Divi's Laboratories
BSE SENSEX
33,600
Bloomberg
Equity Shares (m)
M.Cap.(INRb)/(USDb)
52-Week Range (INR)
1, 6, 12 Rel. Per (%)
Avg Val, INRm
Free float (%)
S&P CNX
10,441
DIVI IN
Regulatory issues impact revenues
265
Revenue declined 10% YoY (~4% miss), while EBITDA of INR2.8b was ~8%
244.3 / 3.8
below our estimate. Apart from loss of sales due to the import alert, lower
1,319 / 533
volumes due to batch-by-batch testing at Unit-2 (for exempted product list)
0/35/-49
1,759.05
contributed to muted revenue performance. EBITDA margin contracted
47.9
~600bp YoY to 31.1% due to lower turnover, and remediation expense of
1 November 2017
Q2FY18 Results Update | Sector: Healthcare
CMP: INR920
TP: INR800 (-13%)
Neutral
Financials & Valuations (INR b)
2017 2018E
Y/E Mar
Net Sales
41.0
36.7
EBITDA
14.3
11.7
PAT
10.6
8.6
EPS (INR)
39.9
32.4
Gr. (%)
-5.8
-18.9
BV/Sh (INR)
201.8
194.8
RoE (%)
22.0
16.3
RoCE (%)
21.8
16.3
P/E (x)
23.0
28.4
P/BV (x)
4.6
4.7
2019E
42.9
15.0
10.7
40.3
24.4
217.0
19.6
19.5
22.8
4.2
Estimate change
TP change
Rating change
~INR170m related to the import alert at Unit II. PAT of INR2.1b (down ~32%
YoY) was ~4% below our estimate.
Remediation over at Unit-2:
DIVI has already completed remediation for
observations highlighted by the USFDA in a re-inspection. Management too
has met the USFDA in late Oct-17. The company believes that till the import
alert resolution does not happen, the sales run-rate will remain at 2Q levels.
Capex plan:
DIVI spent ~INR4.5b as capital work in progress till end-FY17 to
expand capacity at Unit-1 and 2. The company plans to spend ~INR3.65b in
FY18 (~INR1.6b already spent in 1H) for capacity expansion. This expanded
capacity will be ready for commercial use in FY19.
Unit-1 USFDA inspection is due:
Unit-1 accounts for 35% of total revenue,
and its US exposure stands at ~11% of total revenues. This plant was last
inspected in June 2014, and an inspection is due over the coming few days.
It will be critical for the company to come out clear in the USFDA inspection
(particularly since the FDA had cited data integrity issues at Unit-2).
Buyback/special dividend could be near-term trigger:
DIVI has cash of
~INR17b. There is a possibility of a buyback/special dividend (like DRRD) in
the near term, which could provide near-term support to the stock price.
Things moving on right track, but resolution timeline still uncertain:
Although an early re-inspection of Unit-2 is a positive surprise, we will wait
to review the 483s. We maintain
Neutral
with a target price of INR800 @
18x FY19E PER (v/s INR720 @ 18x FY19E PER). We have cut our FY18E EPS
due to a weak 1H performance and slower ramp-up of sales in 2H as well.
Kumar Saurabh – Research analyst
(Kumar.Saurabh@MotilalOswal.com); +91 22 6129 1519
Ankeet Pandya – Research analyst
(Ankeet.Pandya@MotilalOswal.com )
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.

Divi's Laboratories
Operating metrics
Exhibit 1:
Key Operating Metrics
Sales growth (%)
Total cost (%)
Raw material
Staff cost
Other expenses
Tax Rate
Margins (%)
Gross Margins
EBITDA Margins
EBIT Margins
PAT margins
2QFY15 3QFY15 4QFY15 1QFY16 2QFY16 3QFY16 4QFY16 1QFY17 2QFY17 3QFY17 4QFY17 1QFY18 2QFY18
46.6
14.6
10.4
26.1
15.9
8.1
34.2
24.7
3.1
12.7
(2.8)
(18.4)
(10.2)
42.2
8.4
12.8
21.5
40.4
9.5
14.1
20.6
36.5
9.7
15.4
19.0
39.7
9.7
13.4
20.1
40.1
8.9
12.2
21.2
37.3
10.7
14.3
19.8
43.2
9.1
11.4
16.2
38.3
9.5
12.2
22.5
38.8
8.7
15.4
15.7
36.5
10.2
13.9
27.1
39.6
9.4
17.3
26.0
40.4
11.6
18.2
27.0
40.1
11.8
16.9
25.1
57.8
36.6
33.0
27.7
59.6
36.0
32.4
28.0
63.5
38.4
32.9
28.1
60.3
37.2
33.6
30.4
59.9
38.8
35.7
30.7
62.7
37.7
34.2
28.9
56.8
36.2
33.5
29.5
61.7
39.9
36.9
30.0
61.2
37.1
34.0
28.9
63.5
39.3
36.1
27.9
60.4
59.6
59.9
33.7
29.8
31.1
30.8
25.9
27.3
24.4
21.5
24.8
Source: MOSL, Company
1 November 2017
2

Divi's Laboratories
Story in charts
Exhibit 2:
Revenue declined by 10% 2QFY18
47
29
14
24
Sales (INR b)
YoY Growth (%)
Exhibit 3:
Gross margins declined ~130bp YoY
Gross Profit (INR b)
Gross Margin (%)
15 10
26
34
16
8
25
3
13
-3
-18
-10
Exhibit 4:
EBITDA margins contracted ~600bpsYoY
EBITDA (INR b)
EBITDA Margin (%)
Exhibit 5:
PAT declined 32% YoY in 2QFY18
Adj PAT (INR b)
YoY Growth (%)
52
6
-4 12
1
19
46
29
12
41
23
2
9
-20 -42
-32
Exhibit 6:
Annual trend in revenue mix (INR m)
Neutraceuticals
1,700
16,647
8,921
8,855
FY12
10,272
11,869
14,278
18,290
16,750
CRAMS
1,830
Generics
2,390
3,000
4,000
19,665
Exhibit 7:
Business mix
Generics
4%
48%
48%
5%
47%
CRAMS
5%
46%
5%
44%
Neutraceuticals
6%
45%
8%
46%
9%
46%
15,054
10,218 12,114
FY13
FY14
FY15
19,498 20,272 16,968 19,222
FY16
FY17
FY18E FY19E
48%
48%
48%
49%
51%
50%
46%
45%
FY12
FY13
FY14
FY15
FY16
FY17
FY18E FY19E
Exhibit 8:
EBITDA margin outlook remains modest
EBITDA (INR m)
Margin (%)
Exhibit 9:
EPS to remain subdued
EPS (INR)
35.0
20.1
22.7
29.1
32.1
42.4
39.9
32.4
40.3
36.9
37.9
39.9
37.2
37.1
35.0
32.0
FY12
FY13
FY14
FY15
FY16
FY17
FY18E FY19E
FY12
FY13
FY14
FY15
FY16
FY17
FY18E FY19E
Source: Company, MOSL
Source: Company, MOSL
1 November 2017
3

Divi's Laboratories
Financials and Valuations
Income Statement
Y/E Mar
Net Sales
Change (%)
EBITDA
EBITDA Margin (%)
Depreciation
EBIT
Interest
Other Income
Extraordinary items
PBT
Tax
Tax Rate (%)
Min. Int. & Assoc. Share
Reported PAT
Adjusted PAT
Change (%)
2013
21,399
15.1
8,102
37.9
769
7,333
18
497
0
7,812
1,792
22.9
0
6,020
6,020
12.9
2013
531
24,740
25,271
331
792
26,394
13,383
4,296
9,087
3,034
4,078
15,454
8,357
5,120
674
1,302
5,259
2,901
2,358
10,195
26,394
2014
25,253
18.0
10,077
39.9
921
9,156
21
774
0
9,909
2,176
22.0
0
7,733
7,733
28.5
2014
531
29,368
29,899
179
1,150
31,228
17,403
5,185
12,218
1,445
5,019
18,688
9,324
7,237
671
1,457
6,143
2,995
3,148
12,546
31,228
2015
31,032
22.9
11,535
37.2
1,360
10,175
19
564
0
10,721
2,206
20.6
0
8,515
8,515
10.1
2015
531
34,423
34,954
261
1,262
36,477
19,634
6,545
13,089
2,182
7,330
21,451
11,626
7,416
652
1,756
7,575
4,303
3,271
13,876
36,477
2016
37,975
22.4
14,100
37.1
1,182
12,918
38
1,048
0
13,928
2,671
19.2
0
11,258
11,258
32.2
2016
531
42,402
42,933
419
731
44,083
21,938
7,551
14,388
2,639
8,025
23,924
12,078
8,809
734
2,303
4,896
4,759
137
19,028
44,080
2017
40,952
7.8
14,350
35.0
1,233
13,117
23
859
0
13,953
3,349
24.0
0
10,604
10,604
-5.8
2017
531
53,043
53,574
357
1,228
55,160
24,339
8,747
15,592
4,436
16,307
25,215
13,199
8,984
787
2,244
6,390
6,224
166
18,825
55,160
2018E
36,718
-10.3
11,750
32.0
1,855
9,895
30
1,379
0
11,244
2,642
23.5
0
8,602
8,602
-18.9
2018E
531
51,178
51,709
357
1,228
53,294
27,839
10,602
17,237
8,000
16,307
21,025
13,586
9,914
-4,310
1,836
9,275
5,140
4,135
11,750
53,294
2019E
42,887
16.8
15,010
35.0
2,298
12,712
(INR Million)
2020E
49,320
15.0
17,755
36.0
2,523
15,232
30
1,400
0
14,082
3,380
24.0
0
10,702
10,702
24.4
2019E
531
57,064
57,595
357
1,228
59,181
31,339
12,900
18,439
2,000
16,307
33,592
15,868
11,579
4,000
2,144
11,158
6,004
5,154
22,434
59,181
30
1,425
0
16,627
4,157
25.0
0
12,470
12,470
16.5
2020E
531
63,923
64,454
357
1,228
66,039
34,839
15,423
19,416
2,000
16,307
41,248
18,248
13,316
7,217
2,466
12,932
6,905
6,027
28,316
66,039
Balance Sheet
Y/E Mar
Share Capital
Reserves
Net Worth
Debt
Deferred Tax
Total Capital Employed
Gross Fixed Assets
Less: Acc Depreciation
Net Fixed Assets
Capital WIP
Investments
Current Assets
Inventory
Debtors
Cash & Bank
Loans & Adv, Others
Curr Liabs & Provns
Curr. Liabilities
Provisions
Net Current Assets
Total Assets
(INR Million)
1 November 2017
4

Divi's Laboratories
Financials and Valuations
Y/E Mar
Basic (INR)
EPS
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation(x)
P/E
Cash P/E
Price / Book Value
EV/Sales
EV/EBITDA
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
RoIC
Turnover Ratios (%)
Asset Turnover (x)
Debtors (No. of Days)
Inventory (No. of Days)
Leverage Ratios (%)
Net Debt/Equity (x)
Y/E Mar
Adjusted EBITDA
Non cash opr. exp (inc)
(Inc)/Dec in Wkg. Cap.
Tax Paid
Other operating activities
CF from Op. Activity
(Inc)/Dec in FA & CWIP
Free cash flows
(Pur)/Sale of Invt
Others
CF from Inv. Activity
Inc/(Dec) in Net Worth
Inc / (Dec) in Debt
Interest Paid
Divd Paid (incl Tax) & Others
CF from Fin. Activity
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
Ratios
2013
22.7
25.6
95.2
7.5
38.7
2014
29.1
32.6
112.6
10.0
40.2
2015
32.1
37.2
131.7
10.0
36.5
2016
42.4
46.9
161.7
10.0
28.4
21.7
19.6
5.7
6.4
17.3
1.1
2017
39.9
44.6
201.8
10.3
30.1
23.0
20.6
4.6
6.0
17.0
1.2
22.0
21.8
30.1
0.7
78
118
0.0
2017
14,350
859
256
-2,852
0
12,613
-4,197
8,416
-8,282
0
-12,479
3,232
-61
-23
-3,195
-47
86
734
820
2018E
32.4
39.4
194.8
12.5
45.0
28.4
23.4
4.7
6.8
21.2
1.4
16.3
16.3
22.6
0.7
94
135
0.1
2018E
11,750
1,379
1,978
-2,642
0
12,465
-7,064
5,400
0
0
-7,064
-6,596
0
-30
-3,871
-10,497
-5,097
787
-4,310
2019E
40.3
49.0
217.0
15.5
45.0
22.8
18.8
4.2
5.6
16.0
1.7
19.6
19.5
27.5
0.7
93
135
-0.1
2019E
15,010
1,400
-2,374
-3,380
0
10,657
2,500
13,157
0
0
2,500
0
0
-30
-4,816
-4,846
8,311
-4,310
4,000
2020E
47.0
56.5
242.8
18.1
45.0
19.6
16.3
3.8
4.8
13.4
2.0
20.4
20.4
29.5
0.7
92
135
-0.1
2020E
17,755
1,425
-2,665
-4,157
0
12,359
-3,500
8,859
0
0
-3,500
0
0
-30
-5,612
-5,642
3,217
4,000
7,217
25.7
25.2
33.0
0.8
88
143
0.0
2013
8,102
497
-1,263
-1,792
0
5,544
-3,503
2,041
692
0
-2,811
0
-286
-18
-2,329
-2,633
99
575
674
28.0
27.8
33.5
0.8
106
135
0.0
2014
10,077
774
-2,355
-2,176
0
6,320
-2,105
4,215
-941
0
-3,046
0
-152
-21
-3,106
-3,278
-4
674
671
26.3
26.1
32.1
0.9
86
137
0.0
2015
11,535
564
-1,349
-2,206
0
8,545
-2,967
5,578
-2,199
0
-5,167
-355
82
-19
-3,106
-3,397
-18
671
652
28.9
28.7
35.4
0.9
83
116
0.0
2016
14,100
1,048
-5,070
-2,842
0
7,236
-2,762
4,474
-695
0
-3,457
-83
158
-38
-3,195
-3,158
621
652
1,273
Cash Flow Statement
(INR Million)
1 November 2017
5

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
Divi's Laboratories
NOTES
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.
MOSL, it’s associates, Research Analyst or their relative may have any financial interest in the subject company. MOSL and/or its associates and/or Research Analyst may have beneficial ownership of 1% or more securities in
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
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 MOSL even though there might exist an inherent conflict of interest in some of the stocks mentioned in the
research report.
Research Analyst may have served as director/officer, etc. in the subject company in the last 12 month period. MOSL and/or its associates may have received any compensation from the subject company in
the past 12 months.
In the last 12 months period ending on the last day of the month immediately preceding the date of publication of this research report, MOSL or any of its associates may have:
a)
managed or co-managed public offering of securities from subject company of this research report,
b)
received compensation for investment banking or merchant banking or brokerage services from subject company of this research report,
c)
received compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company of this research report.
d)
Subject Company may have been a client of MOSL or its associates during twelve months preceding the date of distribution of the research report.
MOSL and it’s associates have not received any compensation or other benefits from the subject company or third party in connection with the research report. To enhance transparency, MOSL has incorporated a Disclosure
of Interest Statement in this document. This should, however, not be treated as endorsement of the views expressed in the report. MOSL and / or its affiliates do and seek to do business including investment banking with
companies covered in its research reports. As a result, the recipients of this report should be aware that MOSL may have a potential conflict of interest that may affect the objectivity of this report. Compensation of Research
Analysts is not based on any specific merchant banking, investment banking or brokerage service transactions.
Terms & Conditions:
This report has been prepared by MOSL 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 MOSL. 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. 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.
Disclosure of Interest Statement
Analyst ownership of the stock
Divi's Laboratories
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.
Regional Disclosures (outside India)
This report is not directed or intended for distribution to or use by any person or entity resident in a state, country or any jurisdiction, where such distribution, publication, availability or use would be contrary to law,
regulation or which would subject MOSL & its group companies to registration or licensing requirements within such jurisdictions.
For Hong Kong:
This report is distributed in Hong Kong by Motilal Oswal capital Markets (Hong Kong) Private Limited, a licensed corporation (CE AYY-301) licensed and regulated by the Hong Kong Securities and Futures Commission (SFC)
pursuant to the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) “SFO”. As per SEBI (Research Analyst Regulations) 2014 Motilal Oswal Securities (SEBI Reg No. INH000000412) has an agreement with
Motilal Oswal capital Markets (Hong Kong) Private Limited for distribution of research report in Hong Kong. This report is intended for distribution only to “Professional Investors” as defined in Part I of Schedule 1 to SFO. Any
investment or investment activity to which this document relates is only available to professional investor and will be engaged only with professional investors.” Nothing here is an offer or solicitation of these securities,
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
not a registered investment adviser under the U.S. Investment Advisers Act of 1940, as amended (the "Advisers Act" and together with the 1934 Act, the "Acts), and under applicable state laws in the United States.
Accordingly, in the absence of specific exemption under the Acts, any brokerage and investment services provided by MOSL, 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., 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.
For Singapore
Motilal Oswal Capital Markets Singapore Pte Limited is acting as an exempt financial advisor under section 23(1)(f) of the Financial Advisers Act(FAA) read with regulation 17(1)(d) of the Financial Advisors Regulations and is a
subsidiary of Motilal Oswal Securities Limited in India. This research is distributed in Singapore by Motilal Oswal Capital Markets Singapore Pte Limited and it is only directed in Singapore to accredited investors, as defined in
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:
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. 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
available in publicly accessible media or developed through analysis of MOSL. 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 MOSL 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 MOSL or any of its affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOSL or any of its affiliates or
employees responsible for any such misuse and further agrees to hold MOSL 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.: 022-3980 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
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