2QFY20 Results Update | Sector: Others
15 October 2019
Delta Corp
Buy
BSE SENSEX
38,506
Bloomberg
Equity Shares (m)
M.Cap.(INRb)/(USDb)
52-Week Range (INR)
1, 6, 12 Rel. Per (%)
12M Avg Val (INR M)
Free float (%)
S&P CNX
11,428
DELTA IN
268
46.3 / 0.6
278 / 116
-9/-30/-35
304
67.2
CMP: INR171
TP: INR254 (+49%)
Online sweetens the pot; op performance intact
Revenue flat; EBITDA margin expands marginally:
Revenue came in flat YoY
at INR2,008m (our estimate: INR2,059m) in 2QFY20, while the EBITDA
margin expanded 140bp YoY to 40.5% (our estimate: 37.5%), primarily
driven by a multifold expansion in the online business profitability (+2,150bp
YoY to 31%). PBT declined 3% YoY to INR748m (our estimate: INR715m). Adj.
PAT grew 22% YoY to INR585m (our estimate: INR540m). For 1HFY20, sales
were flat YoY, while EBITDA/adj. PAT increased 3%/12% YoY.
Online drives growth; Casino marred by competition, general slowdown:
Casino revenue declined marginally by 1% YoY to INR2,002m, while the
segmental EBIT margin contracted 370bp YoY to 32.8%. Increased market
capacities by ~20%, general slowdown, extended monsoon and the taxi
strike were the key reasons impacting visitation growth. Margin
compression can be attributed to higher spend on offerings/deals to drive
visitations. On the other hand, online revenue increased 17% YoY, driven by
a boost from higher promotional spend in the prior quarter. However, such
incremental spend were avoided in 2QFY20, leading to improved
profitability. We expect the online margin to sustain at ~20% as DELTA
attempts to stay competitive.
th
Key takeaways:
(a) Hearing of Daman writ petition is scheduled on 14
Nov’19. (b) Land policy is likely to be taken up in the winter session. (c)
Clarity on GST taxation is likely to emerge soon.
Valuation and view:
Post a sharp correction, the stock is now attractively
valued at 17x FY21E EPS. While the GST-related hangover remains, the
operational performance is intact and will likely continue improving hereon.
We largely maintain our estimates and expect sales/EBITDA/adj. PAT CAGR
of 11%/12%/19% over FY19-21. We value the stock at 25x FY21E EPS to
arrive at a target price of INR254. Maintain
Buy.
FY20E
2Q
3QE
2,008 2,287
0%
11%
1,195 1,361
814
926
40.5
40.5
120
122
11
10
65
70
748
864
-7
0
755
864
166
216
22.0
25.0
2
4
590
652
585
652
22%
27%
29.1
28.5
FY19
4QE
2,367
16%
1,406
961
40.6
123
9
70
899
0
899
225
25.0
2
676
676
24%
28.6
7,978
31.3
4,791
3,187
39.9
377
18
313
3,105
-43
3,148
1,141
36.3
39
1,968
1,940
25.3
24.3
FY20E
8,526
6.9
5,149
3,377
39.6
474
40
287
3,150
-7
3,157
824
26.1
-11
2,344
2,339
20.5
27.4
Financials & Valuations (INR b)
2019 2020E
Y/E March
8.0
8.5
Net Sales
3.2
3.4
EBITDA
1.9
2.3
NP
7.2
8.6
EPS (INR)
23.8
20.5
EPS Gr. (%)
71.7
79.8
BV/Sh. (INR)
10.7
11.4
RoE (%)
11.0
15.5
RoCE (%)
6.6
6.3
Payout (%)
P/E (x)
23.9
19.8
P/BV (x)
2.4
2.1
EV/EBITDA (x)
12.9
12.2
Div. Yield (%)
0.2
0.3
2021E
9.9
4.0
2.8
10.2
17.9
89.4
12.0
16.5
5.3
16.8
1.9
10.3
0.3
Estimate change
TP change
Rating change
Consolidated - Quarterly performance
Y/E March
Net Sales
YoY Change (%)
Total Expenditure
EBITDA
Margins (%)
Depreciation
Interest
Other Income
PBT before EO exp.
Extra-Ord expense
PBT
Tax
Rate (%)
MI & P/L of Asso. Cos.
Reported PAT
Adj PAT
YoY Change (%)
Margins (%)
1Q
1,873
46%
1,206
667
35.6
94
2
83
654
0
654
228
34.9
-3
423
423
100%
22.6
FY19
2Q
3Q
2,011 2,052
38%
27%
1,225 1,197
786
855
39.1
41.7
94
95
7
6
83
55
768
810
0
11
768
799
274
296
35.6
37.0
-13
2
481
505
481
512
11%
14%
23.9
24.9
INR million
2QE
2,059
1,287
772
37.5
112
10
65
715
0
715
179
25.0
4
540
540
12%
26.2
Var
%
-2
4Q
2,043
19%
1,164
879
43.0
95
3
92
875
-37
911
344
37.8
0
567
544
19%
26.6
1Q
1,865
0%
1,188
677
36.3
110
10
82
640
0
640
217
33.9
2
425
425
0%
22.8
5
301bp
5
8
288bp
Chintan Modi- Research analyst
(Chintan.Modi@MotilalOswal.com); +91 22 6129 1554
Alpesh Thacker- Research analyst
(Alpesh.Thacker@motilaloswal.com); +91 225036 2561
Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.
Investors are advised to refer through important disclosures made at the last page of the Research Report.
 Motilal Oswal Financial Services
Delta Corp
Others takeaways:
The entry of Big Daddy and the upgradation by Pride to a bigger vessel
expanded the market for casino by ~20%.
Cash flow from operations stood at INR1,485m in 1HFY20, which is 100% of
EBITDA for the same period.
th
Exhibit 1: Excerpt from minutes of 35 GST Council meet
Source: MOFSL, Company
15 October 2019
2
 Motilal Oswal Financial Services
Delta Corp
Story in charts
Exhibit 2: Expect revenue CAGR of 11% over FY19-21
Revenue (INR m)
25.1
21.2
33.7
31.3
6.9
Growth(%)
15.6
32.2
Exhibit 3: Margin to expand
EBITDA (INR m)
36.1
40.7
39.9
Margins (%)
39.6
40.8
3,752
4,547
6,077
7,978
8,526
9,860
1,206
1,640
2,470
3,187
3,377
4,023
Source: MOFSL, Company
Source: MOFSL, Company
Exhibit 4: Expect adj. PAT CAGR of 19% over FY19-21
Adjusted PAT (INR m)
126.5
118.9
25.3
Growth(%)
20.5
17.9
Exhibit 5: RoE trend
RoE(%)
-311.5
8.1
312
707
1,548
1,940
2,339
2,757
3.9
11.9
10.7
11.4
12.0
Source: MOFSL, Company
Source: MOFSL, Company
Exhibit 6: RoCE set to improve
RoCE(%)
Exhibit 7: To remain debt free
0.5
0.4
Gross Debt(INR m)
Debt-Equity (x)
0.3
15.5
16.5
3,524
3,372
0.2
2,210
5.6
8.7
11.5
11.0
2,428
0.0
14
Source: MOFSL, Company
Source: MOFSL, Company
15 October 2019
3
 Motilal Oswal Financial Services
Delta Corp
Financials and valuations
Consolidated - Income Statement
Y/E March
Total Income from Operations
Change (%)
Cost of Materials Consumed
% of Sales
Personnel Expenses
% of Sales
Other Expenses
% of Sales
Total Expenditure
Total Income from Operations
Total Expenditure
% of Sales
EBITDA
Margin (%)
Depreciation
EBIT
Int. and Finance Charges
Other Income
PBT bef. EO Exp.
EO Items
PBT after EO Exp.
Current Tax
Deferred Tax
Tax Rate (%)
Less: Mionrity Interest
Reported PAT
Adjusted PAT
Change (%)
Margin (%)
Y/E March
Equity Share Capital
Total Reserves
Net Worth
Minority Interest
Deferred Liabilities
Total Loans
Capital Employed
Gross Block
Less: Accum. Deprn.
Net Fixed Assets
Goodwill on Consolidation
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
Deferred Tax assets
Appl. of Funds
FY15
3,000
-46.3
205
6.8
526
17.5
1,603
53.4
2,334
3,000
2,334
77.8
665
22.2
347
318
513
74
-120
-49
-169
155
-47
-64.1
-50
-228
-148
-134.2
-4.9
FY15
231
7,420
7,651
244
160
3,372
11,426
8,739
800
7,938
604
38
1,077
2,459
695
228
210
1,326
911
735
176
1,548
221
11,426
FY16
3,752
25.1
294
7.8
591
15.7
1,661
44.3
2,545
3,752
2,545
67.8
1,206
32.2
359
847
413
70
503
105
608
202
0
33.2
24
382
312
-311.5
8.3
FY16
231
8,123
8,354
270
0
2,428
11,051
8,508
1,160
7,348
1,258
27
826
2,100
708
142
228
1,023
899
806
93
1,201
391
11,051
FY17
4,547
21.2
315
6.9
641
14.1
1,952
42.9
2,907
4,547
2,907
63.9
1,640
36.1
361
1,278
350
49
978
-42
1,020
280
0
27.4
2
738
707
126.5
15.6
FY17
232
8,970
9,202
160
0
2,210
11,572
8,715
1,521
7,194
1,327
5
981
2,715
695
43
314
1,663
1,000
906
95
1,715
351
11,572
FY18
6,077
33.7
351
5.8
946
15.6
2,309
38.0
3,606
6,077
3,606
59.3
2,470
40.7
371
2,099
104
286
2,281
-10
2,292
737
0
32.2
-1
1,555
1,548
118.9
25.5
FY18
268
16,560
16,827
141
245
14
17,228
10,183
1,892
8,290
3,946
41
4,220
3,183
705
83
1,235
1,161
2,854
2,760
94
330
402
17,228
FY19
7,978
31.3
387
4.8
1,100
13.8
3,304
41.4
4,791
7,978
4,791
60.1
3,187
39.9
377
2,810
18
313
3,105
-43
3,148
1,141
0
36.3
39
1,968
1,940
25.3
24.3
FY19
271
19,152
19,423
80
243
2
19,748
10,595
2,269
8,326
3,969
129
4,455
3,832
958
70
738
2,066
1,202
1,106
96
2,630
240
19,748
(INR Million)
FY20E
FY21E
8,526
9,860
6.9
15.6
496
493
5.8
5.0
1,189
1,302
14.0
13.2
3,463
4,043
40.6
41.0
5,149
5,837
8,526
9,860
5,149
5,837
60.4
59.2
3,377
4,023
39.6
40.8
474
536
2,903
3,487
40
40
287
290
3,150
3,737
-7
0
3,157
3,737
824
990
0
0
26.1
26.5
-11
-11
2,344
2,757
2,339
2,757
20.5
17.9
27.4
28.0
FY20E
271
21,348
21,619
80
243
2
21,944
13,095
2,743
10,352
3,969
129
4,955
3,805
888
117
631
2,170
1,504
1,402
102
2,301
240
21,945
Consolidated - Balance Sheet
(INR Million)
FY21E
271
23,959
24,229
80
243
2
24,554
15,095
3,279
11,817
3,969
129
6,455
3,712
973
135
326
2,278
1,766
1,648
119
1,946
240
24,554
15 October 2019
4
 Motilal Oswal Financial Services
Delta Corp
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
Dividend Yield (%)
FCF per share
Return Ratios (%)
RoE
RoCE
RoIC
Working Capital Ratios
Asset Turnover (x)
Inventory (Days)
Debtor (Days)
Creditor (Days)
Working Cap. Turnover (Days)
Leverage Ratio (x)
Debt/Equity
FY15
-0.6
0.9
33.2
0.1
-12.5
-267.1
198.0
5.2
16.3
73.5
0.1
3.2
-1.9
5.8
5.4
0.3
85
28
89
23
0.4
FY16
1.4
2.9
36.2
0.2
14.5
126.3
58.7
4.7
12.8
39.8
0.1
4.6
3.9
5.6
5.6
0.3
69
14
78
4
0.3
FY17
3.1
4.6
39.7
0.4
13.2
56.0
37.1
4.3
10.5
29.1
0.2
4.0
8.1
8.7
9.2
0.4
56
3
73
-13
0.2
FY18
5.8
7.2
62.9
0.0
0.0
29.6
23.8
2.7
7.3
16.5
0.0
3.1
11.9
11.5
12.9
0.4
42
5
166
-118
0.0
FY19
7.2
8.6
71.7
0.4
6.6
23.9
20.0
2.4
5.6
12.9
0.2
-1.7
10.7
11.0
13.7
0.4
44
3
51
-4
0.0
FY20E
8.6
10.4
79.8
0.5
6.3
19.8
16.5
2.1
5.3
12.2
0.3
1.0
11.4
15.5
14.0
0.4
38
5
60
-17
0.0
FY21E
10.2
12.2
89.4
0.5
5.3
16.8
14.1
1.9
4.6
10.3
0.3
4.0
12.0
16.5
15.1
0.4
36
5
61
-20
0.0
Consolidated - Cash Flow Statement
Y/E March
OP/(Loss) before Tax
Depreciation
Interest & Finance Charges
Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
Others
CF from Operating incl EO
(inc)/dec in FA
Free Cash Flow
(Pur)/Sale of Investments
Others
CF from Investments
Issue of Shares
(Inc)/Dec in Debt
Interest Paid
Dividend Paid
Others
CF from Fin. Activity
Inc/Dec of Cash
Opening Balance
Closing Balance
FY15
-166
347
495
-354
539
862
-23
838
-107
731
3
-145
-250
145
-152
-551
-62
-309
-929
-341
551
210
FY16
596
382
397
-156
94
1,313
-156
1,157
-89
1,068
32
-63
-120
0
-524
-427
-28
-40
-1,018
18
210
228
FY17
978
361
300
-280
-427
932
180
1,112
-185
927
-155
49
-290
1
-218
-350
-98
-72
-736
86
228
314
FY18
2,281
371
-182
-737
3,081
4,815
125
4,940
-4,122
818
-3,240
-35
-7,396
5,500
-2,196
-104
0
176
3,377
921
314
1,234
FY19
3,105
377
-295
-1,141
-1,585
461
-433
28
-500
-473
-234
313
-422
0
-13
-18
-130
59
-101
-496
1,233
738
FY20E
3,150
474
-247
-824
321
2,874
-92
2,782
-2,500
282
-500
287
-2,713
0
0
-40
-147
10
-177
-107
738
631
(INR Million)
FY21E
3,737
536
-250
-990
155
3,188
-105
3,083
-2,000
1,083
-1,500
290
-3,210
0
0
-40
-147
10
-177
-304
631
326
15 October 2019
5
 Motilal Oswal Financial Services
Delta Corp
NOTES
15 October 2019
6
 Motilal Oswal Financial Services
Delta Corp
Explanation of Investment Rating
Investment Rating
BUY
SELL
NEUTRAL
UNDER REVIEW
NOT RATED
Expected return (over 12-month)
>=15%
< - 10%
< - 10 % to 15%
Rating may undergo a change
We have forward looking estimates for the stock but we refrain from assigning recommendation
*In case the recommendation given by the Research Analyst is inconsistent with the investment rating legend for a continuous period of 30 days, the Research Analyst shall within following 30
days take appropriate measures to make the recommendation consistent with the investment rating legend.
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 Financial Services Ltd. (MOFSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOFSL, 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. MOFSL is a subsidiary
company of Passionate Investment Management Pvt. Ltd.. (PIMPL). MOFSL is a listed public company, the details in respect of which are available on www.motilaloswal.com. MOFSL
(erstwhile Motilal Oswal Securities Limited - 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), Multi Commodity Exchange of India Limited (MCX) and National Commodity & Derivatives Exchange Limited (NCDEX) for its
stock broking activities & is Depository participant with Central Depository Services Limited (CDSL) National Securities Depository Limited (NSDL),NERL, COMRIS and CCRL and is member
of Association of Mutual Funds of India (AMFI) for distribution of financial products and Insurance Regulatory & Development Authority of India (IRDA) as Corporate Agent for insurance
products.
Details of associate entities of Motilal Oswal Financial Services Limited are available on the website at
http://onlinereports.motilaloswal.com/Dormant/documents/List%20of%20Associate%20companies.pdf
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the securities or derivatives thereof of companies mentioned herein. (b) be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a
market maker in the financial instruments of the company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies) or may have any other potential conflict of
interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the specific recommendations made by the
analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even though there might exist an inherent conflict of interest in
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Research Analyst views on Subject Company may vary based on Fundamental research and
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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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would be contrary to law, regulation or which would subject MOFSL & its group companies to registration or licensing requirements within such jurisdictions.
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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 Financial Services Limited (MOFSL) 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 MOFSL is not a registered investment adviser under the U.S. Investment Advisers Act of 1940, as amended (the "Advisers Act" and together with the 1934
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MOFSL , including the products and services described herein are not available to or intended for U.S. persons. This report is intended for distribution only to "Major Institutional Investors" as
defined by Rule 15a-6(b)(4) of the Exchange Act and interpretations thereof by SEC (henceforth referred to as "major institutional investors"). This document must not be acted on or relied on
by persons who are not major institutional investors. Any investment or investment activity to which this document relates is only available to major institutional investors and will be engaged in
only with major institutional investors. In reliance on the exemption from registration provided by Rule 15a-6 of the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act") and
interpretations thereof by the U.S. Securities and Exchange Commission ("SEC") in order to conduct business with Institutional Investors based in the U.S., MOFSL 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.
For Singapore
In Singapore, this report is being distributed by Motilal Oswal Capital Markets Singapore Pte Ltd (“MOCMSPL”) (Co.Reg. NO. 201129401Z) which is a holder of a capital markets services
license and an exempt financial adviser in Singapore.As per the approved agreement under Paragraph 9 of Third Schedule of Securities and Futures Act (CAP 289) and Paragraph 11 of First
Schedule of Financial Advisors Act (CAP 110) provided to MOCMSPL by Monetary Authority of Singapore. Persons in Singapore should contact MOCMSPL in respect of any matter arising
from, or in connection with this report/publication/communication. This report is distributed solely to persons who qualify as “Institutional Investors”, of which some of whom may consist of
"accredited" institutional investors as defined in section 4A(1) of the Securities and Futures Act, Chapter 289 of Singapore (“the SFA”). Accordingly, if a Singapore person is not or ceases to be
such an institutional investor, such Singapore Person must immediately discontinue any use of this Report and inform MOCMSPL.
Specific Disclosures
1 MOSL, Research Analyst and/or his relatives does not have financial interest in the subject company, as they do not have equity holdings in the subject company.
2 MOSL, Research Analyst and/or his relatives do not have actual/beneficial ownership of 1% or more securities in the subject company
3 MOSL, Research Analyst and/or his relatives have not received compensation/other benefits from the subject company in the past 12 months
4 MOSL, Research Analyst and/or his relatives do not have material conflict of interest in the subject company at the time of publication of research report
5 Research Analyst has not served as director/officer/employee in the subject company
6 MOSL has not acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
7 MOSL has not received compensation for investment banking/ merchant banking/brokerage services from the subject company in the past 12 months
8 MOSL has not received compensation for other than investment banking/merchant banking/brokerage services from the subject company in the past 12 months
9 MOSL has not received any compensation or other benefits from third party in connection with the research report
10 MOSL has not engaged in market making activity for the subject company
********************************************************************************************************************************
The associates of MOFSL may have:
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financial interest in the subject company
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actual/beneficial ownership of 1% or more securities in the subject company
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received compensation/other benefits from the subject company in the past 12 months
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 Motilal Oswal Financial Services
Delta Corp
other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the specific
recommendations made by the analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even though there
might exist an inherent conflict of interest in some of the stocks mentioned in the research report.
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acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
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be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instruments of the company(ies)
discussed herein or act as an advisor or lender/borrower to such company(ies)
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received compensation from the subject company in the past 12 months for investment banking / merchant banking / brokerage services or from other than said services.
The associates of MOFSL has not received any compensation or other benefits from third party in connection with the research report
Above disclosures include beneficial holdings lying in demat account of MOFSL which are opened for proprietary investments only. While calculating beneficial holdings, It does not consider
demat accounts which are opened in name of MOFSL for other purposes (i.e holding client securities, collaterals, error trades etc.). MOFSL also earns DP income from clients which are not
considered in above disclosures.
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.
Terms & Conditions:
This report has been prepared by MOFSL and is meant for sole use by the recipient and not for circulation. The report and information contained herein is strictly confidential and may not be
altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent of MOFSL. The report is
based on the facts, figures and information that are considered true, correct, reliable and accurate. The intent of this report is not recommendatory in nature. The information is obtained from
publicly available media or other sources believed to be reliable. Such information has not 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. MOFSL will not treat recipients as customers by virtue of their receiving this report.
Disclaimer:
The report and information contained herein is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or distributed, in part or
in whole, to any other person or to the media or reproduced in any form, without prior written consent. This report and information herein is solely for informational purpose and may not be
used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments. Nothing in this report constitutes investment, legal,
accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances. The securities discussed and opinions expressed in this
report may not be suitable for all investors, who must make their own investment decisions, based on their own investment objectives, financial positions and needs of specific recipient. This
may not be taken in substitution for the exercise of independent judgment by any recipient. Each recipient of this document should make such investigations as it deems necessary to arrive at
an independent evaluation of an investment in the securities of companies referred to in this document (including the merits and risks involved), and should consult its own advisors to
determine the merits and risks of such an investment. The investment discussed or views expressed may not be suitable for all investors. Certain transactions -including those involving futures,
options, another derivative products as well as non-investment grade securities - involve substantial risk and are not suitable for all investors. No representation or warranty, express or implied,
is made as to the accuracy, completeness or fairness of 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. MOFSL, 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 available in publicly accessible media or developed through analysis of MOFSL. The views expressed are those of the analyst, and the Company may or may not subscribe to all the
views expressed therein. This document is being supplied to you solely for your information and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or
published, copied, in whole or in part, for any purpose. This report is not directed or intended for distribution to, or use by, any person or entity who is a citizen or resident of or located in any
locality, state, country or other jurisdiction, where such distribution, publication, availability or use would be contrary to law, regulation or which would subject MOFSL to any registration or
licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in all jurisdictions or to certain category of investors. Persons in whose
possession this document may come are required to inform themselves of and to observe such restriction. Neither the Firm, not its directors, employees, agents or representatives shall be
liable for any damages whether direct or indirect, incidental, special or consequential including lost revenue or lost profits that may arise from or in connection with the use of the information.
The person accessing this information specifically agrees to exempt MOFSL or any of its affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not
to hold MOFSL or any of its affiliates or employees responsible for any such misuse and further agrees to hold MOFSL or any of its affiliates or employees free and harmless from all losses,
costs, damages,
expenses that may be suffered by the person accessing this 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 71934200/ 022-71934263; Website
www.motilaloswal.com.CIN no.: L67190MH2005PLC153397.Correspondence Office Address: Palm Spring Centre, 2nd Floor, Palm Court Complex, New Link Road, Malad(West), Mumbai-
400 064. Tel No: 022 7188 1000.
Registration Nos.: Motilal Oswal Financial Services Limited (MOFSL)*: INZ000158836(BSE/NSE/MCX/NCDEX); CDSL and NSDL: IN-DP-16-2015; Research Analyst: INH000000412. AMFI:
ARN - 146822; Investment Adviser: INA000007100; Insurance Corporate Agent: CA0579;PMS:INP000006712. Motilal Oswal Asset Management Company Ltd. (MOAMC): PMS (Registration
No.: INP000000670); PMS and Mutual Funds are offered through MOAMC which is group company of MOFSL. Motilal Oswal Wealth Management Ltd. (MOWML): PMS (Registration No.:
INP000004409) is offered through MOWML, which is a group company of MOFSL. Motilal Oswal Financial Services Limited is a distributor of Mutual Funds, PMS, Fixed Deposit, Bond,
NCDs,Insurance Products and IPOs.Real Estate is offered through Motilal Oswal Real Estate Investment Advisors II Pvt. Ltd. which is a group company of MOFSL. Private Equity is offered
through Motilal Oswal Private Equity Investment Advisors Pvt. Ltd which is a group company of MOFSL. Research & Advisory services is backed by proper research. Please read the Risk
Disclosure Document prescribed by the Stock Exchanges carefully before investing. There is no assurance or guarantee of the returns. Investment in securities market is subject to market risk,
read all the related documents carefully before investing. Details of Compliance Officer: Name: Neeraj Agarwal, Email ID: na@motilaloswal.com, Contact No.:022-71881085.
* MOSL has been amalgamated with Motilal Oswal Financial Services Limited (MOFSL) w.e.f August 21, 2018 pursuant to order dated July 30, 2018 issued by Hon'ble National Company Law
Tribunal, Mumbai Bench.
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