilities
2011
16,401
40,364
56,765
724
84,709
1,562
6
323
86,601
(INR Million)
2012
2013E
2014E
16,401
16,401
16,401
40,600
43,895
52,609
57,001 60,295 69,009
500
415
310
87,172 106,585 100,455
1,292
1,292
1,292
14
14
14
286
286
286
88,764 108,177 102,047
14.8
9.7
5.8
6.4
10.6
10.5
16.2
13.9
1.5
1.5
1.8
1.4
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Interest
Less : Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
2011
9,980
2,668
4,325
-1,563
-8,067
7,344
2012
3,739
5,033
7,172
-419
6,784
22,310
10,014
130
10,143
-2,155
-3,494
1,698
-7,172
-3,530
-14,653
-3,093
9,779
6,686
(INR Million)
2013E
8,515
7,742
10,252
-2,377
-27,664
-3,533
2,899
-1,544
1,355
0
13,702
-13
-10,252
-603
2,834
-2,677
6,686
4,009
2014E
13,448
8,841
10,105
-3,070
-2,892
26,432
4,500
0
4,500
0
-6,130
-2,169
-10,105
-1,562
-19,966
3,154
4,947
8,101
31,959
46,723
10,899
9,580
176,048 192,988 179,786 180,946
Fixed Assets
134,903 146,446 145,987 142,263
Non Current Investments
2,389
2,871
3,427
3,427
LT Loan and Advances
11,552
12,525
12,000
12,000
Non Current Assets
148,844 161,842 161,414 157,690
Current Investments
Inventories
Trade Receivables
Cash and Bank Balance
ST Loan and Advances
Other Current Assets
Current Assets
Total Assets
2,453
2,100
2,100
2,100
5,348
7,658
3,179
3,289
7,645
11,760
6,141
6,824
9,779
6,686
4,009
8,100
1,509
2,824
2,824
2,824
471
118
118
118
27,204 31,146 18,372 23,256
176,048 192,988 179,786 180,946
(Inc)/Dec in FA
28,540
(Pur)/Sale of Investments -9,503
CF from Investments
19,037
(Inc)/Dec in Net Worth
(Inc)/Dec in Debt
(Inc)/Dec in Deffered
Tax Liability
Less : Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2,898
17,675
527
-4,325
-1,906
14,868
3,730
6,048
9,779
Key assumptions/operating metrics
Merchant Tariff (INR/Unit)
4.1
Fuel Cost (INR/Unit)
2.5
Installed Capacity (MW)
1,730
- PPA (MW)
780
- Merchant (MW)
950
Avg PLF (%)
59
August 27 - 31, 2012
4.4
2.4
2,600
1,380
1,220
60
4.0
2.3
3,140
1,380
1,760
72
4.0
2.2
3,140
1,380
1,760
77
97

8th Annual Global Investor Conference
JSW Steel
Company description
JSW Steel (JSTL) is currently the largest private sector
steel manufacturer in terms of installed capacity in
India. It has 10mtpa steel plant located in Vijaynagar,
Karnataka. With the acquisition of Ispat Industries and
Salem Steel, it controls 14mtpa capacity. Its Karnataka
facility is located in proximity to rich iron ore reserves
belt. It has investments in iron ore mining in Karnataka
and Chile. Its other overseas investments include plate
and pipe mill operations and coal mines in the US.
additionally live with deteriorating quality of iron
ore from e-auction in Karnataka, which has
increased the coke rate, reduced the campaign life
of equipment, and resulted in lower effective
capacity due to higher slag rate.
Key news flows / triggers to watch
Timely restart of mining operations in Karnataka is
critical for JSTL to meet its production target of
8.5mtpa. Based on current stock and additional
supply from NMDC it can only produce ~4.2mt in
next 3 quarters.
Supreme Court has favored restarting of Category
A&B iron ore mines in Karnataka and is likely to
pass order regarding the same after going through
CEC's R&R report.
Key investment positives
JSTL has demonstrated excellent project execution
skills over the past decade, growing its capacity 6x
to 10mtpa via brownfield expansions at Vijaynagar.
It has the lowest conversion cost due to operational
efficiencies. Its strategic location near iron ore rich
Bellary-Hospet belt helps it to keep iron ore
purchase costs low; however, the ban on iron ore
mining at Bellary and subsequent non-availability
of adequate quantity at lower costs has derailed
volume growth.
1QFY13 highlights; guidance for FY13, FY14
JSTL's 1QFY13 adjusted standalone PAT increased
16% YoY to INR6.6b due to higher realization and
lower tax rate.
Net Sales grew 28% YoY to INR90.4b driven by 4%
higher realization and 23% higher volumes. Sales
volume declined 9% QoQ to 2.19mt.
EBITDA/ton increased 8% QoQ to USD154. Blended
realization increased 4% QoQ to INR42,853 due to
better sales mix.
CEC has approved R&R plan for 7 Category A mines
and company expects these mines to be operational
in August after certain approvals.
Key challenges
Sluggish steel demand, cheaper imports and
enhanced capacity of steel majors due to recent
expansions will put pressure on prices. Domestic
producers will have to resort to more aggressive
pricing which will result in lower margins.
Sourcing iron ore is still a challenge in view of delay
in reopening Karnataka mines. JSW Steel has to
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
JSTL IN
223
721
2.9
885 / 464
4 / -12 / 8
Quarterly Performance
Y/E March
Jun-11
Operating Income 70,694
Change (%)
51.0
EBITDA
14,082
Change (%)
36.1
EBITDA Margin (%) 19.9
Reported PAT
5,783
Adjusted PAT
5,713
Change (%)
66.6
PAT Margin (%)
8.1
Key operating metrics
Sales (mt)
1.7
Realiz. (INR/ton) 41,245
EBITDA/ton(USD/ton) 184
E: MOSL Estimates
Sep-11
76,321
32.1
13,104
32.1
17.2
1,271
5,993
82.6
7.9
1.9
40,553
152
Dec-11
78,765
35.6
12,534
25.3
15.9
6,684
9,592
155.7
12.2
1.9
41,281
129
Mar-12
95,447
34.3
16,518
-0.1
17.3
7,522
5,592
-32.3
5.9
2.3
41,319
143
Jun-12
90,376
27.8
17,728
25.9
19.6
2,690
6,632
16.1
7.3
2.1
42,853
154
(INR Million)
FY12
321,227
37.5
56,238
17.7
17.5
21,260
26,890
36.5
8.4
7.8
41,109
150
FY13E
325,295
1.3
59,981
6.7
18.4
13,808
17,540
-34.8
5.4
8.1
39,961
138
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
38.6
4.7
41.3
15.3
Mar-12
38.5
4.7
41.7
15.2
Jun-11
38.3
4.8
45.4
11.5
98
August 27 - 31, 2012

8th Annual Global Investor Conference
JSW Steel: Financials and valuation
Income Statement (Consolidated)
(INR Million)
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
EV/ton
Return Ratios (%)
RoE
RoCE (pre-tax)
Working Capital Ratios
Debtor (Days)
Creditors(Days)
Leverage Ratio (x)
Current Ratio
Interest Cover Ratio
Debt/Equity
2011
75.2
144.3
740.8
12.3
20.9
2012
66.5
121.7
750.7
7.5
15.4
2013E
50.7
148.8
764.8
7.5
20.2
2014E
49.4
160.6
804.1
7.5
20.7
Y/E March
2011
2012
2013E
2014E
Net sales
241,059 343,681 360,186 390,034
Change (%)
27.2
42.6
4.8
8.3
Total Expenses
192,380 282,662 294,778 325,789
EBITDA
48,679 61,019 65,408 64,245
% of Net Sales
20.2
17.8
18.2
16.5
Depn. & Amortization
15,597
19,332
22,059
22,587
EBIT
33,082 41,687 43,349 41,658
Net Interest
10,603
14,273
18,618
20,560
Other income
1,900
769
571
615
PBT before EO
24,379 28,183 25,302 21,713
EO income
-15,353
-5,948
PBT after EO
24,379 12,830 19,354 21,713
Tax
7,785
5,002
8,217
8,459
Rate (%)
31.9
39.0
42.5
39.0
Reported PAT
16,594
7,828 11,137 13,254
Minority interests
-239
189
36
36
Share of Associates
707
-2,262
-2,996
-2,000
Preference dividend
279
279
279
279
Adj. PAT (after MI & Asso) 16,783
14,844
11,321
11,011
10.8
5.9
1.0
1.2
7.0
1.0
1,140
14.2
4.8
0.9
1.2
6.8
1.0
1,018
14.6
4.5
0.9
1.2
7.1
1.0
938
12.3
9.6
8.9
8.7
6.7
8.1
6.3
7.6
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Minority Interest
Total Loans
Deferred Tax Liability
Capital Employed
Gross Block
Less: Accum. Deprn.
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liability & Prov.
Net Current Assets
Appl. of Funds
2011
2,231
163,062
165,293
2,219
237,431
20,494
425,437
337,771
68,732
269,039
65,078
26,437
98,329
44,097
9,334
23,170
21,729
33,446
64,884
425,437
2012
2,231
165,265
167,496
2,177
298,513
27,250
495,435
426,895
88,775
338,121
35,703
18,856
146,453
57,893
15,394
32,653
40,514
43,698
102,755
495,435
(INR Million)
2013E
2,231
168,400
170,631
2,213
304,461
33,021
510,327
456,895
110,834
346,061
55,703
18,856
136,772
59,209
14,802
22,248
40,514
47,065
89,707
510,327
2014E
2,231
177,175
179,406
2,250
324,461
38,755
544,872
486,895
133,421
353,474
75,703
18,856
147,584
64,115
16,029
26,926
40,514
50,745
96,839
544,872
14
45
16
44
15
45
15
45
2.9
3.1
1.3
3.4
2.9
1.6
2.9
2.3
1.7
2.9
2.0
1.7
Cash Flow Statement (Consolidated)
Y/E March
EBITDA
(Inc)/Dec in Wkg. Cap.
Tax Paid
CF from Op. Activity
2011
48,679
-13,137
-4,269
31,273
2012
61,019
-28,388
-4,113
28,518
(INR Million)
2013E
65,408
2,643
-2,446
65,606
-50,000
2014E
64,245
-2,453
-2,725
59,067
-50,000
(Inc)/Dec in FA + CWIP
-52,994 -59,750
(Pur)/Sale of Investments
-266
7,581
Acquisition in subsidiaries-23,598
Int. & Dividend Income
526
769
CF from Inv. Activity
-76,331 -51,400
Equity raised/(repaid)
Debt raised/(repaid)
Dividend (incl. tax)
Interest paid
Other financing
CF from Fin. Activity
59,356
4,008
-2,397
-10,007
-281
50,679
571
-49,429
615
-49,385
Operating Parameters
Forex Rate (INR/USD)
45.6
Coal(Coking Hard fob)
214
Iron ore JSW (USD/ton)
60
Steel - JSW Steel (USD/ton) 780
Volumes (000 tons)
6,098
EBITDA per ton (USD)
172
47.9
288
65
815
7,814
150
53.5
202
59
709
8,140
138
52.0
200
60
699
9,400
120
61,082
-2,284
-14,273
-12,159
32,366
9,484
23,170
32,653
5,948
-2,237
-18,618
-11,676
-26,582
-10,406
32,653
22,248
20,000
-2,237
-20,560
-2,206
-5,003
4,678
22,248
26,926
99
(Inc)/Dec in Cash
5,621
Add: opening Balance
3,030
Margin Money & deb. bal. 14,518
Closing Balance
23,170
August 27 - 31, 2012

8th Annual Global Investor Conference
Kotak Mahindra Bank
Company description
Kotak Mahindra group is one of India's largest financial
conglomerates. Kotak Mahindra Bank (KMB) together
with its subsidiaries has a presence across spectrum of
financial services – lending, broking, investment
banking, life insurance, asset management, and
proprietary investments. As on June 2012, KMB had 366
branches and consolidated asset base of INR968b.
Key challenges
Asset quality remains a key monitorable on the back
of early warning signs of asset quality deterioration
in some key products and continued policy paralysis.
Moderating growth, especially in some of the high
yielding products, expected deterioration in asset
quality and higher base of FY12 (due to healthy
recoveries and just 15bp of credit cost) could put
pressure on lending business profitability.
Key investment positives
KMB's dependence on earnings from non lending
businesses has reduced considerably over past few
years. Share of profits from lending business has
increased from 40-45% of total in FY07/08 to 80%+
currently, which provides stability to earnings.
Outlook for the lending business remains healthy
as (1) Loan growth is likely to remain 20%+ in FY13/
14 with focus on corporate and secured retail loans,
and (2) Margins are likely to remain superior than
the industry at 4.5%+.
KMB has demonstrated excellent asset quality
performance in the current credit cycle. Higher share
of secured products in the overall mix should also
augur well for asset quality.
Life insurance business has turned profitable and is
unlikely to require any further capital infusion. With
improvement in the outlook for capital market
related businesses, the share of profits from non
lending businesses should rise going forward.
Key news flows / triggers to watch
RBI has directed the bank to reduce promoter
holding to 20% by March 2018 from ~45% currently.
KMB's strategy on the same will have to be watched.
Signals of improvement in the outlook for the
capital market related businesses.
1QFY13 highlights; guidance for FY13, FY14
While lending business PAT grew 9% YoY, in line with
our expectations, sluggish capital market business
affected overall profitability.
Asset quality deteriorated as one large corporate
account slipped into NPA. Asset quality will remain
a key monitorable.
Loan growth guidance for FY13 has been toned down
to 20%+ from 25-30% earlier.
The management has maintained its margin
guidance of 4.5%+ (4.7% in 1QFY13) even if the loan
mix undergoes change.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
KMB IN
742
588
7.8
612 / 411
-4 / 5 / 27
KMB Group: Earnings Estimates
Business
FY10
FY11
(INR Million)
FY12 FY13E FY14E
13,404
4,571
194
18,170
50
278
425
753
1,052
250
1,302
20,224
12
2,568
-150
22,642
12
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
45.2
4.5
34.3
16.1
Mar-12
45.3
4.7
33.9
16.1
Jun-11
45.5
5.4
31.7
17.4
Kotak Mah. Bk.(Standalone) Banking Business 5,611 8,182 10,850 11,940
Kotak Mahindra Prime
Auto loans, debt
capital markets
1,664 3,179 3,849 4,057
Kotak Mahi. Investments
Primarily LAS
347
240
153
185
Lending Business
7,622 11,600 14,852 16,182
International subsidiaries Asset mgt & Inv. Bkg. 799
509
-110
0
Kotak Mah. AMC&Trustee Co Mutual funds mgt. 725
173
220
260
Kotak Investment Advisors Alternate asset mgt. 398
327
360
375
Asset Mgt Business
1,921 1,009
470
635
Kotak Securities
Broking & distri.
2,601 1,819 1,260 1,044
Kotak Mah. Capital Co.
Invest. Banking
239
519
60
222
Capital Market Business
2,840 2,338 1,320 1,265
Consol. PAT excl. Kotak Life
12,382 14,948 16,642 18,082
YoY Growth (%)
89
21
11
9
Kotak OM Life Insurance
Life insurance
692 1,014 2,030 2,233
Cons. Adjust.
-4
-294
-349
-150
Consol. PAT Incl. Kotak Life
13,070 15,667 18,322 20,165
YoY Growth (%)
100
20
17
10
100
August 27 - 31, 2012

8th Annual Global Investor Conference
Kotak Mahindra Bank: Financials and valuation
Income Statement (Standalone)
Y/E March
2011
Interest Income
41,898
Interest Expense
20,922
Net Interest Income
20,976
Change (%)
12.9
Non Interest Income
7,805
Net Income
28,781
Change (%)
15.8
Operating Expenses
15,533
Pre Provision Profits
13,248
Change (%)
2.1
Provisions (excl tax)
1,371
PBT
11,877
Tax
3,695
Tax Rate (%)
31.1
Standalone PAT
8,182
Change (%)
45.8
Consolidated PAT
15,667
Change (%)
19.9
Equity Dividend (Incl tax)
462
Core PPP (Standlone)*
11,083
Change (%)
6.8
*Core PPP is (NII+Fee income-Opex)
2012
61,802
36,677
25,125
19.8
9,773
34,898
21.3
18,348
16,550
24.9
551
15,999
5,149
32.2
10,850
32.6
18,322
16.9
517
14,445
30.3
(INR Million)
2013E
76,212
45,039
31,172
24.1
11,040
42,213
21.0
22,533
19,680
18.9
2,121
17,559
5,619
32.0
11,940
10.0
20,165
10.1
590
17,180
18.9
2014E
89,659
52,648
37,010
18.7
13,209
50,220
19.0
26,333
23,886
21.4
4,174
19,712
6,308
32.0
13,404
12.3
22,642
12.3
662
20,936
21.9
Ratios (Standalone)
Y/E March
Spreads Analysis (%)
Avg. Yield-Earning Assets
Avg. Yield on loans
Avg. Yield on Investments
Avg. Cost-Int. Bear. Liab.
Avg. Cost of Deposits
Interest Spread
Net Interest Margin
Profitability Ratios (%)
Consolidated ROE
Standalone Core RoE
Standalone RoA
Int. Expense/Int.Income
Non Int. Inc./Net Income
Asset-Liability Profile (%)
Loans/Deposit Ratio
Loans/(Dep.+Borrowings)
CASA Ratio
Investment/Deposit Ratio
Invest/(Dep.+Borrowings)
CAR
Tier 1
2011
10.4
12.8
6.5
5.9
5.6
4.5
5.2
2012
11.4
14.2
6.8
7.6
7.4
3.8
4.6
2013E
11.2
13.5
7.4
7.3
7.1
4.0
4.6
2014E
10.9
13.0
7.4
6.9
6.6
4.0
4.5
16.6
15.4
1.9
49.9
27.1
15.4
15.4
1.9
59.3
28.0
14.5
14.6
1.6
59.1
26.2
14.2
14.3
1.5
58.7
26.3
Balance Sheet (Standalone)
Y/E March
Equity Share Capital
Reserves & Surplus
Net Worth
Deposits
Change (%)
of which CASA Dep
Change (%)
Borrowings
Other Liabilities & Prov.
Total Liabilities
Current Assets
Investments
Change (%)
Loans
Change (%)
Fixed Assets
Other Assets
Total Assets
2011
3,684
64,280
67,965
292,610
22.5
87,905
17.8
117,239
30,693
508,507
24,710
171,214
36.8
293,293
41.2
4,256
15,033
508,507
2012
3,703
75,756
79,459
385,365
31.7
124,024
41.1
165,955
25,885
656,665
26,346
215,668
26.0
390,792
33.2
4,500
19,359
656,665
(INR Million)
2013E
3,703
87,106
90,809
489,414
27.0
154,102
24.3
198,695
30,985
809,903
45,504
258,802
20.0
476,767
22.0
4,632
24,199
809,903
2014E
3,703
99,848
103,552
601,979
23.0
195,524
26.9
237,683
37,113
980,326
54,406
310,562
20.0
581,655
22.0
4,665
29,039
980,326
100.2
71.6
30.0
58.5
41.8
19.9
18.0
101.4
70.9
32.2
56.0
39.1
17.5
15.7
97.4
69.3
31.5
52.9
37.6
17.1
15.3
96.6
69.3
32.5
51.6
37.0
16.2
14.5
Valuation
Book Value (INR)
BV Growth (%)
AP/BV (x)
Consol BV (INR)
BV Growth (%)
Price-Consol BV (x)
Adjusted BV (INR)*
AP/ABV (x)
Adjusted Consol BV
Price-Consol ABV (x)
Standalone EPS (Rs)
EPS Growth (%)
Price-Earnings (x)
Consol EPS (INR)
Con. EPS Growth (%)
Price-Concol EPS (x)
Dividend Per Share (INR)
Dividend Yield (%)
E: MOSL Estimates
92.2
43.2
148.8
30.9
86.5
147.4
10.5
36.4
21.3
13.3
0.5
107.3
16.3
4.4
174.2
17.1
3.4
100.9
4.6
172.1
3.4
14.2
35.3
33.1
24.7
16.3
23.8
0.6
0.1
122.6
14.3
3.7
200.6
15.2
2.9
114.2
4.0
196.4
3.0
15.5
9.7
29.5
27.2
10.1
21.6
0.7
0.1
139.8
14.0
3.2
230.3
14.8
2.6
130.2
3.4
224.7
2.6
17.4
12.0
25.3
30.6
12.3
19.2
0.8
0.1
Asset Quality (Standalone, Excl. acquired NPA)
GNPA (INR m)
NNPA (INR m)
GNPA Ratio
NNPA Ratio
PCR (Incl acquired NPA)
PCR (Excl acquired NPA)
3,618
1,461
1.22
0.50
65.0
59.6
4,778
2,243
1.21
0.57
61.4
53.0
8,131
4,497
1.69
0.94
50.0
44.7
(%)
10,984
5,874
1.87
1.01
50.0
46.5
August 27 - 31, 2012
101

8th Annual Global Investor Conference
Larsen & Toubro
Company description
L&T is India's largest engineering and construction
company. It is a conglomerate with interests in
technology, engineering, construction, manufacturing
and financial services. The company is also involved in
various developmental projects on BOT basis in roads,
ports, rail and power sectors. Exports contribute around
~18% of order intake. Large manufacturing capacities in
segments like power BTG, forging, ship-building, etc
are being commissioned.
Key challenges
Order intake is driven by shortgestation projects
particularly from the infrastructure segment. Also,
key investments in manufacturing JVs and BOT
projects are likely to be a drag on profits in the near
term, impacting RoEs.
Unfavorable political climate, logjams relating to
clearances for projects, etc, are impediments for
order intake growth, impacting earnings growth.
Key news flows / triggers to watch
L&T has signed shareholders agreement with
Mazagon Dock, India's biggest naval shipyard to
manufacture defense submarines.
L&T is targeting to monetize some its mature assets
to unlock value. The company is also looking for
external funding in its developmental project
portfolios. Attempts to correct the capital structure
will act as a strong re-rating trigger.
Key investment positives
L&T has demonstrated strong adaptability, given
exposure to various segments and geographies; and
has thus been able to weather the challenging
macro environment much better than peers. Order
backlog stands at INR1,531b implying BTB ratio of
2.8x TTM. We believe L&T has carved out a
differentiated positioning given strong execution
skills, diversified portfolio and balance sheet; and
will benefit from likely pick-up in demand.
Revenue growth is robust, with management
guiding for FY13 growth at 15-20%, on back of 21%
growth in FY12.
Margins have remained stable, given the strong risk
mitigation measures being practised. Order intake
is also expected to be steady with management
guidance of 15-20% growth, despite a challenging
macro environment.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 operating performance was in-line with
estimates. Revenue grew 27% YoY in 1QFY13 to
INR120b while adj EBITDA margin declined 152bp
YoY. Adjusted PAT (excl dividend from subsidiaries)
grew just 2.9% YoY to INR7.1b.
Working capital deteriorated at 15.3% of revenues
v/s 11.9% YoY, due to increased support to vendors.
Management has maintained its order intake and
revenue growth guidance of 15-20% YoY.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
LT IN
613
1,453
16.0
1,720 / 971
2 / 4 / -17
Quarterly Performance
Y/E March
Jun-12 Sep-12 Dec-12
Operating Income
94,826 112,452 139,836
Change (%)
21.1
21.4
23.5
EBITDA
11,265 11,741 13,641
Change (%)
12.1
16.7
10.2
EBITDA Margin (%) 11.9
10.4
9.8
Reported PAT
7,461
7,984
9,915
Adjusted PAT
7,461
7,984 11,275
Change (%)
12.0
15.0
40.0
PAT Margin (%)
7.9
7.1
8.1
Key Operating Matrics
Order intake (INR b) 161.9
161.0
171.3
Order intake gr. (%)
3.6
(21.3)
28.2
WCap.(% of sales)
10.3
12.6
13.0
E: MOSL Estimates
Mar-12
184,609
21.0
25,608
9.3
13.9
19,204
18,654
22.1
10.1
211.6
(30.2)
11.8
Jun-12
119,554
26.1
10,869
(3.5)
9.1
8,635
10,023
34.3
8.4
196.0
21.1
15.3
(INR Million)
FY12
531,705
21.1
62,826
11.4
11.8
44,565
44,825
23.7
8.4
705.7
(11.5)
12.0
FY13E
618,981
16.4
71,418
13.7
11.5
47,667
49,180
9.7
7.9
740.7
4.9
15.9
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-11
0.0
38.4
18.2
43.4
Mar-11
0.0
36.6
19.7
43.7
Jun-10
0.0
36.6
21.3
42.1
102
August 27 - 31, 2012

8th Annual Global Investor Conference
Larsen & Toubro: Financials and valuation
Income Statement
(INR Million)
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Con. EPS (Fully Diluted)
Growth (%)
Book Value
Dividend Per Share
Div. Payout (Incl. Div Tax ) %
Valuation (x)
P/E (Standalone)
P/E (Consolidated)
EV/EBITDA
EV/ Sales
Price / Book Value
Dividend Yield
Return Ratio (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Asset Turnover (x)
Leverage Ratio
Current Ratio (x)
D/E (x)
2011
59.5
12.6
69.7
13.0
358.8
14.5
28.4
2012
73.2
23.0
78.0
11.9
412.1
16.5
25.3
2013E
80.3
9.6
84.9
8.8
466.8
20.1
29.5
2014E
87.6
9.2
92.3
8.7
529.1
21.9
28.9
Y/E March
2011
2012
2013E
2014E
Total Revenues
442,961 537,378 625,585 709,180
Growth Rate (%)
18.6
21.3
16.4
13.4
Excise Duty
3,902
5,673
6,604
7,486
Net Revenues
439,059 531,705 618,981 701,694
Growth Rate (%)
18.6
21.1
16.4
13.4
Manufacturing Expenses 334,681 410,202 481,510 545,530
Staff Cost
28,301
36,635
41,031
45,134
S G &A Expenses
19,778
22,230
25,023
28,367
EBITDA
56,299 62,639 71,418 82,663
Change (%)
18.8
11.3
14.0
15.7
EBITDA Margin (%)
12.8
12.2
11.5
11.8
Depreciation
5,905
6,817
8,079
9,288
EBIT
50,394 55,822 63,339 73,375
Net Interest
6,193
6,661
9,200
9,800
Other Income
9,106
13,078
13,956
12,500
Non-recurring Other Income 2,369
305
0
0
Add: Trf to Rev. Res.
11
10
10
10
Profit before Tax
55,686 62,554 68,104 76,085
Tax
19,436
18,538
20,091
22,445
Effective Tax Rate (%)
34.9
29.6
29.5
29.5
Reported Profit
39,580
44,566 48,014 53,640
EO Adjustments
3,329
550
-383
0
Adjusted Profit
36,250 44,016 48,397 53,640
Cons. Profit (Adj)
42,416 47,730 51,950 56,483
Growth (%)
14.3
12.5
8.8
8.7
29.9
25.6
18.9
2.4
5.0
0.8
19.7
18.5
14.3
1.7
3.5
1.1
18.1
17.1
13.1
1.5
3.1
1.4
16.6
15.7
11.5
1.3
2.7
1.5
16.6
13.9
17.8
14.1
17.2
13.9
16.6
13.6
102.4
13.0
1.5
127.2
12.1
1.5
137.2
10.8
1.6
137.2
10.8
1.6
Balance Sheet
Y/E March
Equity Capital
Reserves and Surplus
Net Worth
Debt
Deferred Tax Liability
Capital Employed
Gross Fixed Assets
Less: Depreciation
Add: Capital WIP
Net Fixed Assets
Investments
Inventory
Sundry Debtors
Cash & Bank
Loans & Advances
Other Current Assets
Current Assets
Current Liabilities
Net Current Assets
Capital Deployed
(INR Million)
2011
2012
2013E
2014E
1,218
1,224
1,224
1,224
217,245 251,005 284,454 322,612
218,463 252,229 285,678 323,836
71,611
98,958 115,000 120,000
2,635
1,330
1,330
1,330
292,708 352,517 402,008 445,166
89,465
23,025
7,713
74,153
146,848
15,772
124,276
17,296
82,253
110,501
350,097
278,392
71,705
292,706
105,544
29,495
7,587
83,636
158,719
17,766
187,298
17,781
91,280
120,448
434,574
324,411
110,163
352,518
128,631
37,574
4,500
95,557
139,307
18,569
235,213
38,799
103,976
137,447
534,005
366,861
167,144
402,008
148,631
46,863
4,500
106,268
153,174
21,051
266,644
36,633
113,183
155,644
593,155
407,431
185,724
445,166
1.3
-0.1
1.3
0.0
1.5
0.2
1.5
0.2
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Interest
Less : Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
(Inc)/Dec in FA
(Pur)/Sale of Investments
Investment in subs
Advances to subs
CF from Investments
(Inc)/Dec in Net Worth
(Inc)/Dec in Debt
Less : Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2011
55,686
6,003
6,193
19,436
-9,269
39,177
-16,429
9,972
-19,766
-9,598
-35,822
11,257
3,603
6,193
8,973
-306
3,048
14,319
17,367
2012
62,554
7,005
6,661
18,538
-34,431
23,250
-16,487
4,108
-15,979
-4,703
-33,061
-429
27,347
6,661
9,962
10,295
483
17,296
17,779
(INR Million)
2013E
68,104
8,079
9,200
20,091
-34,749
30,544
-20,000
39,028
-19,616
-3,527
-4,115
-383
16,042
9,200
11,119
-4,660
21,769
17,781
39,550
2014E
76,085
9,288
9,800
22,445
-21,612
51,116
-20,000
10,000
-23,866
-2,569
-36,436
0
5,000
9,800
14,181
-18,981
-4,301
38,799
34,498
103
August 27 - 31, 2012

8th Annual Global Investor Conference
LIC Housing Finance
Company description
LIC Housing Finance (LICHF) is India's second largest
housing finance company. It offers individual housing
loans and loans to developers as project finance. LICHF
operates through a network of 190 marketing offices
and a large number of DSAs and home loan agents. It
also has a representative office in Dubai and Kuwait.
Its AUM stands at INR656b as on June 2012.
Key challenges
Intensifying competition from banks / NBFCs to grab
market share in this secularly growing industry could
lead to rate war.
Inability to grow the developer loan portfolio on
expected lines may not allow spreads to expand.
Key news flows / triggers to watch
SBI has reduced interest rates on home loans
offering the lowest rate on the street. If some of
the other major private / PSU banks follow suit, it
may intensify competition in this space.
The NHB has waived off pre-payment penalty on
floating rate loans converted from teaser rate loans.
This may lead to increase in the repayment rates,
which will be monitored over next few quarters.
Key investment positives
Despite moderation in economic growth, structural
growth drivers for the Indian housing finance
industry remain intact. This, coupled with LICHF's
strong foothold in tier II and tier III cities, would
help it achieve healthy growth going forward. We
model in ~24% loan CAGR over FY12-14.
LICHF had slowed down growth in its developer loan
portfolio given uncertain macro environment. As a
result, the developer loan portfolio declined from
11% of loans in FY10 to ~5% in FY12. Going forward,
LICHF intends to selectively grow this portfolio,
which would help improve its spreads.
Spreads have bottomed out and should improve
from current levels led by (1) decline in cost of
funds, (2) asset re-pricing benefits on the teaser
rate loans (partially in FY13 and partially in FY14),
and (3) increase in share of developer loans.
Asset quality is expected to remain healthy on the
back of the secured nature of loans and historically
lower default rates in the mortgages business.
1QFY13 highlights; guidance for FY13, FY14
LICHF's 1QFY13 performance was much below
expectations driven by disappointment on margins
front and higher provisioning expenses.
Margins contracted 26bp sequentially on the back
of sharp 36bp QoQ increase in cost of funds, while
the yield on loans remained flat.
For FY13, management has guided for INR220b (6%
YoY growth) disbursements in the individual
segment and INR20b in the developer segment.
Management is targeting margins of 2.5-2.7% by
March 2013 (v/s 2.18% in 1QFY13) and spread of 1.6-
1.7% (v/s 1.1% in 1QFY13).
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
LICHF IN
505
250
2.3
290 / 196
-9 / -4 / 15
Quarterly Performance
Y/E March
Jun-11
Net Interest Income 3,610
YoY Gr. (%)
22.6
Operating Profit
3,789
YoY Gr. (%)
27.0
Provisions
334
PBT
3,454
Tax
889
Profit after Tax
2,565
YoY Gr. (%)
21.0
Key Operating Metrics
Loan Growth (%)
32.1
NIM (%; Calc.)
2.78
GNPA (%)
0.84
E: MOSL Estimates
Sep-11
3,342
9.5
3,354
5.1
2,047
1,307
323
984
-58.0
29.3
2.45
0.64
Dec-11
3,258
-7.5
3,262
-33.3
-797
4,059
1,003
3,056
43.1
26.6
2.27
0.63
Mar-12
3,708
-11.8
3,464
-22.7
-24
3,488
952
2,536
-19.4
23.5
2.44
0.42
Jun-12
3,505
-2.9
3,479
-8.2
436
3,043
766
2,277
-11.2
24.1
2.18
0.71
(INR Million)
FY12
13,916
1.4
13,870
-10.8
1,561
12,309
3,167
9,142
-6.2
23.5
2.44
0.42
FY13E
17,252
24.0
16,963
22.3
1,103
15,860
4,362
11,499
25.8
23.9
2.44
0.46
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
40.3
9.1
37.5
13.1
Mar-12
40.3
9.4
37.1
13.2
Jun-11
36.6
7.8
40.4
15.3
104
August 27 - 31, 2012

8th Annual Global Investor Conference
LIC Housing Finance: Financials and valuation
Income Statement
Y/E March
Interest Income
Interest Expense
Net Interest Income
Change (%)
Fee Income
Income from Investments
Other Income
Net Income
Change (%)
Operating Expenses
Operating Income
Change (%)
Provisions/write offs
PBT
Tax
Tax Rate (%)
PAT
Change (%)
Adjusted PAT
Change (%)
Proposed Dividend
2011
44,697
30,977
13,719
54.7
1,501
603
1,886
17,710
65.0
2,162
15,548
76.3
2,609
12,939
3,197
24.7
9,743
47.3
10,285
55.5
1,932
2012
59,827
45,911
13,916
1.4
1,322
804
198
16,240
-8.3
2,371
13,870
-10.8
1,561
12,309
3,167
25.7
9,142
-6.2
10,011
-2.7
2,112
(INR Million)
2013E
74,315
57,063
17,252
24.0
1,486
804
218
19,760
21.7
2,798
16,963
22.3
1,103
15,860
4,362
27.5
11,499
25.8
11,499
14.9
2,691
2014E
90,512
68,048
22,464
30.2
1,870
904
243
25,481
28.9
3,351
22,130
30.5
-618
22,748
6,256
27.5
16,492
43.4
15,332
33.3
3,859
Ratios
Y/E March
2011
Spreads Analysis (%)
Avg. Yield on loans
10.0
Avg. Yield on Earning Assets 9.8
Avg. Cost-Int. Bear. Liab.
7.8
Int. Spread on housing loans 2.3
NIM on housing loans
3.1
Profitability Ratios (%)
Adj RoAE
Adj RoAA
Int. Expended/Int.Earned
Other Inc./Net Income
Efficiency Ratios (%)
Fees/Operating income
Op. Exps./Net Income
Empl. Cost/Op. Exps.
2012
10.5
10.3
9.1
1.4
2.4
2013E
10.5
10.4
9.0
1.5
2.4
2014E
10.3
10.2
8.5
1.8
2.6
27.2
2.4
69.3
10.7
20.3
1.8
76.7
1.2
18.8
1.7
76.8
1.1
21.3
1.8
75.2
1.0
3.2
12.2
31.5
2.1
14.6
30.6
1.9
14.2
32.4
2.0
13.1
32.4
Valuation
Book Value (INR)
Growth (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
EPS (INR)
Growth (%)
Price-Earnings (x)
Adj. EPS (INR)
Growth (%)
Price-Earnings (x)
Dividend Per Share
Dividend Yield (%)
E: MOSL Estimates
87.8
23.1
87.5
20.5
47.3
21.7
55.5
3.5
112.5
28.2
2.2
112.1
2.2
18.1
-11.7
13.8
19.8
-8.4
12.6
3.6
1.4
130.0
15.5
1.9
129.3
1.9
22.8
25.8
11.0
22.8
14.9
11.0
4.6
1.8
155.0
19.2
1.6
154.2
1.6
32.7
43.4
7.7
30.4
33.3
8.2
6.5
2.6
Balance Sheet
Y/E March
Capital
Reserves & Surplus
Net Worth
Borrowings
Change (%)
Total Liabilities
Investments
Change (%)
Loans
Change (%)
Net Fixed Assets
Net Current Assets
Total Assets
E: MOSL Estimates
2011
950
40,741
41,691
451,628
29.9
493,319
14,032
1.0
510,898
34.2
339
-31,949
493,319
2012
1,010
55,812
56,822
560,873
24.2
617,695
13,750
-2.0
630,802
23.5
623
-27,481
617,695
(INR Million)
2013E
1,010
64,620
65,630
707,193
26.1
772,823
15,125
10.0
781,429
23.9
739
-24,470
772,823
2014E
1,010
77,253
78,263
893,936
26.4
972,199
16,638
10.0
976,980
25.0
795
-22,213
972,199
August 27 - 31, 2012
105

8th Annual Global Investor Conference
Lupin
Company description
Lupin (LPC) has successfully transitioned from a
domestic anti-TB company to a global generic company
with presence across therapeutic segments. US (36% of
sales), India (28% of sales), Japan (15% of sales) and
emerging markets (8% of sales) are its key markets.
Key challenges
The proposed new "Domestic Pharma Policy", may
adversely impact earnings.
Potential generic competition for Suprax, a key
profit contributor for LPC as of now.
Key news flows / triggers to watch
Ramp-up in approvals and subsequent market share
gain in the OC segment in the US.
Sustained launch of new products in US & India –
this is imperative to drive future topline growth.
Government's progress on the implementation of
the new Pharma Policy.
Key investment positives
Significant scale-up & internationalization of
operations without dilution of return ratios has been
LPC's key achievement over the last five years. We
expect high return ratios to sustain, given the
company's efficient capital allocation strategy.
LPC has a strong launch pipeline for the US with 120
ANDAs pending US FDA approval. It targets to
commercialize these over the next 3-4 years.
It has filed for niche, high-margins opportunities
like oral contraceptives (OC), ophthalmology which
will gradually start contributing meaningful
revenues over the next 2 years.
Increased traction in India formulations and
emerging markets should augur well.
Only Indian company to have a significant presence
in Japan (through past acquisitions) which positions
it rightly for exploiting the Japanese generic
opportunity.
Aspires to become a USD3b company by FY15
implying a topline CAGR of 25% over FY12-15.
1QFY13 highlights
Performance was in-line with core topline growth
of 33%, core EBITDA growth of 21% and flat Adj PAT
growth. Topline growth was led US and India
formulations business and was partly boosted by
favorable currency.
Although Japan revenues grew 100%, adjusted for
Irom acquisition and currency benefit, core organic
growth was ~11%.
Core EBITDA margin declined 150bp YoY v/s our
estimate of 40bp decline due to higher than
expected staff cost and other expenses.
Adj PAT growth was flat despite 21% EBITDA growth
due to higher tax rate at 30%.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
LPC IN
447
571
4.6
604 / 410
-3 / 20 / 23
Quarterly Performance
Y/E March
Jun-11 Sep-11 Dec-11
Operating Income
15,432 16,448 17,917
Oper. Inc. (ex one-offs)15,432 16,448 17,717
Change (%)
17.6
17.1
20.8
EBITDA
2,698
2,764
3,783
EBITDA (ex one-offs) 2,698
2,764
3,653
Change (%)
2.9
2.5
34.7
EBITDA Margin (%)
17.5
16.8
20.6
Reported PAT
2,140
2,718
2,406
Adj. PAT (ex one-offs) 2,101
2,010
2,498
Change (%)
7.0
-6.5
11.5
PAT Margin (%)
13.6
12.2
14.1
Key Operating Metrics - Revenue Break-up
US
4,931
5,520
6,188
Europe
415
461
644
India
4,969
5,120
5,198
Japan
1,666
1,780
2,468
RoW
1,348
1,591
1,439
APIs
2,102
1,976
1,981
Mar-12
18,832
17,012
11.7
3,321
2,411
-8.2
14.2
1,283
499
-77.6
2.9
8,664
455
4,192
2,693
1,873
2,432
Jun-12
22,192
20,491
32.8
4,230
3,270
21.2
16.0
2,850
2,098
-0.1
10.2
8,024
473
6,212
3,329
1,837
2,317
(INR Million)
FY12
69,597
67,577
18.4
13,215
12,175
14.2
18.0
10,295
8,677
1.1
12.8
25,303
1,975
19,479
8,607
6,251
8,491
FY13E
88,090
86,389
27.8
16,906
15,946
31.0
18.5
11,681
10,649
22.7
12.3
31,802
2,410
23,570
12,725
9,064
9,051
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
46.9
16.1
28.2
8.9
Mar-12
46.9
16.5
27.7
8.9
Jun-11
47.0
19.1
23.9
10.1
106
August 27 - 31, 2012

8th Annual Global Investor Conference
Lupin: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
EBITDA
Margin (%)
Depreciation
EBIT
Int. and Finance Charges
Other Income - Rec.
PBT after EO item
Tax
Tax Rate (%)
Reported PAT
PAT Adj for EO items
Less: Minority Interest
Adj Net Profit
2011
57,068
20.4
10,659
18.7
1,755
8,903
325
1,341
9,920
1,169
11.8
8,750
8,750
168
8,582
2012
69,597
22.0
13,215
19.0
2,275
10,940
355
1,376
11,961
3,086
25.8
10,295
8,875
199
8,676
(INR Million)
2013E
2014E
88,090 101,091
26.6
14.8
16,906 20,382
19.2
20.2
2,791
3,211
14,115 17,170
451
451
1,743
1,767
15,407 18,486
3,852
4,437
25.0
24.0
11,555 14,050
10,849
14,050
200
220
10,649
13,830
Ratios
Y/E March
Basic (INR)
EPS (Fully Diluted)
Cash EPS (Fully Diluted)
BV/Share
DPS
Payout (%)
Valuation (x)
P/E (Fully Diluted)
Cash P/E (Fully Diluted)
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
2011
19.3
23.2
73.5
3.2
18.9
2012
19.4
24.5
89.8
4.9
24.7
2013E
23.8
30.1
107.8
6.4
28.7
2014E
31.0
38.2
129.7
7.7
28.8
29.6
24.6
7.8
4.6
24.6
0.6
29.4
23.3
6.4
3.8
20.2
0.9
23.9
19.0
5.3
3.0
15.7
1.1
18.4
15.0
4.4
2.6
13.0
1.4
Consolidated Balance Sheet
Y/E March
2011
Equity Share Capital
892
Fully Diluted Equity Capital 889
Other Reserves
31,918
Total Reserves
31,918
Net Worth
32,811
Minority Interest
515
Deferred liabilities
1,411
Total Loans
11,624
Capital Employed
46,361
Net Fixed Assets
Capital WIP
Investments
Goodwill & Intangibles
Curr. Assets
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liability & Prov.
Account Payables
Provisions
Net Current Assets
Appl. of Funds
17,313
5,312
32
3,255
34,967
12,000
12,558
4,201
6,208
14,518
11,800
2,718
20,449
46,361
2012
893
893
39,236
39,236
40,129
723
1,442
15,542
57,836
22,457
4,437
28
5,040
46,911
17,327
17,318
4,025
8,241
21,037
17,750
3,287
25,874
57,836
(INR Million)
2013E
893
893
47,269
47,269
48,163
723
1,442
15,542
65,869
25,665
5,312
28
5,040
53,243
19,380
20,261
4,794
8,809
23,419
19,380
4,040
29,824
65,869
2014E
893
893
57,054
57,054
57,947
723
1,442
15,542
75,654
28,454
5,312
28
5,040
61,905
22,240
23,251
6,305
10,109
25,085
20,218
4,867
36,820
75,654
29.3
25.1
23.8
24.6
24.1
26.6
26.1
27.6
Working Capital Ratios
Fixed Asset Turnover (x)
2.3
Debtor (Days)
87
Inventory (Days)
77
Wkg. Capital Turnover (Days) 131
Leverage Ratio
Debt/Equity (x)
2.2
105
91
136
2.2
105
80
124
2.2
102
80
133
0.4
0.4
0.3
0.3
Cash Flow Statement
Y/E March
2011
2012
Oper. Profit/(Loss) before Tax10,659 13,215
Interest/Dividends Recd.
1,341
1,376
Direct Taxes Paid
-1,193
-3,055
(Inc)/Dec in WC
-2,401
-5,601
CF from Op. incl EO Exp.
8,405
5,935
(inc)/dec in FA
-4,996
(Pur)/Sale of Investments
233
CF from Investments
-4,763
Change in Net Worth
Inc/(Dec) in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
300
226
-325
-1,658
-1,457
2,186
2,015
4,201
-6,909
4
-6,905
-232
3,917
-355
-2,538
793
-177
4,201
4,024
(INR Million)
2013E
16,906
1,743
-3,852
-3,181
11,616
-6,875
0
-6,875
-200
0
-451
-3,321
-3,972
769
4,025
4,794
2014E
20,382
1,767
-4,437
-5,484
12,228
-6,000
0
-6,000
-220
0
-451
-4,045
-4,716
1,512
4,794
6,305
Revenue model (INR M)
Y/E March
Formulations
Regulated Mkts
Emerging Mkts
India
APIs & Others
Gross Sales
2011
48,485
28,229
4,393
15,863
8,937
57,422
2012
61,615
35,885
6,251
19,479
8,402
70,017
2013E
79,570
46,937
9,064
23,570
9,051
2014E
92,228
52,615
11,330
28,284
9,472
88,622 101,701
August 27 - 31, 2012
107

8th Annual Global Investor Conference
Mahindra Finance
Company description
Mahindra Finance (MMFS) is one of India's leading non-
banking finance companies providing personalized
finance for utility vehicles, tractors, cars, commercial
vehicles, construction equipment, and refinance
focusing on the rural and semi-urban sector.
As on June 2012, MMFS operated through a widespread
network of 615 branches and had AUM of INR217b.
Key challenges
Below-normal monsoon could adversely impact
growth and asset quality going forward.
Proposed regulatory changes for NBFCs relating to
asset classification and provisioning norms to be
brought at par with banks could lead to lower return
ratios.
Key news flows / triggers to watch
Trajectory of monsoon will be watched closely given
its correlation with MMFS' growth and asset quality.
RBI's final guidelines for NBFCs based on the
recommendations by Usha Thorat Committee will
determine the impact of regulatory changes on
MMFS' return ratios going forward.
Key investment positives
MMFS has achieved strong asset growth in past five
years (24% CAGR during FY07-12) on the back of:
(1) buoyant rural demand driven by strong rural cash
flows, and (2) its multi-product strategy which has
protected it from cyclical shocks. We expect AUM
CAGR of ~25% over FY12-14.
MMFS delivered stellar asset quality performance
in FY12, with GNPAs at levels lowest in a decade. As
on March 2012, GNPAs stood at 3.0% and NNPAs at
0.7%. Provision cover remained healthy at 78%.
Although poor monsoon remains a key risk to MMFS'
asset quality, diversified product mix and customer
profile should help partially mitigate the same.
Given its lower dependence on asset securitization
for resource mobilization (less than 15% as on June
2012), MMFS remains relatively insulated from the
current regulatory changes pertaining to
securitization and priority sector lending.
1QFY13 highlights; guidance for FY13, FY14
MMFS' 1QFY13 performance was better than
expected led by (1) strong AUM growth (+5% QoQ;
38% YoY), (2) better than expected margin
performance, and (3) tight control over opex.
Asset quality remained healthy and improved on a
YoY basis. In percentage terms, GNPAs declined to
3.8% from 4.6% in 1QFY12.
For FY13, management has maintained its 25-30%
disbursements growth target.
If the 90-day asset classification norms are made
applicable to AFCs, then GNPAs may increase by
INR2.5-3b.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MMFS IN
104
783
1.5
805 / 590
14 / 12 / 12
Quarterly Performance
Y/E March
Jun-11
Net Oper. Income
3,443
YoY Gr. (%)
27.6
Operating Profit
2,074
YoY Gr. (%)
25.5
Provisions
561
PBT
1,513
Tax
491
Profit after Tax
1,022
YoY Gr. (%)
37.7
Key Operating Metrics
AUM Growth (%)
38.9
Gross Spread (%)
10.0
GNPA (%)
4.6
E: MOSL Estimates
Sep-11
4,061
24.1
2,539
22.3
523
2,016
661
1,355
16.3
40.7
10.2
4.0
Dec-11
4,264
22.3
2,797
22.8
494
2,303
756
1,547
33.5
40.1
10.2
4.1
Mar-12
5,166
32.4
3,563
45.0
142
3,421
1,144
2,277
45.4
36.2
10.7
3.0
Jun-12
4,916
42.8
3,248
56.6
854
2,395
784
1,610
57.6
37.9
9.5
3.8
(INR Million)
FY12
16,743
27.1
10,823
29.0
1,570
9,254
3,051
6,202
33.9
36.2
10.7
3.0
FY13E
22,688
35.5
15,148
40.0
2,982
12,167
4,015
8,152
31.4
25.6
NA
3.2
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
57.2
5.4
32.7
4.7
Mar-12
57.3
5.0
34.1
3.7
Jun-11
57.4
3.6
34.7
4.4
108
August 27 - 31, 2012

8th Annual Global Investor Conference
Mahindra Finance: Financials and valuation
Income Statement
Y/E March
2011
Interest Income
18,545
Interest Expended
6,602
Net Interest Income
11,943
Change (%)
32.2
Income from Securitisation 906
Other Income
324
Net Income
13,173
Change (%)
23.4
Operating Expenses
4,783
Operating Income
8,390
Change (%)
13.1
Provisions and W/Offs
1,365
PBT
7,024
Tax
2,393
Tax Rate (%)
34.1
PAT
4,631
Change (%)
34.5
Proposed Dividend (InclTax) 1,213
2012
26,500
11,203
15,297
28.1
925
521
16,743
27.1
5,920
10,823
29.0
1,570
9,253
3,051
33.0
6,201
33.9
1,682
(INR Million)
2013E
34,141
14,523
19,618
28.3
2,697
372
22,688
35.5
7,540
15,148
40.0
2,982
12,166
4,015
33.0
8,151
31.4
2,146
2014E
40,534
17,501
23,033
17.4
4,005
422
27,460
21.0
9,101
18,360
21.2
3,994
14,366
4,741
33.0
9,625
18.1
2,534
Ratios
Y/E March
Spreads Analysis (%)
Yield on Portfolio
Cost of Borrowings
Interest Spread
Net Int. Margin (on AUMs)
Profitability Ratios (%)
RoE
RoA (on balance sheet)
RoA on AUM
Average Leverage (x)
Average leverage on AUM (x)
Efficiency Ratios (%)
Int. Expended/Int.Earned
Op. Exps./Net Income
Empl. Cost/Op. Exps.
Secur. Inc./Net Income
Asset-Liability Profile (%)
Loans/Borrowings Ratio
Net NPAs to Adv.
2011
17.7
8.2
9.5
10.8
2012
17.7
9.5
8.2
9.7
2013E
17.8
9.3
8.5
10.0
2014E
17.3
9.0
8.3
9.8
22.0
4.6
3.7
4.8
5.9
22.8
4.3
3.5
5.3
6.4
25.1
4.3
3.6
5.8
6.9
24.6
4.1
3.5
6.0
7.1
35.6
36.3
31.7
6.9
42.3
35.4
33.7
5.5
42.5
33.2
34.4
11.9
43.2
33.1
34.8
14.6
Balance Sheet
Y/E March
Equity Share Capital
Reserves & Surplus
Net Worth
Borrowings
Change (%)
Total Liabilities
Investments
Change (%)
Loans and Advances
Change (%)
Net Fixed Assets
Net Current Assets
Total Assets
E: MOSL Estimates
2011
1,025
23,876
24,901
96,750
49.8
121,651
6,746
212.4
122,673
42.0
818
-8,586
121,651
2012
1,027
28,496
29,523
139,611
44.3
169,134
5,025
-25.5
173,449
41.4
989
-10,342
169,121
(INR Million)
2013E
1,027
34,502
35,528
174,394
24.9
209,922
5,527
10.0
210,113
21.1
925
-6,644
209,922
2014E
1,027
41,593
42,620
214,515
23.0
257,134
6,080
10.0
258,451
23.0
830
-8,227
257,134
126.8
0.6
124.2
0.7
120.5
0.7
120.5
0.7
Valuation
Book Value (INR)
BV Growth (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
OPS (INR)
OPS Growth (%)
Price-OP (x)
EPS (INR)
EPS Growth (%)
Price-Earnings (x)
Dividend
Dividend Yield (%)
E: MOSL Estimates
242.8
34.9
238.1
81.9
5.9
45.2
26.0
10.0
287.4
18.3
2.7
279.7
2.8
105.4
28.7
7.4
60.4
33.6
12.9
14.0
1.8
345.9
20.4
2.3
336.0
2.3
147.5
40.0
5.3
79.4
31.4
9.8
17.9
2.3
414.9
20.0
1.9
402.9
1.9
178.8
21.2
4.4
93.7
18.1
8.3
21.1
2.7
August 27 - 31, 2012
109

8th Annual Global Investor Conference
Mahindra & Mahindra
Company description
M&M is India's market leader in UV (52% share) and
tractors (41% share). It also has presence in 2-wheeler,
3-wheeler and CV segments. In 2011, it acquired 70%
stake in Ssangyong (South Korea) to expand its presence
in global SUV markets.
Apart from core auto business, it has subsidiaries/
associates in various businesses like IT, NBFC, Auto
ancillaries, hospitality, infrastructure etc.
Key challenges
Any additional duty on diesel vehicles would
adversely impact M&M as its entire UV portfolio is
diesel based.
Maintaining market share in increasingly
competitive UVs segment, with new entrants like
Maruti, Renault, Ford etc.
Successful integration and turnaround of Ssangyong.
Key news flows / triggers to watch
Tractor volume momentum due to weak monsoon.
Additional duty on diesel vehicles.
Response to new launches in UV segment by
competition.
Key investment positives
Competitive dynamics in both UVs and tractors
remain favorable, led by limited competition and
consolidated nature of the industry.
It plans to launch 6-7 new products in auto segment,
including a mini-SUV, sub 4m Verito, Rexton
(Ssangyong), new MPV and new electric vehicle-
NXR in FY13. In Farm Equipment, it will be launching
one new tractor along with 3-4 refreshes. This
coupled with the full benefit of 12 launches in FY12,
would also help support volumes.
Expect margins to improve 20bp in FY13 (incl MVML)
on account of better product mix within auto
segment led by ramp up of XUV5OO and operating
leverage due to ramp-up at Chakan plant.
M&M's investments in its subsidiary and associate
companies add substantially to its valuations. Value
unlocking in these companies would act as catalyst
for M&M's stock.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 realization was up 7.4% QoQ (22% YoY) at
INR507,173/unit) driven by a) mix improvement
(led by XUV5OO), b) price increase and c) weak INR.
Incl MVML, EBITDA margin declined 30bp YoY to
13.9% (+180bp QoQ); Auto segment PBIT margin
improved 50bp QoQ (-70bp YoY) to 11.2%, whereas
tractor business PBIT margin was stable QoQ at
15.7% (down 30bp YoY). PAT grew 26% YoY to INR7.8b
(-3% QoQ).
M&M lowered tractor industry's FY13 growth
guidance to ~2% (v/s 5-6% earlier). However, it
maintained guidance for UV volumes at 12-14%,
driven by XUV5OO, Bolero and new launches.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MM IN
614
767
8.4
875 / 622
5/6/1
Quarterly Performance
Y/E March
Jun-11
Net Op. Income
67,537
Change (%)
EBITDA
9,658
EBITDA Margins (%)14.3
Change (%)
Adj PAT
6,183
Change (%)
Key Operating Metrics
Volumes (nos) 159,197
Change (%)
25.1
Realiz. (INR/car) 424,238
Change (%)
Auto - PBIT Mar. (%) 11.9
FES - PBIT Mar. (%) 16.0
E: MOSL Estimates
Sep-11
72,931
10,022
13.7
7,917
Dec-11
82,156
33.9
10,903
13.3
12.5
6,770
11.3
183,228
23.3
448,379
8.6
10.1
15.6
Mar-12
91,188
33.0
11,029
12.1
14.9
8,030
19.4
195,478
21.8
466,486
9.2
10.7
15.7
Jun-12
88,785
31.5
12,350
13.9
27.9
7,785
25.9
182,149
14.4
487,431
14.9
11.2
15.7
(INR Million)
FY12
313,811
33.2
41,613
13.3
14.9
28,888
12.4
704,935
24.2
445,163
7.3
10.9
15.7
FY13E
379,655
21.0
51,064
13.5
22.7
33,089
14.5
780,899
10.8
486,177
9.2
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
25.5
19.9
37.1
17.5
Mar-12
25.3
20.7
35.9
18.2
Jun-11
24.9
22.6
33.8
18.8
170,701
29.2
427,241
11.2
15.3
110
August 27 - 31, 2012

8th Annual Global Investor Conference
Mahindra & Mahindra: Financials and valuation
Income Statement
(INR Million)
Ratios
Y/E March
Basic (INR)
Fully diluted EPS
FD EPS (incl MVML)
Consolidated EPS
Cash EPS
Book Value per Share
DPS
Payout (Incl. Div. Tax) %
Valuation (x)
P/E
Consolidated P/E
Cash P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
43
43
48
50.9
175.6
11.5
30.2
2012
46.7
48.3
51.2
57.2
206.4
12.5
29.9
2013E
51.8
55.3
62.7
65
245.3
14
31.1
2014E
54
61.2
82.2
69.8
284.2
16
34.1
Y/E March
2011
2012
2013E
2014E
Total Income
234,603 318,535 396,738 446,643
Change (%)
26.2
35.8
24.6
12.6
EBITDA
34,543 37,707 45,693 49,223
Margins (%)
14.7
11.8
11.5
11
Margins (%, incl MVML)
15.3
13.3
13.5
13.5
Depreciation
4,139
5,761
7,259
8,774
Int. & Finance Charges
725
1,628
2,063
2,063
Other Income
4,342
4,658
5,280
5,902
Profit before Tax
35,196 36,059 41,651 44,288
Eff. Tax Rate (%)
24.4
20.2
25.5
27
Adj. Profit after Tax
25,732 27,924 31,030 32,331
Change (%)
27.3
8.5
11.1
4.2
Adj. PAT (incl MVML)
25,732 28,888 33,089 36,608
Balance Sheet
Y/E March
Share Capital
Net Worth
Deferred tax
Loans
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr.Assets, L & Adv.
Inventory
Sundry Debtors
Cash & Bank Bal.
Loans & Advances
Current Liab. & Prov.
Sundry Creditors
Net Current Assets
Application of Funds
(INR Million)
2011
2012
2013E
2014E
2,936
2,945
2,945
2,945
103,134 121,585 144,494 167,400
3,544
5,271
5,271
5,271
23,211
31,738
31,738
31,738
129,889 158,595 181,504 204,410
29,207 40,808 48,549 54,775
9,859
10,000
10,000
10,000
89,256 103,105 105,950 110,950
67,076 85,082 123,381 146,682
16,942
23,584
29,348
33,039
12,603
19,884
26,087
29,368
6,146
11,884
27,510
39,464
27,061
24,077
34,782
39,158
65,509 80,399 106,376 117,998
39,527
47,962
65,217
73,421
1,566
4,683
17,005
28,685
129,889 158,595 181,504 204,410
17.4
15.6
14.7
12.7
1.9
4.3
1.5
15.5
14.6
13.1
11.7
1.4
3.6
1.7
13.5
11.9
11.5
9.6
1.1
3
1.9
12.2
9.1
10.7
8.9
1
2.6
2.1
25
26.8
23
23.1
21.5
24.1
19.3
22.7
20
27
63
1.8
23
27
56
2
24
27
61
2.2
24
27
61
2.2
0.2
0.3
0.2
0.2
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Int./Dividends Received
Depreciation & Amort.
Direct Taxes Paid
(Inc)/Dec in Wkg. Capital
CF from Oper.Activity
(Inc)/Dec in FA+CWIP
(Pur)/Sale of Invest.
CF from Inv. Activity
Change in Net Worth
Inc/(Dec) in Debt
Interest Paid
Dividends Paid
CF from Fin. Activity
Inc/(Dec) in Cash
Add: Beginning Balance
Closing Balance
2011
31,311
2,370
4,139
-7,725
2,074
32,168
-12,070
-27,627
-39,697
87
3,311
-1,016
-6,223
-3,842
-11,371
17,432
6,061
2012
31,946
4,658
5,761
-5,543
2,622
39,444
-17,503
-13,848
-31,351
-1,723
8,527
-1,628
-7,363
-2,186
5,907
6,146
12,054
(INR Million)
2013E
38,434
5,280
7,259
-10,621
3,304
43,655
-15,000
-2,846
-17,846
1,528
0
-2,063
-8,247
-8,782
17,028
11,884
28,912
2014E
40,449
5,902
8,774
-11,958
273
43,441
-15,000
-5,000
-20,000
1,602
0
-2,063
-9,425
-9,885
13,555
27,510
41,066
111
Key assumptions/operating metrics
Y/E March
2011
2012
2013E
2014E
Volumes ('000 units)
568
705
781
859
Growth (%)
24.3
24.2
10.8
10
Auto (% of total)
62
67
70
71
FES (% of total)
38
33
30
29
Realizations (INR/car)
413,232 451,865 508,052 520,109
Growth (%)
1.5
9.3
12.4
2.4
RM Cost (% of sales)
69.3
73.8
74.8
75.3
FCF (CFO-Capex)
20,098
21,941
28,655
28,441
Net Debt
7,479
2,700 -15,772 -32,725
Subs contb. to Cons PAT(%) 10.5
5.8
11.9
25.6
August 27 - 31, 2012

8th Annual Global Investor Conference
Marico
Company description
Marico is market leader in branded Coconut Oil (~52%
market share) and has 23% share in other Hair Oils and
niche position in Edible Oils. The company's Beauty and
Wellness focus is emphasized through Kaya skin clinics
and products.
Marico derives ~25% of its revenues from overseas
operations with strong position in Bangladesh, and
presence in Middle East, South Africa, Egypt and South
Asia.
Marico recently acquired Paras in India and entered
personal products space.
Key challenges
Inflation in copra has always impacted margins and
profitability.
Improving growth trends in international markets
of Middle East and Egypt and managing margin
pressures in Bangladesh are key challenges.
Key news flows / triggers to watch
Trend in domestic volume growth and ability to
maintain and/or increase market share in value-
added Hair Oils.
Movement in copra prices (~40% of RM).
Revenue growth and profitability of international
business and recently acquired Paras.
Performance of new domestic launches (Saffola
Oats, Saffola Arise, Parachute
extensions)
Key investment positives
Domestic business is on a strong footing with the
company posting a 16% domestic volume growth in
1QFY13 led by strong growth in the Hair Oil and
Edible Oil portfolio despite sharp price increases.
The management expects sustainable volume
growth of 9-10% growth in its largest brand,
Parachute.
Improvement in same clinic growth in Kaya, if
sustained, will enable faster break even.
The growth momentum in Marico's key brands is
impressive; we like its aggressive strategy to grow
the value-added Hair Oils across geographies.
1QFY13 highlights; guidance for FY13, FY14
Domestic volumes grew 16% –
Parachute
rigids up
18%, hair oils 25% and Saffola 12%.
Gross margin expanded 660bp to 49.4% due to lower
copra prices; however, 300bp increase in ad spends
curtailed EBITDA margin expansion to 260bp.
Kaya reported 12% SSS growth; 1QFY13 losses at
INR73m; product share increased to 25%.
Management guided sustainable volume growth of
9-10% in coconut oils, 15-17% in Hair Oil and 15% in
Saffola.
Stock info
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MRCO IN
645
192
2.2
200 / 134
1 / 23 / 16
Quarterly Performance
Y/E March
Jun-12
Operating Income 10,414
Change (%)
31.8
EBITDA
1,251
Change (%)
18.6
EBITDA Margin (%) 12.0
Reported PAT
850
Adjusted PAT
850
Change (%)
15.3
PAT Margin (%)
8.2
Key Operating metrics
Parachute Rigid
10.0
Saffola
15.0
Hair Oils
32.0
E: MOSL Estimates
Sep-12
9,745
25.6
1,167
17.7
12.0
783
783
9.4
8.0
10.0
11.0
26.0
Dec-12
10,578
29.4
1,217
22.1
11.5
841
841
21.0
8.0
13.0
15.0
20.0
Mar-12
9,177
22.9
1,100
38.8
12.0
697
714
-0.6
7.8
11.0
3.3
17.5
Jun-13
12,672
21.7
1,848
47.7
14.6
1,238
1,238
45.7
9.8
18.0
12.0
25.0
(INR Million)
FY12
39,968
27.9
4,741
15.9
11.9
3,189
3,189
34.2
8.0
FY13E
47,179
18.0
6,386
34.7
13.5
4,361
4,361
36.8
9.2
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
59.8
3.6
29.4
7.2
Mar-12
62.7
4.5
25.9
6.9
Jun-11
62.9
4.2
26.4
6.5
112
August 27 - 31, 2012

8th Annual Global Investor Conference
Marico: Financials and valuation
Income Statement
Y/E March
2011
Net Sales
31,283
Change (%)
17.6
Gross Profit
15,104
Margin (%)
48.3
Operating Expenses
11,006
EBITDA
4,098
Margin (%)
13.1
Depreciation
708
Int. and Fin. Charges
393
Other Income - Recurring
279
Profit before Taxes
3,275
Margin (%)
10.5
Current Tax (excl MAT Ent)
850
Tax Rate (%)
25.9
Minority Interest
-50
Profit after Taxes
2,918
Change (%)
20.9
Adjusted PAT
2,864
2012
39,968
27.8
18,981
47.5
14,240
4,741
11.9
725
424
429
4,021
10.1
782
19.5
-50
3,189
9.3
3,189
(INR Million)
2013E
47,179
18.0
22,709
48.1
16,323
6,386
13.5
858
461
537
5,605
11.9
1,121
21.0
-66
4,361
36.8
4,361
2014E
54,963
16.5
26,688
48.6
18,915
7,772
14.1
975
406
594
6,985
12.7
1,397
21.0
-76
5,442
24.8
5,442
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout %
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
4.7
5.8
14.9
0.7
13.9
2012
5.2
6.1
18.6
0.7
13.5
2013E
6.8
8.1
31.3
0.8
11.1
2014E
8.5
10.0
38.8
0.8
9.5
12.7
0.3
36.4
30.8
3.0
25.1
10.2
0.4
27.9
23.3
2.6
19.5
6.0
0.4
22.4
19.0
2.2
15.4
4.9
0.4
31.9
29.7
28.0
30.5
21.6
29.7
21.8
30.6
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Capital Employed
Gross Fixed Assets
Intangibles
Less: Accum. Depn.
Net Fixed Assets
Capital WIP
Goodwill
Investments
Curr. Assets, L&A
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liab. and Prov.
Net Current Assets
Deferred Tax Liability
Application of Funds
2011
614
8,540
9,155
7,718
17,092
6,177
1,438
-3,366
4,250
648
3,976
890
12,203
6,011
1,880
2,131
2,181
5,175
7,028
301
17,092
2012
614
10,790
11,404
7,657
19,310
7,177
1,342
-4,085
5,019
1,234
3,955
2,956
12,699
7,202
1,816
1,686
1,995
6,776
5,923
223
19,310
(INR Million)
2013E
644
19,528
20,172
6,000
26,172
8,477
8,647
-4,944
12,181
1,500
3,976
1,970
13,973
8,256
2,170
1,420
2,127
7,638
6,335
210
26,172
2014E
644
24,368
25,011
5,500
30,511
9,777
8,552
-5,919
12,410
1,500
3,976
5,006
16,258
9,069
2,528
2,399
2,261
8,821
7,436
183
30,511
22
1.8
17
2.1
17
1.8
17
1.8
0.8
0.7
0.3
0.2
Cash Flow Statement
Y/E March
OP/(loss) before Tax
Int./Div. Received
Interest Paid
Direct Taxes Paid
(Incr)/Decr in WC
CF from Operations
2011
4,098
279
-393
-850
-1,178
1,955
2012
4,741
429
-424
-782
659
4,623
-1,491
-2,067
-3,558
-61
-503
-946
-1,510
-445
2,131
1,686
(INR Million)
2013E
6,386
537
-461
-1,121
-678
4,664
-8,871
987
-7,884
-1,657
-565
5,176
2,954
-266
1,686
1,420
2014E
7,772
594
-406
-1,397
-122
6,442
-1,205
-3,036
-4,241
-500
-603
-119
-1,222
979
1,420
2,399
(Incr)/Decr in FA
-1,842
(Pur)/Sale of Investments
-63
CF from Invest.
-1,905
(Incr)/Decr in Debt
Dividend Paid
Others
CF from Fin. Activity
Incr/Decr of Cash
Add: Opening Balance
Closing Balance
3,260
-472
-1,822
966
1,016
1,115
2,131
Key assumptions/operating metrics
Growth (%)
Coconut Oil
Saffola
Hair Oil
E: MOSL Estimates
7.0
16.0
23.0
8.8
15.0
24.0
7.0
15.0
16.0
7.0
15.0
16.0
August 27 - 31, 2012
113

8th Annual Global Investor Conference
Maruti Suzuki
Company description
Maruti Suzuki (MSIL) is the largest 4-wheeler passenger
vehicle manufacturer in India, with 1.2m units. It
dominates the small cars segment with ~48% market
share. It is also emerging as the global export hub of
small cars for Suzuki, with world strategic model A-Star
exclusively produced in India. It has recently launched
Ertiga to gain foothold in the fast-growing UV segment.
It has two plants are in Haryana – Gurgaon and Manesar.
Key challenges
Being net importer, Maruti's earnings are highly
sensitive to JPY/INR movement. For every 5%
change in JPY/INR, Maruti's EBITDA margin changes
by ~100bp and EPS by ~13%.
Maintaining cordial industrial relations, considering
multiple disruptions at Manesar plant since Jun-11,
including recent episode of violence.
Key news flows / triggers to watch
Resumption of operation at Manesar plant, where
operations are disrupted since 18-Jul-2012 due to
violence at the plant.
Reduction in interest rates to boost car demand.
Demand pick-up for petrol-driven small cars.
Increasing localization and exports to reduce forex
exposure over FY13-15.
Key investment positives
Some of the key headwinds which impacted FY12
performance are peaking out. While reduction in
interest rates and stable fuel prices augur well for
demand, stable competition and soft commodity
prices would ease pressure on profitability.
EBITDA margins have bottomed out in 2HCY11
impacted by adverse mix, forex and negative
operating leverage. Expect EBITDA margin to
improve 20bp from 7.1% in FY12 to 7.3% in FY13 and
8.8% (ex SPIL) in FY14, driven by price hikes, better
mix, operating leverage & higher localization.
Maruti merged with Suzuki Powertrain India.
Although we expect the merger to be EPS neutral,
given aggressive depreciation policy of SPIL, it
would be cash EPS accretive by ~13%.
With long term demand drivers and MSIL's
competitive advantage intact, coupled with peak
competitive intensity behind us, we expect MSIL's
market share to remain stable at ~36% of PV industry
over next 2-3 years.
1QFY13 highlights; guidance for FY13, FY14
1QFY13 realization improved ~12% QoQ (~21% YoY)
to INR355,839/unit, led by better mix, higher export
realizations and Ertiga CKD exports.
EBITDA margin was flat QoQ (-230bp YoY) at 7.3%,
as benefit of higher realizations (140bp) was offset
by adverse Fx impact on RM (60bp) and royalty
(100bp), and negative operating leverage.
It has not entered into any further hedges and now
has ~30% of USD/JPY exposure hedged for rest of
FY13, and 36% natural hedge on USD/INR.
Lower other income diluted benefit of lower tax
(higher R&D), leading to in-line PAT at INR4.24b.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MSIL IN
289
1,177
6.1
1428 / 906
-5 / -8 / -6
Quarterly Performance
Y/E March
Jun-11
Net Op. Revenues 84,541
Change (%)
1.7
EBITDA
8,104
EBITDA Margins (%) 9.6
Change (%)
-5.5
Adjusted PAT
5,492
Change (%)
7.2
Key Operating metrics
Total Vols ('000 nos) 281
Change (%)
-0.6
Realiz. (INR/car) 293,279
Change (%)
3.2
RM Cost (% of Sales) 78.0
E: MOSL Estimates
Sep-11
78,316
-14.4
4,942
6.3
-48.5
2,404
-59.8
252
-19.6
298,741
4.8
78.6
Dec-11
77,316
-18.6
4,034
5.2
-55.3
2,056
-63.6
239
-27.6
314,247
12.0
79.1
Mar-12
117,270
17.2
8,585
7.3
-15.3
6,398
1.4
360
4.9
318,770
11.7
79.6
Jun-12
107,782
27.5
7,863
7.3
-3.0
4,238
-22.8
296
5.1
355,839
21.3
77.8
(INR Million)
FY12
355,871
-2.8
25,129
7.1
-30.9
16,351
-29.2
1,134
-10.8
306,131
7.7
78.9
FY13E
436,687
22.7
31,944
7.3
27.1
19,906
21.7
1,217
7.4
350,367
14.5
78.4
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
54.2
16.4
20.4
9.0
Mar-12
54.2
15.8
21.5
8.5
Jun-11
54.2
18.0
18.8
9.0
114
August 27 - 31, 2012

8th Annual Global Investor Conference
Maruti Suzuki: Financials and valuation
Income Statement
Y/E March
Total Op. Income
Change (%)
Total Cost
EBITDA
EBITDA (%)
Depreciation
Interest
Other Income
PBT
Effective tax Rate (%)
Adj. PAT
Change (%)
(INR Million)
2011
2012 2013E* 2014E*
369,199 355,871 436,687 515,512
24.6
-3.6
22.7
18.1
333,363 330,742 398,149 462,561
35,837 25,129 38,539 52,950
9.7
7.1
8.8
10.3
10,135
11,384
17,925
21,032
244
552
1,186
1,254
5,665
8,269
8,224
8,550
31,088 21,462 27,652 39,215
26.4
23.8
20
22
23,101 16,351 22,121 30,587
-7.8
-29.2
35.3
38.3
Ratios
Y/E March
Basic (INR)
Adjusted EPS
EPS Growth (%)
Consol EPS
Cash EPS
Book Value per Share
DPS
Div. payout (%)
Valuation (x)
Consol. P/E
Cash P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
79.9
-7.8
82.4
115
479.8
7.5
11
2012
56.6
-29.2
58.2
96
525.7
7.5
13.3
2013E*
73.2
29.4
74.2
132.6
635.1
10
13.7
2014E*
101.3
38.3
102.6
170.9
723.5
11
10.9
Balance Sheet
Y/E March
Share Capital
Net Worth
Loans
Deferred Tax Liability
Capital Employed
Net Fixed Assets
Capital WIP
Investments
Curr.Assets, Loans
Inventory
Sundry Debtors
Cash/ Bank Bal.
Current Liab. & Prov.
Sundry Creditors
Net Current Assets
Appl. of Funds
(INR Million)
2011
2012 2013E * 2014E *
1,445
1,445
1,510
1,510
138,675 151,873 191,860 218,559
3,093
11,749
17,910
17,910
1,644
3,023
3,023
3,023
143,412 166,646 212,793 239,492
55,294
14,286
51,067
61,321
20,000
61,473
99,730 108,698
15,000
15,000
61,473
61,473
14.4
10.3
7.5
0.7
2.5
0.6
20.3
12.3
10.7
0.8
2.3
0.6
15.9
8.9
7.1
0.6
1.9
0.8
11.5
6.9
4.8
0.5
1.6
0.9
16.5
22.1
10.8
13.2
11.5
13.6
14
16.9
0.0
0.1
0.1
0.1
Cash Flow Statement
63,563 80,227 99,338 125,662
14,150
17,965
19,142
22,598
8,933
9,377
13,160
15,536
25,085
24,362
38,511
59,004
40,798
56,376
62,748
71,341
35,540
49,391
54,177
61,088
22,765 23,851 36,590 54,321
143,412 166,646 212,793 239,492
Y/E March
OP/(Loss) before Tax
Int./Div. Received
Depreciation
Direct Taxes Paid
(Inc)/Dec in WC
CF from Oper.Activity
(Inc)/Dec in FA
(Pur)/Sale of Invest.
CF from Inv. Activity
Change in Networth
Inc/(Dec) in Debt
Interest Paid
Dividends Paid
CF from Fin. Activity
Inc/(Dec) in Cash
Add: Op. Balance
Closing Balance
2011
26,437
3,595
10,135
-10,240
4,171
34,098
-24,114
21,253
-2,861
0
-5,123
-278
-1,733
-7,134
24,103
982
25,085
2012
13,745
8,269
11,384
-3,731
-1,810
27,857
-23,125
-10,406
-33,531
-986
8,656
-552
-2,167
4,951
-723
25,085
24,362
(INR Million)
2013E*
20,614
8,224
17,925
-5,530
1,411
42,643
-51,334
0
-51,334
20,886
6,161
-1,186
-3,021
22,840
14,149
24,362
38,511
2014E*
31,918
8,550
21,032
-8,627
2,762
55,636
-30,000
0
-30,000
-565
0
-1,254
-3,323
-5,142
20,494
38,511
59,004
Key assumptions/operating metrics
Y/E March
2011
2012
2013E
2014E
Volumes (‘000 units)
1271 1133.7
1217
1412.1
Growth (%)
24.8
-10.8
7.4
16
Realizations (INR/car)
290,478 313,904 358,810 365,066
Growth (%)
-0.1
8.1
14.3
1.7
RM Cost (% of sales)
78.1
78.9
76.9
76.2
JPY/INR
0.54
0.61
0.68
0.65
FCF (CFO-Capex)
9,984
4,732
-8,691 25,636
Net Debt
-69,098 -68,503 -80,441 -100,934
‘* including SPIL (Suzuki Powertrain India Ltd)
August 27 - 31, 2012
115

8th Annual Global Investor Conference
McLeod Russel
Company description
Mcleod Russel is the world's largest tea producer and
plantation company. It produces approximately 100m
kg of high quality tea a year from its tea estates in Assam,
West Bengal, Vietnam, Uganda and Rwanda.
As India's largest tea exporter, it maintains strong
connections with buyers in Europe, the Middle East and
North America. Modern blending facility provides its
clients with both unique as well as bespoke bulk
blended teas.
Key challenges
Government denying acquisitions of tea gardens in
India, is a growth challenge for the company.
Managing labor costs is a key operational challenge.
Key news flows / triggers to watch
Production during the peak season Q2 and Q3.
Crop loss in North India coupled with growth in
consumption resulting in higher tea prices.
Rationalization of labor costs can increase
profitability.
Key investment positives
Increasing consumption of tea, particularly in
developing countries with increasing per capita
income, along with constrained supply of land to
grow tea, should result in a secular upward trend in
tea prices.
Due to adverse weather conditions, even near-term
tea prices are expected to remain high, thus
increasing McLeod's profitability.
1QFY13 highlights; guidance for FY13, FY14
Tea realizations for the company improved by INR
33/kg (22%) to INR181/kg in 1QFY13 due to India
losing 2.7m kg of tea production in May and June.
McLeod Russel itself lost production loss of 2.7m kg
in 1QFY13.
Sales volume for the company declined from 9.7m
kg in 1QFY12 to 7.9m kg in Q1FY13.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MCLR IN
109
323
0.6
345 / 166
-2 / 56 / 37
Quarterly Performance
Y/E March
Operating Income
Change (%)
EBITDA
Change (%)
EBITDA Margin (%)
Reported PAT
Adjusted PAT
Change (%)
PAT Margin (%)
Jun-11
1,453
18.6
537
76.8
37.0
373
373
98.0
25.7
Sep-11
4,057
12.3
2,371
11.5
58.4
2,232
2,232
12.3
55.0
Dec-11
3,913
6.7
1,383
-6.7
35.4
1,171
1,171
-13.5
29.9
Mar-12
2,526
13.6
-1,030
82.0
-40.8
-1,574
-1,477
20.2
-58.5
(INR Million)
Jun-12
1,435
-1.2
355
-34.0
24.7
193
193
-48.3
13.5
FY12
11,948
11.3
3,261
-2.5
27.3
2,203
2,299
0.0
19.2
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
45.7
5.4
33.4
15.4
Mar-12
45.7
5.9
32.9
15.6
Jun-11
45.7
7.1
32.0
15.2
116
August 27 - 31, 2012

8th Annual Global Investor Conference
McLeod Russel: Financials and valuation
Income Statement (Consolidated)
Y/E March
Net Sales
Other Income
Stock Adjustments
Total Income
Total Expenditure
Operating Profit
Interest
Gross Profit
Depreciation
Profit Before Tax
Tax
Fringe Benefit Tax
Net Profit
Minority Interest (after tax)
P/L of Associate Company
PAT after MI & P/L Asso.Co.
Extraordinary Items
Adjusted PAT
2009
8,265
345
45
8,655
6,486
2,170
831
1,339
327
1,012
104
22
856
-
-22
835
-8
843
2010
11,062
349
-19
11,392
7,722
3,670
296
3,374
323
3,051
664
-
2,337
-5
-33
2,309
-10
2,319
(INR Million)
2011
12,692
323
103
13,118
9,191
3,927
417
3,510
382
3,128
608
-
2,492
-0
-28
2,465
14
2,450
2012
14,453
411
73
14,937
10,719
4,218
567
3,650
370
3,281
329
-
2,943
30
-33
2,879
-54
2,934
Ratios
Y/E March
EPS (INR)
Book Value (INR)
Key Ratios
Debt-Equity Ratio
Long Term Debt-Equity Ratio
Current Ratio
Turnover Ratios
Fixed Assets
Inventory
Debtors
Interest Cover Ratio
PBIDTM (%)
PBITM (%)
PBDTM (%)
CPM (%)
APATM (%)
ROCE (%)
RONW (%)
Payout (%)
2009
7.3
57.0
2010
20.4
73.2
2011
21.7
87.0
2012
25.3
108.4
0.7
0.4
0.5
0.6
0.4
0.7
0.3
0.3
0.6
0.1
0.1
0.6
Balance Sheet (Consolidated)
Y/E March
2009
Share Capital
547
Reserves Total
11,424
Total Shareholders Funds 11,971
Minority Interest
0
Secured Loans
3,873
Unsecured Loans
300
Total Debt
4,173
Total Liabilities
16,144
Gross Block
20,578
Less: Accumulated Dep
4,156
Less: Impairment of Assets
0
Net Block
16,422
Capital Work in Progress
168
Investments
198
Inventories
694
Sundry Debtors
256
Cash and Bank
388
Loans and Advances
1,410
Total Current Assets
2,748
Current Liabilities
1,377
Provisions
1,490
Total Current Liabilities
2,867
Net Current Assets
-119
Deferred Tax Assets
189
Deferred Tax Liability
714
Net Deferred Tax
-525
Other Assets
0
Total Assets
16,144
2010
547
13,154
13,701
0
3,880
140
4,021
17,722
22,710
5,075
0
17,635
166
350
800
273
526
2,015
3,614
1,434
1,892
3,327
287
168
884
-716
0
17,722
(INR Million)
2011
547
14,618
15,165
0
1,406
0
1,406
17,286
22,850
4,983
402
17,465
203
336
968
204
310
1,250
2,731
3,217
1,064
4,282
-1,550
108
831
-723
1,555
17,286
2012
547
16,919
17,467
117
940
0
940
19,242
24,520
5,519
402
18,600
354
190
1,248
297
334
1,696
3,575
3,391
1,209
4,601
-1,026
117
887
-769
1,894
19,242
0.6
14.6
30.8
2.2
26.2
22.2
16.2
14.3
10.3
17.8
14.4
26.7
0.7
14.8
41.8
11.3
33.2
30.3
30.5
24.1
21.1
29.8
32.8
19.3
0.7
14.4
53.3
8.5
30.9
27.9
27.7
22.6
19.6
29.9
28.4
22.8
0.8
13.1
57.8
6.8
29.2
26.6
25.3
22.9
20.4
30.4
27.4
23.5
Cash Flow Statement
Y/E March
2009
Cash and Cash Equivalents
at Beginning of the year
197
Net Cash from Operating
Activities
2,027
Net Cash Used in
Investing Activities
-653
Net Cash Used in Financing
Activities
-1,184
Net Inc/(Dec) in Cash and
Cash Equivalent
191
Cash and Cash Equivalents
at End of the year
388
2010
388
2,867
-2,370
-359
138
526
(INR Million)
2011
348
2,273
-564
-1,834
-125
223
2012
223
2,636
-968
-1,557
111
334
August 27 - 31, 2012
117

8th Annual Global Investor Conference
MCX
Company description
Multi Commodity Exchange of India Ltd (MCX) is a state-
of-the-art electronic commodity futures exchange with
permanent recognition from the Government of India
to facilitate online trading, and clearing and settlement
operations for commodity futures.
Having started operations in November 2003, today,
MCX holds a market share of over 86% (as on March 31,
2012) of Indian commodity futures market. It has more
than 2,170 registered members operating through over
346,000 spread over 1,577 cities and towns. MCX was
the 3rd largest commodity exchange in the world, in
terms of the number of contracts traded in CY2011,
largest in Silver and Gold, second largest in natural gas.
MCX offers 49 commodities across various segments
such as bullion, ferrous and non-ferrous metals, energy,
and a number of agri-commodities on its platform.
Key challenges
Low volatility in commodity prices hurt the volumes
on the exchange, which has been the case in the last
couple of quarters. Given high operating leverage,
it impacts bottom-line harder.
Upward revision in share of transaction fees charged
by FTIL for technical services will be negative for
margins.
Key news flows / triggers to watch
FCRA Bill was postponed to yet another parliament
session in the future, after increased hopes of the
bill being tabled for discussion in the monsoon
session.
MCX-SX was cleared to become a full-fledged stock
exchange.
1QFY13 highlights; guidance for FY13, FY14
MCX reported 1QFY13 revenue at INR1.23b, +5.2%
YoY. EBIT was INR689m, +5.3% YoY. EBIT margin was
56%, +10bp YoY and +170bp QoQ. PAT was INR647m,
+4.4% YoY.
In 1QFY13, total transacted volume on the exchange
was INR36.4t, up 8.4% YoY and 0.6% QoQ. In FY12,
the volumes had jumped in 2Q, increasing by 42%
QoQ, before cooling off in subsequent quarters.
However, at least in the month of July, volumes have
been softer, implying possible YoY decline in traded
volume, and hence, transaction revenue in 2QFY13.
Key investment positives
Commodities exchange in India is a nascent
industry, less than a decade old; total value of
commodity futures traded has grown at 51% CAGR
over FY09-12.
MCX has a near monopolistic market share and
competitive edge lent by strong technological
backbone, which is supplied by parent FTIL, is hard
to emulate.
Passage of FCRA bill will facilitate a surge in
volumes.
Potential value unlocking from MCX-SX.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MCX IN
51
1,153
1.1
1,426 / 838
-/-/-
Quarterly Performance
Y/E March
Jun-11
Net Sales
1,169
Changes - QoQ (%) 10.4
EBITDA
718
Changes (%)
21.0
EBIDTA Margin (%) 61.4
Reported PAT
620
Adjusted PAT
620
Changes QoQ (%) 12.9
PAT Margin (%)
53.1
Key Operating Metrics
Volumes (INR b) 33,583
Chg. in Vol. QoQ (%) 13.8
E: MOSL Estimates
Sep-11
1,558
33.3
1,068
48.7
68.5
894
894
44.2
57.4
47,808
42.4
Dec-11
1,296
(16.9)
820
(23.2)
63.3
688
688
(23.1)
53.1
38,415
-19.6
Mar-12
1,239
(4.4)
740
(9.7)
59.7
660
770
11.9
62.2
36,164
-5.9
Jun-12
1,230
(0.7)
756
2.1
61.5
647
647
(15.9)
52.6
36,395
0.6
(INR Million)
FY11
3,689
28.4
1,918
35.5
52.0
1,728
1,728
(20.3)
46.8
98,415
53.9
FY12
5,262
42.6
3,346
74.4
63.6
2,862
2,862
65.6
54.4
155,971
58.5
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
26.0
23.5
31.6
18.9
Mar-12
26.0
22.4
33.3
18.3
Jun-11
-
-
-
-
118
August 27 - 31, 2012

8th Annual Global Investor Conference
MCX: Financials and valuation
Income Statement (Standalone)
Y/E March
Net Sales
Other Income
Total Income
2008
1,737
1,005
2,742
2009
2,125
1,534
3,659
33
231
144
822
125
1,355
2,304
2
2,302
200
2,102
453
6
63
1,580
688
893
(INR Million)
2010
2,874
2,062
4,936
34
203
129
970
123
1,458
3,477
0
3,477
247
3,230
1,004
-
19
2,206
1,006
1,201
2011
3,689
784
4,473
25
254
132
1,248
113
1,772
2,701
0
2,701
247
2,455
706
-
21
1,728
30
1,698
Ratios
Y/E March
EPS (INR)
Book Value (INR)
Key Ratios
Current Ratio
Turnover Ratios
Fixed Assets
Debtors
Interest Cover Ratio
PBIDTM (%)
PBITM (%)
PBDTM (%)
CPM (%)
APATM (%)
RoCE (%)
RoNW (%)
Payout (%)
2008
12.9
45.7
2009
18.9
60.6
2010
26.6
85.4
2011
33.1
166.4
Power & Fuel Cost
14
Employee Cost
253
Other Manufact. Expenses
47
Selling & Admin. Expenses 868
Miscellaneous Expenses
73
Total Expenditure
1,254
Operating Profit
Interest
Gross Profit
Depreciation
Profit Before Tax
Tax
Fringe Benefit tax
Deferred Tax
Reported Net Profit
Extraordinary Items
Adjusted Net Profit
1,488
0
1,488
120
1,368
315
11
(11)
1,053
422
631
0.5
0.6
0.8
0.8
1.5
11.1
4,099
54.1
47.2
54.1
43.2
36.3
25.2
19.4
23.2
1.1
10.2
663
65.6
56.2
65.5
51.3
41.9
28.0
20.9
13.3
1.1
10.0
4,395
69.8
61.2
69.8
50.4
41.8
29.5
20.2
9.4
1.3
9.3
12,274
73.2
66.5
73.2
53.5
46.9
31.8
22.4
15.1
Cash Flow Statement
Y/E March
Cash Flow Summary
Cash and Cash Equivalents at
Beginning of the year
Net Cash from Operating Activities
Net Cash in Investing Activities
Net Cash in Financing Activities
Net Inc/(Dec) in Cash and Cash
Equivalent
Cash and Cash Equivalents
at End of the year
2009
(INR Million)
2010
2011
Balance Sheet
Y/E March
Share Capital
Reserves Total
Total Shareholders Funds
Total Liabilities
Gross Block
Less : Accumulated Dep.
Net Block
Capital Work in Progress
Investments
Sundry Debtors
Cash and Bank
Loans and Advances
Total Current Assets
Current Liabilities
Provisions
Total Current Liabilities
Net Current Assets
Deferred Tax Assets
Deferred Tax Liability
Net Deferred Tax
Total Assets
2008
392
3,191
3,587
3,587
1,292
325
967
505
5,249
148
1,047
588
1,783
4,831
67
4,897
(3,114)
-
20
(20)
3,587
2009
408
4,534
4,942
4,942
2,595
509
2,086
3
4,698
269
4,058
550
4,877
6,366
269
6,635
(1,758)
36
124
(87)
4,942
(INR Million)
2010
408
6,562
6,970
6,970
2,679
754
1,925
3
6,172
304
2,700
1,186
4,190
4,916
298
5,214
(1,024)
51
157
(106)
6,970
2011
510
7,975
8,485
8,485
2,917
964
1,953
1
8,236
489
3,310
1,010
4,808
6,017
368
6,385
(1,577)
36
163
(127)
8,485
167
2,853
-1,371
116
1,598
1,764
1,764
-912
-129
-239
-1,280
484
484
2,700
-2,328
-238
134
618
August 27 - 31, 2012
119

8th Annual Global Investor Conference
Motherson Sumi Systems
Company description
Motherson Sumi Systems Limited (MSSL) is the flagship
company of the Samvardhana Motherson Group and is
a joint venture between Samvardhana Motherson
Group & Sumitomo Wiring Systems (Japan). It is a full
system solution provider for the automotive industry.
Post acquisition of VisioCorp and Peguform, it has a
very strong foothold in global automotive supply chain.
SMR (subsidiary) is one of the largest manufacturers of
exterior rearview mirrors in the world, whereas
Peguform is one of the largest manufacturers of IP
modules, door trims and bumpers in Europe.
Key challenges
Maintaining growth momentum in slowing global
car volumes, especially since over 75% of revenues
comes from global customers.
Successfully integrating and deriving synergies from
Peguform acquisition.
Key news flows / triggers to watch
SMR's Hungary plant expected to ramp up
significantly from 3QFY13.
Equity fund raising to reduce net debt of INR44b.
Key investment positives
Post Peguform acquisition, MSSL is one of the top
suppliers to passenger car OEMs globally.
MSSL's revenue per car is set to increase both in
India and abroad due to (1) rising contribution of
high-price rear-view mirrors in passenger cars in
India, (2) becoming a full system supplier after
acquisition of Peguform, and (3) increase in
requirement of wiring harnesses due to rising
features in a car.
Strong order book for Samvardhana Motherson
Peguform (SMP) and Samvardhana Motherson
Reflectec (SMR) would be key performance driver.
Ramp-up in recently added capacities and
commissioning of ongoing expansion would drive
revenues and profitability. Synergies of Peguform
acquisition would further drive margins.
1QFY13 highlights; guidance for FY13, FY14
Consolidated Net sales stood at INR63.9b (+178%
YoY, -0.6% QoQ). Standalone revenues at INR10.6b
(+41% YoY, -12 % QoQ); SMR revenues at EUR232m
(+15% YoY, -3.5% QoQ) and SMP revenues at
EUR474m (-7.1% QoQ).
Consolidated EBITDA (adjusted for forex) was
INR4.5b. EBITDA margin was 7.1% (-100bp YoY, +40bp
QoQ), with standalone EBITDA margin at 16.6%, SMR
at 5.8% and SMPL at 4.2%.
Adj PAT was INR2.1b (+287% YoY, +107% QoQ).
Expect capex of INR7-8b for FY13.
MSSL is targeting revenues of USD5b (v/s USD3b in
FY12), with ~70% revenues from global customers
and 40% RoCE and dividend payout.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
MSS IN
392
185
1.3
217 / 129
4 / 4 / -19
Quarterly Performance
Y/E March
Net Sales
Changes (%)
EBITDA
Changes (%)
EBITDA Margin (%)
Reported PAT
Adjusted PAT
Changes YoY (%)
PAT Margin (%)
Jun-11
22,716
22.2
1,700
21.5
7.5
673
653
9.6
2.87
Sep-11
22,901
19.5
792
-52.6
3.5
24
243
-71.8
1.06
Dec-11
37,723
81.1
237
-86.8
0.6
-1,020
42
-96.0
0.11
Mar-12
63,682
174.8
4,631
93.0
7.3
2,287
1,929
38.9
3.03
(INR Million)
Jun-12
62,772
176.3
1,436
-15.5
2.3
-422
81
-87.5
0.13
FY12
147,022
79.8
7,360
1.2
5.0
1,964
2,867
-26.6
1.95
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
120
Jun-12
65.6
9.9
12.4
12.2
Mar-12
65.2
10.2
12.1
12.5
Jun-11
65.2
9.0
11.6
14.2
August 27 - 31, 2012

8th Annual Global Investor Conference
Motherson Sumi Systems: Financials and valuation
Income Statement (Consolidated)
Y/E March
Net Sales
EBITDA
EBITDA Margins (%)
Interest
Depreciation
Other Income
PBT
Eff. Tax rate (%)
Adjusted Net Profit
2009
25,956
2,393
9.2
383
1,091
1,640
2,559
13.6
1,752
2010
67,022
3,269
4.9
635
2,601
3,394
3,428
31.8
2,477
(INR Million)
2011
81,756
6,930
8.5
576
2,465
2,423
6,312
29.8
3,838
2012
147,766
8,925
6.0
1,649
3,796
1,445
4,925
43.7
2,596
Ratios
Y/E March
EPS (INR)
EPS growth (%)
Cash EPS (INR)
Book Value (INR)
DPS (INR)
Payout (%)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price to Book Value
Dividend Yield (%)
Turnover Ratios
Fixed Assets
Inventory (days)
Debtors (days)
Creditors (days)
Profitability Ratios (%)
RoCE (%)
RoNW (%)
Leverage Ratio
Debt-Equity Ratio
2009
4.9
3.3
8.0
22.0
1.35
22.6
2010
6.6
34.2
13.6
31.1
1.75
30.5
2011
9.9
49.8
16.3
41.5
2.75
25.3
2012
6.7
-32.5
16.5
48.2
2.25
34.0
Balance Sheet
Y/E March
Share Capital
Total Shareholders Funds
Minority Interest
Total Debt
Total Liabilities
Net Block
CWIP
Investments
2009
356
7,831
2,000
8,951
18,782
13,487
1,764
547
2010
375
11,649
2,027
8,179
21,855
14,548
1,808
471
(INR Million)
2011
388
16,087
2,276
12,635
30,998
17,657
4,601
453
2012
388
18,717
5,027
43,921
67,665
46,922
4,458
938
36.1
22.3
28.8
2.7
8.1
0.8
26.9
13.1
21.7
1.1
5.7
1.0
18.0
10.9
11.2
0.9
4.3
1.5
26.6
10.8
12.0
0.7
3.7
1.3
1.6
85.9
86.2
174.2
3.9
36.8
41.9
71.1
4.0
46.3
42.7
72.7
3.1
55.6
74.4
118.3
Current Assets, Loans & Advances
Inventories
6,112
Sundry Debtors
6,132
Cash and Bank
2,766
Loans and Advances
3,825
Total Current Assets
18,835
20.1
26.6
20.0
25.4
26.1
27.7
13.3
14.9
6,752
7,688
3,431
3,101
20,971
10,376
9,557
3,565
4,433
27,930
22,496
30,127
4,557
8,765
65,945
1.1
0.7
0.8
2.3
Cash Flow Statement
Y/E March
2009
Cash and Cash Equivalents
at Beginning of the year
954
Net Cash from Operating
Activities
2,499
Net Cash Used in
Investing Activities
-3,662
Net Cash Used in
Financing Activities
2,948
Net Inc/(Dec) in Cash
and Cash Equivalent
1,785
Cash and Cash Equivalents
at End of the year
2,738
2010
2,766
4,083
-3,729
312
666
3,432
(INR Million)
2011
3,431
4,193
-8,055
4,010
148
3,578
2012
3,480
5,887
-20,698
13,800
-1,011
4,426
Less : Current Liabilities and Provisions
Current Liabilities
12,385
13,060
Total Current Liabilities 15,971
15,921
Net Current Assets
2,865
5,051
Net Deferred Tax
-145
-40
Total Assets
18,782
21,855
16,291
19,633
8,296
-10
30,998
47,879
51,391
14,554
-602
67,665
August 27 - 31, 2012
121

8th Annual Global Investor Conference
NTPC
Company description
NTPC is the largest power generator in India contributing
to ~30% of the country's total generation. It has an
installed capacity of 39.2GW, and it aims to add 14GW in
the 12th Plan (FY13-17) v/s ~9GW added in 11th Plan
period. It has also ventured into related areas like coal
mining, distribution, transmission, and gas exploration.
delays could limit upfront earnings growth.
Lower demand/backdown from SEBs may impact
the company's generation incentives.
Delay in restoration of coal mine may impact NTPC's
diversification policy of coal sourcing.
Key news flows / triggers to watch
Restoration of 3 coal blocks with 2b tons of coal
reserves by Ministry of Coal. NTPC has presented
its case with the progress report of mines.
News flow on equipment order award for
supercritical units (800MW) is to be watched.
Generation incentives contribute 20-25% to NTPC
earnings thus generation growth is crucial.
Key investment positives
NTPC plans to commission 14GW of capacity in 12th
plan (11.9GW remaining). Similar capacity is planned
for 13th plan at 14.7GW, of which 4.8GW is under
construction and balance under project award. This
provides high visibility of earnings growth.
NTPC's PAF (Plant Availability Factor) has been
consistently above 90%, while lower demand has
impacted PLF. Base RoE recovery is linked to PAF
and is thus assured.
Strong operating cash flow and cash equivalent of
INR178b (FY12) would support its expansion plans
and thus, growth will not be equity dilutive.
Higher generation growth led by improved domestic
coal supply and demand by DISCOMs would drive
core earnings, incentives.
1QFY13 highlights; guidance for FY13, FY14
NTPC's 1QFY13 performance was robust led by
higher generation and partly helped by other
operating/financial other income. It reported
highest generation growth since 1QFY10 at 8% YoY.
NTPC reiterated capacity addition target of 4.2GW
in FY13 and 14GW in 12th Plan.
In order to secure payments from SEBs post October
2016, NTPC has signed supplementary agreements
with them for first right on escrow account/
receivables.
Key challenges
NTPC has witnessed meaningful delays in capacity
commissioning/project awards in past. Continued
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
NTPC IN
8,245
168
24.9
190 / 139
3 / -7 / -9
Quarterly Performance
Y/E March
Jun-11
Operating Income 141,715
Change (%)
9.5
EBITDA
28,662
Change (%)
2.2
EBITDA Margin (%) 20.2
Reported PAT
20,758
Adjusted PAT
19,015
Change (%)
13.0
PAT Margin (%)
13.4
Key Operating Metrics
Instal. Cap. (MW) 34,854
Qtly. addition (MW) 660
Coal plant PAF (%) 89.9
E: MOSL Estimates
Sep-11
153,775
4.2
32,387
-2.2
21.1
24,240
14,797
-8.4
9.6
34,854
-
83.4
Dec-11
153,333
13.6
28,564
-22.1
18.6
21,304
20,692
-1.1
13.5
36,014
1,160
85.3
Mar-12
162,639
4.8
41,127
12.9
25.3
25,934
22,958
-10.6
14.1
37,014
1,000
94.7
Jun-12
159,600
12.6
36,306
26.7
22.7
24,987
23,888
25.6
15.0
39,174
2,160
88.4
(INR Million)
FY12
611,462
7.8
131,437
-2.1
21.5
92,238
79,720
0.2
13.0
37,014
2,820
88.4
FY13E
727,246
18.9
157,102
19.5
21.6
92,261
91,162
14.4
12.5
41,174
4,160
88.0
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
84.5
7.8
4.0
3.7
Mar-12
84.5
7.7
4.1
3.8
Jun-11
84.5
8.3
3.6
3.6
122
August 27 - 31, 2012

8th Annual Global Investor Conference
NTPC: Financials and valuation
Income Statement
Y/E March
Gross Sales
Net Sales
Change (%)
Total Expenditure
% of Sales
EBITDA
Margin (%)
Depreciation
EBIT
Interest
Other Income - Rec.
Profit before Tax
Current Tax
Tax Rate (%)
Reported PAT
EO Exp/(Inc)
Adjusted PAT
Margin (%)
2011
548,740
548,740
18.5
422,892
77.1
125,848
22.9
24,857
100,992
21,491
40,995
120,496
29,470
24.5
91,025
11,445
79,580
14.5
2012
611,462
611,462
11.4
480,025
78.5
140,511
23.0
27,904
112,607
17,116
27,784
123,275
31,024
25.2
92,236
9,018
83,218
13.6
(INR Million)
2013E
717,532
717,532
17.3
559,540
78.0
162,992
22.7
35,922
127,070
23,060
25,598
129,608
31,628
24.4
97,978
0
97,978
13.7
2014E
797,084
797,084
11.1
595,564
74.7
206,770
25.9
44,807
161,963
33,365
27,627
156,225
38,964
24.9
117,259
0
117,259
14.7
Ratios
Y/E March
EPS (Adjusted)
Cash EPS
BV/Share
DPS
Payout (%)
Valuation (x)
P/E
Cash P/E
P/BV
EV/Sales
EV/EBITDA
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Fixed Asset Turnover (x)
Asset Turnover (x)
Debtor (Days)
Inventory (Days)
Leverage Ratio (x)
Current Ratio
Interest Cover Ratio
Debt/Equity
2011
9.7
12.7
82.3
4.2
44.2
2012
10.1
13.5
88.9
4.0
41.3
2013E
11.9
16.2
95.5
4.5
44.2
2014E
14.2
19.7
103.5
5.4
44.2
17.4
13.3
2.0
3.0
12.6
2.5
16.7
12.5
1.9
2.8
11.6
2.4
14.1
10.3
1.8
2.5
10.9
2.7
11.8
8.5
1.6
2.4
9.0
3.2
12.2
13.3
11.8
11.9
12.9
11.5
14.3
12.7
Balance Sheet
Y/E March
Equity Share Capital
Total Reserves
Net Worth
Deferred liabilities
Total Loans
Capital Employed
Gross Block
Less: Accum. Deprn.
Net Fixed Assets
Capital WIP
Investments
2011
2012
2013E
2014E
82,455
82,455
82,455
82,455
596,468 650,457 705,170 770,648
678,923 732,912 787,624 853,103
3028
6369
6369
6369
439,803 483,558 629,148 695,661
1,121,754 1,222,839 1,423,141 1,555,133
727,552
335,192
392,360
382,706
123,448
815,680 1,120,924 1,286,514
363,096 399,018 443,825
452,584 721,905 842,689
418,278 363,154 355,496
95,839 106,008 96,561
0.8
0.5
53
24
0.7
0.5
35
22
0.6
0.5
60
25
0.6
0.5
55
25
2.7
4.7
0.6
2.5
6.6
0.7
2.1
5.5
0.8
2.4
4.9
0.8
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Interest
Depreciation
Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
CF fr. Oper. incl EO Exp.
(INR Million)
2011
2012
2013E
2014E
120,496 123,275 129,608 156,225
21,491
17,116
23,060
33,365
24,857
27,904
35,922
44,807
-29,470 -31,024 -31,628 -38,964
-5,405 -24,181 49,592 -42,377
131,969 113,089 206,555 153,056
131,969 113,089 206,555 153,056
Curr. Assets
353,968 441,677 447,913 448,892
Inventory
36,391
37,029
49,146
54,595
Account Receivables
79,243
58,325 117,951 120,109
Cash and Bank Balance 161,853 177,686 196,098 182,034
Others
76,481 168,637 84,718
92,155
Curr. Liability & Prov.
130,729 178,423 215,839 188,506
Net Current Assets
223,239 263,253 232,074 260,386
Appl. of Funds
1,121,753 1,229,955 1,423,141 1,555,133
(inc)/dec in FA
-120,714 -123,700 -250,120 -157,933
(Pur)/Sale of Investments -24,623 -27,609 10,169
-9,447
CF from Investments
-145,336 -151,310 -239,951 -167,379
(Inc)/Dec in Debt
Dividend Paid
Interest
Others
CF from Fin. Activity
53,912
-29,438
-21,491
27,642
30,625
44,491 152,774
-27,886 -31,687
-17,116 -23,060
6,891
-1,464
6,380
96,564
66,513
-37,923
-33,365
5,227
451
Key assumptions/operating metrics
Y/E March
Installed Capacity (MW)
- Own
-JV
Coal Plant PAF (%)
Coal Plant PLF (%)
2011
34,194
30,830
3,364
92
88
2012
37,014
32,650
4,364
90
85
2013E
41,174
36,310
4,864
89
85
2014E
44,384
38,270
6,114
89
85
Inc/Dec of Cash
17,258 -31,840 63,168 -13,872
Add: Beginning Balance 144,595 161,853 177,686 196,098
Closing Balance
161,853 130,012 240,854 182,226
August 27 - 31, 2012
123

8th Annual Global Investor Conference
ONGC
Company description
ONGC, a Fortune 500 company, is India's largest
exploration and production (E&P) player. With over 300
discoveries, it has established in-place reserves of
6.9btoe (billion tons of oil equivalent), with ultimate
reserves of 2.4btoe. It currently accounts for ~68% of
India's domestic oil and gas production. Through its
100% subsidiary ONGC Videsh Limited (OVL), it has
equity investments in E&P blocks in 16 countries.
Downstream presence is marked through its subsidiary,
MRPL (71.6% stake).
of the discovered fields.
Key challenges
Ad-hocism in subsidy sharing.
Acquisition of overseas assets at high valuations
against stiff competition from China.
Slowdown in deep water development due to
technological barriers.
Key news flows / triggers to watch
Clarity on production from Sudan and Syria for OVL.
Subsidy rationalization by the government and de-
controlling of diesel prices.
Discoveries in its NELP blocks and acquisition of
overseas assets.
Key investment positives
Await clarity on subsidy rationalization; gas price
hike a long term trigger:
Rationalization of subsidy
would result in increased earnings predictability for
the company leading to higher valuation multiples.
Large NELP acreage to provide long-term growth:
ONGC has more than 50% of allotted NELP
exploration acreage. Of this, around 66% acreage is
in high potential deep water. As bulk of this acreage
is yet to be explored, we believe there is huge
potential for hydrocarbon discoveries.
Increased capex, IOR/EOR projects to provide
production growth:
Impressive RRR>1 for last 6
years. Production is likely to be flat in short-term,
however we expect volume growth in long term
led by IOR/EOR, marginal fields and monetization
1QFY13 highlights; guidance for FY13, FY14
In 1QFY13, ONGC subsidy share was INR123.4b and
its share in upstream stood at 82% (v/s 80.8% in
FY12). We model FY13/14 upstream subsidy sharing
at 40% and ONGC share at 81%.
Net realization was at USD46.6/bbl, up 5% QoQ but
down 3% YoY.
ONGC has made a demand to MoPNG for calculating
its share of subsidy-based crude production rather
than on crude plus condensate.
ONGC expects incremental production of 24kbpd
by 2015 from its new oil pool discovery in D-1 field.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
ONGC IN
8,555
282
43.2
304 / 240
-4 / 3 / -3
Quarterly Performance
Y/E March
Jun-11
Operating Income
162
Change (%)
18.5
EBITDA
93
Change (%)
15.3
EBITDA Margin (%) 57.2
Reported PAT
41
Adjusted PAT
41
Change (%)
11.8
PAT Margin (%)
25.3
Key Metrics (USD/bbl)
Fx rate (INR/USD)
45
Gross Oil Realiz.
121
Subsidy
73
Net Oil Realization
48
Subsidy (INR b)
120
E: MOSL Estimates
Sep-11
226
24.3
142
27.7
62.6
86
86
60.4
38.2
46
117
33
84
57
Dec-11
181
-2.5
107
-5.8
58.8
67
46
-20.2
25.6
51
112
67
45
125
Mar-12
188
22.2
111
52.3
58.8
56
56
119.4
30.0
50
122
77
44
142
Jun-12
201
24.0
110
19.1
55.0
61
61
48.4
30.3
54
110
63
47
123
(INR Billion)
FY12
758
15.1
451
19.8
59.6
251
230
32.0
30.4
48
118
63
55
445
FY13E
804
6.2
423
-6.3
52.6
210
210
-8.6
26.2
54
108
60
47
477
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
69.2
11.7
5.3
13.8
Mar-12
69.2
11.6
5.4
13.8
Jun-11
74.1
7.4
4.9
13.6
124
August 27 - 31, 2012

8th Annual Global Investor Conference
ONGC: Financials and valuation
Income Statement
Y/E March
Net Sales
Growth (%)
Government Levies
Other Operating Costs
Total Operating Costs
EBIDTA
% of Net Sales
Debt Charges
D,D&A
Other Income
Prov, wrtie-offs prior period
PBT
Tax
Rate (%)
PAT
Adj PAT
Growth (%)
Minority int., assoc profits
Net Profit post MI
2011
1,176
15.6
192
483
676
500
42.5
4
206
69
16
343
115
33.5
228
213
8.1
4
210
2012
1,464
24.4
231
655
886
578
39.5
4
234
58
-31
428
144
33.6
284
263
23.3
3
260
(INR Billion)
2013E
1,585
8.3
273
785
1,057
527.2
33.3
8
226
65
0
358
113
31.5
245
245
-6.9
3
242
2014E
1,684
6.3
305
765
1071
614
36.4
8
255
63
0
413
135
32.6
279
279
13.8
4
275
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
DPS
Payout (incl. div tax)
Valuation (x)
P/E
Cash P/E
EV / EBITDA
EV / Sales
Price / Book Value
Dividend Yield (%)
EV/BOE (USD, 1P basis)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Fixed Asset Turnover (x)
Leverage Ratio
Net Debt / Equity (x)
2011
24.5
49.6
133.9
9.0
56.2
2012
30.4
58.2
155.4
9.8
37.4
2013E
28.3
55.5
171.7
10.2
42.2
2014E
32.1
63.0
192.1
10.0
36.4
9.3
4.8
3.6
1.4
1.8
3.5
6.3
10.0
5.1
3.9
1.3
1.6
3.6
5.6
8.8
4.5
3.2
1.2
1.5
3.5
5.6
19.5
18.8
21.0
20.1
17.3
16.7
17.6
17.1
Balance Sheet
Y/E March
2011
Share Capital
43
Reserves
1,103
Net Worth
1,145
Debt
63
Deferred Tax
112
Liability for Abandonment
199
Capital Employed
1,539
Net Fixed Assets
542
Producing Properties
572
Pre-producing Properties
102
Investments (incl. mkt. sec.) 34
Goodwill
90
Cash & Bank Balances
287
Inventories
86
Sundry debtors
98
Loans & Advances
110
Total Curr. Assets
590
Current Liabilities
340
Provisions
51
Total current liabilities
391
Net Curr. Assets
198
Total assets
1,539
2012
43
1,287
1,329
100
115
202
1,769
626
557
113
33
85
415
84
103
116
727
302
69
370
356
1,769
47.9
445
26.9
25.5
55
(INR Billion)
2013E
43
1,426
1,469
101
123
205
1,923
729
588
144
33
80
417
85
88
122
720
301
69
370
350
1,923
53.5
477
27.7
26.5
47
2014E
43
1,601
1,644
101
132
208
2,115
787
621
168
33
75
492
94
102
128
825
324
69
393
432
2,115
52.0
353
29.6
26.1
60
26.2
2.4
25.0
2.5
21.9
2.3
20.5
2.2
-0.2
-0.3
-0.2
-0.3
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
DD & A
Other op. expenses
Direct Taxes Paid
(Inc)/Dec in Wkg. Capital
CF from Op. Activity
(Inc)/Dec in FA & CWIP
(Pur)/Sale of Investments
CF from Inv. Activity
Issue of Shares
Inc / (Dec) in Debt
Dividends Paid (incl.tax)
Interest paid
CF from Fin. Activity
Inc / ( Dec) in Cash
Add: Opening Balance
Closing Balance
2011
343
114
4
-105
70
425
-277
33
-244
4
0
-118
-4
-118
63
224
287
2012
428
167
0
-140
-30
425
-237
1
-237
0
37
-97
0
-60
128
287
415
(INR Billion)
2013E
358
185
0
-106
8
445
-342
0
-342
0
0.4
-102
0
-102
1
415
417
2014E
413
205
0
-125
-7
487
-312
0
-312
0
0.4
-100
0
-100
75
417
492
Key assumptions/operating metrics
Exchange rate (USD/INR)
Subsidy (INRb)
Oil production (mmt)
Gas production (bcm)
Net realization (USD/bbl)
45.7
249
27.3
25.3
54
August 27 - 31, 2012
125

8th Annual Global Investor Conference
Oil India
Company description
Oil India (OIL), established in 1959, is a 'Navratna' state-
owned company, engaged in exploration,
development, production and transportation of crude
oil and natural gas in India. OIL has 2P reserves of
944mmboe, ~94% of these located in the north-east. It
owns common carrier cross-country pipeline of 1,157km
for crude oil, and 660km for products, and the 192km
natural gas pipeline to Numaligarh refinery.
Key challenges
Upstream subsidy sharing of ~40% could become
the new normal, if the crude oil prices remain high
and the OMCs prevented from raising retail prices
of fuels.
Oil India's producing assets are concentrated in
Assam and are present in tough terrains. Hence,
highly susceptible to supply disruption.
Key news flows / triggers to watch
Key investment positives
Valuations attractive; steady production growth; gas
price hike a long term trigger:
Oil India trades at 50-
70% discount to global peers on EV/BOE (1P basis).
Further; despite subsidy, OIL's net realization and
PAT grew at 9% and 18% CAGR since FY05. On the
operational front, we expect 1.4% oil and 4.5% gas
production CAGR over FY12-14.
Healthy oil/gas reserve ratio; RRR>1 consistently:
OIL's reserve mix is favorable with oil contributing
62% of its 2P reserves and 1P reserves being only at
53% of 2P reserves, indicating a large scope for
increase in 1P.
Cash deployment - a near-term trigger:
Expect
announcement of overseas acquisition in near term.
As on Mar 2012, OIL had cash balance of INR109b
(48% of assets, 38% of current market cap).
Subsidy rationalization by the government and de-
controlling of diesel prices.
Likely acquisition of overseas E&P assets given the
high cash balance.
1QFY13 highlights; guidance for FY13, FY14
In 1QFY13, OIL subsidy share stood at INR20.2b and
its share in upstream subsidy stood at 13.4% (similar
to FY12).
1QFY13 net realization at USD53.9/bbl down 10%
YoY but up 38% QoQ.
Oil India will start drilling in NELP blocks in Mizoram
and KG onshore.
Oil India is targeting to acquire overseas producing
assets.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
OINL IN
601
479
5.2
556 / 431
-4 / -6 / -14
Quarterly Performance
Y/E March
Jun-11
Operating Income
23
Change (%)
50.2
EBITDA
12
Change (%)
67.8
EBITDA Margin (%) 54.5
Reported PAT
8
Adjusted PAT
8
Change (%)
69.5
PAT Margin (%)
37.1
Key Metrics
Fx rate (INR/USD)
45
Gross Oil Realiz.
116
Subsidy
57
Net Oil Realization
60
Subsidy (INR b)
18
E: MOSL Estimates
Sep-11
33
37.8
16
19.9
49.5
11
11
24.3
34.8
46
112
26
86
8
Dec-11
25
4.5
13
-3.4
53.5
10
10
1.2
40.6
51
110
53
57
19
Mar-12
17
-14.8
5
-50.0
28.0
4
4
-20.9
25.9
50
120
81
39
29
Jun-12
23
2.0
11
-12.2
47.0
9
9
9.5
39.9
54
110
56
54
20
(INR Billion)
FY12
98
0.0
47
5.5
47.9
34
34
15.6
35.3
48
115
54
60
74
FY13E
93
-4.7
43
290.0
45.9
34
34
262.7
36.2
54
105
53
52
79
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
78.4
5.2
1.7
14.7
Mar-12
78.4
5.0
1.9
14.7
Jun-11
78.4
5.3
2.1
14.1
126
August 27 - 31, 2012

8th Annual Global Investor Conference
Oil India: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
Change in Stocks
Production Costs
Statutory Levies
EBITDA
% of Net Sales
D,D&A
Interest
Other Income
Prior period & other adj.
PBT
Tax
Rate (%)
PAT
Change (%)
2011
83,034
5.0
-76
13,789
24,423
44,898
54.1
12,669
139
12,458
1,421
43,127
14,255
33.1
28,872
10.6
2012
97,741
17.7
-88
23,074
27,904
46,851
47.9
15,263
105
19,536
0
51,019
16,549
32.4
34,469
19.4
(INR Million)
2013E
2014E
93,122 106,611
-4.7
14.5
29
0
18,880
20,196
31,466
34,045
42,747 52,370
45.9
49.1
14,421
14,298
8
8
21,361
19,189
0
0
49,678 57,253
15,952
18,384
32.1
32.1
33,727 38,869
-2.2
15.2
Ratios
Y/E March
Basic (INR)
EPS (Adj)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV / EBITDA
EV/Sales
EV / BOE (1P Reserves)
Price / Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Fixed Asset Turnover (x)
2011
48.0
56.0
259.5
15.0
36.4
2012
57.3
65.9
294.9
19.0
38.4
2013E
56.1
65.2
329.4
19.0
38.4
2014E
64.7
74.3
370.7
20.0
36.1
9.9
8.5
4.0
2.2
7.8
1.8
3.1
8.3
7.2
3.8
1.8
7.4
1.6
4.0
8.5
7.3
4.2
1.9
6.7
1.4
4.0
7.4
6.4
3.4
1.7
6.8
1.3
4.2
Balance Sheet
(INR Million)
Y/E March
2011
2012
2013E
2014E
Share Cap.(incl sh.suspense)2,405
6,011
6,011
6,011
Reserves
153,614 171,235 192,006 216,849
Net Worth
156,019 177,247 198,017 222,860
Total Loans
10,268
101
101
101
Deferred Tax
11,491 10,768 11,816 13,024
Well Abandonment
1,645
1,645
1,645
1,645
Capital Employed
179,422 189,760 211,579 237,630
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Producing/pre-producing
Investments
33,203
23,306
9,897
4,484
41,343
8,904
37,403
24,815
12,588
4,484
50,911
14,520
40,903
26,565
14,338
4,484
72,931
14,520
44,403
28,529
15,874
4,484
98,289
14,520
19.7
27.3
11
3
20.7
27.7
11
3
18.0
24.8
11
2
18.5
25.5
11
2
Leverage Ratio
Net Debt / Equity (x)
-0.7
* At price of INR1,050/share
-0.6
-0.5
-0.5
Cash Flow Statement
Y/E March
2011
OP/(Loss) before Tax
43,132
Depreciation
4,790
Interest /Other Income
-7,886
Direct Taxes Paid
-13,819
(Inc)/Dec in Wkg. Capital 4,034
Other op activities
288
CF from Op. Activity
30,540
(Inc)/Dec in FA & CWIP
-9,518
(Pur)/Sale of Investments 4,692
Other In activities
6,343
CF from Inv. Activity
1,517
Inc / (Dec) in Debt
Interest paid
Dividends Paid
CF from Fin. Activity
Inc / ( Dec) in Cash
Add: Opening Balance
Closing Balance
9,893
-153
-9,533
206
2012
51,019
5,142
105
-17,272
-2,659
2,600
38,933
-20,000
-5,616
0
-25,616
-10,167
-105
-13,241
-23,513
(INR Million)
2013E
49,678
5,454
8
-14,904
1,528
5,775
47,540
-35,000
0
0
-35,000
0
-8
-12,956
-12,964
2014E
57,253
5,786
8
-17,176
767
5,320
51,959
-38,000
0
0
-38,000
0
-8
-14,026
-14,035
Inventory
5,004
5,377
5,517
5,944
Debtors
2,495
2,988
2,806
3,213
Cash & Bank Balance
117,693 107,497 107,073 106,998
Loans & Adv. and Other CA 22,819 22,819 22,819 22,819
Liabilities
Provisions
Net Current Assets
Application of Funds
20,996 19,203 20,690 22,291
12,220 12,220 12,220 12,220
114,794 107,258 105,306 104,463
179,422 189,760 211,579 237,630
2011
45.6
32.9
3.6
2.4
86
28
59
2012
47.9
73.5
3.8
2.6
115
55
60
2013E
53.5
78.8
3.9
2.7
105
53
53
2014E
52.0
58.4
4.0
2.9
100
39
61
Key assumptions/operating metrics
Y/E March
Exchange rate (INR/USD)
Subsidy (INR b)
Oil production (mmt)
Gas production (bcm)
Gross realization (USD/bbl)
Subsidy (USD/bbl)
Net realization (USD/bbl)
32,264 -10,196
-424
-76
85,429 117,693 107,497 107,073
117,693 107,497 107,073 106,998
August 27 - 31, 2012
127

8th Annual Global Investor Conference
Phoenix Mills
Company description
Phoenix Mills is a pioneer in the development of large
scale, mixed-format retail development in India. It is a
unique, low-risk play on the booming domestic
consumption story with no retail-specific risks.
Through its subsidiaries and associate companies it is
undertaking 40 retail/hospitality projects, totaling
~50msf across India. It owns one of the most successful
malls in India, High Street Phoenix (HSP) in Parel,
Mumbai. With the commencement of Market City
projects and Shangri-la hotel, we expect rental income
from retail to increase from INR2.5b in FY12 to INR3.9b
in FY14.
Key challenges
High leverage with net DER of 0.86x. Any delay in
monetization of residential/commercial projects
could defer de-leveraging plan
The exit of PE investors at Market City SPVs,
although the company does not carry obligations
to provide an exit to these investors.
Retail demand supply dynamics at tier II cities
Key news flows / triggers to watch
Leasing momentum and operational ramp up at
Market City SPVs.
De-leveraging.
Value unlocking from Phase IV at HSP, where
increase in FSI could lend further upside.
Key investment positives
Deep understanding of retail business, strong
relationship with marquee international/domestic
brands, financing partners to execute asset-heavy
projects, strategic partner to tap tier II markets
Single-asset company to pan-India positioning with
several assets commencing operations, taking
operational assets from 2.5msf (FY11) to 5.8msf/
8.9msf/10.7msf in FY12/13/14 respectively
Asset-heavy model offering a play on India's
booming domestic consumption and retailing story
– rental income CAGR of 25% over FY12-14.
Monetization of residential and commercial land
parcels at Market City SPVs offer healthy cash flow
visibility to address liquidity risk.
1QFY13 highlights; guidance for FY13, FY14
Consumptions and footfalls at Market City Pune in
1QFY13 increased 2.6x since commencement in
1QFY12. Consumptions improved from INR308m in
3QFY12 to INR608m in 1QFY13 at Bangalore.
Bringing certain change to earlier plan of buying
out Kshitij's stake in Chennai Market City alone,
PHNX board has approved a proposal to buy out the
stake jointly with Sharyans Resources. PNHX will
hold 50.01%/50% in Classic Mall/Classic Housing post
completion of the transaction.
The management expects no increase in leverage
on account of construction expenditure, but the
same could increase on acquisitions, if any.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
PHNX IN
145
180
0.5
228 / 149
-5 / -12 / -21
Quarterly Performance
Y/E March
Jun-11
Operating Income
535
Change (%)
32.4
EBITDA
331
Change (%)
12.6
EBITDA Margin (%) 62
Reported PAT
272
Adjusted PAT
272
Change (%)
49.1
PAT Margin (%)
50.9
E: MOSL Estimates
Sep-11
474
6.9
333
5.1
70
239
239
8.0
50.4
Dec-11
505
12.0
373
14.0
74
269
269
13.1
53.3
Mar-12
600
28.3
363
13.2
61
273
273
0.6
45.5
Jun-12
626
17.0
394
19.3
63
306
306
12.4
48.9
(INR Million)
FY12
3,666
74.4
2,114
50.4
57.7
1,056
1,056
25.5
28.8
FY13E
4,365
19.1
2,543
20.3
58.3
1,141
1,141
8.0
26.1
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
65.9
4.6
23.6
5.9
Mar-12
65.9
5.0
23.2
5.9
Jun-11
65.9
5.4
22.5
6.2
128
August 27 - 31, 2012

8th Annual Global Investor Conference
Phoenix Mills: Financials and valuation
Income Statement
Y/E March
Net Sales
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
Reported PAT
Adjusted PAT
Change (%)
2011
2,102
1,406
66.9
314
228
287
1,151
321
27.9
830
842
36.5
2012
3,666
2,114
57.7
563
944
446
1,053
189
18.0
864
1,056
25.5
(INR Million)
2013E
4,365
2,543
58.3
802
1,097
581
1,225
306
25.0
1,141
1,141
8.0
2014E
7,511
4,018
53.5
1,051
1,475
622
2,114
592
28.0
2,103
2,103
84.3
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Profitability Ratios (%)
RoE
RoCE
Leverage Ratio
Debt/Equity (x)
2011
5.8
36.5
7.9
115.3
0.9
17.3
2012
7.3
25.5
9.9
118.1
2.0
32.1
2013E
7.9
8.0
11.9
123.6
2.0
29.7
2014E
14.5
84.3
17.8
135.8
2.0
16.1
Balance Sheet
Y/E March
Equity Capital
Reserves
Net Worth
Loans
Deffered Tax Liability
Minority Interest
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Inventory
Loans and Advances
Current Liab. & Prov.
Creditors
Provisions
Net Current Assets
Application of Funds
2011
290
16,410
16,700
9,628
-9
1,965
28,284
8,880
948
7,932
10,997
4,787
8,833
1,182
961
816
1,182
4,388
3,083
2,723
360
4,568
28,284
2012
290
16,816
17,105
16,748
-247
3,566
37,173
13,383
1,503
11,880
13,591
4,869
13,058
2,516
618
1,000
2,516
6,045
3,710
3,297
413
6,832
37,173
(INR Million)
2013E
290
17,618
17,908
16,248
-247
3,823
37,731
17,696
2,304
15,392
11,390
4,869
13,711
2,768
680
1,112
2,768
6,385
4,864
4,451
413
6,079
37,731
2014E
290
19,382
19,671
15,748
-247
4,118
39,290
19,228
3,355
15,873
11,607
4,869
15,879
3,183
748
1,997
3,183
6,768
5,755
5,342
413
6,941
39,290
25.2
18.7
20.1
11.6
1.6
23.4
15.5
16.4
9.6
1.5
12.7
10.4
10.1
5.4
1.4
5.0
5.2
6.2
6.1
6.4
6.2
10.7
9.3
0.5
0.9
0.8
0.8
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Interest
Less : Direct Taxes Paid
CF from Operations
2011
1,151
314
228
321
-500
2012
1,053
563
944
189
2,085
-7,105
-83
-7,188
-550
7,120
944
339
5,287
184
816
1,000
(INR Million)
2013E
1,225
802
1,097
306
4,161
-2,112
0
-2,112
0
-500
1,097
339
-1,936
113
1,000
1,112
2014E
2,114
1,051
1,475
592
4,947
-1,748
0
-1,748
0
-500
1,475
339
-2,314
885
1,112
1,997
(Inc)/Dec in FA
-2,785
(Pur)/Sale of Investments
814
CF from Investments
-1,971
(Inc)/Dec in Net Worth
(Inc)/Dec in Debt
Less : Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
-30
3,020
228
146
2,617
145
671
816
Key assumptions/operating metrics
Stake (%) Rental Income
2011 2012 2013E 2014E
100%
HSP
1.80 1.96 2.19 2.30
Standalone
1.80 1.96 2.19 2.30
59%
Pune
0.26 0.43 0.48
24%
Kurla
0.07 0.25 0.32
46%
Bangalore
0.09 0.21 0.25
31%
Chennai
0.00 0.07 0.23
Market cities
0.00 0.41 0.97 1.29
47-74
BARE
0.05 0.07 0.15 0.15
EWDPL
0.08 0.15 0.18
Treasure&Phoenix United 0.05 0.15 0.29 0.33
Grand total
1.85 2.52 3.45 3.92
53%
Sangrila Hotel
0.00 0.23 1.02
Total rental
August 27 - 31, 2012
1.85
2.52
3.68
4.94
129

8th Annual Global Investor Conference
Pidilite Industries
Company description
Pidilite Industries has been instrumental in evolution
of branded adhesives in the Indian market, a segment
which is commoditized globally. It has strong brands
like Fevicol, M-Seal, Dr Fixit, Hobby Ideas and Fevicryl.
Sales mix includes Adhesives (49%), Construction
chemicals (19%), Art material (10%) and Industrial
chemicals (22%).
another INR2b in Synthetic Elastomers project,
although the pilot has been a success, risks
regarding completion and success still abound.
Pidilite's international operations have been losing
money due to lack of scale in most of the
subsidiaries. We believe it would require at-least a
couple of years for these subs to turn profitable.
Key investment positives
Pidilite is a play on growth opportunity in both
consumer and industrial demand in India. It has
products which cater to woodwork, home and
office, construction, waterproofing and repairs etc.
Pidilite has strong pricing power as its consumer
and Bazaar segment has EBIT margins of 26%.
Pidilite has launched a host of innovative products
in waterproofing, construction chemicals and repair
work which will enable sustain high growth (20%
CAGR from past 5 years)
Pidilite's margins can recover sooner than expected
if crude prices tend lower; VAM (Vinyl Acetate
Monomer), its key input, is a crude derivative.
Key news flows / triggers to watch
Price trend of VAM and Packaging, decline in costs
can boost margins.
Increase in housing and infra spends, as it can boost
the growth rates further.
Successful commissioning of Elastomers project.
1QFY13 highlights; guidance for FY13, FY14
Consumer & Bazaar sales were up 21.6% led by
strong momentum in volume growth and pricing.
EBIT Margins in this segment were up 125bp.
Industrial chemical sales increased 11.5%, while
margins declined 270bp.
Brazil - sales declined by 14% yoy - pressure on
margin continues to be there, losses jumped from
5mn in 1QFY12 to 44mn in 1QFY13.
We expect 22% CAGR in earnings over FY12-14E.
Key challenges
Pidilite has invested INR3.3b and will be putting in
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
PIDI IN
508
180
1.6
188 / 134
8 / 25 / 2
Quarterly Performance
Y/E March
Jun-12
Operating Income
7,680
Change (%)
21.5
EBITDA
1,521
Change (%)
-2.2
EBITDA Margin (%) 19.8
Reported PAT
1,077
Adjusted PAT
1,078
Change (%)
0.1
PAT Margin (%)
14.0
Key Operating metrics
Consumer & Bazaar 22.8
Industrial Products 18.4
E: MOSL Estimates
Sep-12
7,103
20.5
1,302
4.8
18.3
815
864
2.2
12.2
23.2
17.6
Dec-12
6,918
16.5
1,207
1.9
17.4
593
790
-6.5
11.4
22.6
-2.1
Mar-12
6,519
15.6
958
17.8
14.7
710
749
41.6
11.5
22.3
5.0
Jun-13
9,125
18.8
1,907
25.4
20.9
1,334
1,333
23.6
14.6
21.6
11.5
(INR Million)
FY12
23,670
159.4
4,692
146.0
19.8
0
3,297
147.4
13.9
FY13E
33,820
20.1
6,353
28.3
18.8
0
4,329
21.7
12.8
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
70.8
4.9
12.9
11.5
Mar-12
70.8
5.8
12.4
11.0
Jun-11
70.7
7.4
11.0
10.9
130
August 27 - 31, 2012

8th Annual Global Investor Conference
Pidilite Industries: Financials and valuation
Income Statement
Y/E March
2011
Net Sales
23,806
Change (%)
21.8
Raw Materials
12472
Gross Profit
11334
Margin (%)
47.6
Operating Expenses
6506
EBITDA
4,828
Margin (%)
20.3
Depreciation
444
Int. and Fin. Charges
268
Other Income
150
Profit before Taxes
4,266
Margin (%)
17.9
Tax
936
Tax Rate (%)
21.9
Adj PAT
3330
Change (%)
13.4
Margin (%)
14.0
Exceptional/Prior Period inc 250
Reported PAT
3,080
2012
28,164
18.3
15674
12490
44.3
7540
4,950
17.6
479
245
428
4,653
16.5
1,096
23.6
3557
6.8
12.6
151
3,407
(INR Million)
2013E
33,820
20.1
18457
15363
45.4
9011
6,353
18.8
548
149
235
5,890
17.4
1,561
26.5
4329
21.7
12.8
0
4,329
2014E
40,398
19.4
22153
18245
45.2
10568
7,677
19.0
612
112
313
7,267
18.0
1,962
27.0
5305
22.5
13.1
0
5,305
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout %
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
Working Capital Ratios
Debtor (Days)
Creditor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
6.6
10.4
22.5
1.8
31.3
2012
7.0
10.7
26.6
2.0
36.0
2013E
8.3
13.2
34.0
2.5
35.4
2014E
10.1
15.8
40.6
3.0
34.7
24.9
15.7
3.4
16.8
7.3
1.1
23.4
15.3
2.8
16.1
6.2
1.2
19.9
12.5
2.4
12.5
4.8
1.5
16.2
10.4
1.9
10.1
4.0
1.8
29.2
30.9
26.3
29.1
24.3
30.7
24.9
32.7
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Liability
Capital Employed
Gross Block
Less: Accum. Depn.
Net Fixed Assets
Capital WIP
Investments
Curr. Assets, L&A
Inventory
Account Receivables
Cash and Bank Balance
Others
Curr. Liab. and Prov.
Account Payables
Provisions
Net Current Assets
Application of Funds
2011
506
10,889
11,395
2,867
410
14,672
8,720
4,310
4,410
3,331
4,656
7,596
3,544
2,866
273
913
5,321
4,137
1,184
2,275
14,672
2012
508
13,000
13,507
2,918
435
16,860
9,420
4,800
4,620
3,600
5,841
9,367
4,472
3,469
405
1,020
6,568
5,199
1,369
2,799
16,860
(INR Million)
2013E
524
17,309
17,833
1,405
461
19,699
10,520
5,348
5,172
3,700
7,259
11,287
5,506
4,130
489
1,162
7,719
5,975
1,744
3,568
19,699
2014E
524
20,773
21,298
806
486
22,590
11,720
5,960
5,760
3,850
8,661
13,416
6,579
4,934
587
1,315
9,096
7,013
2,083
4,319
22,590
44
80
3.6
45
82
3.8
45
79
3.9
45
78
4.0
0.3
0.2
0.1
0.0
Cash Flow Statement
Y/E March
PBT before Extra Ord
Add: Depreciation
Interest Paid
Less: Taxes Paid
(Incr)/Decr in WC
CF from Operations
Extra ordinary items
CFO after extraordinary
Incr in FA
Pur of Investments
CF from Invest.
Change in Networth
Incr in Debt
Dividend Paid
Interest Paid
CF from Fin. Activity
Incr/Decr of Cash
Add: Opening Balance
Closing Balance
2011
4,266
444
268
936
-372
3,670
-250
3,420
-1,236
452
-784
-2,105
-1,347
1,029
-268
-2,691
-55
328
273
2012
4,653
479
245
1,096
-392
3,890
-151
3,739
-959
-1,185
-2,143
-2,453
50
1,184
-245
-1,464
132
273
405
(INR Million)
2013E
5,890
548
149
1,561
-685
4,342
0
4,342
-1,200
-1,419
-2,619
-1,507
-1,512
1,529
-149
-1,640
83
405
489
2014E
7,267
612
112
1,962
-653
5,375
0
5,375
-1,350
-1,402
-2,752
-3,649
-599
1,834
-112
-2,525
99
489
587
Key assumptions/operating metrics - Growth (%)
Y/E March
2011
Consumer & Bazaar Products 22.3
Ind & Speciality chemicals 22.3
2012
21.4
14.1
2013E
20.4
14.7
2014E
20.8
14.8
August 27 - 31, 2012
131

8th Annual Global Investor Conference
Power Grid
Company description
Power Grid Corporatation (PGCIL) is a central
transmission utility (CTU) with a Navratna status, which
owns and operates most of India's inter-state and inter-
regional transmission network. In addition to its
regulated business, PGCIL also provides consultancy
services in the transmission space and has laid down
optical fibre network for leasing to telecom companies.
Key challenges
Meaningful delay in project execution owing to
delay in obtaining right of way.
Continued delays in generation projects may slow
down the growth momentum for PGCIL.
Weak financials of SEBs could elongate cash flow
cycle, receivables.
Key investment positives
Key news flows / triggers to watch
PGCIL is upbeat on meeting capex target of
INR1,000b in 12th plan and thus capex of INR200b
pa is crucial to watch for.
Capitalization has been strong for the company
aided by higher capacity addition. Fuel supply has
been at risk in the interim and thus
implementations of FSAs to be monitored for
incremental capacity addition on IPPs side.
Management has guided for capex worth INR1t in
12th plan which is ~2x the Eleventh Plan capex, and
thus a key driver of earnings for PGCIL.
CERC has approved setting up of nine high speed
transmission corridors (HSTCs) at a cost of INR750b
(PGCIL scope at INR660b), significantly improving
business visibility for PGCIL.
PGCIL's RAB is set to increase from ~INR178b as at
March 2012 to INR283b by FY14E (CAGR of 26%), as
projects of ~INR350b are commissioned and
capitalized in this period. This will lead to
corresponding increase in regulatory returns.
Short term open access, consultancy division and
telecom business are new additional of income,
which aids core earnings, improve reported RoE.
Inter-State transmission opportunity in 13th plan is
pegged at INR1.35t, where PGCIL would have to
compete on CBT basis. It has already demonstrated
its capability in CBT regime winning 2 projects.
1QFY13 highlights; guidance for FY13, FY14
PGCIL 1QFY13 capitalization stood higher at INR41b
v/s INR8b YoY.
Management is keen to lower CWIP in FY13
(INR155b as at Mar-12); it is targeting capitalization
of at least INR200b, v/s targeted capex of INR200b
(INR50b capitalization till July-12)
PGCIL maintained its 12th Plan capex target of
INR1t+ and guided to manage equity commitment
without any dilution, if need by taking lower DER.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
PWGR IN
4630
118
9.8
122 / 94
1/9/9
Quarterly Performance
Y/E March
Jun-11
Sep-11
Operating Income 22,025
22,644
Change (%)
10.2
6.5
EBITDA
18,455
18,978
Change (%)
9.8
6.3
EBITDA Margin (%) 83.8
83.8
Reported PAT
7,053
7,087
Adjusted PAT
7,022
7,601
Change (%)
18.9
27.1
PAT Margin (%)
31.9
33.6
Key Operating metrics (INR b)
Capitalization
8
33
Capex
19
27
RAB
138
148
E: MOSL Estimates
Dec-11
24,666
20.2
21,027
21.7
85.2
8,092
7,743
28.1
31.4
22
41
154
Mar-12
31,019
40.3
26,038
40.2
83.9
10,317
10,832
44.7
34.9
78
91
178
Jun-12
28,883
31.1
24,646
33.6
85.3
8,705
9,065
29.1
31.4
41
30
190
(INR Million)
FY12
100,353
19.6
83,824
18.9
83.5
32,550
33,199
30.7
33.1
141
178
178
FY13E
131,748
31.3
112,739
34.5
85.6
39,758
39,758
19.8
30.2
170
190
229
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
69.4
7.8
13.1
9.7
Mar-12
69.4
8.0
13.0
9.5
Jun-11
69.4
7.7
13.6
9.3
132
August 27 - 31, 2012

8th Annual Global Investor Conference
Power Grid: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
Cost of Goods Sold
Staff Cost
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
Reported PAT
Extra-ordinary items
Adjusted PAT
Change (%)
(INR Million)
2011
2012
2013E
2014E
83,887 100,353 131,748 159,616
17.7
19.6
31.3
21.2
7,459
8,430
9,694
11,148
5,915
8,100
9,315
10,712
70,513 83,824 112,739 137,756
84.1
83.5
85.6
86.3
21,994
25,725
34,652
42,965
17,339
19,432
25,900
29,313
7,111
7,497
3,274
2,382
38,247 45,976 55,462 67,861
11,278
13,427
15,704
19,215
29.5
29.2
28.3
28.3
26,969 32,550 39,758 48,646
-1,569
649
360
0
25,400 33,199 40,118 48,646
10.3
30.7
20.8
21.3
Ratios
Y/E March
2011
Basic (INR)
Consolidated EPS
5.5
Growth (%)
0.3
Cash EPS
10.2
Book Value
46.1
DPS
1.8
Eq. Div.Payout (incl. Div. Tax.) 34.9
Valuation
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2012
7.2
30.7
12.7
50.7
2.2
35.6
2013E
8.7
20.8
16.1
56.2
2.6
35.3
2014E
10.5
21.3
19.8
63.1
3.2
35.0
21.4
11.5
13.0
10.9
2.5
1.5
16.4
9.2
12.4
10.4
2.3
1.8
13.6
7.3
10.3
8.8
2.1
2.2
11.2
5.9
9.4
8.1
1.9
2.7
Balance Sheet
Y/E March
Equity Share Capital
Reserves
Net Worth
Loans
Deferred tax liability
Advance against dep
Grant in Aid
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Other Current Assets
Loans & Advances
Current Liab. & Prov.
Net Current Assets
Application of Funds
2011
46,297
167,373
213,646
408,828
11,467
21,761
1,713
657,415
503,518
131,278
372,240
266,246
13,651
105,171
3,815
31,621
36,801
4,995
27,940
99,893
5,279
657,415
2012
46,297
188,319
234,593
520,004
16,009
21,761
1,713
794,080
644,518
157,003
487,514
314,789
11,846
118,485
4,674
23,370
21,333
5,744
63,364
138,555
-20,069
794,080
(INR Million)
2013E
2014E
46,297
46,297
214,056 245,700
260,329 291,973
631,085 748,341
21,575
28,385
21,761
21,761
1,713
1,713
936,463 1,092,173
814,518 994,518
191,655 234,620
622,862 759,898
334,789 364,789
10,041
8,237
122,330 131,355
6,136
7,434
27,072
32,798
11,082
3,625
6,606
7,597
71,434
79,902
153,560 172,106
-31,230 -40,751
936,463 1,092,173
13.6
9.3
14.8
9.0
16.2
9.4
17.6
9.6
138
0.2
85
0.2
75
0.2
75
0.2
1.7
2.1
2.4
2.6
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Interest
Less : Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
2011
38,291
21,994
17,339
11,278
-5,910
60,436
(INR Million)
2012
2013E
2014E
46,163 55,462 67,861
25,725
34,652
42,965
19,432
25,900
29,313
13,427
15,704
19,215
9,881
909
2,063
87,775 101,218 122,986
EO Income
-44
-187
0
0
CF frm Oper. incl. EO Items 60,392 87,588 101,218 122,986
(Inc)/Dec in FA
-135,645 -189,543 -190,000 -210,000
(Pur)/Sale of Investments
882
1,805
1,804
1,804
CF from Investments
-134,764 -187,738 -188,196 -208,196
(Inc)/Dec in Net Worth
(Inc)/Dec in Debt
Less : Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
36,719
0
0
0
68,441 115,718 116,646 124,066
17,339
19,432
25,900
29,313
9,426
11,603
14,021
17,002
78,396 84,683 76,726 77,752
4,024
32,776
36,801
-15,467
36,801
21,333
-10,252
21,333
11,082
-7,457
11,082
3,625
Key assumptions/operating metrics (INR b)
Y/E March
Capex
Capitalization
Regulated Equity
2011
137
74
136
2012
178
141
178
2013E
190
170
229
2014E
210
180
283
August 27 - 31, 2012
133

8th Annual Global Investor Conference
Reliance Communications
Company description
RCom is an integrated telecom operator with presence
in wireless (CDMA+GSM), long-distance (wholesale
voice and data), and broadband segments. It has ~17%
subscriber share of the Indian wireless market (second
highest). 'Global' segment includes wholesale voice
services, retail ILD calling cards, and network
infrastructure based services. Broadband segment
caters to voice, data, video, internet, and IT
infrastructure requirements of enterprises.
auction is expected to set the base price for all
future spectrum payments.
Potential value unlocking from tower assets and
Reliance Globalcom business.
Final government decision on spectrum re-farming.
Ramp-up of the 3G subscriber base post recent sharp
tariff cuts introduced by the industry.
1QFY13 highlights; guidance for FY13, FY14
Key investment positives
Potential value unlocking in the tower business or
strategic stake sale at the parent level can lead to
de-leveraging and provide adequate resources to
drive growth in GSM and 3G.
Presence in GSM as well as CDMA technologies.
Potential outlay related to renewal remains one of
the lowest as none of the higher priced circles are
coming up for renewal in the next few years.
Key challenges
Hyper-competition in the Indian mobile industry.
Regulatory uncertainty related to pricing of allocated
spectrum and spectrum re-farming.
High leverage with net debt/EBITDA of >5x.
Key news flows / triggers to watch
2G spectrum auction mandated by the Supreme
Court is expected to be held in November 2012. The
1QFY13 EBITDA grew 3% YoY and 1% QoQ to
INR16.5b (5% below estimate).
Reported PAT of INR1.62b was in line with our
estimate as lower depreciation and tax offset the
EBITDA shortfall.
Wireless revenue growth was below estimate at
0.5% QoQ. Wireless EBITDA grew 0.6% QoQ to
INR12.1b (EBITDA margin of 26.7%).
Traffic was up 2% QoQ (4%/4%/6% for Bharti/
Vodafone/Idea) to 105b minutes
RPM declined 1% QoQ (2.5% QoQ decline for Bharti/
Idea) to 43.1p.
Flat 1QFY13 wireless EBITDA performance compared
favorably with the sharp QoQ decline reported by
Bharti (India & SA) and Idea.
While net debt declined by INR1.9b QoQ to
INR356b, this was accompanied with ~INR19b
increase in current liabilities to INR166b.
Capex guidance for FY13 is INR15b.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
RCOM IN
2064
56
2.1
110 / 53
-17 / -43 / -31
Quarterly Performance
Y/E March
Jun-11
Revenue
49,401
YoY Change(%)
-3.3
EBITDA
16,021
YoY Change(%)
-1.8
EBITDA Margin(%) 32.4
Reported PAT
1,574
Adjusted PAT
2,235
YoY Change(%)
-25.4
PAT Margin(%)
4.5
Key operating metrics
Mobile Traffic (B Min) 98
QoQ Change(%)
3.2
Mobile RPM (INR)
0.44
QoQ Change(%)
-0.1
E: MOSL Estimates
Sep-11
50,402
-1.5
16,051
-3.3
31.8
2,521
3,223
-34.3
6.4
99
1.4
0.45
0.7
Dec-11
50,521
1.0
16,111
-3.4
31.9
1,862
2,408
-54.2
4.8
100
1.0
0.45
-0.3
Mar-12
53,100
-0.4
16,322
2.5
30.7
3,316
2,017
13.6
3.8
103
3.4
0.44
-2.0
Jun-12
53,192
7.7
16,502
3.0
31.0
1,624
1,914
-14.4
3.6
105
1.8
0.43
-1.3
(INR Million)
FY12
203,424
-1.1
64,506
-1.5
31.7
9,274
9,884
-33.8
4.9
399
0.44
FY13E
213,979
5.2
65,949
2.2
30.8
6,611
7,587
-23.2
3.5
426
0.43
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
67.9
9.3
8.0
14.8
Mar-12
67.9
9.3
8.4
14.4
Jun-11
67.9
8.9
9.7
13.5
134
August 27 - 31, 2012

8th Annual Global Investor Conference
Reliance Communications: Financials and valuation
Income Statement
Y/E March
2011
Revenues
205,627
Change (%)
-7.6
EBITDA
65,515
% of Gross Sales
31.9
Depn. & Amortization
39,739
EBIT
25,776
Net Interest and others -10,723
PBT
15,053
Tax
117
Rate (%)
0.8
Adjusted PAT
14,936
Change (%)
-69.4
PAT after EO
13,457
2012
203,424
-1.1
64,506
31.7
39,783
24,723
-15,901
8,822
-1,062
-12.0
9,884
-33.8
9,274
(INR Million)
2013E
213,979
5.2
65,949
30.8
37,254
28,694
-21,033
7,661
74
1.0
7,587
-23.2
6,611
2014E
226,617
5.9
70,981
31.3
38,571
32,410
-19,866
12,545
250
2.0
12,295
62.0
10,829
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
Book Value
DPS
Payout %(Incl.Div.Taxes)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity Ratio(x)
2011
7.2
26.5
177.3
0.6
9.0
2012
4.8
24.1
157.9
0.3
6.5
2013E
3.7
21.7
158.6
0.3
9.1
2014E
6.0
24.7
164.3
0.3
5.6
Balance Sheet
Y/E March
Share Capital
Addl. Paid up Capital
Reserves
Net Worth
Loans
Minority Interest
Capital Employed
Gross Block
Less : Depreciation
Net Block
Investments
Curr. Assets
Inventories
Debtors
Cash & Bank Balance
Other Current Assets
Curr. Liab. & Prov.
Net Curr. Assets
Appl. of Funds
2011
10,320
90,306
256,892
357,518
373,757
8,245
739,520
2012
10,320
90,306
216,497
317,123
369,178
8,602
694,903
(INR Million)
2013E
10,320
90,306
216,932
317,558
364,610
9,683
691,851
2014E
10,320
90,306
227,157
327,784
341,371
11,148
680,302
11.6
2.3
7.3
2.3
0.4
0.5
15.2
2.6
6.9
2.1
0.4
0.5
9.4
2.3
6.1
1.9
0.3
0.5
3.9
2.9
2.9
2.7
2.3
2.9
3.7
3.4
71
0.32
64
0.30
71
0.32
71
0.34
1,002,814 1,045,869 1,087,660 1,109,462
273,406 331,091 379,870 418,441
729,408 714,778 707,789 691,021
1,089
1,230
1,284
1,284
160,784
5,172
40,017
53,272
62,323
151,761
9,023
739,520
160,806
5,663
35,839
10,785
108,519
181,911
-21,105
694,903
179,806
5,077
41,876
21,891
110,962
197,028
-17,222
691,851
189,132
5,377
44,349
21,891
117,515
201,135
-12,003
680,302
1.0
1.1
1.1
1.0
Cash Flow Statement
Y/E March
2011
Op.Profit/(Loss) bef Tax 64,036
Other Income
0
Interest Paid
-10,723
Direct Taxes Paid
-117
(Inc)/Dec in Wkg. Cap. -120,718
CF from Op.Activity
-67,522
(inc)/Dec in FA + CWIP
-53,752
(Pur)/Sale of Investments
110
CF from Inv.Activity
-53,642
Issue of Shares
0
Inc/(Dec) in Debt
126,284
Dividends Paid
2
Other Financing Activities -434
CF from Fin.Activity
125,852
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
4,687
48,585
53,272
2012
63,896
0
-15,901
1,062
-61,424
-12,367
-25,153
-141
-25,294
0
-4,579
2
-246
-4,823
-42,487
53,272
10,785
(INR Million)
2013E
64,972
0
-21,033
-74
1,650
45,515
-30,266
-54
-30,320
0
-4,568
2
478
-4,088
11,106
10,785
21,891
2014E
69,517
0
-19,866
-250
-5,220
44,181
-21,803
0
-21,803
0
-23,239
2
861
-22,376
0
21,891
21,891
Key assumptions/operating metrics
Wireless
Subs (m)
YoY (%)
Net adds per month (m)
YoY (%)
Total mobile traffic (b min)
YoY (%)
Avg. Rev Per User (INR/mon)
YoY (%)
Minutes of Use/Sub/Month
YoY (%)
Wireless RPM (INR)
YoY (%)
Wireless capex (INR b)
Wireless Capex/Sales (%)
E: MOSL Estimates
August 27 - 31, 2012
136
33
2.77
12
375
7
116
-28
262
-21
0.44
-8
116
70
153
13
1.4
-48
399
7
102
-12
231
-12
0.44
0
8
5
161
5
0.7
-52
426
7
98
-4
226
-2
0.43
-2
9
5
171
6
0.8
16
446
5
99
1
224
-1
0.44
2
14
7
135

8th Annual Global Investor Conference
Reliance Industries
Company description
Reliance Industries (RIL), a Fortune 500 company, is
India's largest private sector entity, with turnover of
USD66.8b and net profit of USD3.9b. Till recently, RIL
has reported consistently high CAGR in topline and
bottomline through backward integration in energy
chain (textiles, petchem, refining and E&P). It is now
trying to make its mark in new areas like retail and
telecom (owns BWA license).
cotton prices will act as a limiting factor for margins
in the short term.
Key challenges
Declining KG-D6 production.
RoE accretive cash utilization.
Our estimates could be adversely affected by lower
than expected refining and petchem margins.
Key news flows / triggers to watch
DGH approvals for its E&P program and update on
its KG-D6 ramp-up.
Margin trend in refining and petchem.
Developments on its USD12b capex plan on new
capacities.
Launch of its Broadband Wireless Access (BWA)
services.
Key investment arguments
E&P (22% of FY12 EBIT) upside contingent on
government approvals:
E&P segment growth is
limited in medium-term led by declining KG-D6
production and reserve downgrade by RIL/Niko.
Delays in approvals of development plans for
satellite fields in KG-D6 and NEC-25 is further adding
to uncertainty.
Refining (40% of FY12 EBIT) - global capacity closures
will boost margins:
Unless significant refining
closures take place, GRM's are unlikey to increase
meaningfully in view of uncertain global economic
environment (particularly Europe) and declining
Light-Heavy differentials.
Petchem (38% of FY12 EBIT) - Margins seems to have
bottomed:
While polymers margins seems to have
bottomed, recovery will be contingent on global
economic environment. On the polyester front,
1QFY13 highlights; guidance for FY13, FY14
RIL' 1QFY13 GRM stood at USD7.6/bbl, a premium of
USD0.9/bbl over Singapore led by expansion in Arab
L-H differential and increased premium for low
sulphur diesel.
Petchem EBIT margin at 8% was the lowest since
3QFY05 led by weak polyester and PP margins.
RIL plans to submit integrated revised field
development plan (FDP) for D1/D3 in 3QFY13.
RIL guides for 8-10% contribution at EBITDA level
from its shale gas business by 2015.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
RIL IN
3242
815
47.4
902 / 674
10 / 3 / 3
Quarterly Performance
Y/E March
Jun-11
Operating Income
810
Change (%)
39.1
EBITDA
99
Change (%)
6.3
EBITDA Margin (%) 12.3
Reported PAT
57
Adjusted PAT
57
Change (%)
16.7
PAT Margin (%)
7.0
Key Metrics
GRM (USD/bbl)
10.3
KG-D6 production (mmscmd) 49
Segmental EBIT Breakup
Refining
32
Petrochemicals
22
E&P, others
15
Total
69
E: MOSL Estimates
Sep-11
786
36.7
98
4.8
12.5
57
57
15.8
7.3
10.1
45
31
24
15
70
Dec-11
851
42.4
73
-23.7
8.6
44
44
-13.6
5.2
6.8
41
17
22
13
51
Mar-12
852
17.2
66
-33.3
7.7
42
42
-21.2
5.0
7.6
35
17
22
10
48
Jun-12
919
13.4
67
-32.0
7.3
45
45
-21.0
4.9
7.6
33
22
18
10
49
(INR Billion)
FY12
3,299
32.9
336
-11.8
10.2
200
200
-1.2
6.1
8.7
43
97
90
53
239
FY13E
3,550
7.6
289
-13.9
8.2
190
190
236.2
5.4
7.8
28
89
78
36
203
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
45.3
11.1
21.0
22.6
Mar-12
44.9
10.6
21.7
22.8
Jun-11
44.8
10.7
21.9
22.6
136
August 27 - 31, 2012

8th Annual Global Investor Conference
Reliance Industries: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate* (%)
PAT
Adj. PAT
Change (%)
2011
2,482
28.9
381
15.4
136
23
31
252
50
19.6
203
203
24.9
2012
3,299
32.9
336
10.2
114
27
62
258
57
22.2
200
200
-1.2
(INR Billion)
2013E
3,531
7.0
289
8.2
101
29
79
239
49
20.3
190
190
-5.0
2014E
3,226
-8.6
322
10.0
97
29
70
266
60
22.6
206
206
8.2
Ratios
Y/E March
Basic (INR)
EPS
Adj. EPS (ex Treasury)
Cash EPS
Adj. Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Adj. P/E
Cash P/E
EV / EBITDA
EV / Sales
Adj. Price / Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (No. of Days)
Fixed Asset Turnover (x)
Leverage Ratio
Net Debt / Equity (x)
2011
62.0
68.4
103.5
511.2
8.0
13.7
2012
61.3
67.7
96.1
560.7
8.5
14.7
2013E
58.7
64.9
89.8
613.2
8.9
17.7
2014E
63.5
70.2
93.5
671.5
9.3
17.0
Balance Sheet
Y/E March
2011
Share Cap. (incl sh. Susp.)
33
Reserves
1483
Net Worth
1,515
Total Loans
674
Deferred Tax
116
Capital Employed
2,305
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets, L & Adv.
Inventory
Debtors
Cash & Bank Balance
Loans&Adv.and Other CA
Current Liab. & Prov.
Liabilities
Provisions
Net Current Assets
Application of Funds
2213
785
1,427
128
377
2012
33
1628
1,661
684
121
2,466
2055
918
1,137
78
540
(INR Billion)
2013E
32
1765
1,798
682
126
2,605
2106
1018
1,088
179
581
2014E
32
1938
1,970
679
131
2,781
2166
1115
1,051
293
623
13.2
11.9
7.9
7.7
1.2
1.6
1.0
13.3
12.0
8.5
7.9
0.8
1.5
1.0
13.9
12.6
9.1
9.2
0.8
1.3
1.1
12.8
11.6
8.7
8.1
0.8
1.2
1.1
14.8
12.9
13.0
12.1
11.2
10.7
11.1
11.1
21
1.1
20
1.5
19
1.7
20
1.5
0.2
0.0
0.0
0.0
Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Depreciation
Interest /Other Income
Direct Taxes Paid
(Inc)/Dec in Wkg. Capital
Other op activities
CF from Op. Activity
2011
252
162
-3
-42
1
-38
333
2012
258
137
-17
-48
-28
-32
270
-80
62
-12
-30
-2
-85
-28
-115
125
271
396
(INR Billion)
2013E
239
101
-50
-44
-98
0
147
-153
-41
79
-114
-24
-32
-29
-85
-52
396
344
2014E
266
97
-41
-55
14
0
281
-175
-42
70
-146
0
-31
-34
-65
70
344
414
298
174
271
171
360
184
396
257
383
189
344
264
348
173
414
272
497
46
373
2,305
442
43
712
2,466
375
48
758
2,606
343
50
814
2,781
(Inc)/Dec in FA & CWIP
-121
(Pur)/Sale of Investments -141
Other In activities
59
CF from Inv. Activity
-203
Change in Equity
Inc / (Dec) in Debt
Dividends Paid
CF from Fin. Activity
Inc / ( Dec) in Cash
Add: Opening Balance
Closing Balance
2
30
-24
7
137
135
271
Key assumptions/operating metrics
Exchange rate
Refining throughput (mmt)
Ref. cap. utilization (%)
RIL GRM
Singapore GRM
Premium
KG-D6 gas production*
*mmscmd
46
67
107
8.7
5.2
3.5
56
48
68
109
8.4
8.3
0.1
43
54
69
111
7.8
7.2
0.6
28
52
66
107
8.6
8.0
0.6
22
August 27 - 31, 2012
137

8th Annual Global Investor Conference
Reliance Infrastructure
Company description
Reliance Infrastructure is an infrastructure
conglomerate with presence in Roads, Urban Infra
(MRTS), Power (entire chain including Generation,
Transmission, Distribution), Real Estate, etc. The
company has in-house EPC capabilities developed over
period of time.
Key challenges
Internal orders represent ~80% of EPC business
order book and R-Power contributes 90%+ of
internal order book, leading to concentration.
Sectoral caps/group exposure norms have impacted
funding to various power/infrastructure projects.
Successful financial closure for major projects under
development is important for timely
implementation.
Key investment positives
Regulatory approval 1) Renewal of Rinfra' Mumbai
region power distribution license for 25 years 2)
Recovery of past arrears of INR19b 3) Levy of Cross
subsidy surcharge, removes overhang on
distribution business of Rinfra.
EPC order book of INR156b (book to bill ratio of 1.3x),
provides revenue visibility for the segment.
RELI has invested INR40b in its infra portfolio of 25
infra projects aggregating around ~INR400b, of
which 7 road projects (590 km), 6 transmission line
(715km) are operational and is targeting to
commission another 3 Roads and 3 transmission lines
by FY13.
Net cash stands as at FY12 at INR44b coupled with
robust cash flows from existing operations and net
debt free status would enable the company to fund
equity contribution towards on-going/future
projects.
Key news flows / triggers to watch
MERC has approved recovery of prior period tariff
arrears (Including cross subsidy surcharge) of
INR23b. Recovery is to start from 1QFY13.
Firm gas allocation for Dadri/other gas based
projects from EGoM will provide visibility on gas
based generation projects of R-Power.
Operational performance of infra projects in FY13
1QFY13 highlights; guidance for FY13, FY14
Reliance Infra 1QFY13 PAT boosted by higher
revenue and margin under EPC segment.
EBIT contribution from Infra segment stood positive
at INR364m (v/s loss of INR55m YoY) in 1QFY13.
As at FY12, equity investment in various
infrastructure SPV's stand at INR43.6b and INR12b
outstanding equity is expected to be infused in near
term.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
RELI IN
263
511
2.4
680 / 328
-5 / -14 / 8
Quarterly Performance
Y/E March
Jun-11
Operating Income 36,607
Change (%)
64.3
EBITDA
6,961
Change (%)
174.7
EBITDA Margin (%) 19.0
Reported PAT
4,305
Adjusted PAT
2,874
Change (%)
16.7
PAT Margin (%)
7.9
Key Operating metrics
EPC Order Book (INR b)280
EPC Revenue (INR b) 19
EPC margins (%)
20
E: MOSL Estimates
Sep-11
39,505
62.0
7,096
70.5
18.0
4,957
4,903
122.4
12.4
243
24
23
Dec-11
44,777
69.8
6,518
144.1
14.6
4,158
4,057
118.6
9.1
212
30
17
Mar-12
57,316
148.1
6,173
156.1
10.8
6,581
6,478
56.6
11.3
173
44
11
Jun-12
34,473
-12.7
4,598
-35.2
13.3
3,270
3,270
-33.3
9.5
156
18
17
(INR Million)
FY12
178,205
85.3
26,748
127.1
15.0
20,002
19,621
84.1
11.0
173
117
17
FY13E
145,124
-18.6
15,003
-43.9
10.3
10,486
10,486
-46.6
7.2
223
69
7
Shareholding pattern (%)
Jun-12
Promoter
48.6
Domestic Instn 21.3
Foreign
16.5
Others
13.6
Mar-12
48.6
21.2
16.3
14.0
Jun-11
48.1
21.0
17.1
13.8
138
August 27 - 31, 2012

8th Annual Global Investor Conference
Reliance Infrastructure: Financials and valuation
Income Statement
Y/E March
Sales
Other Operating Income
Total Revenues
Change (%)
EBITDA
% of Total Revenues
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
Reported PAT
Change (%)
Adj. PAT
Change (%)
2011
58,062
38,084
96,146
-4.1
11,777
12.2
3,134
2,424
5,132
11,351
541
4.8
10,810
1.8
10,810
1.8
2012
56,140
122,065
178,205
85.3
26,748
15.0
2,678
4,466
5,372
24,977
4,975
19.9
20,002
85.0
19,621
81.5
(INR Million)
2013E
77,013
86,500
163,513
-8.2
20,087
12.3
4,452
7,579
6,698
14,755
3,085
20.9
11,669
-41.7
11,669
-40.5
2014E
85,275
66,940
152,215
-6.9
18,075
11.9
3,982
4,377
7,123
16,838
3,521
20.9
13,318
14.1
13,318
14.1
Ratios
Y/E March
Basic (INR)
EPS
EPS (Fully Diluted)
CEPS (INR)
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
40.4
40.4
52.1
642.5
6.0
16.7
2012
73.4
73.4
83.4
710.6
6.0
9.2
2013E
43.6
43.6
60.3
747.4
6.0
15.5
2014E
49.8
49.8
64.7
790.5
6.0
13.6
7.0
1.0
0.1
0.7
1.2
11.7
1.5
0.2
0.7
1.2
10.3
1.8
0.2
0.6
1.2
Balance Sheet
Y/E March
2011
Share Capital
2,675
Reserves
169,182
Net Worth
171,857
Loans
39,692
Consumer's Security Depos.
0
Deferred Tax Liability
990
Capital Employed
212,539
Gross Fixed Assets
105,137
Less: Dep & Reval. Res. -47,896
Net Fixed Assets
57,242
Capital WIP
6,493
Investments
125,841
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other Current Assets
Current Liab. & Prov.
Other Liabilities
Provisions
Net Current Assets
Misc Expenses
Application of Funds
160,940
2,903
27,931
3,711
108,713
17,681
137,976
125,114
12,862
22,964
-
212,539
2012
2,675
187,379
190,053
51,792
-45
990
242,790
113,387
-50,573
62,814
5,644
130,570
234,924
2,700
28,769
90,734
83,888
28,832
197,928
185,324
12,604
36,995
1
242,790
(INR Million)
2013E
2,675
197,243
199,917
55,642
-90
1,440
256,909
118,887
-55,025
63,863
3,500
130,620
231,711
2,700
29,632
97,111
76,976
25,291
179,551
167,199
12,352
52,161
2
256,909
2014E
2,675
208,755
211,430
58,967
-134
1,890
272,152
123,637
-59,007
64,630
0
130,670
229,935
2,700
30,521
104,582
72,565
19,567
159,850
147,745
12,105
70,085
2
272,152
6.8
7.1
11.1
13.3
6.0
9.1
6.5
8.1
106
11
0.5
59
6
0.7
66
6
0.6
73
6
0.6
0.3
0.2
0.3
0.3
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Less : Direct Taxes Pd
(Inc)/Dec in WC
CF from Operations
2011
11,351
3,134
541
48,907
62,851
2012
24,977
2,678
4,975
72,992
95,671
-7,402
-4,729
-12,130
(INR Million)
2013E
14,755
4,452
2,635
-8,788
7,783
-3,356
-50
-3,406
2014E
16,838
3,982
3,071
-10,454
7,296
-1,250
-50
-1,300
(Inc)/dec in FA
-31,864
(Pur)/Sale of Investmnts-43,566
CF from Investments
-75,431
(Inc)/Dec in Share
Capital and reserves
(Inc)/Dec in Debt
(Inc)/Dec in Customer
Security Deposits
Dividend Paid
Others
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
16,288
-3,225
0
-1,805
2,014
13,272
692
3,018
3,710
0
5,775
-45
-1,805
-442
3,483
87,023
3,711
90,734
0
3,850
-45
-1,805
0
2,000
6,377
90,734
97,111
0
3,325
-45
-1,805
0
1,475
7,470
97,111
104,582
Key assumptions/operating metrics
Y/E March
EPC Order Book (INR b)
EPC Revenue (INR b)
EPC EBITDA Margins (%)
2011
246.25
57.6
13.0
2012
172.8
60.35
22.9
2013E
222.8
25.6
10.3
2014E
272.8
12.8
10.0
August 27 - 31, 2012
139

8th Annual Global Investor Conference
Rural Electrification Corporation
Company description
Rural Electrification Corporation (RECL) is a Navratna
Central Public Sector Enterprise under Ministry of Power
providing financial support to promote rural
electrification projects all over the country. As on June
2012, RECL had an outstanding loanbook of over INR1t
and sanctions pipeline of ~INR1.4 t.
Key challenges
Continued policy paralysis could lead to slowdown
in growth as the current sanctions pipeline may not
get converted into disbursements.
With increasing share of private players and higher
share of loans to SEBs the asset quality risks remain
high.
Key investment positives
Despite macroeconomic slowdown, RECL has been
able to grow its loan book by 24% YoY and 5% QoQ in
1QFY13 led by strong sanctions pipeline (~INR1.4t
as on June 2012). While the current uncertain macro
environment may put questions over existing
sanctions getting converted into disbursements,
corrective measures by the government and its
thrust on infrastructure development could boost
growth.
RECL has demonstrated excellent asset liability
management skills over the past few quarters, which
has resulted into strong margin performance. For
FY12, RECL recorded margin of 4.3%+, much higher
than its peers. With wholesale rates already starting
to cool off, we expect margins to remain steady at
current levels.
Despite higher exposure to state utilities, RECL's
asset quality has remained relatively healthy.
Currently, the stock offers a healthy dividend yield
of ~5%, even after factoring in dividend payout of
25% v/s average ~30% payout historically.
Key news flows / triggers to watch
The final guidelines on SEB loan restructuring for
banks and IFCs will be crucial in determining the
asset quality impact for RECL.
RECL has submitted its roadmap to the RBI to adopt
the standard NBFC regulations by March 2013.
Approval of the same will decide, the impact of
standard asset provisioning on RECL's earnings from
FY14 onwards.
1QFY13 highlights; guidance for FY13, FY14
RECL's 1QFY13 performance was much above
expectations led by strong topline performance
(driven by better than expected margins), higher
other income and NIL provisions during the quarter.
Loans grew strongly by 24% YoY and 5% QoQ; while
margins improved by 27bp QoQ leading to positive
surprise on the topline front.
For FY13, management expects loan growth in the
region of 20-25%.
On the asset quality front, management continues
to remain cautious as the macro environment
remains challenging.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
RECL IN
987
211
3.7
251 / 142
6 / -12 / 11
Quarterly Performance
Y/E March (INR m) Jun-11
Net Interest Income 9,097
YoY Gr. (%)
17.3
Operating Profit
9,206
YoY Gr. (%)
16.1
Provisions
250
Profit After Tax
6,619
YoY Gr. (%)
12.7
Adj. PAT
6,672
YoY Gr. (%)
13.5
Key Operating Metrics
Loan Growth (%)
24.0
NIM (%; calc.)
4.3
GNPA (%)
0.3
E: MOSL Estimates
Sep-11
9,501
21.8
8,337
-0.3
0
6,225
0.7
7,166
19.8
24.0
4.3
0.3
Dec-11
10,052
18.5
10,629
17.9
241
7,695
15.9
7,054
6.5
25.4
4.3
0.5
Mar-12
10,207
19.5
10,277
8.6
32
7,627
8.9
7,675
16.5
24.1
4.2
0.5
Jun-12
11,654
28.1
11,784
28.0
0
8,767
32.5
9,046
35.6
24.3
4.5
0.5
(INR Million)
FY12
38,850
19.3
38,454
10.6
523
28,173
9.6
28,566
14.0
23.4
4.2
0.5
FY13E
47,271
21.7
47,068
22.4
750
34,275
21.7
34,935
22.3
19.8
4.2
0.8
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
66.8
6.1
20.2
7.0
Mar-12
66.8
6.4
19.6
7.2
Jun-11
66.8
5.2
19.1
8.9
140
August 27 - 31, 2012

8th Annual Global Investor Conference
Rural Electric Corporation: Financials and valuation
Income Statement
Y/E March
Interest on Loans
Interest Expense
Net Financing Income
Change (%)
Other Operating Income
Other Income
Net Income
Change (%)
Employee Cost
Administrative Exp
Other Operating Exp.
Operating Income
Change (%)
Total Provisions
% to Operating Income
PBT
Prior Period Adjustments
PBT(post prior period adj)
Tax (Incl Deferred tax)
Tax Rate (%)
PAT
Change (%)
PAT (Incl DTL)
Change (%)
Proposed Dividend
2011
81,088
48,510
32,578
28.8
1,481
2,384
36,443
29.8
1,275
337
66
34,765
31.5
2
0.0
34,763
-32
34,731
9,067
26.1
25,664
28.5
25,610
28.2
7,406
2012
102,640
63,790
38,850
19.3
741
1,189
40,780
11.9
1,710
370
246
38,454
10.6
523
1.4
37,931
0
37,931
9,758
25.7
28,173
9.8
28,200
10.1
7,410
(INR Million)
2013E
124,696
77,425
47,271
21.7
1,481
841
49,592
21.6
1,795
426
303
47,068
22.4
750
1.6
46,318
0
46,318
12,043
26.0
34,275
21.7
34,275
21.5
10,283
2014E
145,802
88,969
56,833
20.2
1,778
976
59,586
20.2
2,064
490
363
56,669
20.4
1,000
1.8
55,669
0
55,669
14,474
26.0
41,195
20.2
41,195
20.2
12,358
Ratios
Y/E March
Spreads Analysis (%)
Avg.Yield-on Financing
Portfolio
Avg Cost of Funds
Interest Spread
Net Interest Margin
Profitability Ratios (%)
RoE
RoA
Efficiency Ratios (%)
Int. Expended/Int.Earned
Op. Exps./Net Income
Empl. Cost/Op. Exps.
2011
2012
2013E
2014E
10.9
7.6
3.3
4.4
11.2
7.9
3.3
4.2
11.2
7.8
3.3
4.2
11.0
7.7
3.3
4.3
21.5
3.4
20.5
3.0
21.6
3.0
22.5
3.1
59.8
4.6
76.0
62.1
5.7
73.5
62.1
5.1
71.1
61.0
4.9
70.8
Asset-Liability Profile (%)
Loans/Borrowings Ratio 117.3
Debt/Equity Ratio
5.5
112.7
6.1
116.3
6.2
116.3
6.3
Valuations
Book Value (INR)
Price-BV (x)
OPS (INR)
Price-OP (x)
EPS (INR)
EPS Growth (%)
Price-Earnings (x)
Dividend
Dividend Yield (%)
129.4
35.2
25.9
28.2
7.5
149.2
1.4
38.9
5.4
28.6
10.1
7.4
7.5
3.6
171.7
1.2
47.7
4.4
34.7
21.5
6.1
10.4
4.9
198.8
1.1
41.7
5.1
41.7
20.2
5.1
12.5
5.9
Balance Sheet
Y/E March
Capital
Reserves & Surplus
Net Worth
Borrowings
Change (%)
Total Liabilities
Investments
Change (%)
Loans
Change (%)
Net Fixed Assets
Net current assets
Total Assets
(INR Million)
2011
2012
2013E
9,875
9,875
9,875
117,884 137,475 159,719
127,758 147,349 169,594
700,038 899,680 1,044,146
25.1
28.5
16.1
827,797 1,047,029 1,213,740
8,124
7,580
7,959
-10.7
-6.7
5.0
821,321 1,013,620 1,214,123
23.6
23.4
19.8
881
780
865
-2,529
25,049
-9,207
827,797 1,047,029 1,213,740
2014E
9,875
186,455
196,329
1,232,655
18.1
1,428,985
8,357
5.0
1,433,320
18.1
890
-13,582
1,428,985
August 27 - 31, 2012
141

8th Annual Global Investor Conference
Shoppers Stop
Company description
Shoppers Stop is positioned as premium retailer in India
having 139 stores in 19 cities with an area of 3.7m sqft
across formats. Major retail formats include
Departmental stores (Shoppers Stop), Hypermart
(Hypercity), Books (Crossword), Specialty (Mac, Estee
Lauder and Clinique) and Home Retailing (Home Stop).
It is promoted by CL Raheja group, one of the largest
real estate groups in India.
1QFY13), lower internal cash generation and faster
expansions could burden the balance sheet.
Key news flows / triggers to watch
With FDI in retail likely in the near future, funding
options for Hypercity as well as other specialty
formats could open up.
LTL growth and margin trends over next few
quarters.
Sales trend in Tier2/3 stores of Hypercity and EBIDTA
level breakeven.
Key investment positives
Shoppers Stop is a play on rising consumer
discretionary spends, with its lifestyle positioning
and growing presence across formats.
With current area of 3.2m sqft across 52 stores, it
plans to expand by increasing its departmental store
count to 60.
It provides an opportunity to participate in
Hypermart format and benefit from FDI in retail due
to its 51% stake in Hypercity Retail.
1QFY13 highlights; guidance for FY13, FY14
LTL sales growth of 1% due to weak economic
outlook. LTL volumes declined 4% as against 1%
growth in 1QFY13.
Hypercity Retail (51% stake) reported sales of
INR1.9b (INR1.6b in 4QFY12). LTL sales growth
improved to 7% but LTL volumes fell 7%. Net loss
declined marginally from INR217m to INR214m.
We expect margins for FY12-13 to remain under
pressure due to 1) weak consumer demand,
2) higher apparel prices affecting volumes, 3) rising
wage costs due to high inflation, and 3) increase in
overheads due to new store openings. Margin
recovery is likely only in FY14.
Key challenges
Increase in apparel prices as well as initial signs of
slower off-take in consumer discretionary formats
have impacted LTL volume growth and margins.
With increasing losses in Hypercity (INR214m in
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
SHOP IN
83
365
0.5
427 / 251
-2 / 11 / -11
Quarterly Performance
Y/E March
Jun-12
Operating Income
3,930
change (%)
14.4
EBITDA
263
Change (%)
5.2
EBITDA Margin (%) 6.7
Reported PAT
117
Adjusted PAT
117
Change (%)
17.2
PAT Margin (%)
3.0
Key Operating metrics
LTL Sales Gr %
7.0
Deptt Stores
41
E: MOSL Estimates
Sep-12
4,973
14.9
387
1.4
7.8
195
195
12.5
3.9
11.0
43
Dec-12
5,017
9.9
414
-19.7
8.2
193
193
-30.8
3.8
-1.3
49
Mar-12
5,406
18.5
363
-2.8
6.7
137
137
-31.0
2.5
10.0
51
Jun-13
4,467
13.6
138
-47.7
3.1
12
12
-89.4
0.3
1.0
52
(INR Million)
FY12
19,300
16.3
1,427
-6.2
7.4
12
12
-89.4
0.1
7.0
51
FY13E
25,148
30.3
1,816
27.3
7.2
220
220
12.6
0.9
10.0
60
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
67.8
9.5
9.8
12.9
Mar-12
67.9
6.5
13.7
12.0
Jun-11
68.2
6.6
13.2
12.1
142
August 27 - 31, 2012

8th Annual Global Investor Conference
Shoppers Stop: Financials and valuation
Income Statement
Y/E March
2011
Net Revenues
17,120
Change (%)
22.2
Other Income - Recurring
241
Total Expenditure
15,599
EBITDA
1,521
Change (%)
43.0
Margin (%)
8.9
Depreciation
310
Int. and Fin. Charges
145
Non-operational Income
72
Profit before Taxes
1,138
Change (%)
98.9
Margin (%)
6.6
Tax
387
Tax Rate (%)
34.0
Profit after Taxes
751
Change (%)
79.9
Margin (%)
4.4
Exceptionals
1
Reported PAT
752
2012
19,024
11.1
277
17,829
1,427
-6.2
7.5
377
250
178
978
-14.0
5.1
335
34.3
643
-14.5
3.4
0
643
(INR Million)
2013E
25,148
32.2
343
23,331
1,816
27.3
7.2
459
299
159
1,218
24.5
4.8
402
33.0
816
26.9
3.2
0
816
2014E
29,943
19.1
394
27,667
2,276
25.3
7.6
524
251
160
1,661
36.4
5.5
548
33.0
1,113
36.4
3.7
0
1,113
Ratios
Y/E March
Basic (INR)
EPS
Cash EPS
BV/Share
DPS
Payout %
Valuation (x)
P/E
Cash P/E
EV/Sales
EV/EBITDA
P/BV
Dividend Yield (%)
Return Ratios (%)
RoE
RoCE
RoCE Adjusted for Inv
Working Capital Ratios
Debtor (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2011
9.1
12.9
72.8
0.8
8.2
2012
7.8
12.4
79.0
1.2
14.9
2013E
9.9
15.5
87.2
1.5
15.0
2014E
13.5
19.9
98.3
2.0
15.0
46.7
29.4
1.6
21.2
4.6
0.3
36.8
23.5
1.2
16.5
4.2
0.4
27.0
18.3
1.0
12.8
3.7
0.6
12.6
16.3
23.9
9.9
11.0
15.0
11.4
13.7
18.7
13.8
16.9
23.7
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Tax
Capital Employed
Gross Block
Less: Accum. Depn.
Net Fixed Assets
Capital WIP
Property Lease Deposit
Investments
Curr. Assets, L&A
Inventory
Account Receivables
Cash and Bank Balance
Loans and Advances
2011
411
5,570
5,981
1,487
-33
7,436
5,056
1,935
3,121
446
1,068
2,372
3,428
1,511
160
26
1,730
2012
411
6,078
6,489
3,062
0
9,551
6,649
2,310
4,339
250
1,352
2,550
4,537
2,050
158
195
2,134
3,477
3,182
183
112
1,060
9,551
51
31.6
(INR Million)
2013E
411
6,751
7,162
2,765
0
9,927
7,691
2,768
4,923
250
1,516
2,652
5,092
2,408
181
219
2,284
4,506
4,152
211
143
586
9,927
60
31.5
2014E
411
7,668
8,079
2,260
0
10,339
8,669
3,292
5,377
250
1,664
2,958
5,469
2,643
212
156
2,458
5,380
4,942
242
195
89
10,339
68
31.5
3
2.3
3
2.0
3
2.5
3
2.9
0.2
0.5
0.4
0.3
Cash Flow Statement
Y/E March
Profit before tax
Add : Depreciation
Interest
Direct Taxes Paid
Incr in WC
Ch In DFA
Extra-ordinay Income
CF from Operations
Incr in FA
Investments
CF from Invest.
Incraese in networth
Increase In debt
Interest Paid
Dividend Paid
Others
CF from Fin. Activity
Incr/Decr of Cash
Add: Opening Balance
Closing Balance
2011
1,138
68
145
387
613
13
1
366
650
1,175
1,825
2,210
-506
145
70
-34
1,455
-4
30
26
2012
978
375
250
335
463
33
0
772
1,396
179
1,574
-23
1,575
250
112
-219
971
168
26
195
(INR Million)
2013E
1,218
459
299
402
-499
0
0
2,072
1,042
102
1,144
0
-297
299
143
-164
-903
25
195
219
2014E
1,661
524
251
548
-434
0
0
2,322
978
306
1,284
0
-505
251
195
-149
-1,101
-63
219
156
143
Curr. Liab. and Prov.
3,000
Account Payables
2,771
Other Liabilities
159
Provisions
70
Net Current Assets
428
Application of Funds
7,436
Key assumptions/operating metrics
Number of Stores
38
Gross Margin
31.4
E: MOSL Estimates
August 27 - 31, 2012

8th Annual Global Investor Conference
Shriram Transport Finance
Company description
Shriram Transport Finance (SHTF) is strategically well
placed in the niche CV financing market with over three
decades of experience. After developing a strong
presence in the CV financing space, SHTF has diversified
into the construction equipment financing business. It
has an evenly distributed pan-India network of 513
branch offices and an employee base of over 14,000
people. SHTF has well established and time tested
procedures for valuation of assets, loan generation and
collection. As of 1QFY13, it had AUM worth INR419b.
Over FY09-12, SHTF posted AUM CAGR of 20% and profit
CAGR of 27%.
Expected moderation in interest rates, coupled with
abating regulatory headwinds will be positive for
monoline financers like SHTF.
Key challenges
Continued moderation in economic growth can
lead to a prolonged period of moderation in AUM
growth.
Tighter securitization norms could affect margins.
Proposed changes in asset classification and
provisioning norms for NBFCs could lead to higher
stress on earnings and reported asset quality.
Moderating freight intake and fall in freight rates
will lead to higher pressure on asset quality
Key investment positives
SHTF's business model is unique with high entry
barriers and is difficult to replicate. This has enabled
SHTF to sustain superior return ratios with RoAs (on
AUMs) of over 2.5% and RoEs in excess of 20% over
a period of time.
On back of significant moderation in macroeconomic
activities and higher competitive pressures SHTF
moderated its AUM growth to 11% in FY12 vs ~35%
CAGR over FY06-11. We believe SHTF will be
relatively better placed in terms of assets quality vs
peers which have grown this portfolio aggressively
during the uncertain times.
While certain state specific issues led to periodic
spike in GNPA, overall delinquency ratio remained
under control. NNPA ratio remains under control at
~60bp and it has healthy PCR of 80%.
Key news flows / triggers to watch
RBI guidelines on NBFC regulations
Comments by banks on CV portfolio growth and
asset quality
1QFY13 highlights; guidance for FY13, FY14
Performance highlights of 1QFY13:
AUM growth of
13% YoY and 4% QoQ; No securitization during the
quarter, Share of On books AUM at 61% vs 55% a
quarter ago, NIMs improved ~20bp QoQ to 7.4% and
GNPA stable QoQ at ~3%.
Guidance for FY13:
10-15% AUM growth, NIM
between 7-8%, Asset quality to be stable from
hereon.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
SHTF IN
226
594
2.4
707 / 416
5 / 6 / -9
Quarterly Performance
Y/E March
Jun-12
Net Inc. (Incl. Secur) 7,821
YoY Growth (%)
16.0
Operating Profit
6,620
YoY Growth (%)
18.3
Provisions
1,420
Profit before Tax
5,200
Tax Provisions
1,727
Net Profit
3,473
YoY Growth (%)
20.2
Key Operating metrics
AUM Growth (%)
22.3
Sec. Inc./Net Inc.(%) 62.3
GNPA (%)
2.7
E: MOSL Estimates
Sep-12
8,347
19.3
6,818
20.4
2,363
4,454
1,460
2,994
0.2
19.9
56.1
2.7
Dec-12
8,038
4.5
6,465
5.5
1,920
4,545
1,518
3,027
0.4
16.2
59.1
2.8
Mar-12
8,056
5.4
6,529
4.1
1,918
4,610
1,530
3,081
-9.6
11.1
62.0
3.1
Jun-13
8,025
2.6
6,787
2.5
2,026
4,761
1,543
3,219
-7.3
13.3
61.0
3.0
(INR Million)
FY12
31,707
9.5
26,492
13.0
7,683
18,809
6,235
12,574
4.5
11.1
58.8
3.1
FY13E
34,093
7.5
28,026
5.8
7,963
20,062
6,520
13,542
7.7
15.5
52.8
3.2
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
46.2
2.0
40.2
11.6
Mar-12
45.6
2.4
39.4
12.5
Jun-11
41.3
2.2
42.6
14.0
144
August 27 - 31, 2012

8th Annual Global Investor Conference
Shriram Transport Finance: Financials and valuation
Income Statement
Y/E March
Financing Income
Finanancing charges
Net Financing income
Change (%)
Inc. from securitisation
Net Income (Incl Secur)
Change (%)
Other Income
Net Income
Change (%)
Employee Cost
Brokerage & Commission
Other Operating Exp.
Operating Income
Change (%)
Total Provisions
% to operating income
PBT
Tax
Tax Rate (%)
PAT
Change (%)
Proposed Dividend
2011
36,165
22,154
14,011
-4.8
14,943
28,954
34.5
1,725
30,680
36.4
3,582
752
2,892
23,454
35.5
5,235
22.3
18,219
6,190
34.0
12,028
37.8
1,468
2012
35,581
23,950
11,632
-17.0
20,075
31,707
9.5
2,423
34,130
11.2
3,701
662
3,275
26,492
13.0
7,683
29.0
18,809
6,235
33.1
12,574
4.5
1,471
(INR Million)
2013E
42,325
27,379
14,946
28.5
19,147
34,093
7.5
2,181
36,273
6.3
4,163
662
3,422
28,026
5.8
7,963
28.4
20,062
6,520
32.5
13,542
7.7
1,625
2014E
58,246
35,993
22,253
48.9
16,684
38,937
14.2
2,508
41,445
14.3
4,475
729
3,612
32,629
16.4
9,029
27.7
23,600
7,670
32.5
15,930
17.6
1,912
Ratios
Y/E March
Spreads Analysis (%)
Avg. Yield-on Fin. portfolio
Avg Cost of funds
Int Spread on Fin.portfolio
NIM (incl Securitisation)
NIM (Excl Securitisation)
Profitability Ratios (%)
RoE
RoA on AUM
Int. Expended/Int.Earned
Other Inc./Net Income
Efficiency Ratios (%)
Op. Exps./Net Income
Empl. Cost/Op. Exps.
Asset-Liability Profile (%)
Loans/Borrowings Ratio
Leverage (x)
2011
18.7
11.6
7.1
8.9
7.5
2012
16.8
11.1
5.7
8.3
5.7
2013E
15.7
9.8
5.9
7.9
5.7
2014E
16.3
9.5
6.8
7.8
6.4
27.5
3.2
61.3
54.3
23.1
2.8
67.3
65.9
20.6
2.6
64.7
58.8
20.3
2.6
61.8
46.3
23.6
49.6
22.4
48.5
22.7
50.5
21.3
50.8
98.0
5.1
92.7
4.9
93.6
5.6
91.1
6.0
Valuations
Book Value (INR)
BV Growth (%)
Price-BV (x)
Adjusted BV (INR)
Price-ABV (x)
OPS (INR)
OPS Growth (%)
Price-OP (x)
EPS (INR)
EPS Growth (%)
Price-Earnings (x)
Dividend
Dividend Yield (%)
216.7
27.4
215.5
103.7
35.1
53.2
37.4
6.5
264.8
22.2
2.2
263.3
2.3
117.1
12.9
5.1
55.6
4.5
10.7
6.5
1.1
316.2
19.4
1.9
313.5
1.9
123.8
5.8
4.8
59.8
7.7
9.9
7.2
1.2
376.7
19.1
1.6
373.1
1.6
144.2
16.4
4.1
70.4
17.6
8.4
8.4
1.4
Balance Sheet
Y/E March
Capital
Reserves & Surplus
Net Worth
Borrowings
Change (%)
Other Liabilities & Prov.
Total Liabilities
Investments
Change (%)
Loans
Change (%)
Net Fixed Assets
Net Current Assets
Total Assets
2011
2,262
46,747
49,008
198,743
7.7
35
247,787
36,453
96.4
194,740
8.3
364
16,229
247,787
2012
2,263
57,660
59,923
231,219
16.3
22
291,164
39,544
8.5
214,378
10.1
377
36,864
291,164
(INR Million)
2013E
2,263
69,301
71,564
330,407
42.9
22
401,993
43,499
10.0
309,391
44.3
402
48,701
401,993
2014E
2,263
82,994
85,257
427,337
29.3
22
512,617
47,849
10.0
389,341
25.8
402
75,025
512,617
August 27 - 31, 2012
145

8th Annual Global Investor Conference
Simplex Infrastructure
Company description
Incorporated in 1924, Simplex Infrastructures is the
largest pure play civil construction and engineering
contractors in India, with more than eight decades of
successful operations and completion of over 2500
projects in India and abroad. Simplex Infrastructures
has a presence across various construction verticals,
which include piling, industrial plants, power plants,
urban infrastructure and utilities, etc
Indian infrastructure and industrial capex is passing
through a challenging phase given tight liquidity
condition and structural constraints like land,
resources, etc. This has impacted the opportunity
pie in the interim period.
Key news flows / triggers to watch
Simplex has recently forayed in to the road BOT
projects; and the company now has a portfolio of
three projects.
Simplex has entered into joint-venture with
Gammon Infra for two projects - Vijaywada to
Gundugolanu (Ph V) and Mahulia to Kharagpur (Ph
III). Simplex would have 49-51% stake and would
be carrying out large parts of the EPC work for these
two projects.
Key investment positives
Order backlog as at the end of June 2012 stood at
INR155b, in addition to the L1 of INR11.8b. Current
order book has 82% variable priced contracts and
18% fixed price contracts.
SINF has a diversified business, with presence across
the infrastructure sector. It derives ~10% of the
order book from the Middle East, Asia and Africa,
and thus diversifying the geography mix. Private
sector orders, where payment terms are better,
constitute 60%+ of its order book.
1QFY13 highlights; guidance for FY13, FY14
Simplex reported revenue growth of 28% YoY, and
EBITDA increase of 19% YoY. Interest cost increased
from INR502m to INR695m YoY, impacting the
reported profitability. Debt stood at INR24b (up
from INR21b) in March 2012.
Management expects revenues to increase by 10-
15% in FY13.
Key challenges
In FY12, order intake was INR64.4b v/s INR80b in
FY11. BTB has declined from 3x in 4QFY11 to ~2.5x.
This could impact near-term revenue growth.
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
SINF IN
49
207
0.2
290 / 157
-11 / -11 / -34
Quarterly Performance
Y/E March
Operating Income
Change (%)
EBITDA
Change (%)
EBITDA Margin (%)
Reported PAT
Adjusted PAT
Change (%)
PAT Margin (%)
Key Operating Metrics
Order book (INR b)
BTB (x)
Order intake (INR b)
E: MOSL Estimates
Jun-12
12,685
7.7
1,202
0.1
9.5
241
241
(33.6)
1.9
143
3.0
9
Sep-12
13,242
25.5
1,190
12.6
9.0
179
179
(33.5)
1.3
150
2.9
19
Dec-12
15,973
36.6
1,294
20.3
8.1
180
180
(22.3)
1.1
144
2.6
10
Mar-12
17,979
30.6
1,483
7.9
8.3
292
292
(21.0)
1.6
152
2.5
26
(INR Million)
Jun-12
15,904
25.4
1,270
5.7
8.0
201
201
(16.5)
1.3
155
2.5
19
FY12
59,168
23.8
4,678
(0.6)
7.9
892
892
(27.6)
1.5
152
2.5
64
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
55.0
19.7
13.8
11.6
Mar-12
55.0
18.9
14.4
11.8
Jun-11
54.7
20.6
13.0
11.7
146
August 27 - 31, 2012

8th Annual Global Investor Conference
Simplex Infrastructure: Financials and valuation
Income Statement
Y/E March
Net Sales
Change (%)
Materials Consumed
Other Admin. Exp.
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
PBT
Tax
Rate (%)
Reported PAT
Adjusted PAT
Change (%)
2010
44,427
-4.7
38,224
1,873
4,330
9.7
1,534
1,112
227
1,911
685
35.8
1,227
1,227
-6.9
(INR Million)
2011
47,497
6.9
41,115
1,801
4,581
9.6
1,608
1,308
289
1,954
722
37.0
1,232
1,232
0.4
2012
59,068
24.4
53,638
751
4,679
7.9
1,143
2,303
100
1,333
441
33.1
892
892
-27.6
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E (standalone)
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors. (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
2010
24.8
-6.9
55.8
196.0
1.9
9.4
2011
24.8
0.1
57.2
217.1
1.9
9.0
2012
18.0
-27.3
41.1
243.0
1.4
9.1
9.0
3.9
5.9
0.6
1.0
0.9
12.4
5.4
6.7
0.5
0.9
0.6
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deffered Tax Liability
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other Current Assets
Current Liab. & Prov.
Creditors
Provisions
Net Current Assets
Application of Funds
Key Operational Metric
Order Book (INR b)
BTB (x)
Order Intake (INR b)
E: MOSL Estimates
2010
99
9,597
9,696
13,024
883
23,604
12,509
2,832
9,677
187
277
30,598
6,593
17,928
873
3,868
1,337
17,135
17,020
115
13,463
23,604
115
2.6
59
(INR Million)
2011
99
10,677
10,777
16,606
1,381
28,764
14,764
3,715
11,049
275
492
36,847
7,978
22,834
795
3,833
1,408
19,899
19,770
129
16,948
28,764
147
3.1
80
2012
99
11,971
12,070
20,932
1,944
34,945
17,420
4,805
12,615
444
783
48,478
8,682
16,788
428
6,102
16,478
27,419
27,188
231
21,058
34,945
152
2.6
64
13.1
13.3
12.0
12.5
7.8
11.4
147
54
99
2.0
175
61
103
1.8
160
58
88
1.9
1.3
1.5
1.7
Cash Flow Statement
Y/E March
PBT before Extraordinary Items
Add: Depreciation
Interest
Less: Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
(Inc)/Dec in FA
(Pur)/Sale of Investments
CF from Investments
(Inc)/Dec in Networth
(Inc)/Dec in Debt
Less: Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2010
1,911
1,534
1,112
685
-2,140
1,733
-1,244
-76
-1,321
-133
819
1,112
115
-541
-129
1,002
873
(INR Million)
2011
1,954
1,608
1,308
722
-3,563
584
-3,069
-215
-3,283
457
3,582
1,308
110
2,621
-78
873
795
2012
1,333
1,143
2,303
441
-4,477
-139
-2,878
-291
-3,169
991
4,333
2,303
81
2,939
-368
795
426
August 27 - 31, 2012
147

8th Annual Global Investor Conference
State Bank of India
Company description
State Bank of India (SBIN) is India's largest commercial
bank, with a standalone balance sheet size of over
INR14t+ and government of India ownership of ~62%.
The bank has strong liability franchises with 14,100+
owned branches (standalone), and 19,200+ branches
(group). SBIN along with its associate banks has ~25%
market share in India.
Key challenges
Considering significant stress in the macroeconomic
environment, higher exposure to SME and mid
corporate segment, bad monsoon etc asset quality
is likely to remain under pressure
Moderating top line growth with lower loan growth
and moderation in margins and higher credit cost
posses the threat to earnings growth.
Provisioning related to wage negotiation to start
from November 2012.
Key investment positives
SBIN's branch expansion, technological
advancement and marketing efforts led to strong
CASA CAGR of ~17% over FY02-12. The power of its
liability franchise can be seen from its strong and
improving CASA ratio of ~46% of which 80%+ are
from highly granular Savings accounts deposits.
Over the last two years, SBIN has reported
significantly higher net slippages as compared to
peers, leading to the perception of higher asset
quality issues. While reported net slippages have
been higher, restructured loans as a percentage of
overall loans are one of the lowest among public
sector banks (PSBs). Thus, SBIN outstanding net
stress loans stands at 5.5% of loans vs PNB of 9.8%,
BOI of 8.4% and BOB 6.9%
Healthy NIM of 3.5%+, higher fee income
contribution as a proportion of average assets,
control over opex, and absence of one-offs will help
SBIN to post ROA of 1%+. Operating leverage
remains one of the key factor for RoA improvement.
Key news flows / triggers to watch
One of the biggest beneficiaries of upturn in
macroeconomic environment. Any concentrated
effort by Government to get rid of policy paralysis
and boost investment climate will be a key trigger
for SBIN
Expected merger of one of associate bank with itself
in FY13
1QFY13 highlights; guidance for FY13, FY14
Guidance for FY13:
Loan growth of 18-20%, Margins
of 3.75%, opex growth of less than 10% and
containing NNPA at 1.8%.
Performance highlights of 1QFY13:
(a) Significantly
higher slippages of INR108b led by SME, Mid-
corporate and Agri segment (b) fall in standard
restructured loans by INR15b (c) Higher slippages
led to sharp margin contraction of ~ 30bp QoQ (d)
fee income growth disappointed (e) continued
healthy traction in SA mobilization (+8% QoQ)
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
SBIN IN
671
1,896
22.8
2475 / 1576
-17 / -18 / -18
Quarterly Performance
Y/E March
Jun-11
Net Int. Income
96,995
% Change (YoY)
32.8
Other Income
35,342
Operating Exp.
59,913
Operating Profit
72,424
% Change (YoY)
18.1
Other Provisions 41,569
Net Profit
15,835
% Change (YoY)
-45.7
Key Operating Metrics
NIM (%)
3.6
Loan Growth (%)
18.0
Gross NPA (%)
3.5
E: MOSL Estimates
Sep-11
104,817
29.2
33,674
63,749
74,743
17.6
33,855
28,104
12.4
3.8
16.1
4.2
Dec-11
115,188
27.3
20,730
63,318
72,600
7.3
24,074
32,630
15.4
4.1
16.5
4.6
Mar-12
115,911
43.8
53,768
73,710
95,968
57.8
31,404
40,503
N.A.
3.9
14.7
4.4
Jun-12
111,189
14.6
34,988
64,410
81,767
12.9
24,563
37,516
136.9
3.6
18.9
5.0
(INR Million)
FY12
432,911
33.1
143,514
260,690
315,735
24.6
130,902
117,073
41.7
3.9
14.7
4.4
FY13E
470,781
8.7
175,713
289,091
357,404
13.2
132,625
147,230
25.8
3.6
20.0
5.9
Shareholding pattern (%)
Promoter
Dom. Inst.
Foreign
Others
Jun-12
61.6
17.3
11.2
10.0
Mar-12
61.6
17.1
11.4
9.9
Jun-11
59.4
17.4
13.9
9.3
148
August 27 - 31, 2012

8th Annual Global Investor Conference
State Bank of India: Financials and valuation
Income Statement (Standalone)
Y/E March
2011
Interest Income
814
Interest Expense
489
Net Interest Income
325
Change (%)
37.4
Non Interest Income
158
Net Income
484
Change (%)
25.1
Operating Expenses
230
Pre Provision Profits
253
Change (%)
38.3
Provisions (excl tax)
104
PBT
150
Tax
67
Tax Rate (%)
44.7
PAT
83
Change (%)
-9.8
Consolidated PAT post MI
107
Change (%)
-8.9
*Core PPP is (NII+Fee income-Opex)
2012
1,065
632
433
33.1
144
576
19.2
261
316
24.6
131
185
68
36.7
117
41.7
153
43.6
(INR Billion)
2013E
1,204
733
471
8.7
176
646
12.2
289
357
13.2
133
225
78
34.5
147
25.8
185
20.6
2014E
1,376
835
541
14.9
200
741
14.7
325
417
16.6
152
265
91
34.5
174
17.9
221
19.5
Ratios
Y/E March
Spreads Analysis (%)
Avg. Yield-Earning Assets
Avg. Yield on loans
Avg. Yield on Investments
Avg. Cost-Int. Bear. Liab.
Avg. Cost of Deposits
Interest Spread
Net Interest Margin
Profitability Ratios (%)
RoE
RoA
Consolidated RoE
Consolidated RoA
2011
8.0
8.6
6.7
5.0
5.0
3.0
3.2
2012
9.2
10.0
7.9
5.7
5.6
3.6
3.8
2013E
9.0
9.7
7.9
5.7
5.7
3.3
3.5
2014E
8.7
9.3
7.4
5.5
5.4
3.2
3.4
12.7
0.7
13.5
0.7
16.0
0.9
17.2
0.9
16.9
1.0
17.3
1.0
17.4
1.0
18.0
1.0
Balance Sheet
Y/E March
2011
Equity Share Capital
6
Reserves & Surplus
644
Net Worth
650
Deposits
9,339
Change (%)
16.1
of which CASA Dep
4,615
Change (%)
21.4
Borrowings
1,196
Other Liabilities & Prov. 1,052
Total Liabilities
12,237
Current Assets
1,229
Investments
2,956
Change (%)
-0.1
Loans
7,567
Change (%)
19.8
Fixed Assets
48
Other Assets
438
Total Assets
12,237
2012
7
833
840
10,436
11.7
4,676
1.3
1,270
809
13,355
972
3,122
5.6
8,676
14.7
55
531
13,355
(INR Billion)
2013E
7
946
953
12,524
20.0
5,328
13.9
1,426
931
15,833
1,106
3,621
16.0
10,411
20.0
58
637
15,833
2014E
7
1,080
1,086
15,029
20.0
6,073
14.0
1,613
1,118
18,846
1,324
4,201
16.0
12,493
20.0
64
765
18,846
Efficiency Ratios (%)
Cost/Income*
49.5
Empl. Cost/Op. Exps.
66.1
Busi. per Empl. (INR m)
73.9
NP per Empl. (INR lac)
3.9
* ex treasury and recoveries
45.3
65.1
82.2
5.3
46.2
64.9
96.4
6.8
45.2
64.5
113.1
7.8
Valuation
Book Value (INR)
BV Growth (%)
Price-BV (x)
Consol BV (INR)
BV Growth (%)
Price-Consol BV (x)
Adjusted BV (INR)
Price-ABV (x)
Adjusted Consol BV
Price-Consol ABV (x)
EPS (INR)
EPS Growth (%)
Price-Earnings (x)
Consol EPS (INR)
Con. EPS Growth (%)
Price-Consol EPS (x)
Dividend Per Share (INR)
Dividend Yield (%)
1,014
-1.4
1,303
0.4
878
1,129
130.2
-9.9
168.3
-9.0
30.0
1,215
19.8
1.6
1,541
18.3
1.2
1,050
1.8
1,321
1.4
174.5
34.0
10.9
228.6
35.9
7.9
35.0
1.8
1,384
13.9
1.4
1,766
14.6
1.0
1,103
1.7
1,403
1.3
219.4
25.8
8.6
275.7
20.6
6.5
43.0
2.3
1,583
14.3
1.2
2,035
15.3
0.9
1,222
1.6
1,585
1.1
258.6
17.9
7.3
329.3
19.5
5.4
51.3
2.7
Asset Quality
GNPA (INR b)
NNPA (INR b)
GNPA Ratio
NNPA Ratio
PCR (Excl Tech. write off)
PCR (Incl Tech. Write off)
253
123
3.3
1.6
51.2
65.0
397
158
4.5
1.8
60.1
68.1
631
270
5.9
2.6
57.3
63.1
(%)
839
345
6.5
2.8
58.8
63.2
August 27 - 31, 2012
149

8th Annual Global Investor Conference
Sun Pharmaceuticals
Company description
Sun Pharma has successfully transitioned from a
domestic company to establishing a strong presence in
the US. It has become the largest Indian company in the
US through the take-over of Taro. US (57% of sales),
India (22% of sales) and emerging markets (13% of sales)
are the key markets for Sun.
Expect Taro's high profitability (49% EBITDA margins)
to come off in coming quarters as competitors come
back in key product segments. Tax rate will go up in
FY13 due to imposition of MAT on partnership firms.
Potential damages in the Protonix patent litigation
case in the US could be significant.
Key news flows / triggers to watch
Key investment positives
Significant scale-up & internationalization of
operations without dilution of return ratios has been
SUNP's key achievement over the last five years.
We expect the high return ratios to sustain in future
as well given the efficient capital allocation strategy
of the company. Its ability to sustain superior
margins even on a high base is a clear positive.
An expanding generic portfolio coupled with
sustained double-digit growth in high-margin life-
style segments in India is likely to bring in long-
term benefits for SUNP.
Has a strong launch pipeline for the US with 135
ANDAs pending US FDA approval including a
combination of low-competition & normal products.
Price increases for some key Taro products in the US
have boosted the performance in the past 3-4
quarters.
Re-entry of competitors in US for some key Taro
products.
Acceptance of the buy-out offer made by SUNP to
Taro's minority shareholders.
Further progress in the Protonix litigation in the
US.
More clarity on the recent proposal to transfer the
domestic business to a 100% subsidiary.
1QFY13 highlights
Performance was above estimates led by strong
traction at Taro, favourable currency & Doxorubicin
supplies to the US. Domestic sales recorded 8% de-
growth due to extra sales booked in 4QFY12 while
RoW sales grew by 45% partly helped by currency.
Core EBITDA at INR10.4b was higher than our est of
INR7.6b while core EBITDA margins were at 45%
compared to our estimate of 36%.
Adj PAT growth was strong at 54% led mainly by
Taro and favorable currency.
Key challenges
The proposed new "Domestic Pharma Policy", may
adversely impact earnings.
SUNP IN
1036
661
12.3
690 / 448
2 / 25 / 31
Stock info
Bloomberg
Equity Shares (m)
CMP (INR)
Mcap (USD b)
52-Wk Range (INR)
1, 6, 12 Rel Perf (%)
Quarterly Performance
Y/E March
Jun-11
Sep-11 Dec-11
Operating Income 16,357
18,946
21,451
Op. Inc.(ex one-offs)14,982
17,823
20,375
Change (%)
58.8
70.1
36.9
EBITDA
5,474
7,840
9,638
EBITDA(ex one-offs) 4,644
7,148
8,903
Change (%)
45.3
121.9
137.4
EBITDA Margin (%) 31.0
40.1
43.7
Reported PAT
5,010
5,977
6,683
Adj. PAT (ex one-offs)4,386
5,454
6,110
Change (%)
30.4
32.8
99.2
PAT Margin (%)
29.3
30.6
30.0
Key Operating Metrics - Revenue Break-up
US
6,220
7,991
10,400
India
6,385
7,046
6,956
ROW
2,521
2,567
2,810
APIs
1,476
1,603
1,536
Others
2
4
17
E: MOSL Estimates
Mar-12
23,299
21,223
57.6
9,552
8,317
65.9
39.2
8,202
7,279
39.5
34.3
10,106
8,767
3,226
1,531
8
Jun-12
26,581
23,104
54.2
12,169
10,430
124.6
45.1
7,956
6,738
53.6
29.2
15,411
5,877
3,666
2,002
18
(INR Million)
FY12
80,057
74,406
54.2
32,507
29,015
91.1
39.0
25,873
23,228
65.4
31.2
34,716
29,154
11,124
6,147
31
FY13E
99,348
95,870
28.8
38,401
36,663
26.4
38.2
30,503
27,058
16.5
28.2
45,857
32,825
14,983
6,889
41
Shareholding pattern (%)
Promoter
Dome. Inst.
Foreign
Others
Jun-12
63.7
5.3
20.6
10.4
Mar-12
63.7
5.5
20.1
10.7
Jun-11
63.7
7.2
18.6
10.6
150
August 27 - 31, 2012