24 July 2013
Annual Report Update | Sector: Real Estate
DLF
BSE SENSEX
S&P CNX
19,958
6,009
CMP: INR177
TP: INR246
Buy
Behemoth moves… but hits roadblocks
Strategy and risk management framework in place, but headwinds likely
to make recovery long drawn
Bloomberg
DLFUIN
Equity Shares (m)
1,714.4
M.Cap. (INR b)/(USD b) 301.9/5.1
52-Week Range (INR)
289/161
1,6,12 Rel. Perf. (%)
-11/-25/-31
Financials & Valuation (INR b)
Y/E March
2013 2014E 2015E
Net Sales
77.7
90.1
98.6
EBITDA
26.3
34.1
39.6
Adj PAT
7.1
7.4
12.7
EPS (INR)
4.2
4.2
7.1
EPS Gr. (%)
-40.8
-0.8
71.6
BV/Sh. (INR) 152.9 158.2 155.2
RoE (%)
2.6
2.6
4.2
RoCE (%)
6.0
5.8
6.9
Payout (%)
55.8
56.3
32.8
Valuations
P/E (x)
40.5
40.8
23.8
P/BV (x)
1.1
1.1
1.1
EV/EBITDA (x) 19.2
14.4
12.3
Div. Yield (%)
1.2
1.2
1.2
DLF's annual report highlights various operational and regulatory challenges creating
hurdles for immediate fruition of its recently adopted business strategies targeted at
consolidation of core operations, balance sheet, cash flow maximization and propel
long term growth.
Continuation of weak operations (lower launches, pre-sales, margin contraction),
partially ameliorated by improvement in execution resulted in core FCFE of negative
INR17.4b (v/s negative INR21.6b in FY12). Hence, the net debt decline of INR8.3b YoY
looks meager compared to divestments of INR31.6b.
Dev Co revenue declined sharply due to changes in accounting practice and operational
slippages, leading to further weakening in capital efficiencies.
Recovery contingent on various operational improvements and deleveraging. We
maintain a cautious Buy, with a reduced target price of INR246 (10% discount to NAV).
Operational slippages and accounting adjustments wane P&L
Dissecting DLF's P&L among asset classes, we estimate Dev Co revenue fell 36%
YoY to INR39b (CAGR of -18% over FY09-13) along with 8.3pp YoY reduction in
operating margins. Rent Co revenue growth moderated sharply to 7% YoY (21% in
FY12, CAGR of 34% over FY09-13). Disappointment in Dev Co was driven by (a)
weak recent operations (pre-sales fell 28%/20% YoY in FY13/12) and (b) changes
in POCM accounting practice, which delayed revenue recognition from recent
launches. Rent Co weakness was attributable to muted leasing (coupled with
cancellations) and few divestments concluded in 2HFY12 (IT Park Pune, Noida).
Capital efficiency (RoCE calculated on segmental EBITDA) of Rent Co remains
subdued (albeit improves 0.6pp YoY to ~6.5%) due to higher CWIP and DAL assets
being carried at high book value. RoCE for Dev Co plunged sharply by 3.5pp YoY to
8.5%, impacted by lower asset turn (slippages in launch target, change in
accounting) and margin contraction.
Shareholding pattern %
As on
Mar-13 Dec-12 Mar-12
Promoter
78.6
78.6
78.6
Dom. Inst
0.3
1.0
0.3
Foreign
16.7
15.0
15.6
Others
4.4
5.5
5.5
Core FCFE at high negative, divestment success fails to bring down leverage
Slippages in launches (4.3msf v/s target of 8msf) translated into a sharp decline
in pre-sales (-28% YoY) and procrastinated revival in operating cash flow (OCF);
albeit construction outsourcing drove execution improvement and better
customer collections (~INR63b v/s INR50b in FY12). We estimate FY13 core OCF at
INR31b (28% YoY) and core FCFE of negative INR17.4b (-INR21.6b in FY12), further
impacted by (1) higher capex (~INR10b v/s INR5b in FY12), (2) interest outgo
(INR32b v/s INR30b in FY12) and (3) tax payment of INR9.4b (much higher than
P&L provision of INR1.3b). Thus, the net debt decline of INR8.3b YoY looks meager
compared to divestments of INR31.6b (v/s INR17.7b in FY12). Dev Co net leverage
of INR125b (adjusted for 6x Rent Co EBITDA) continues to stand at discomforting
level of 6.25x P&L EBITDA (or 4.7x cash EBITDA) - the recovery hinges on
operational break-even (expected by FY15) and success in deleveraging (QIP,
wind deals and clarity on Aman Resort transaction).
1
Stock performance (1 year)
Investors are advised to refer
through disclosures made at the end
of the Research Report.
Sandipan Pal
(Sandipan.Pal@MotilalOswal.com); +91 22 3982 5436

DLF
Other updates
DLF's annual report highlights contingent liabilities of INR66.6b (INR37/share),
mostly due to legal issues like CCI penalty (INR6.3b) and IT claims (INR45.2b) due
to disallowance of SEZ profit (sales to DAL over FY07-09).
While the possibility of adverse judgment remains an overhang, we note the
company has paid INR5.1b of its contested amount of INR18b. CCI appeal is still
pending before COMPAT.
Book value of DLF's current land bank of 325msf (v/s 348msf in FY12) as noted
from various balance sheet sections stood at ~INR190b (INR580/sf), of which
60%+ is situated in super metros.
Management commentary emphasized on sticking to core strategy
Key emphasis remains on (a) cash flow maximization and (b) re-shaping the
company over next two to three years to take advantage of potential economic
revival subsequently.
Major underlying strategies
(as adopted recently) remain same:
1) Focus on favorable markets (NCR and Bangalore) and select products
(premium-end and plotted).
2) Mitigate execution risk through third party outsourcing to L&T, SP group etc.
3) Protecting operating margins (escalation clause, fixed contracts, premium
projects).
4) Judicious commercial capex (given weak outlook, focus is on completing
under construction assets fast and augmenting rental and occupancy in
operational assets).
5) Replenish land at moderate velocity at strategic locations (largely NCR) for
long term growth.
6) Complete planned divestment and subsequent deleveraging.
7) Long term value creation through infrastructure developments around
existing land parcels viz. (1) 16-lane signal free road (50:50 JV with HUDA for
INR6b) to reach the Golf Course Road from Gurgaon toll plaza within seven to
eight minutes, (2) metro rail connectivity (with IL&FS) for Cyber City and
residential projects, (3) multi-level car parking etc.
However, management has highlighted various macro, operational and regulatory
challenges creating hurdles against immediate fruition of its recently adopted
business strategies. Thus, while risk management and growth framework are in
place, implementation of these appropriate measures in a timely and effective
manner would be the key challenge.
Valuations and views
While management's guided annualized EBITDA/FCFE of INR82.5b/30b by FY16 (v/s
INR35-40b/negative and INR15-20b in FY12-13) seem highly ambitious, we anticipate
a slow improvement in operating and financial leverage hereon, despite possible
void in P&L over FY14-1HFY15. Improvement in launches, especially in ultra luxury
segment, coupled with an uptick in demand and faster-than-expected deleveraging
remain the key to stock's re-rating. DLF trades at a PE of 23.8x FY15E EPS and 1.1x
FY15E BV. Near term operational challenges weigh on the stock and CMP factors
large part of the negativity. Yet earnings-based valuations seem not very attractive.
We maintain a cautious
Buy,
with a target price of INR246 (10% discount to NAV).
24 July 2013
2

DLF
Quotes from Mr K P Singh, Chairman's communication
,,
…the sector continues to face more than its fair
share of challenges. Some of these are the absence of
a long-term funding mechanism, limited developer
finance, the Urban Land Ceiling Regulations Act
continuing in some States, existing lower poor area ratio
in cities, high stamp duties and difficulties in land
acquisition. These sector special challenges became
more glaring in the context of an increasingly fragile
economic scenario last year and the sector's extended
underperformance."
"Your own Company's performance in the near term
and the strategic business choices it made for medium
term are reflective of the overall politico-economic
sentiment and sector special challenges. The Company
continued to steadfastly implement its strategy to
focus on its core business of real estate development
and leasing, launch of select residential and
commercial projects in targeted geographies
supported with development of world-class
infrastructure for its key developments, divestiture
of non-core assets and reduction in debt. I am happy
to share with you that the success of the launches that
your Company chose to make last year in Gurgaon,
Chandigarh Tri-city and Lucknow reaffirm the
confidence that our esteemed customers vest in your
Company's products. The leasing businesses portfolio
of offices and retail continue to provide a strong anchor
to the Company's cash flows.
,,
24 July 2013
3

DLF
Benefits of adopted strategies yet to drive cash flow maximization target
Based on our simplification of DLF's cash flow, we estimate core operating cash flow
(OCF) at INR31b (28% YoY) and core FCFE of negative INR17.4b (-INR21.6b in FY12).
While the company has been making right strategies (as summarized in the earlier
section) to maximize cash flow and bolster balance sheet strengths, benefits are yet
to flow down completely, given various operational, regulatory and macro challenges.
DLF's estimated cash flow snapshot
Particulars (INR b)
Dev Co Collections
Construction spend
Dev Co OCF
Rent Co annuity income
Operating cost
Rent Co OCF
Employee + Overheads
Tax payment
Less: Other business loss
Add. Other income
Total OCF
Less: Lease capex
Less: Land acquisitions
Less: stake in Adone hotel
Core Business FCF
Less: Interest outgo
FCFE
Add: Asset sales/equity raising
Pref share
Dividend
Net surplus/ change in net debt
Change in net debt
Cash EBITDA
FY11
53.1
16.4
36.7
15.5
3.2
12.3
15.1
7.5
3.0
6.0
29.4
6.5
11.0
0.0
11.9
25.9
-14.0
12.7
53.5
9.1
-63.9
63.9
24.4
FY12
FY13
49.6
62.9
13.0
22.5
36.6
40.4
18.0
19.0
3.2
3.5
14.9
15.5
17.6
17.9
11.5
9.4
2.3
3.3
4.1
5.8
24.2
31.1
4.5
9.9
10.0
6.2
1.2
0.0
8.5
15.0
30.1
32.4
-21.6
-17.4
17.7
31.6
0.1
0.0
5.9
5.8
-10.0
8.3
9.9
-8.3
27.1
24.8
Source: Company, MOSL
A
B
C
D
E
F
G
A
B
C
24 July 2013
Based on strategy 1 (select product, market mix), most of DLF's launches
were skewed towards NCR (Gurgaon, Chandigarh) and Bangalore market,
which witnessed better offtake. Despite slippages in the luxury launch in
Gurgaon and sharp decline in overall pre-sales, led by strategy 2 (execution
outsourcing), the execution pace improved, aiding better collections and
moderate growth (10% YoY) in Dev Co OCF. Successful launch of super
premium Phase V (Crest launched in 1QFY14 ) would be crucial to achieve
INR60b of FY14 pre-sales target and further uptick in collections.
Growth in Rent Co cash flow moderated (~5% YoY v/s 20% in FY12) due to
weaker macro impacting leasing momentum in recent years (1.4/1.2msf in
FY12/13 v/s 4.3msf in FY11). Focus remains on strategy 4 (judicious capex),
while benefits of strategy 7 (infra boost) is only to be reflected over a longer
period in rental escalations. We expect completion of Mall of India (Noida)
and rental re-pricing at Cyber City to revive Rent Co annual cash flow growth
to 10-15% over FY14E-15E.
Tax payment of INR9.4b was much higher than P&L provision of INR1.25b.
This is attributable to advance payments towards pending tax claim against
4

DLF
D
E
F
G
the company on account of DAL transactions (which were earlier classified
as SEZ sales). Of O/S contested payment of INR18b (witnessed new claim of
INR2.4b in FY13), it has paid INR5.1b in FY13. Higher tax outgo could be a
concern over the near term, which has been highlighted as one of the
concerns by management.
Capex cost improves YoY. This is aimed at fast track completion of ~6msf of
under construction office and retail projects (including Mall of India, Noida)
based on strategy 4.
Replenishing land at strategic locations. Guided for similar annual outflow
(strategy 5).
INR31.6b of divestment comprises (1) NTC land (INR27.3b) and (2) Adone
Hotel (INR3.7b inflow in FY13). While update on conclusion of Wind Mills
(INR8b) and Aman Resort (INR16.5b) arrived in FY13, the actual cash flow of
Wind project is delayed in FY14, while there has been lack of clarity on
Aman deal. Negative FCFE of INR17.4b led to moderate decline (INR8.3b
YoY) in net debt and no major change in gross debt. Thus, interest cost outgo
failed to moderate (rather up 7.7% YoY). Expect interest cost to decline
moderately in FY14E led by gross debt reduction, with QIP, other divestments.
Net working capital (ex cash) increased by ~INR8b YoY
DLF's net working capital grew by INR8b YoY (v/s INR15b in FY12) and is largely
attributable to (1) increase in inventory led by faster progress in execution, delayed
revenue (and cost) booking based on new POCM accounting, and land purchase,
but partially negated by (2) INR9.1b increase in customer advances and (3) increase
in unbilled receivables by INR5.6b. Change in debtors + unbilled receivable as a
percentage of revenue bookings went up only 5% YoY (1% YoY in FY11). However,
more than delays in collections, this is attributable to the sharp decline in revenue
booking in Dev Co.
Change in debtors + unbilled receivable as a percentage of
revenue bookings went up only 5% YoY (1% YoY in FY11).
However, more than delays in collections, this is attributable
to the sharp decline in revenue booking in Dev Co.
Dev Co revenue v/s pre-sale run-rate trend (INR b) indicates
despite weakening pre-sales in FY12 revenue held up due to
faster revenue booking as previously followed method by
the company (30% of total cost). However, the shift towards
new accounting practice (25% of construction cost) led to a
sharp decline in revenue booking as it makes several of DLF's
new launches ineligible for recognition.
24 July 2013
5

DLF
Key changes in balance sheet items
INR m
Current assets, loan & adv.
Stocks
FY12
325,962
161,756
FY13
349,540
176,455
Change
23,579
14,700
Attributable factors
Increase on account of a) construction progress on
ongoing projects and b) new launches (shift from loans &
advances to inventory).
Reduction due to arrival of customer collcetions from
recognized revenue. Receivables o/s for >6months stood
at 62% (v/s 68% in FY12). Detor days went up due to sharp
decline in revenue booking in Dev Co
Advances for land acqusitions or mobilization advances
for construction. Actual tax paid was higher than provision
(up by INR3.4b)
Unbilled receivable was up by INR5.2b; Collections should
accelerate going forward as billing happen faster with
execution ramp-up
Advances from customers stood at INR39.8b (up INR9.1b
YoY), likely owing ot change in accounting policy which
led to delayed revenue booking for newer plaunches.
Amount payable to contractors/suppliers up by INR9b,
hinting cash outflow is yet to catch up with execution plan
Lower lax provisioning
Source: Company, MOSL
Sundry debtors
19,100
17,393
-1,707
Cash and bank balance
Loan and advances
15,063
51,741
18,443
53,304
3,380
1,563
Other current assets
78,302
83,944
5,643
Current liability & provision
Current liabilities
106,670
98,639
118,958
111,631
12,288
12,992
Provision
Net current asset (ex cash)
8,032
204,228
7,327
212,139
-704
7,911
Balance sheet strength fails to recuperate in FY13
The net debt decline of INR8.3b YoY (to INR227b) looks meager compared to
divestments of INR31.6b, due to negative operating surplus (FCFE of negative
INR17.4b) and dividend outgo of INR5.8b.
The annual report highlights that Crisil and ICRA have revised their outlook upward
on DLF's debt instruments and NCDs post March 2013, after downgrading in FY12.
Revised ratings are on (1) long term debt of INR172b (negative to stable i.e. Crisil
A from A-) and (2) short term debt of INR65b (Crisil A+, unchanged YoY).
Key changes in balance sheet items
INR m
Share Capital
FY12
21,388
FY13
21,391
Change
3
Attributable factors
Increase in share capital is led by issuance of 0.3m ESOPs;
Pref share O/S includes (1) 20.2m (9% CCPS) from DAL to be
redeemed before Dec-19, (2) 159.7m (9% CCPS) from DCCDL
to be redeemed in early FY15, (3) small non convertible
RPS from Digital Talkies and Emporio mall
R&S improved by ~INR2.9b on account of (1) INR1.1b P&L
transfer (INR7.1b of reported PAT, less INR4b of equity
dividend, INR2b pref. dividend with DDT), (2) INR1.4b of
share issue at subsidiaries (asset sales),(3) INR0.4b of
revaluzation, ESOPs etc
Reserve & Surplus
250,970
253,888
2,917
Net worth
Minority interest
272,359
4,207
275,279
4,020
2,920
-187
24 July 2013
6

DLF
Key changes in balance sheet items
INR m
Loan fund
FY12
250,660
FY13
248,013
Change
-2,648
Attributable factors
Gross debt down by INR2.6b, while net debt declined by
INR8.3b YoY to INR227b. This is largely led by asset sales
pf INR31.6b on the back of negative core FCFE (ex
divestment) of INR23.3b
Bank Loans account for 90% of total short term loan;
Almost 95% of long term loan is secured, while bank loans
acoount for 66%; Reduction due to redeemption of
debentures; Cost of debt 10.5-14%
Long-term debt maturing in FY14 is ~INR57.2b (expect to
be addressed partly from re-financing other than
divestments)
Short Term
Long Term
33,987
168,242
35,357
155,415
1,370
-12,826
Debt in other current liabilities
48,431
57,240
8,809
Deferred tax liability(net)
Sources of funds
Goodwill
Fixed asset
Gross block
527,225
16,248
212,949
527,311
15,621
214,555
86
-627
1,605
Net decline in (Gross Block + CWIP) of ~INR10b. Key
attributable factprs are (1) reduction of NTC mill land asset
with BV of ~INR18b (sold to Lodha), DLF hotels land of
INR3.7b,and (2) ~INR10b of annuity capex“ "
Depriciation
Net block
CWIP
25,809
187,140
89,928
31,690
182,865
78,343
5,881
-4,275
-11,585
Deferred tax asset
Investment
Current investment
Non current investment
3,349
11,268
1,535
9,733
6,563
13,337
3,227
10,110
3,214
2,069
1,692
377
Amidst plan of rationalization of annuity capex, focus
remains on completing 4 commercial and 2 retail projects
(including Mall of India, Noida) totaling 5.6msf. CWIP also
includes INR10.75 investment in Dwarka Project which is
currently under litigation with DDA
Increase is led by brought forward losses
Largely land assets; current investment went by due to
increase in mutual fund investment
Source: Company, MOSL
24 July 2013
7

DLF
Revenue down with weak operations and accounting change hitting Dev Co financials
DLF's revenue fell 19% YoY, largely impacted by Dev Co revenue which declined 36% YoY to
INR39b (CAGR of -18% over FY09-13), along with 8.3pp YoY reduction in operating margins.
Decline in Dev Co is driven by weak recent operations (pre-sales fell 28%/20% YoY in
FY13/12) and change in POCM accounting, which delayed revenue recognition from projects
launched in FY13.
Dev Co margins deteriorated over FY11-12 due to sustained cost over-run and limited
contribution from recently launched premium projects with better operating margins (%).
Rent Co revenue growth moderated to 7% YoY (21% YoY in FY12, CAGR of 34% over FY09-13).
Among the non-core business, though the insurance segment posted 53% YoY growth in
revenue to INR2.7b, it posted a loss of INR1.3b (flat YoY). Hotel and Power segment
posted 4-5% YoY growth in revenue.
Dev Co accounted for 50% of FY13 revenue (posted -18% CAGR over FY09-13), while Rent Co
and service & maintenance for 34% of revenue (CAGR of 33%) and hotel and other non-
core businesses accounted for the balance 16%.
Rental income posted 34%
CAGR over FY09-13 (INR b)
Vertical-wise revenue contribution - Dev Co contribution down sharply
(Dev Co)
Segment-wise operating margins (%)
Source: Company, MOSL
24 July 2013
8

DLF
Asset turn and margin contraction in Dev Co impacted RoCE further
DLF's overall return metrics continue to remain subdued, rather they deteriorated 1.5-2pp YoY.
RoCE calculated on segmental EBITDA break-up suggests that:
Rent Co RoCE improved 0.6pp YoY to ~6.5%, albeit on an absolute level remained depressed
due to higher CWIP and DAL assets being carried at higher book value (BV). DAL accounts
for 52% of Rent Co BV.
RoCE for Dev Co plunged sharply by 3.5pp YoY to 8.5%, impacted by lower asset turn (slippage
in launch target, change in accounting) and margin contraction.
Trend in overall capital efficiencies (%)
Segmental RoCE break-up (%)
Source: Company, MOSL
Asset class-wise breakup in capital efficiencies (INR b)
Particulars
Rent Co
Rent Co incl. CWIP
Dev Co
Hotel & Insurance
*CA= Capital Employed
CA*
157.1
247.1
223.8
30.0
FY12
EBITDA
14.4
14.4
26.9
-2.3
RoCE
9.2
5.8
12.0
-7.7
CA
151.8
230.1
234.3
31.1
FY13
EBIT
RoCE
14.9
9.8
14.9
6.5
20.0
8.5
-3.3
-10.6
Source: Company, MOSL
DLF launched 4.3msf (v/s initial target of 8msf) in FY13, which includes 2.2msf in Gurgaon
(Sky Court and Ultima), 0.6msf in Chandigarh (Samavana), 1.5msf in Bangalore (Woodland
Heights and Bella Greens).
While focus was clearly on the high premium-end segment (average realizations were up
36% YoY), the quantum of launches disappointed and resulted in sharp weakness in pre-
sales (down 27% YoY). Gurgaon accounted for 57% of pre-sales value.
Management guided for pre-sales of INR60b on the back of launch of luxury and ultra-
luxury projects in select markets.
Trend in pre-sales
24 July 2013
9

DLF
DLF completed 12.4msf of projects across locations, including
new town heights in Kolkata, Gurgaon, Chennai, Garden City
and ~3msf of commercial in FY13. With execution being
outsourced to third party contractors, it scaled up the
construction pace by adding almost 19msf of projects under
construction during the year, which includes most of its past
launches in FY12-13.
Commercial leasing and outlook continue to remain weak.
This led to management's increased focus on (1) lowering
fresh capex and (2) increasing return on investment through
higher occupancy, rentals etc. Annualized rental income for
commercial stood at INR14.1b (v/s INR13.5b in FY12) and for
retail at INR2.6b (INR2.5b in FY12). Retail vacancy lowered
further to 4% (v/s 5% till FY12).
Delivery and execution trend
Trend in commercial leasing
While DLF posted a strong divestment success in FY13 with total divestments of INR31.6b,
reduction in net debt seems meager at INR8.3b due to higher operating deficit.
Trend in divestment (INR b)
Leverage declines moderately
Source: Company, MOSL
24 July 2013
10

DLF
Financials and Valuation
Income Statement
Y/E March
Net Sales
Change (%)
EBITDA
% of Net Sales
Depreciation
Interest
Other Income
Extra ordinary item
PBT
Tax
Rate (%)
Reported PAT (Pre MI)
MI/Associate Prof/Prior Period
Adjusted PAT
Change (%)
Consolidated PAT
Change (%)
2011
95,606
28.8
37,527
39.3
6,307
17,056
5,839
20,002
4,594
23.0
15,408
988
16,396
-5.2
16,396
-5.2
2012
96,294
0.7
39,043
40.5
6,888
22,465
5,945
-160
15,475
3,694
23.9
11,782
227
12,008
-26.8
12,008
-26.8
2013
77,728
-19.3
26,262
33.8
7,962
23,140
13,229
-330
8,059
1,251
15.5
6,808
312
7,119
-40.7
7,119
-40.7
2014E
90,090
15.9
34,084
37.8
7,857
21,819
4,574
8,981
2,066
23.0
6,916
486
7,402
4.0
7,402
4.0
(INR Million)
2015E
98,625
9.5
39,554
40.1
8,062
19,597
4,394
16,289
4,072
25.0
12,217
486
12,703
71.6
12,703
71.6
Balance Sheet
Y/E March
Equity Capital
Preference Capital
Reserves
Pref Shares/ CCP's
Net Worth
Loans
Minority Interest
Capital Employed
Goodwill
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Investments
Deffered tax Assets (net)
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans and Advances
Other Current Assets
Current Liab. & Prov.
Creditors
Provisions
Net Current Assets
Application of Funds
E: MOSL Estimates
2011
3,394
13,960
241,823
4,144
263,321
239,906
5,752
508,979
13,840
198,277
19,556
178,721
102,344
9,958
1,633
301,681
150,388
17,536
13,218
41,664
78,875
99,199
92,249
6,950
202,482
508,979
2012
3,394
13,850
250,970
4,144
272,359
250,660
4,207
527,225
16,248
212,949
25,809
187,140
89,928
11,268
3,349
325,962
161,756
19,100
15,063
51,741
78,302
106,671
98,639
8,032
219,291
527,225
2013
3,397
13,850
253,888
4,144
275,279
248,013
4,020
527,311
15,621
214,555
31,690
182,865
78,343
13,337
6,563
349,540
176,455
17,393
18,443
53,304
83,944
118,958
111,631
7,327
230,582
527,311
(INR Million)
2014E
3,559
13,850
275,597
4,144
297,150
226,320
4,020
527,490
15,621
221,955
39,547
182,408
72,943
13,337
6,563
367,433
190,053
19,005
12,750
59,237
86,388
130,816
123,411
7,405
236,618
527,490
2015E
3,559
13,850
284,135
4,144
305,689
209,162
4,020
518,871
15,621
225,955
47,609
178,346
63,943
13,337
6,563
383,729
202,655
20,265
12,196
62,147
86,466
142,669
135,103
7,566
241,061
518,871
24 July 2013
11

DLF
Financials and Valuation
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
2.0
24.2
2012
7.1
-26.8
11.0
150.9
2.0
33.1
2013
4.2
-40.8
8.7
152.9
2.0
55.8
2014E
4.2
-0.8
8.3
158.2
2.0
56.3
2015E
7.1
71.6
11.4
155.2
2.0
32.8
40.5
19.5
19.2
6.5
1.1
1.2
40.8
20.4
14.4
5.4
1.1
1.2
23.8
14.9
12.3
4.9
1.1
1.2
5.8
7.1
4.5
7.4
2.6
6.0
2.6
5.8
4.2
6.9
0.9
0.9
0.9
0.8
0.7
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
E: MOSL Estimates
2011
20,002
6,307
17,056
4,594
13,260
25,511
31,286
-55,945
23,139
17,056
3,971
-53,833
3,936
9,282
13,218
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
2013
8,059
7,962
23,140
1,251
7,911
30,000
5,828
-224
-2,647
23,140
3,975
-29,987
3,380
15,063
18,443
(INR Million)
2014E
8,981
7,857
21,819
2,066
11,729
24,863
-2,000
18,634
-21,693
21,819
4,165
-29,043
-5,693
18,443
12,750
2015E
16,289
8,062
19,597
4,072
4,997
34,879
5,000
0
-17,158
19,597
4,165
-40,919
-554
12,750
12,196
24 July 2013
12

DLF
N O T E S
24 July 2013
13

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