8 August 2017
1QFY18 Results Update | Sector: Cement
Dalmia Bharat
Buy
BSE SENSEX
32,014
S&P CNX
9,979
CMP: INR2,638 TP:INR3,282 (+24%)
Strong beat led by realization improvement
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Bloomberg
Equity Shares (m)
M.Cap.(INR b)/(USD b)
52-Week Range (INR)
1, 6, 12 Rel. Per (%)
Avg Val, INRm
Free float (%)
DBEL IN
88.8
235.6 / 3.5
2780/1186
0/25/69
326
42.0
2019E
96.0
24.5
8.0
89.9
31.0
714
13.4
10.8
29.5
3.7
Financials & Valuations (INR b)
2017 2018E
Y/E Mar
Sales
74.0
84.8
EBITDA
19.0
21.9
NP
3.4
6.1
Adj EPS (INR)
38.8
68.7
EPS Gr. (%)
81.2
77.1
BV/Sh. (INR)
558
625
RoE (%)
7.2
11.6
RoCE (%)
7.3
9.5
P/E (x)
68.4
38.6
P/BV (x)
4.8
4.2
Estimate change
TP change
Rating change
Volume growth led by North East operations:
Cement volume for 1QFY18
grew 6% YoY to 3.99mt (v/s our estimate of 4.04mt), as volume ex-OCL
increased 8% YoY. Pure cement realization increased by INR402/t QoQ
(INR585/t YoY) to INR5,126/t, led by better realization in both East and
South markets as also higher proportion of premium sales. Revenue grew
16% YoY to INR20.59b (v/s our estimate of INR20.33b).
Highest ever EBITDA/t despite cost pressures:
EBITDA/t for 1QFY18 grew
15% QoQ (and 3% YoY) to INR1,395/t, as realization improvement more than
offset the cost push. Unitary cost/t increased by INR175/t QoQ due to higher
power and fuel charges, led by increase in petcoke prices. EBITDA increased
9%YoY to INR5.56b for 1QFY18. Interest cost declined just 12% YoY, as there
were non-cash charges of INR300m pertaining to hedging cost in 1QFY18.
PAT grew 55% YoY to INR1.45b, as tax rate was lower at 31% in 1QFY18 v/s
43% in 1QFY17.
Concall highlights:
(a) Interest cost was higher by INR300m due to non-cash
charges related to hedging cost; (b) Net debt reduced by INR6.4b QoQ, led
by receipt of INR5.25b from KKR stake sale; (c) Petcoke consumption was
75% v/s 78% in 4QFY17.
Valuation
and
view:
We believe the net debt reduction of ~INR7.5b in FY17
will continue into FY19. Net debt to EBITDA will reduce to below 1.5x in
FY19 from 2.8x in FY17. Operating cash flow is likely to see strong
improvement, led by margin improvement on cost efficiency program and
realization improvement by way of higher proportion of premium sales.
OCL-DBL merger synergy benefits could further improve cash flow in FY19.
We expect DBEL’s valuation multiple to catch up with large caps, given
improving balance sheet and earnings CAGR of 52% over FY17-19. We value
DBEL at 12.5x FY20E EV/EBITDA (~20% discount to peers due to ~50%
exposure to southern market) and arrive at a target price of INR3,282.
Quarterly Performance (Consolidated)
(INR Million)
Y/E March
FY17
FY18
FY17 FY18E
FY18
1Q
2Q
3Q
4Q
1Q
2QE
3QE
4QE
1QE Var (%)
Sales Dispatches (m ton)
3.76
3.42
3.56
4.55
3.99
3.76
3.92
4.87 15.29 16.54
4.04
-1
YoY Change (%)
21.7
20.0
20.3
17.3
6.1
10.0
10.0
7.0
19.5
8.2
7.5
Realization (INR/ton)
4,727 4,897 4,886 4,802 5,160 4,902 5,182 5,235 4,843 5,129 5,030
3
YoY Change (%)
-8.7
-1.6
-2.2
-1.4
9.2
0.1
6.1
9.0
-3.3
5.9
7.1
QoQ Change (%)
-3.0
3.6
-0.2
-1.7
7.5
-5.0
5.7
1.0
4.8
Net Sales
17,775 16,747 17,393 21,850 20,589 18,441 20,295 25,487 74,044 84,811 20,333
1
YoY Change (%)
11.1
18.0
17.6
15.6
15.8
10.1
16.7
16.6
15.5
14.5
15.2
EBITDA
5,084 3,902 4,211 5,517 5,566 3,835 4,963 7,571 19,019 21,935 5,036
11
Margins (%)
28.6
23.3
24.2
25.2
27.0
20.8
24.5
29.7
25.7
25.9
24.8
Depreciation
1,338 1,587 1,593 1,509 1,532 1,550 1,550 1,616 6,027 6,248 1,510
Interest
2,412 2,291 2,198 1,998 2,117 1,800 1,750 1,813 8,900 7,480 1,900
Other Income
766 1,102
712
715
700
900
900
100 2,988 2,600
750
PBT after EO Expense
2,100 1,125 1,131 2,863 2,885 1,385 2,563 4,241 7,210 10,807 2,376
Tax
911
662
624
704
889
554 1,025 1,367 2,892 3,782
713
Rate (%)
43.4
58.9
55.1
24.6
30.8
40.0
40.0
32.2
40.1
35.0
30.0
Reported PAT (pre minority)
1,189
463
507 2,159 1,996
831 1,538 2,875 4,318 7,024 1,663
20
Minority + associate
250
152
151
319
357
100
100
360
870
917
100
257
PAT Adj for EO items
940
311
357 1,736 1,454
731 1,438 2,514 3,448 6,107 1,563
-7
YoY Change (%)
78.3 149.8
19.2
83.2
54.7 135.1 302.9
44.9 589.9
77.1
66.3
Abhishek Ghosh
- Research analyst
(Abhishek.Ghosh@MotilalOswal.com); +91 22 3982 5436
Pradnya Ganar - Research analyst
(Pradnya.Ganar@motilaloswal.com); +91 22 3980 4322
Investors are advised to refer through important disclosures made at the last page of the Research Report.
Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.

Dalmia Bharat
Exhibit 2: Realizations witnessed an increase of INR 358/t
QoQ
Growth YoY (%)
23 23 22
20
20 20
8
-3
9
Realization (INR/ton)
17
6
Exhibit 1:
Robust volume growth
Volume (MT)
20
8
0
-8
11
14
10
7
-1
5
16
Source: Company, MOSL
Source: Company, MOSL
Exhibit 3: Improved margins lead by higher realizations
EBITDA (INR m)
25
26
17
19
14
15
7 6
19
14 12
EBITDA margin (%)
24
22 23
27 29
25
23 24
27
Exhibit 4: Trend in EBITDA/ton
EBITDA/ton (INR)
21
10
Source: Company, MOSL
Source: Company, MOSL
Exhibit 5: DBEL: Key
operating
indicators (incl Management Services)
INR/Ton
Net realization
RM Cost
Employee Expenses
Power, Oil & Fuel
Freight and Handling Outward
Other Expenses
Total Expenses
EBITDA
1QFY18
1QFY17
YoY (%)
4QFY17
QoQ (%)
5,160
790
413
809
936
817
3,765
1,395
4,727
896
408
537
844
690
3,375
1,352
9.2
-11.9
1.2
50.8
10.9
18.4
11.5
3.2
4,802
927
302
695
904
761
3,590
1,212
7.5
-14.9
36.6
16.4
3.6
7.4
4.9
15.1
Source: Company, MOSL
8 August 2017
2

Dalmia Bharat
Conference call highlights
The industry witnessed a capacity addition of 17mt in FY17. In FY18, the East is
likely to add 5mt-6mt of capacity, while the South would add 7mt-8mt capacity.
Utilization stands at 75% for the East, 58% for the South and 72% for the North
East. Overall utilization stands at 67%. DBEL’s utilization would be largely in line
with that of the industry.
There has been a 10% pricing improvement in the East; 6% in the North East,
and 4% in the South on a YoY basis.
Slag and petcoke prices have started increasing, impacting unitary costing. Slag
prices have increased from INR800/t to INR1,200/t in the last 3-6 months.
There were INR300m of non-cash charges for the quarter towards hedging cost.
The increase in working capital was INR1,500m while maintenance capex was
around INR900m.
Net debt has reduced QoQ by INR6.4b. Net debt/EBITDA stands at 2.4x.
The company is planning to complete the commissioning of a 9MW WHRS in
Orissa by March 2018
OCL’s capacity has been augmented to ~8mt.
Valuation and view
We believe the net debt reduction of ~INR7.5bn in FY17 will continue into FY19 and
net debt to EBITDA to reduce to below 1.5x in FY19 from 2.8x in FY17. Operating
cashflow is likely to see strong improvement led by margin improvement on back of
cost efficiency program and realization improvement by way of higher proportion of
premium sales. OCL-DBL merger synergy benefits could further improve cashflow for
the company in FY19. We expect valuation multiple for Dalmia cement to catch up
with large caps given improving balance sheet and earnings CAGR of 52% over FY17-
FY19. We value Dalmia cement at 12.5x FY20 EV/EBITDA (~20% discount to peers
due to ~50% exposure to southern market and arrive at a target price of
INR3282/share implying a 24% upside).
8 August 2017
3

Dalmia Bharat
Story in charts
Exhibit 6: Steady growth in capacity and utilization lever
Capacity (mt)
86
68
79
69 69 68
Exhibit 7: EBITDA/ton trend
EBITDA/ton (INR)
1,254
1,289
1,356
1,373
1,443
Volume (mt)
79
86
Utilization (%)
72 69
66 65
1,126
55
43 43
14 15
14 15
9 9 10
9 9 10
4 4 8 5 6 7 8 10 11 6 7 8 6 7 7 13 15 17 18 18
32
25 25 25
22 23 23
575
393
Source: Company, MOSL
Source: Company, MOSL
Exhibit 8: Gradual uptick in FCFE
OCF (INR b)
Capex (INR b)
46
49
26
67
Interest (INR b)
Exhibit 9: Stabilization operations to trigger de-leveraging
Effective Net debt (INR b)
2.1
1.2
1.3
Net DER (x)
1
0
2
13
6
16
2 3
10
5 2
2
13
4 2
19
7
3
9
22
2
7
21
57
0.9
0.5
14.2
29.1
1.0
0.7
40.3
0.5
31.4
0.4
32.9
36.4
63.7
59.4
49.9
Source: Company, MOSL
Source: Company, MOSL
Exhibit 10: Uptrend in RoE and RoCE
RoE
25
16
7
8
5
7
FY13
-0.3
FY14
0.3
FY15
FY16
FY17
FY18E
FY19E
FY20E
5
5
7
12
7
12
15
RoCE
9
11
13
FY12
Source: Company, MOSL
8 August 2017
4

Dalmia Bharat
Financials and Valuations
Income Statement
Y/E March
Net Sales
Change (%)
Total Expenditure
% of Sales
EBITDA
Margin (%)
Depreciation
EBIT
Int. and Finance Charges
Other Income - Rec.
PBT bef. EO Exp.
EO Expense/(Income)
PBT after EO Exp.
Current Tax
Tax Rate (%)
Reported PAT
Minority and Associates
PAT Adj for EO items
Change (%)
Margin (%)
2013
27,906
19.1
21,564
77.3
6,342
22.7
2,059
4,282
2,314
769
2,738
0
2,738
1,336
48.8
1,402
569
1,971
-13.1
7.1
2014
28,670
2.7
25,407
88.6
3,263
11.4
2,422
842
3,151
2,081
-229
0
-229
644
-281.5
-873
789
-84
-104.3
-0.3
2015
33,662
17.4
29,116
86.5
4,546
13.5
2,716
1,830
4,344
2,413
-101
0
-101
469
-463.5
-570
661
92
-209.2
0.3
2016
64,113
90.5
48,196
75.2
15,916
24.8
5,809
10,107
7,302
2,294
5,100
-1
5,101
2,456
48.2
2,645
-745
1,899
1,971.1
3.0
2017
74,044
15.5
55,025
74.3
19,019
25.7
6,027
12,992
8,900
2,988
7,080
-131
7,210
2,892
40.1
4,318
-870
3,448
81.6
4.7
2018E
84,811
14.5
62,876
74.1
21,935
25.9
6,248
15,687
7,480
2,600
10,807
0
10,807
3,782
35.0
7,024
-917
6,107
77.1
7.2
(INR Million)
2019E
95,981
13.2
71,456
74.4
24,525
25.6
6,526
17,999
6,792
2,600
13,807
0
13,807
4,832
35.0
8,975
-976
7,998
31.0
8.3
2020E
106,997
11.5
79,243
74.1
27,754
25.9
6,269
21,485
6,529
2,600
17,555
0
17,555
6,144
35.0
11,411
-1,037
10,374
29.7
9.7
Balance Sheet
Y/E March
Equity Share Capital
Total Reserves
Net Worth
Deferred Liabilities
Minority Interest
Total Loans
Capital Employed
Gross Block
Less: Accum. Deprn.
Net Fixed Assets
Capital WIP
Total Investments
Curr. Assets, Loans&Adv.
Inventory
Account Receivables
Cash and Bank Balance
Loans and Advances
Curr. Liability & Prov.
Account Payables
Provisions
Net Current Assets
Appl. of Funds
E: MOSL Estimates
2013
162
30,517
30,679
1,638
5,181
35,744
73,242
49,979
7,410
42,569
5,503
11,804
16,139
3,520
2,572
999
9,048
6,899
6,241
658
9,240
73,242
2014
162
30,785
30,947
1,865
4,464
42,760
80,036
52,446
9,852
42,594
12,379
12,336
15,560
3,311
2,843
844
8,562
7,523
6,874
649
8,037
80,036
2015
162
30,539
30,702
4,279
7,477
84,797
127,254
84,123
25,890
58,233
19,142
16,905
30,147
7,293
5,253
5,281
12,320
16,816
15,833
984
13,331
127,254
2016
178
45,715
45,893
16,746
5,259
87,351
155,249
128,748
31,699
97,050
2,355
26,665
22,655
6,976
5,100
2,336
8,243
24,447
22,226
2,221
-1,792
155,249
2017
178
49,471
49,649
15,764
6,129
78,063
149,604
131,778
37,726
94,053
1,325
27,434
25,038
6,488
5,933
1,750
10,867
30,174
26,158
4,016
-5,136
149,604
2018E
178
55,371
55,549
15,764
7,046
67,183
145,542
134,103
43,974
90,129
1,000
27,434
26,919
7,436
6,738
430
12,315
31,341
30,207
1,135
-4,422
145,542
(INR Million)
2019E
178
63,370
63,548
15,764
8,023
62,183
149,517
139,103
50,500
88,603
1,000
27,434
36,230
8,941
8,941
4,411
13,937
35,152
34,185
966
1,078
149,517
2020E
178
73,367
73,544
5,860
9,060
62,183
150,647
143,353
56,769
86,584
3,000
27,434
41,258
10,260
8,794
2,856
19,347
39,030
38,109
922
2,228
150,647
8 August 2017
5

Dalmia Bharat
Financials and Valuations
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
EV/Ton (US$)
Dividend Yield (%)
Return Ratios (%)
RoIC
RoE
RoCE
Working Capital Ratios
Asset Turnover (x)
Inventory (Days)
Debtor (Days)
Leverage Ratio (x)
Current Ratio
Debt/Equity
2013
24.3
49.6
377.8
2.0
9.6
2014
-1.0
28.8
381.1
2.0
NM
2015
1.1
34.6
378.1
1.5
NM
2016
21.4
86.8
516.8
1.5
8.1
2017
38.8
106.5
558.2
2.0
6.0
2018E
68.7
138.9
624.5
2.0
3.4
2019E
89.9
163.3
714.4
3.0
0.0
2020E
116.6
187.1
826.8
4.0
3.6
68.4
24.9
4.8
3.8
16.4
181
0.1
38.6
19.1
4.2
3.2
13.4
171
0.1
29.5
16.2
3.7
2.8
11.6
166
0.1
22.7
14.2
3.2
2.5
10.2
166
0.2
4.6
6.6
4.5
5.9
-0.3
15.9
14.7
0.3
25.3
5.0
5.0
5.2
6.4
7.2
7.3
8.6
11.6
9.5
10.0
13.4
10.8
11.9
15.1
12.0
0.4
46
32
0.4
42
39
0.3
79
70
0.4
40
69
0.5
32
74
0.6
32
74
0.6
34
83
0.7
35
71
2.3
1.2
2.1
1.4
1.8
2.8
0.9
1.9
0.8
1.6
0.9
1.2
1.0
1.0
1.1
0.8
Cash Flow Statement
Y/E March
Oper. Profit/(Loss) before Tax
Interest/Dividends Recd.
Depreciation
Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
CF from Operating incl EO
(inc)/dec in FA
Free Cash Flow
(Pur)/Sale of Investments
CF from investments
Issue of Shares
(Inc)/Dec in Debt
Interest Paid
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
E: MOSL Estimates
2013
5,118
936
1,847
-597
-3,452
10,102
3,457
-16,330
-12,872
132
-16,198
-1,088
16,617
-2,263
-189
13,077
336
664
1,000
2014
1,185
928
1,946
302
3,709
-1,899
5,462
-9,343
-3,881
-533
-9,876
-213
7,016
-2,355
-190
4,258
-155
999
844
2015
4,546
2,413
2,716
469
-857
7,347
13,356
-41,767
-28,411
-4,569
-46,335
-135
42,037
-4,344
-142
37,416
4,437
844
5,281
2016
15,916
2,294
5,809
2,456
12,178
3,576
1,802
-39,166
-37,364
-9,760
-48,927
13,448
2,555
-7,302
-155
8,546
-38,578
5,281
-33,297
2017
19,019
2,988
6,027
2,892
2,758
16,357
18,617
-2,431
16,186
-768
-3,199
645
-9,289
-8,900
-207
-17,750
-2,332
2,336
3
2018E
21,935
2,600
6,248
3,782
-2,033
22,786
22,380
-2,000
20,380
0
-2,000
0
-10,880
-7,480
-207
-18,567
1,813
1,750
3,563
(INR Million)
2019E
24,525
2,600
6,526
4,832
-1,519
23,812
20,631
-5,000
15,631
0
-5,000
0
-5,000
-6,792
0
-11,792
3,839
430
4,269
2020E
27,754
2,600
6,269
6,144
-2,705
26,914
25,526
-6,250
19,276
0
-6,250
0
0
-6,529
-377
-6,907
12,370
4,411
16,781
8 August 2017
6

Dalmia Bharat
Corporate profile
DBEL is India’s 4
th
largest cement manufacturer with
operations in South, East and North East India. The
company has capacity of 25mt out of which 14.2mt is
in South, 8.9mt capacity in East and 1.5mt in North
East
Company description
Exhibit 1: Sensex rebased
Source: MOSL/Bloomberg
Exhibit 2: Shareholding pattern (%)
Jun-17
Promoter
DII
FII
Others
58.0
7.7
17.4
16.9
Mar-17
57.8
5.4
11.6
25.3
Jun-16
57.4
4.6
11.4
26.5
Source: Capitaline
Exhibit 3: Top holders
Holder Name
Small Cap World Fund, INC
Birla Sun Life Trustee Company Private
Limited A/C
DSP Black Rock MIP Fund
Valiant Mauritius Partners Offshore Limited
% Holding
3.1
2.4
1.1
1.1
Source: Capitaline
Note: FII Includes depository receipts
Exhibit 4: Top management
Name
P K Khaitan
Jai Hari Dalmia
Yadu Hari Dalmia
Jayesh Doshi
Nidhi Bisaria
Designation
Chairman
Managing Director
Managing Director
Director & CFO
Company Secretary
Exhibit 5: Directors
Name
Gautam Dalmia
Puneet Yadu Dalmia
V S Jain
Name
N Gopalaswamy
Sudha Pillai
Source: Capitaline
*Independent
Exhibit 6: Auditors
Name
S S Kothari Mehta & Co
Type
Statutory
Exhibit 7: MOSL forecast v/s consensus
EPS
(INR)
FY18
FY19
FY20
MOSL
forecast
68.7
89.9
116.6
Consensus
forecast
73.2
108.0
131.2
Variation (%)
-6.1
-16.7
-11.1
Source: Bloomberg
Source: Capitaline
8 August 2017
7

Disclosures:
The following Disclosures are being made in compliance with the SEBI Research Analyst Regulations 2014 (herein after referred to as the Regulations).
Motilal Oswal Securities Ltd. (MOSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOSL, the Research Entity (RE) as defined in the Regulations, is engaged in the business of providing Stock
broking services, Investment Advisory Services, Depository participant services & distribution of various financial products. MOSL is a subsidiary company of Motilal Oswal Financial Service Ltd. (MOFSL). MOFSL is a listed
public company, the details in respect of which are available on
www.motilaloswal.com.
MOSL is registered with the Securities & Exchange Board of India (SEBI) and is a registered Trading Member with National Stock
Exchange of India Ltd. (NSE) and Bombay Stock Exchange Limited (BSE), Metropolitan Stock Exchange Of India Ltd. (MSE) for its stock broking activities & is Depository participant with Central Depository Services Limited
(CDSL) & National Securities Depository Limited (NSDL) and is member of Association of Mutual Funds of India (AMFI) for distribution of financial products. Details of associate entities of Motilal Oswal Securities Limited are
available on the website at
http://onlinereports.motilaloswal.com/Dormant/documents/Associate%20Details.pdf
Pending Regulatory Enquiries against Motilal Oswal Securities Limited by SEBI:
SEBI pursuant to a complaint from client Shri C.R. Mohanraj alleging unauthorized trading, issued a letter dated 29th April 2014 to MOSL notifying appointment of an Adjudicating Officer as per SEBI regulations to hold
inquiry and adjudge violation of SEBI Regulations; MOSL requested SEBI to provide all documents, records, investigation report relied upon by SEBI which were referred in Show Cause Notice and also sought personal
hearing. The matter is currently pending.
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the subject company at the end of the month immediately preceding the date of publication of the Research Report.
MOSL and its associate company(ies), their directors and Research Analyst and their relatives may; (a)
from time to time, have a long or short position in, act as principal in, and buy or sell the securities or derivatives thereof of companies mentioned herein. (b) be engaged in any other transaction involving such securities and
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as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOSL even though there might exist an inherent conflict of interest in some of the stocks mentioned in the
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a)
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c)
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d)
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been independently verified and no guaranty, representation of warranty, express or implied, is made as to its accuracy, completeness or correctness. All such information and opinions are subject to change without notice.
The report is prepared solely for informational purpose and does not constitute an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments for the clients. Though
disseminated to all the customers simultaneously, not all customers may receive this report at the same time. MOSL will not treat recipients as customers by virtue of their receiving this report.
Analyst Certification
The views expressed in this research report accurately reflect the personal views of the analyst(s) about the subject securities or issues, and no part of the compensation of the research analyst(s) was, is, or will be directly or
indirectly related to the specific recommendations and views expressed by research analyst(s) in this report.
Dalmia Bharat
Disclosure of Interest Statement
Analyst ownership of the stock
Dalmia Bharat
No
A graph of daily closing prices of securities is available at
www.nseindia.com, www.bseindia.com.
Research Analyst views on Subject Company may vary based on Fundamental research and Technical Research. Proprietary
trading desk of MOSL or its associates maintains arm’s length distance with Research Team as all the activities are segregated from MOSL research activity and therefore it can have an independent view with regards to
subject company for which Research Team have expressed their views.
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products and services in any jurisdiction where their offer or sale is not qualified or exempt from registration. The Indian Analyst(s) who compile this report is/are not located in Hong Kong & are not conducting Research
Analysis in Hong Kong.
For U.S.
Motilal Oswal Securities Limited (MOSL) is not a registered broker - dealer under the U.S. Securities Exchange Act of 1934, as amended (the"1934 act") and under applicable state laws in the United States. In addition MOSL is
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interpretations thereof by the U.S. Securities and Exchange Commission ("SEC") in order to conduct business with Institutional Investors based in the U.S., MOSL has entered into a chaperoning agreement with a U.S.
registered broker-dealer, Motilal Oswal Securities International Private Limited. ("MOSIPL"). Any business interaction pursuant to this report will have to be executed within the provisions of this chaperoning agreement.
The Research Analysts contributing to the report may not be registered /qualified as research analyst with FINRA. Such research analyst may not be associated persons of the U.S. registered broker-dealer, MOSIPL, and
therefore, may not be subject to NASD rule 2711 and NYSE Rule 472 restrictions on communication with a subject company, public appearances and trading securities held by a research analyst account.
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the Financial Advisers Regulations and the Securities and Futures Act (Chapter 289), as amended from time to time. In respect of any matter arising from or in connection with the research you could contact the following
representatives of Motilal Oswal Capital Markets Singapore Pte Limited:
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the information and opinions contained in this document. The Disclosures of Interest Statement incorporated in this document is provided solely to enhance the transparency and should not be treated as endorsement of the
views expressed in the report. This information is subject to change without any prior notice. The Company reserves the right to make modifications and alternations to this statement as may be required from time to time
without any prior approval. MOSL, its associates, their directors and the employees may from time to time, effect or have effected an own account transaction in, or deal as principal or agent in or for the securities
mentioned in this document. They may perform or seek to perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities
functions as a separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of information that is already
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information due to any errors and delays.
Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022-3980 4263; www.motilaloswal.com. Correspondence Address: Palm Spring
Centre, 2nd Floor, Palm Court Complex, New Link Road, Malad (West), Mumbai- 400 064. Tel No: 022 3080 1000. Compliance Officer: Neeraj Agarwal, Email Id:
na@motilaloswal.com,
Contact No.:022-30801085.
Registration details of group entities.: MOSL: NSE (Cash): INB231041238; NSE (F&O): INF231041238; NSE (CD): INE231041238; BSE (Cash): INB011041257; BSE(F&O): INF011041257; BSE(CD); MSE(Cash): INB261041231;
MSE(F&O): INF261041231; MSE(CD): INE261041231; CDSL: IN-DP-16-2015; NSDL: IN-DP-NSDL-152-2000; Research Analyst: INH000000412. AMFI: ARN 17397. Investment Adviser: INA000007100. Motilal Oswal Asset
Management Company Ltd. (MOAMC): PMS (Registration No.: INP000000670) offers PMS and Mutual Funds products. Motilal Oswal Wealth Management Ltd. (MOWML): PMS (Registration No.: INP000004409) offers wealth
management solutions. *Motilal Oswal Securities Ltd. is a distributor of Mutual Funds, PMS, Fixed Deposit, Bond, NCDs, Insurance and IPO products. * Motilal Oswal Commodities Broker Pvt. Ltd. offers Commodities
Products. * Motilal Oswal Real Estate Investment Advisors II Pvt. Ltd. offers Real Estate products. * Motilal Oswal Private Equity Investment Advisors Pvt. Ltd. offers Private Equity products
8 August 2017
8