December 2020 Results Preview | Sector: Automobiles
Automobiles
Result Preview
Sharper-than-expected recovery in all segments
EBITDA margins to expand for the first time after eight quarters of decline
Company
Amara Raja Batteries
Ashok Leyland
Bajaj Auto
Bharat Forge
BOSCH
Ceat
Eicher Motors
Endurance Technologies
Escorts
Exide Industries
Hero MotoCorp
Mahindra CIE
Mahindra & Mahindra
Maruti Suzuki
Motherson Sumi Systems
Tata Motors
TVS Motor Company
Volume recovery seen in 2Q continued in 3QFY21. Strong momentum was witnessed
in retail sales of Tractors and PVs (YoY growth in retails), whereas the same for 2Ws
was marginally lower than last year.
On a wholesale basis, we estimate volumes to grow strongly for Tractors (+22% YoY),
PVs (+15% YoY) and 2Ws (+19% on a low base of last year). Among CVs, LCVs saw a
good recovery (+1.5% YoY), while the decline is getting smaller for M&HCVs (-8% YoY).
3Ws are witnessing a QoQ recovery in volumes.
We expect the recovery in EBITDA margins to continue for the second straight quarter
despite the initial impact of commodity cost inflation. The same for our OEM (ex-JLR)
universe is likely to expand 190bp YoY to 12.2% (+40bp QoQ), led by price hikes (in
2Ws and Tractors), lower discounts, cost cutting, and operating leverage benefits.
We are revising our FY22E EPS estimates to factor in volume upgrades as well as
substantial commodity cost inflation. We upgrade TTMT (+28%), AL (+11%), BHFC
(+11%), MSS (+14.5%) and ESC (+6%), whereas downgrade HMCL/MM (-8%).
Volumes across segments recover, but the divergence in trends visible
Volume recovery, seen in 2Q, continued in 3QFY21. Strong retail momentum was
witnessed for Tractors and PVs (YoY growth in retails), whereas 2Ws retails was
marginally lower than last year. On a wholesale basis, we estimate volumes to grow
strongly for Tractors (+22% YoY), PVs (+15% YoY) and 2Ws (+19% on a low base of
last year). Among CVs, LCVs saw a good recovery (+1.5% YoY), while the decline is
getting smaller for M&HCVs (-8% YoY). 3Ws are yet to see any material recovery (-
31% YoY), though volumes have been better on a QoQ basis. With low starting
inventory, both PVs and Tractors witnessed a waiting period due to good retail
momentum, whereas 2Ws and CVs saw normalization of inventory in 3QFY21.
Recovery in EBITDA margins to continue for the second consecutive quarter
We expect the recovery in EBITDA margins to continue for the second straight
quarter, despite the initial impact of commodity cost inflation. EBITDA margins for
our OEM (ex-JLR) universe is likely to expand 200bp YoY to 12.2% (+50bp QoQ), led
by price hikes (in 2Ws and Tractors), lower discounts, cost cutting, and operating
leverage benefits. However, 2W players like HMCL (-150bp YoY), EIM (-130bp YoY)
and BJAUT (-40bp YoY) would see a YoY decline.
Recovery strong, however uncertainties prevail in the near term
Contrary to our expectations, demand recovery has been stronger than expected
across segments (excluding 3Ws). This is attributable to pent-up demand, positive
agri economics, and a shift to private from public transport. This has led to
consistent upgrade in volume estimates. However, we do see near-term
uncertainties in the form of: a) supply-side disruption due to a global shortage of
semi-conductors, b) sharp commodity cost inflation, led price increases, and c) risk
to demand (from a price hike, fading benefit of COVID-19 to private transport, etc.).
We expect the volume recovery in all segments to sustain in FY22, with core
Jinesh Gandhi - Research analyst
(Jinesh@MotilalOswal.com)
Vipul Agrawal - Research analyst
(Vipul.Agrawal@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.
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
demand growing 5-7% for 2Ws/PVs/Tractors, supported by the benefit of low base
of Apr-Aug’20. For 3Ws and CVs, we expect a sharp recovery in FY22.
Valuation and view
We are revising our FY22E EPS estimates to factor in volume upgrades as well as
substantial commodity cost inflation. We upgrade TTMT (+28%), AL (+11%), BHFC
(+11%), MSS (+14.5%), and ESC (+6%), whereas downgrade HMCL/MM (-8%). Being
a seasonally slow month, Dec’20 saw decent demand (at par YoY) despite discounts
being lower by ~50% YoY. Valuations are reflecting a recovery in 4QFY21, leaving a
limited margin for safety from any negative surprises. Hence, we prefer companies
with: a) higher visibility in terms of a demand recovery, b) a strong competitive
positioning, c) margin drivers, and d) balance sheet strength.
MM
and
HMCL
are our
top OEM picks. Among auto Component stocks, we prefer
ENDU
and
MSS.
Exhibit 1: Summary of expected quarterly performance (INR m)
Sector
Automobiles
Amara Raja Batt.
Ashok Leyland
Bajaj Auto
Bharat Forge
Bosch
CEAT
Eicher Motors
Endurance Tech.
Escorts
Exide Inds.
Hero Motocorp
Mahindra & Mahindra
Mahindra CIE
Maruti Suzuki
Motherson Sumi
Tata Motors
TVS Motor
Sector aggregate
CMP
(INR)
926
99
3483
538
12991
1094
2542
1350
1288
191
3099
733
174
7692
164
186
491
Rating
Neutral
Buy
Neutral
Buy
Neutral
Buy
Buy
Buy
Neutral
Buy
Buy
Buy
Buy
Buy
Buy
Buy
Neutral
Sales (INR m)
Dec-20
YoY QoQ
20,100
50,303
89,666
11,130
29,171
20,260
28,107
18,884
20,536
27,249
96,205
137,341
17,828
235,853
173,696
714,399
52,880
1,743,609
15.0
25.3
17.4
3.4
15.0
15.0
18.5
15.1
25.7
13.0
37.5
13.3
3.5
13.9
10.9
-0.3
28.2
9.1
3.8
77.3
25.3
26.3
17.7
2.4
33.1
8.4
25.2
-1.0
2.7
19.2
5.2
25.8
10.8
33.5
14.8
24.0
EBDITA (INR m)
Dec-20
YoY
QoQ
3,309
3,385
15,652
2,580
3,518
2,545
6,644
3,073
3,620
3,693
12,849
22,032
2,216
26,592
17,876
69,951
4,752
204,285
16.5
50.3
14.5
7.8
9.8
38.9
12.2
18.0
70.5
15.5
23.7
23.2
3.4
26.5
44.7
-2.8
30.8
13.8
-2.8
320.8
23.6
55.4
22.1
-13.0
41
7.7
20.3
-5.8
-0.1
10.8
46.9
37.5
15.1
23.5
10.5
20.9
Net profit (INR m)
Dec-20
YoY
QoQ
1,951
873
13,901
1,423
2,807
1,030
5,317
1,598
2,750
2,148
9,518
12,781
959
20,322
4,031
768
2,328
84,504
18.7
199.3
10.2
11.3
1.7
94.4
6.6
28.8
79.7
0.7
8.1
30.3
414.3
29.9
49.0
-95.6
28.8
-1.0
-3.1
LP
22.1
96.3
19.1
-43.4
54.9
9.5
19.6
-6.1
-0.2
-2.5
57.8
48.2
8.4
LP
18.6
28.5
Exhibit 2: Volume snapshot for 3QFY21 ('000 units)
Two-wheelers
Three-wheelers
Passenger cars
UVs and MPVs
Total PVs
M&HCVs
LCVs
Total CVs
Tractors
Total (ex-Tractors)
3QFY21
6,070
214
676
431
1,107
55
147
202
253
7,592
3QFY20
5,100
310
593
365
958
60
144
204
207
6,573
YoY (%)
19.0
-31.0
14.0
18.0
15.5
-8.0
1.5
-1.3
22.0
15.5
2QFY21
5,451
148
460
322
782
27
116
143
235
6,524
QoQ (%)
11.3
44.5
47.1
33.7
41.6
100.6
26.6
40.8
7.5
16.4
9MFY21
13,150
425
1,238
833
2,071
88
292
380
634
16,027
9MFY20
16,567
897
1,693
960
2,653
194
405
599
565
20,716
YoY (%)
-20.6
-52.6
-26.9
-13.2
-21.9
-54.6
-27.9
-36.5
12.3
-22.6
January 2021
2
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Exhibit 3: Trend in segment-wise EBITDA margins (%)
3QFY20
4QFY20
1QFY21
2QFY21
3QFY21E
Exhibit 4: Commodity prices reasonably stable
3QFY20
4QFY20
1QFY21
2QFY21
3QFY21
2W
Cars
CVs
Steel
Lead
Copper
Alu
Rubber
Polymer
Exhibit 5: Trend in key currencies v/s INR (average, indexed)
120
110
100
90
USD
GBP
JPY
Exhibit 6: Margins to contract YoY/QoQ
18
11
4
-3
-10
Aggregate (excl JLR)
Source: Bloomberg, MOFSL
Source: Company, MOFSL
Exhibit 7: Revised estimates
FY21E
Bajaj Auto
Hero MotoCorp
TVS Motor Company
Eicher Motors*
Maruti Suzuki*
M&M (including MVML)
Tata Motors*
Ashok Leyland
Escorts
Amara Raja
Bharat Forge*
BOSCH
Ceat
Endurance Technologies*
Exide Industries
Mahindra CIE*
Motherson Sumi Systems*
*Consolidated
Rev
153.9
142.2
9.9
50.7
191.8
31.4
-13.9
0.0
81.8
37.4
5.2
296.8
82.5
30.7
8.5
2.4
2.0
Old
157.2
147.1
9.8
54.0
171.4
32.4
-14.8
0.4
78.6
37.2
4.3
301.6
86.9
32.3
8.0
3.2
1.7
Change (%)
-2.1
-3.3
0.7
-6.1
11.9
-3.1
6.0
-98.5
4.1
0.5
20.1
-1.6
-5.1
-5.1
6.2
-25.9
13.9
Rev
196.8
176.0
20.2
83.5
275.5
35.7
14.9
4.1
90.4
41.9
17.1
448.1
99.0
48.3
10.2
10.8
6.8
FY22E
Old
197.9
190.9
19.9
85.6
273.8
38.8
11.7
3.7
85.3
42.3
15.3
429.7
97.0
48.7
10.6
10.8
5.9
Change (%)
-0.6
-7.8
1.3
-2.4
0.6
-8.2
28.0
11.0
6.0
-0.8
11.3
4.3
2.1
-0.9
-3.5
0.3
14.5
January 2021
3
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Exhibit 8: Industry recovering from COVID-19 impact
BJAUT
HMCL
TVSL
MSIL
MM
TTMT (Standalone)
TTMT (JLR) *
TTMT (Consolidated)
AL
EIM (RE)
EIM (VECV)
EIM (Consolidated)
Aggregate (ex-JLR)
Volumes ('000 units)
3QFY21E
YoY (%)
QoQ (%)
1,307
8.7
24.1
1,845
19.8
1.7
990
20.4
14.0
496
13.4
26.1
224
3.3
20.9
158
22.3
43.3
114
-22.9
24.4
33
200
13
5,266
7.1
9.2
3.3
15.1
71.8
32.7
56.8
14.4
EBITDA margins (%)
3QFY21E
YoY (bp)
QoQ (bp)
17.5
-40
-20
13.4
-150
-40
9.0
20
-40
11.3
110
100
16.0
130
-120
7.0
1,220
410
11.3
50
20
9.8
-20
-80
6.7
110
390
23.9
-130
110
8.1
200
120
23.9
-130
110
12.2
200
50
Adjusted PAT (INR m)
3QFY21E
YoY (%)
QoQ (%)
13,901
10.2
22.1
9,518
8.1
-0.2
2,328
28.8
18.6
20,322
29.9
48.2
12,781
30.3
-2.5
-3,698
-78.3
-68.3
90
-75.8
-22.9
768
-95.6
-124
873
199.3
-159.8
5,048
3.2
39.9
707
56.9
NA
5,317
6.6
54.9
61,342
66.2
53.3
Exhibit 9:
Relative performance – three-months (%)
140
125
110
95
80
Nifty Index
MOFSL Automobiles Index
Exhibit 10:
Relative performance – one-year (%)
130
Nifty Index
MOFSL Automobiles Index
90
50
Source: Bloomberg, MOFSL
Source: Bloomberg, MOFSL
Exhibit 11:
Comparative valuation
Company
Automobiles
Amara Raja Batt.
Ashok Leyland
Bajaj Auto
Bharat Forge
Bosch
CEAT
Endurance Tech.
Eicher Motors
Escorts
Exide Inds.
Hero Motocorp
Mahindra & Mahindra
Mahindra CIE
Maruti Suzuki
Motherson Sumi
Tata Motors
TVS Motor
EPS (INR)
P/E (x)
CMP (INR) Rating FY21E FY22E FY23E FY21E FY22E
48.8
21.5
926
Neutral 37.4 41.9 48.3
24.7
22.1
99
Buy
0.0
4.1
6.4 17,812 24
3,483
Neutral 153.9 196.8 214.7 22.6
17.7
538
Buy
5.2
17.1 23.7 103.1 31.5
12,991
Neutral 296.8 448.1 519.6 43.8
29.0
1,094
Buy
82.5 99.0 114.2 13.3
11.1
1,350
Buy
30.7 48.3 57.3
44.0
28.0
2,542
Buy
50.7 83.5 105.7 50.1
30.4
1,288
Neutral 81.8 90.4 99.1
15.7
14.2
191
Buy
7.9
10.2 12.3
24.2
18.8
3,099
Buy
140.5 176.0 199.8 22.1
17.6
733
Buy
30.5 37.6 41.3
24.0
19.5
174
Buy
2.4
10.8 13.2
72.4
16.1
7,692
Buy
174.7 275.5 345.5 44.0
27.9
164
Buy
2.0
6.8
8.7
83.3
24.2
186
Buy
-13.9 14.9 26.4 -13.4 12.5
491
Neutral 9.9
20.2 26.2
49.6
24.3
P/B (x)
RoE (%)
FY23E FY21E FY22E FY23E FY21E FY22E FY23E
16.8
3.4
3.0
2.7
6.9
14.0 15.9
19.2
3.9
3.5
3.1
16.5 16.6 17.1
15.4
4.0
3.6
3.1
0.0
15.6 21.7
16.2
4.7
4.2
3.7
21.4 24.8 24.1
22.7
4.6
4.1
3.7
4.5
13.8 17.1
25.0
4.0
3.6
3.3
9.3
13.1 13.7
9.6
1.4
1.3
1.1
11.0 12.0 12.4
23.5
5.7
5.0
4.4
13.7 19.2 19.8
24.1
6.3
5.4
4.6
13.2 19.2 20.6
13.0
2.6
2.2
1.9
20.5 17.0 15.9
15.6
2.4
2.3
2.1
10.1 12.1 13.2
15.5
4.2
4.0
3.7
19.5 23.4 24.9
17.8
2.3
2.1
2.0
9.5
10.4 11.1
13.1
1.4
1.3
1.2
1.9
8.3
9.3
22.3
4.5
4.0
3.6
10.2 14.3 16.1
18.9
4.4
3.9
3.4
5.4
17.2 19.4
7.1
1.2
1.1
0.9
-8.2
9.2
14.2
18.7
6.0
5.0
4.2
12.5 22.5 24.4
January 2021
4
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
The tables below provide a snapshot of actual and estimated numbers for companies under the MOFSL coverage
universe. Highlighted columns indicate the quarter/financial year under review.
Amara Raja Batteries
CMP: INR926 | TP: INR869 (-6%)
Lead cost pressures to keep margin under check in spite of
strong OEM/replacement demand.
Low impact seen in FY21 due to 40–50% revenue accruing
from the B2C segment.
Quarterly performance
Y/E March (INR m)
Net Sales
YoY Change (%)
RM Cost (% of sales)
Staff Cost (% of sales)
Other Exp. (% of sales)
EBITDA
Margin (%)
Depreciation
Interest
Other Income
PBT after EO
Tax
Tax Rate (%)
Adjusted PAT
YoY Change (%)
E: MOFSL estimates
1Q
18,150
2.0
67.6
5.4
11.6
2,792
15.4
733
29
102
2,132
723
33.9
1,409
24.7
FY20
2Q
3Q
16,953 17,478
-3.3
3.1
64.1
64.5
5.8
5.4
12.8
13.9
2,923
2,840
17.2
16.2
750
765
34
29
180
128
2,319
2,174
130
530
5.6
24.4
2,189
1,644
82.0
25.6
EPS CHANGE (%): FY21|22E: +0.5|-0.8
Lead prices were stable during 3QFY21. However, a 9.3%
QoQ price increase during 2Q would impact in 3QFY21.
Margin would also get impacted by a QoQ increase in
OEM contribution.
FY21E
2Q
3QE
19,358 20,100
14.2
15.0
65.3
66.0
6.0
5.0
11.1
12.5
3,404
3,309
17.6
16.5
782
790
25
30
113
120
2,710
2,609
695
657
25.6
25.2
2,015
1,951
-8.0
18.7
FY20
4QE
18,963
19.9
65.7
5.3
12.6
3,110
16.4
811
38
129
2,390
591
24.7
1,799
31.7
68,395
0.7
65.0
5.6
13.3
10,986
16.1
3,007
122
551
8,407
1,799
21.4
6,608
36.7
(INR m)
FY21E
69,932
2.2
65.8
5.8
12.2
11,346
16.2
3,131
120
450
8,545
2,153
25.2
6,392
-3.3
Neutral
4Q
15,814
0.9
63.7
5.9
15.0
2,432
15.4
760
30
141
1,783
416
23.4
1,366
14.5
1Q
11,510
-36.6
66.5
7.3
13.0
1,524
13.2
748
27
88
837
210
25.1
627
-55.5
Ashok Leyland
CMP: INR99 | TP: INR115 (+15%)
Reasonable QoQ and YoY recovery in M&HCV volumes;
strong growth expected toward FY21-end.
LCV grew on the back of new launches (Bada Dost). The
same would grow with increased geographical reach.
Quarterly performance (S/A)
1Q
39,608
-6.0
1,435
-3.5
56,839
-9.2
69.9
8.8
11.8
5,370
9.4
126
211
1,646
3,809
201
3,607
36.2
2,435
-44.1
FY20
2Q
3Q
28,938 31,205
-44.3
-28.7
1,358
1,287
-7.4
-11.0
39,295 40,157
-48.4
-36.5
69.0
73.5
11.0
6.8
14.1
14.1
2,286
2,252
5.8
5.6
301
337
455
223
1,600
1,575
839
563
648
22
191
542
-103.5
48.8
818
292
-84.9
-92.4
EPS CHANGE (%): FY21|22E: PTL|+11
See a 70bp, or ~INR10k/unit, impact from the excise
exemption going away at the Pantnagar plant.
Expect QoQ moderation in interest cost as working capital
is normalized.
Buy
Total Volumes (nos)
Growth %
Realizations (INR '000)
Change (%)
Net operating revenue
Change (%)
RM/sales (%)
Staff/sales (%)
Other exp./sales (%)
EBITDA
EBITDA Margin (%)
Interest
Other Income
Depreciation
PBT before EO Item
EO Exp./(Inc.)
PBT after EO
Effective Tax Rate (%)
Adjusted PAT
Change (%)
E: MOFSL estimates
4Q
25,489
-57.2
1,506
1.3
38,385
-56.6
71.1
10.7
13.5
1,830
4.8
331
344
1,877
-34
687
-721
20.5
-118
-101.8
1Q
3,814
-90.4
1,707
18.9
6,509
-88.5
64.1
54.4
32.6
-3,332
-51.2
768
256
1,637
-5,481
17
-5,498
29.3
-3,883
-259.4
FY21E
FY20
2Q
3QE
4QE
19,444 33,410 52,608 1,25,240 1,09,276
-32.8
7.1
106.4
-36.5
-12.7
1,459
1,506
1,547
1,395
1,524
7.4
17.0
2.7
-5.3
9.3
28,366 50,303 81,389 1,74,675 1,66,567
-27.8
25.3
112.0
-39.9
-4.6
71.2
72.5
73.1
70.8
72.3
13.2
7.9
5.0
9.2
9.2
12.8
12.9
12.2
13.2
13.3
804
3,385
7,826
11,737
8,683
2.8
6.7
9.6
6.7
5.2
872
750
548
1,095
2,938
219
300
375
1,233
1,150
1,712
1,770
1,797
6,698
6,915
-1,561
1,165
5,857
5,177
-21
17
0
0
1,558
33
-1,578
1,165
5,857
3,619
-54
7.1
25.0
23.8
33.8
68.5
-1,461
873
4,464
3,426
-7
-278.7
199.3 -3,875.0
-83.1
-100.2
(INR m)
FY21E
January 2021
5
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Bajaj Auto
CMP: INR3,483 | TP: INR3,784 (+9%)
Weak 3W volumes partially offset by strong 2W export
growth.
Decline in export incentives also impacting YoY margin.
Quarterly performance
FY20
Volumes ('000 units)
Growth YoY (%)
Realization (INR/unit)
Growth YoY (%)
Net Sales
Change (%)
RM/Sales (%)
Staff cost/Sales (%)
Oth. Exp./Sales (%)
EBITDA
EBITDA Margin (%)
Other Income
Interest
Depreciation
PBT after EO
Effective Tax Rate (%)
Adjusted PAT
Change (%)
E: MOFSL estimates
1Q
1,247
1.7
62,187
2.2
77,558
3.9
71.7
4.6
8.2
11,982
15.4
4,413
5
601
15,788
28.7
11,257
0.9
2Q
1,174
-12.4
65,673
9.5
77,073
-4.1
70.5
4.4
8.6
12,781
16.6
3,934
12
613
16,089
12.8
14,024
21.7
3Q
1,202
-4.6
63,532
7.6
76,397
2.7
69.9
4.6
7.8
13,672
17.9
3,662
5
617
16,713
24.5
12,616
14.5
EPS CHANGE (%): FY21|22E: -2.1|-0.6
Focus on cost-cutting would drive margin improvement
despite lower export incentives.
FY21E EPS downgrade driven by lower 3W volumes.
(INR m)
FY21
FY20
4QE
1,231
24.1
67,098
-2.3
82,600
21.2
71.4
4.2
7.4
14,103
17.1
3,298
20
659
16,723
23.2
12,844
(2.0)
FY21E
Neutral
4Q
992
-16.9
68,711
10.5
68,159
-8.1
68.4
5.0
8.2
12,528
18.4
5,327
9
633
17,212
23.9
13,103
22.8
1Q
443
-64.5
69,493
11.7
30,792
-60.3
67.1
11.0
8.7
4,085
13.3
3,379
10
638
6,817
22.5
5,280
(53.1)
2Q
1,053
-10.2
67,935
3.4
71,559
-7.2
70.7
4.5
7.1
12,662
17.7
2,858
27
643
14,851
23.4
11,382
(18.8)
3QE
1,307
8.7
68,614
8.0
89,666
17.4
71.5
3.9
7.2
15,652
17.5
3,100
20
645
18,087
23.1
13,901
10.2
4,615
4,034
(8.1)
12.6)
64,826
68,071
7.2
5.0
2,99,187 2,74,617
(1.4)
(8.2)
70.2
70.8
4.6
5.0
8.2
7.4
50,962
46,502
17.0
16.9
17,336
12,635
32
76
2,464
2,585
65,802
56,477
22.5
23.1
51,000
43,407
15.0
(14.9)
Bharat Forge
CMP: INR538 | TP: INR622 (+16%)
Recovery in CVs/PVs to drive revenue and margin.
Improved realization and operating leverage to support
margin.
FY20
Tonnage
Change (%)
Realization (INR '000/t)
Change (%)
Net operating income
Change (%)
EBITDA
EBITDA Margin (%)
Non-Operating Income
Interest
Depreciation
Forex loss/(gain)
PBT after EO items
Eff. Tax Rate (%)
Rep. PAT
Change (%)
Adjusted PAT
Change (%)
E: MOFSL estimates
1Q
60,874
-8.9
221.2
-0.1
13,466
-9.0
3,519
26.1
401
388
886
24
2,622
33.6
1,741
-25.7
1,741
-25.7
2Q
53,541
-23.2
235.2
-2.4
12,595
-25.0
3,004
23.9
495
291
893
-197
2,512
2.5
2,449
7.6
2,449
7.6
3Q
46,998
-29.6
229.1
-9.6
10,767
-36.4
2,394
22.2
398
356
823
38
1,575
18.8
1,278
-58.7
1,278
-58.7
4Q
40,173
-35.9
219.3
-17.6
8,812
-47.2
1,482
16.8
315
415
847
379
-783
6.4
-733
-124.5
17
-99.4
EPS CHANGE (%): FY21|22E: +20|+11.3
Pickup in US Class 8 trucks’ net ordering and recovery in
crude oil to benefit shale oil business in FY22E.
See an EPS upgrade due to better-than-expected recovery
in India and US CV business.
(INR m)
FY21E
1Q
17,840
-70.7
239.3
8.2
4,270
-68.3
-74
-1.7
420
299
808
-46
-716
21.4
-563
-132.3
-563
-132.3
2Q
40,775
-23.8
216.2
-8.1
8,815
-30.0
1,660
18.8
313
75
883
94
892
21.2
702
-71.3
725
-70.4
3QE
44,648
-5.0
249.3
8.8
11,130
3.4
2,580
23.2
375
250
860
0
1,845
22.9
1,423
11.3
1,423
11.3
4QE
51,958
29.3
236.9
8.0
12,310
39.7
2,986
24.3
407
219
872
0
2,302
23.1
1,771
-341.6
1,771
10,034.0
FY20
2,01,586
-24.2
226.4
-7.7
45,639
-30.0
10,399
22.8
1,609
1,450
3,449
244
5,926
20.1
4,735
-55.8
5,486
-48.8
FY21E
1,55,221
-23.0
235.3
3.9
36,524
-20.0
7,152
19.6
1,515
844
3,423
49
4,323
22.9
3,333
-29.6
3,356
-38.8
Buy
Standalone quarterly performance
January 2021
6
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Bosch
CMP: INR12,991 | TP: INR14,550 (+12%)
Expect BOS to grow faster than underlying industry.
Underlying industry volumes and 2W EFI business addition
supports growth.
Quarterly performance (S/A)
Y/E March
Net Sales
YoY Change (%)
RM Cost (% of sales)
Staff Cost (% of sales)
Other Expenses (% of sales)
EBITDA
Margin (%)
Depreciation
Interest
Other Income
PBT before EO expense
Extra-Ord. expense
PBT after EO Expense
Tax Rate (%)
Adjusted PAT
YoY Change (%)
1Q
27,554
-14.2
54.4
12.8
15.2
4,848
17.6
749
18
988
5,068
821
4,247
33.7
3,435
-20.3
2Q
23,127
-26.9
55.4
14.5
15.5
3,369
14.6
827
6
1,675
4,211
2,750
1,461
29.7
3,103
-26.3
FY20
3Q
25,366
-15.7
52.1
12.0
23.2
3,203
12.6
1,098
29
1,399
3,475
2,075
1,400
14.7
2,760
-16.0
EPS CHANGE (%): FY21|22E: -1.6|+4.3
Benefits to accrue from content increase and 2W EFI.
EPS upgrade a reflection of sharper-than-expected
recovery for PVs and CVs.
FY21E
2Q
3QE
24,792 29,171
7.2
15.0
59.4
57.0
12.4
9.9
16.6
21.0
2,881
3,518
11.6
12.1
796
900
13
25
1,015
1,200
3,086
3,793
4,000
0
-914
3,793
29.1
26.0
2,356
2,807
-24.1
1.7
FY20
98,416
-18.6
53.9
12.9
18.1
14,834
15.1
3,833
102
5,466
16,365
8,616
7,749
24.5
12,351
-22.5
Neutral
4Q
22,369
-18.6
53.9
12.4
18.5
3,414
15.3
1,158
49
1,404
3,611
2,970
641
-26.6
3,053
-25.8
1Q
9,915
-64.0
57.7
24.5
28.1
-1,021
-10.3
728
18
1,734
-34
1,674
-1,707
29.4
52
-98.5
4QE
27,931
24.9
56.6
10.3
17.0
4,494
16.1
1,076
44
1,436
4,811
0
4,811
26.4
3,539
15.9
(INR m)
FY21E
91,809
-6.7
57.6
12.3
19.4
9,872
10.8
3,500
100
5,385
11,656
5,674
5,982
24.9
8,754
-29.1
Ceat
CMP: INR1,094| TP: INR1,325(+21%)
Strong demand in aftermarket/OEM and high capacity
utilization to drive 3QFY21 performance.
Impact of RM cost inflation to affect margin from 3QFY21.
Quarterly earnings model (consolidated)
Y/E March
Net Sales
YoY Change (%)
RM cost (%)
Employee cost (%)
Other expenses (%)
EBITDA
Margin (%)
Depreciation
Interest
Other Income
PBT before EO expense
Exceptional item
PBT
Tax
Tax Rate (%)
Minority Int. and Profit of Asso. Cos.
Reported PAT
Adjusted PAT
YoY Change (%)
E: MOFSL estimates
FY20
EPS CHANGE (%): FY21|22E: -5|+2
Ramp-up at new TBR/PCR plant to support recovery in
demand.
EPS downgrade due to higher RM cost.
Buy
FY21E
FY20
1Q
2Q
3Q
4Q
1Q
2Q
3QE
4QE
17,521 16,916 17,618 15,734 11,202 19,785 20,260 20,229 67,788
2.7
-4.6
1.8
-10.6
-36.1
17.0
15.0
28.6
-2.9
60.5
58.9
57.0
54.4
59.7
53.5
56.0
57.0
57.8
7.7
7.2
8.2
9.0
13.5
8.1
8.0
8.2
8.0
22.3
23.9
24.4
23.9
17.6
23.5
23.4
23.6
23.6
1,671 1,704 1,832 2,004 1,020 2,925 2,545 2,266 7,238
9.5
10.1
10.4
12.7
9.1
14.8
12.6
11.2
10.7
644
671
705
745
785
839
855
877
2,765
349
374
380
407
488
450
490
510
1,509
120
43
36
35
28
38
50
84
205
798
702
783
887
-225
1,674 1,250
964
3,169
-298
8
3
282
218
0
0
0
-5
1,095
693
780
605
-443
1,674 1,250
964
3,174
326
305
301
114
-56
-15
275
244
1,046
29.7
44.0
38.6
18.7
12.6
-0.9
22.0
25.3
33.0
-56
-52
-49
-27
-40
-130
-55
75
-184
826
440
528
519
-348
1,819 1,030
646
2,312
626
445
530
708
-158
1,819 1,030
646
2,309
-15
-31
0
-12
-125
308
94
-9
-14.7
(INR m)
FY21E
71,476
5.4
56.2
9.0
22.6
8,756
12.3
3,356
1,937
200
3,662
218
3,444
448
13.0
-150
3,147
3,336
44
January 2021
7
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Eicher Motors
CMP: INR2,542 | TP: INR2,787 (+10%)
New model launches in 1HCY21, after the initial success of
Meteor, to support a recovery in volumes.
Earnings downgrade due to RM cost inflation.
Quarterly performance (Consolidated)
Y/E March
Net Operating income
Growth (%)
EBITDA
EBITDA Margin (%)
PAT
Share of JV Loss/(PAT)/ Min. Int.
Recurring PAT
Growth (%)
1Q
23,819
-6.5
6,144
25.8
4,309
-209
4,517
-21.6
23,526
-7.6
6,093
25.9
4,982
-15.7
22,550
-13.6
1,250
5.5
380
-67.8
2Q
21,925
-9.0
5,414
24.7
5,644
-83
5,727
1.1
21,819
-9.2
5,460
25.0
5,705
15.8
20,040
-32.4
1,050
5.2
150
-89.4
FY20
3Q
23,710
1.3
5,923
25.0
4,821
-166
4,987
-6.4
23,635
0.8
5,952
25.2
4,889
-2.5
21,640
-23.2
1,330
6.1
450
-40.8
EPS CHANGE (%): FY21|22E: -6.1|-2.4
Order book and inquiries continue to remain healthy.
VECV YoY margin improvement led by operating leverage.
Buy
(INR m)
4Q
22,082
-11.7
4,322
19.6
3,183
140
3,043
-44.2
21,795
-12.8
4,533
20.8
3,462
-27.9
21,010
-34.5
378
1.8
-401
-128.8
1Q
8,182
-65.7
38
0.5
102
654
-552
-112.2
7,692
-67.3
12
0.2
123
-97.5
6,410
-71.6
-720
-11.2
-1,200
-416.3
2Q
21,336
-2.7
4,711
22.1
3,472
39
3,433
-40.0
21,233
-2.7
4,838
22.8
3,609
-36.7
17,030
-15.0
1,180
6.9
-74
-149.5
FY21E
3QE
28,307
19.4
6,644
23.5
4,933
-384
5,317
6.6
28,307
19.8
6,759
23.9
5,048
3.2
25,894
19.7
2,108
8.1
707
56.9
FY20
4QE
29,382
33.1
6,636
22.6
4,920
-733
5,653
85.8
29,974
37.5
6,880
23.0
5,148
48.7
33,558
59.7
3,035
9.0
1,348
-436.0
91,536
-6.6
21,804
23.8
17,957
-317.1
18,274
-17.7
90,775
-7.3
22,038
24.3
19,038
-7.8
85,244
-26.5
4,013
4.7
583
-87.7
FY21E
87,206
-4.7
18,028
20.7
13,427
-425
13,852
-24.2
87,206
-3.9
18,488
21.2
13,927
-26.8
82,893
-2.8
5,603
6.8
781
33.9
Standalone (Royal Enfield)
Net operating income
Growth (%)
EBITDA
EBITDA Margin (%)
Recurring PAT
Growth (%)
Net Op. Income
Growth (%)
EBITDA
EBITDA Margin (%)
Recurring PAT
Growth (%)
E: MOFSL estimates
VECV: Quarterly performance
Endurance Technologies
CMP: INR1350 | TP: INR1606 (+19%)
Recovery in the 2W industry and ramp-up in orders on
hand to drive YoY growth in revenue.
Revenue from EU to decline in line with the industry.
Quarterly performance (consolidated)
Y/E March
INR m
Net Sales
YoY Change (%)
RM Cost (% of sales)
Staff Cost (% of sales)
Other Exp. (% of sales)
EBITDA
Margin (%)
Depreciation
Interest
Other Income
PBT before EO expense
Exceptional Item
PBT after EO
Tax
Eff. Tax Rate (%)
Adjusted PAT
YoY Change (%)
E: MOFSL estimates
1Q
18,619
0.1
55.6
9.6
19.0
2,941
15.8
927
58
68
2,024
-472
2,496
840
33.7
1,298
4.2
FY20
2Q
3Q
17,713 16,405
-8.5
-9.5
54.0
53.4
9.4
10.3
20.2
20.4
2,911
2,605
16.4
15.9
986
1,000
49
43
114
119
1,990
1,681
0
0
1,990
1,681
300
441
15.1
26.2
1,691
1,240
35.0
11.9
EPS CHANGE (%): FY21|22E: -5.1|-0.9
Buy
Incentives and operating leverage to drive margin.
EPS downgrade in FY22E driven by lower EU revenue.
FY21E
2Q
3QE
17,422 18,884
-1.6
15.1
54.9
55.7
9.6
8.9
19.1
19.2
2,852
3,073
16.4
16.3
973
1,025
35
37
71
110
1,916
2,121
-279
0
2,195
2,121
524
524
23.9
24.7
1,459
1,598
-13.7
28.8
FY20
4QE
19,698
22.8
55.0
8.6
20.4
3,155
16.0
1,282
42
161
1,992
0
1,992
487
24.4
1,506
34.2
68,775
-8.4
54.3
9.8
20.0
10,906
15.9
4,143
175
476
7,064
-402
7,465
1,810
24.2
5,351
3.2
FY21E
62,035
-9.8
54.5
10.3
19.9
9,508
15.3
4,136
156
451
5,668
-279
5,948
1,422
23.9
4,313
-19.4
4Q
16,038
-14.3
54.0
10.1
20.6
2,449
15.3
1,230
26
174
1,368
70
1,298
229
17.7
1,122
-12.4
1Q
6,031
-67.6
47.9
21.9
23.1
427
7.1
856
42
109
-361
0
-361
-112
31.0
-249
-119.2
January 2021
8
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Escorts
CMP: INR1,288 | TP: INR1,417 (+10%)
Strong rural demand led to volume growth of ~24% YoY.
Upgrade earnings due to increase in volumes of Tractors.
Standalone quarterly performance
Y/E March
Net Sales
YoY Change (%)
Total Expenditure
EBITDA
Margins (%)
Depreciation
Interest
Other Income
PBT
Rate (%)
Adjusted PAT
YoY Change (%)
1Q
14,230
-5.8
12,805
1,424
10.0
241
59
167
1,292
32.2
875
-26.8
FY20
2Q
3Q
13,239 16,334
-5.3
-1.3
11,972 14,212
1,267
2,123
9.6
13.0
260
267
39
29
211
267
1,087
2,094
3.8
26.9
1,135
1,531
10.5
15.2
EPS CHANGE (%): FY21|22E: +4.1|+6
RM cost to keep margin under check.
Yet to factor in benefits from the Kubota alliance.
FY21E
2Q
3QE
16,397 20,536
23.9
25.7
13,389 16,916
3,009
3,620
18.3
17.6
274
285
32
20
376
320
3,078
3,635
25.3
24.3
2,299
2,750
102.6
79.7
FY20
4QE
19,435
40.8
16,408
3,027
15.6
293
24
304
3,015
23.5
2,305
64.2
57,610
-7.0
50,851
6,759
11.7
1,046
155
923
6,389
24.0
4,798
1.4
Neutral
(INR m)
FY21E
66,985
16.3
56,133
10,851
16.2
1,115
95
1,298
10,939
24.3
8,275
72.5
4Q
13,807
-15.4
11,862
1,944
14.1
278
28
278
1,916
26.7
1,404
15.7
1Q
10,616
-25.4
9,420
1,196
11.3
264
19
298
1,211
23.9
922
5.3
CMP: INR191 | TP: INR222 (+16%)
Strong demand from both OEM and replacement side.
Exide Industries
Battery players to be less impacted in FY21 due to 40-50%
revenue coming in from the B2C segment.
EPS CHANGE (%): FY21|22E: -1.5|-3.5
Lead prices were stable during 3QFY21. However, 9.3% QoQ
price increase during 2Q to impact in 3QFY21.
Margin to also get impacted by a QoQ increase in OEM
contribution.
(INR m)
FY21E
94,586
-4.0
66.2
7.2
13.6
12,309
13.0
-9.8
530
130
3,788
8,921
24.8
6,710
-20.4
Buy
Standalone
quarterly performance
Y/E March
1Q
Net Sales
Growth YoY (%)
RM (%)
Employee cost (%)
Other Exp. (%)
EBITDA
EBITDA Margin (%)
Change (%)
Non-Operating Income
Interest
Depreciation
PBT after EO Exp.
Effective Tax Rate (%)
Adjusted PAT
Change (%)
E: MOFSL estimates
27,793
0.2
64.5
6.0
14.9
4,077
14.7
4.3
164
18
864
3,359
33.2
2,243
2.2
2Q
26,109
-4.0
63.8
6.7
15.5
3,672
14.1
10.4
56
18
898
2,812
15.6
2,373
30.8
FY20
3Q
24,115
-3.4
63.8
6.9
16.0
3,198
13.3
2.3
251
21
925
2,286
14.3
2,132
32.1
4Q
20,551
-20.9
61.8
7.7
17.3
2,702
13.1
-27.6
169
37
939
1,895
11.4
1,680
-19.2
1Q
15,476
-44.3
68.8
9.0
12.6
1,485
9.6
-63.6
70
14
914
627
29.9
440
-80.4
FY21E
2Q
3QE
27,534
5.5
65.0
6.9
13.9
3,920
14.2
6.8
148
63
953
3,052
25.0
2,288
-3.6
27,249
13.0
66.0
6.4
14.1
3,693
13.6
15.5
150
30
957
2,856
24.8
2,148
0.7
FY20
4QE
24,327
18.4
66.2
7.2
13.4
3,212
13.2
18.9
162
23
964
2,386
23.1
1,835
9.2
98,567
-6.9
63.6
6.8
15.8
13,650
13.8
-3.3
639
94
3,626
10,352
20.3
8,428
9.4
January 2021
9
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
CMP: INR3,099 | TP: INR3,620 (+17%)
EPS CHANGE (%): FY21|22E: -3.3 |-7.8
Momentum in demand recovery got diluted after the festive
Impact of RM cost inflation to get diluted by price increases
season.
taken in Oct’20 and Jan’21.
Strong entry-level portfolio and robust rural recovery augur
Downgrade EPS due to commodity cost inflation.
well for FY22 volumes.
Quarterly performance (S/A)
Y/E March
Total Volumes ('000 nos)
Growth YoY (%)
Net Realization
Growth YoY (%)
Net Op. Revenue
Growth YoY (%)
RM Cost (% sales)
Staff Cost (% sales)
Other Exp. (% sales)
EBITDA
EBITDA Margin (%)
Other Income
Interest
Depreciation
PBT before EO Exp./(Inc.)
Effective Tax Rate (%)
Adj. PAT
Growth (%)
1Q
1,843
-12.4
43,574
4.1
80,303
-8.8
69.6
5.8
10.1
11,580
14.4
1,688
44
2,361
10,864
32.9
6,318
-30.5
FY20
2Q
3Q
1,691
1,541
-20.7
-14.4
44,759 45,408
5.1
4.0
75,707 69,967
-16.7
-11.0
67.7
66.6
6.2
6.7
11.6
11.8
11,011 10,390
14.5
14.8
2,078
1,822
77
59
2,034
2,037
10,979 10,115
15.7
13.0
9,226
8,804
-5.5
14.5
4Q
1,277
-28.3
48,867
10.4
62,384
-20.9
69.2
7.0
13.2
6,599
10.6
1,695
41
1,747
6,506
4.6
6,207
-15.0
1Q
563
-69.4
52,741
21.0
29,715
-63.0
70.5
12.9
13.0
1,081
3.6
1,485
63
1,708
795
22.9
613
-90.3
FY21
2Q
3QE
1,815
1,845
7.3
19.8
51,620 52,136
15.3
14.8
93,673 96,205
23.7
37.5
71.1
71.5
5.5
5.5
9.7
9.7
12,864 12,849
13.7
13.4
1,413
1,450
46
50
1,732
1,745
12,500 12,504
23.7
23.9
9,535
9,518
3.3
8.1
4QE
1,675
31.2
52,893
8.2
88,590
42.0
72.1
5.6
9.3
11,536
13.0
1,432
71
1,753
11,144
24.1
8,454
36.2
FY20
6,352
-18.8
45,398
5.5
288,360
-14.3
68.3
6.4
11.6
39,579
13.7
7,283
220
8,180
38,463
20.6
30,554
-9.7
Hero MotoCorp
Buy
(INR m)
FY21E
5,898
-7.1
52,250
15.1
308,184
6.9
71.5
6.2
9.9
38,330
12.4
5,780
230
6,937
36,943
23.9
28,119
-8.0
Mahindra & Mahindra
CMP: INR733 | TP: INR841 (+15%)
Strong growth in Tractors continues to drive mix and
margin.
SUV business sees good demand, but delivery restricted
by supply-chain constraints.
Quarterly performance (incl. MVML)
Y/E March
Total Volumes (nos)
Growth YoY (%)
Net Realization
Growth YoY (%)
Net Op. Income
Growth YoY (%)
RM Cost (% of sales)
Staff (% of sales)
Oth. Exp. (% of Sales)
EBITDA
EBITDA Margin (%)
Other income
Interest
Depreciation
EBIT
EO Income/(Exp.)
PBT after EO
Effective Tax Rate (%)
Reported PAT
Adjusted PAT
Change (%)
E: MOFSL estimates
1Q
2,18,039
-9.5
5,87,302
5.9
1,28,055
-4.1
67.9
6.8
11.3
17,936
14.0
1,919
302
5,839
12,097
13,671
27,384
17.5
22,597
9,180
-25.9
EPS CHANGE (%): FY21|22E: -3.1|-8.2
Buy
Faster-than-expected recovery in the LCV segment.
EPS downgrade to account for lower Auto volumes
(supply-side issues) and RM cost inflation.
FY21E
2Q
3QE
4QE
1,85,270 2,23,978 2,15,475
-3.2
3.3
42.0
6,21,920 6,13,192 6,21,341
8.9
9.7
4.7
1,15,223 1,37,341 1,33,883
5.4
13.3
48.7
66.8
67.6
68.1
6.9
6.2
6.6
9.1
10.3
11.3
19,893 22,032 18,820
17.3
16.0
14.1
3,839
2,200
3,159
1,179
800
418
5,870
6,390
6,664
14,023 15,642 12,156
-10,815
0
0
5,869 17,042 14,897
31.8
25.0
24.7
1,618 12,781 11,223
13,110 12,781 11,223
-3.2
30.3
247.5
FY20
(INR m)
FY21E
FY20
2Q
3Q
4Q
1,91,390 2,16,816 1,51,713
-16.3
-7.3
-35.6
5,71,349 5,59,012 5,93,536
2.1
1.5
1.3
1,09,351 1,21,203 90,047
-14.5
-6.0
-34.8
66.0
67.3
64.3
7.4
6.8
7.9
12.4
11.1
14.2
15,408 17,888 12,275
14.1
14.8
13.6
8,225
2,092
3,155
331
254
359
5,721
5,900
6,172
9,688 11,988
6,103
0
-6,006 -35,776
17,582
7,821 -26,877
22.9
51.4
-21.1
13,548
3,802 -32,550
13,548
9,810
3,230
-19.3
-15.8
-69.1
1Q
95,308
-56.3
5,86,460
-0.1
55,894
-56.4
64.8
13.8
11.1
5,732
10.3
1,338
768
5,813
-81
288
777
12.7
678
390
-95.8
7,77,958 7,20,031
-17.2
-7.4
5,76,709 6,14,338
2.5
6.5
4,48,655 4,42,342
-15.1
-1.4
66.6
67.2
7.2
7.4
12.1
10.4
63,506
66,477
14.2
15.0
15,391
10,535
1,245
3,165
23,631
24,737
39,875
41,740
-28,112 -10,526
25,910
38,585
71.5
31.8
7,397
26,300
35,770
37,504
-30.3
4.8
January 2021
10
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Mahindra CIE
CMP: INR174 | TP: INR204 (+18%)
Demand recovery seen across key segments in India.
Focus on increasing share of new orders to drive growth.
EPS CHANGE (%): CY20|21E: -25.9|+0.3
Recovery in the EU has been slower than expected due to
a second wave of COVID-19.
Margin expands QoQ due to operating leverage as well as
cost saving initiatives.
(INR m)
Buy
Quarterly performance (consolidated)
(INR m)
Y/E December
1Q
Net Sales
21,744
YoY Change (%)
8.9
EBITDA
2,825
Margin (%)
13.0
Depreciation
740
Interest
103
Other Income
148
PBT before EO expense
2,130
EO Exp./(Inc.)
13
PBT after EO exp.
2,117
Tax Rate (%)
28.0
Adj. PAT
1,532
YoY Change (%)
16.2
Margin (%)
7.0
CY19
2Q
3Q
21,420 18,685
3.0
-5.7
2,616
2,092
12.2
11.2
844
789
115
198
78
42
1,734
1,147
0
-51
1,734
1,198
27.2
48.9
1,262
583
-9.1
-56.1
5.9
3.1
4Q
17,229
-12.8
2,143
12.4
788
106
63
1,312
84
1,228
88.7
186
-86.8
1.1
1Q
16,627
-23.5
1,822
11.0
815
182
49
873
-1
874
28.3
626
-59.1
3.8
CY20
2Q
3Q
7,355 16,943
-65.7
-9.3
-963
1,508
-13.1
8.9
518
849
167
142
179
420
-1,468
937
2
0
-1,470
937
12.5
35.2
-1,286
607
-201.9
4.2
-17.5
3.6
CY19
4QE
17,828
3.5
2,216
12.4
827
146
84
1,327
0
1,327
27.8
959
414.3
5.4
79,078
-1.5
8,319
10.5
3,161
523
331
4,966
46
4,920
55.7
3,564
-33.2
4.5
CY20E
58,753
-25.7
4,584
7.8
3,009
638
732
1,670
0
1,669
45.7
907
-74.6
1.5
Maruti Suzuki
CMP: INR7,692 | TP: INR8,650 (+12.5%)
Stronger-than-expected demand resulting in minimal
channel inventory.
Risk of supply-side disruption due to global shortage of
semi-conductors.
EPS CHANGE (%): FY21|22E: 1.9|0.6
Operating leverage and lower discounts to dilute RM cost
increase and drive margin. Mix weak due to higher
demand in entry/mid-level cars.
Product launches and competitors’ diesel portfolio
performance are key monitorables.
FY21E
FY20
2Q
3QE
4QE
1,87,445 2,35,853 2,43,558 7,56,106
10.4
13.9
33.8
-12.1
19,336
26,592 27,549 84,772
10.3
11.3
11.3
11.2
7,659
7,800
8,124 35,257
11,677
18,792 19,425 49,515
6.2
8.0
8.0
6.5
6,025
7,000
7,183 34,208
17,478
25,562 26,385 82,394
21.5
20.5
21.0
17.2
13,716
20,322 20,848 68,252
1.0
29.9
61.4
-15.1
Buy
Standalone quarterly performance
FY20
Y/E March
Net operating revenues
Change (%)
EBITDA
EBITDA Margins (%)
Depreciation
EBIT
EBIT Margins (%)
Non-Operating Income
PBT
Effective Tax Rate (%)
Adjusted PAT
Change (%)
1Q
1,97,198
-12.2
20,478
10.4
9,186
11,292
5.7
8,364
19,109
24.9
14,355
-27.3
2Q
1,69,853
-23.6
16,063
9.5
9,261
6,802
4.0
9,200
15,720
13.6
13,586
-35.3
3Q
4Q
2,07,068 1,81,987
5.3
-15.2
21,021 15,464
10.2
8.5
8,580
8,230
12,441
7,234
6.0
4.0
7,840
8,804
20,064 15,755
22.0
18.0
15,648 12,917
5.1
-28.1
1Q
41,065
-79.2
-8,634
-21.0
7,833
-16,467
-40.1
13,183
-3,457
27.9
-2,494
-117.4
(INR m)
FY21E
7,07,922
-6.4
64,843
9.2
31,416
33,428
4.7
33,391
65,969
20.6
52,392
-23.2
January 2021
11
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Motherson Sumi
CMP: INR164| TP: INR189 (+15%)
Global business largely normalized. Further improvement
in efficiencies for greenfield plants is a key moniterable.
Quarterly performance (consolidated)
Y/E March
Net Sales
YoY Change (%)
EBITDA
Margin (%)
Depreciation
Interest
Other income
PBT after EO Expense
Tax Rate (%)
Min. Int. and Share of profit
Adjusted PAT
YoY Change (%)
E: MOFSL estimates
1Q
1,67,925
13.7
12,550
7.5
6,365
1,559
547
5,173
34.3
84
3,315
-25.2
EPS CHANGE (%): FY21|22E: +13.9|+14.5
India PV industry recovery better than expected.
EPS upgrade reflects upgrades in improving business
outlook for the India business as well as for PKC.
Buy
FY20
2Q
3Q
4Q
1,59,242 1,56,611 1,51,591
5.4
-4.9
-11.7
13,190 12,358 13,916
8.3
7.9
9.2
6,551
6,938
7,927
1,254
1,791
1,382
825
783
151
6,211
4,412
4,759
30.1
27.8
69.7
496
480
-390
3,846
2,705
1,834
3.6
-30.5
-55.3
1Q
85,039
-49.4
-6,300
-7.4
7,123
1,115
481
-14,058
15.2
-3,810
-8,104
-344.4
FY21E
FY20
2Q
3QE
4QE
1,56,731 1,73,696 1,91,355 6,35,369 6,06,821
-1.6
10.9
26.2
0.0
-4.5
15,530 17,876 20,390 52,014 47,497
9.9
10.3
10.7
8.2
7.8
7,467
7,630
9,491 27,780 31,711
1,289
1,400
2,330
5,986
6,135
593
500
877
2,307
2,450
6,771
9,346 10,041 20,554 12,100
26.4
31.0
11.1
39.8
31.0
1,088
2,418
1,882
669
1,578
3,720
4,031
6,576 11,700
6,222
-3.3
49.0
258.6
-27.5
-46.8
(INR m)
FY21E
Tata Motors
CMP: INR186 | TP: INR252 (+35%)
India business losses to reduce due to demand recovery in
CVs and strong PV demand.
India business to have an adverse mix (CV contribution to
revenue ~56% v/s 72% YoY).
Quarterly performance (consolidated)
Y/E March
JLR vols. (incl. JV)
JLR Realizations (GBP/unit)
JLR EBITDA (%)
JLR PAT (GBP m)
S/A vol. (units)
S/A Realizations (INR/unit)
S/A EBITDA (%)
S/A PAT (INR m)
Net Op. Income
Growth (%)
EBITDA
EBITDA Margin (%)
Depreciation
Forex Loss/(Gain)
Other Income
Interest Expenses
PBT before EO
EO Exp./(Inc.)
PBT after EO Exp.
Tax rate (%)
PAT
Minority Interest
Share in profit of Associate Cos.
Adjusted PAT
Growth (%)
E: MOFSL estimates
1Q
1,18,550
48,698
4.2
-389
1,37,475
9,71,225
6.4
-890
6,14,670
-7.8
29,955
4.9
51,117
1,375
8,360
17,116
-31,294
1,088
-32,382
-6.1
-34,343
-187
-2,454
-35,855
88.5
FY20
2Q
3Q
1,34,489 1,47,416
50,246 48,477
13.4
10.8
111
372
1,05,031 1,29,381
9,52,146 7,67,385
-1.7
-5.2
-13,553 -17,053
6,54,320 7,16,761
-9.1
-6.8
71,605 71,965
10.9
10.0
52,996 51,993
1,160
-1,972
6,726
9,001
18,354 17,436
5,821 13,510
-391
11
6,212 13,499
71.7
-44.8
1,758 19,545
-289
-176
-3,635
-1,986
-2,571 17,394
(54.1) (250.6)
EPS CHANGE (%): FY21|22E: +6|+28
JLR mix improvement to continue with higher share of LR
and China; cost-cutting to aid performance.
FY22E EPS upgrade driven by India volume upgrade for
CVs and PVs.
(INR m)
FY21E
FY20
FY21E
2Q
3QE
4QE
91,367 1,13,658 1,44,459 5,25,402 4,14,909
59,250 58,658
53,884
48,291
56,983
11.1
11.3
13.7
8.7
10.9
117
90
410
-415
-31
1,10,379 1,58,199 1,90,353 4,73,377 4,83,978
8,75,900 9,32,298 10,17,325
-35
2
2.9
7.0
8.4
1.3
4.8
-11,650
-3,698
1,913
-45,683
-34,863
5,35,300 7,14,399 8,87,397 26,10,680 24,56,926
-18.2
-0.3
42.0
-13.5
-5.9
56,653 69,951 1,03,490 1,97,258 2,36,450
10.6
9.8
11.7
7.6
9.6
56,015 57,100
59,835 2,14,254 2,28,943
-4,330
0
-7,847
17,387
-12,648
6,332
7,000
7,354
29,732
26,752
19,496 19,000
18,956
72,433
76,220
-8,196
851
39,900
-77,085
-29,314
-49
0
0
28,714
-81
-8,147
851
39,900 -1,05,800
-29,233
57.9
20.0
9.7
-3.7
-73.0
-3,433
681
36,014 -1,09,752
-50,581
-72
-110
-31
-956
-153
360
198
921
-10,000
882
-3,229
768
36,905
-90,921
-49,992
25.6
(95.6)
(152.8)
515.0
-45.0
Buy
4Q
1,24,947
45,729
4.8
-531
1,01,490
9,58,998
-4.4
-22,418
6,24,930
-27.7
23,733
3.8
58,149
16,824
5,645
19,528
-65,123
28,007
-93,130
-3.8
-96,713
-305
-1,925
-69,890
(426.8)
1Q
65,425
58,452
3.6
-648
25,047
10,72,731
-26.2
-21,406
3,19,831
-48.0
6,356
2.0
55,994
-471
6,065
18,768
-61,870
-32
-61,837
-35.6
-83,842
60
-598
-84,436
135.5
January 2021
12
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
TVS Motor Company
CMP: INR491 | TP: INR543 (11%)
Strong volume growth would be offset by higher RM cost
and no export incentives.
Mix improvement led by strong export growth.
Standalone quarterly performance
Y/E March
1Q
Vols. ('000 units)
Growth (%)
Realization (INR '000/unit)
Growth (%)
Net Sales
Growth (%)
RM (% of sales)
Emp cost ( % of sales)
Other exp. (% of sales)
EBITDA
EBITDA Margin (%)
Interest
Depreciation
Other Income
PBT before EO Exp.
EO Exp.
Tax rate (%)
Adjusted PAT
Growth (%)
923.2
(0.5)
48.4
7.7
44,686
7.1
75.1
5.6
11.3
3,558
8.0
291
1,194
12
2,085
0
31.8
1,423
(4.6)
FY20
2Q
885.8
(18.6)
49.1
7.0
43,478
(12.9)
73.4
5.4
12.5
3,820
8.8
285
1,241
49
2,343
-760
17.8
1,953
(7.6)
EPS CHANGE (%): FY21|22E: +0.7|+1.3
Price increases taken and lower discounts support
realizations.
Volume upgrade diluted by higher RM cost.
FY21E
2Q
867.8
(2.0)
53.1
8.1
46,055
5.9
76.5
4.7
9.5
4,301
9.3
407
1,331
111
2,674
0
26.6
1,963
0.5
FY20
3QE
989.5
20.4
53.4
6.4
52,880
28.2
76.3
4.4
10.3
4,752
9.0
350
1,340
50
3,112
0
25.2
2,328
28.8
4QE
903.5
42.8
54.1
(1.6)
48,907
40.5
77.0
4.7
10.0
4,043
8.3
338
1,339
31
2,398
0
24.8
1,804
81.8
3,263.5
(16.6)
50.3
8.2
1,64,233
(9.8)
73.9
5.7
12.2
13,459
8.2
1,022
4,890
321
7,867
323
21.5
6,176
(7.8)
Neutral
(INR m)
FY21E
3,027.8
(7.2)
53.6
6.4
1,62,159
(1.3)
76.5
5.4
10.3
12,608
7.8
1,618
4,920
218
6,288
25.2
4,703
(23.8)
3Q
821.5
(17.0)
50.2
6.6
41,255
(11.5)
72.2
5.7
13.3
3,633
8.8
211
1,213
9
2,218
760
16.9
1,808
1.3
4Q
632.9
(30.2)
55.0
13.7
34,814
(20.7)
75.0
6.4
11.6
2,449
7.0
235
1,243
251
1,222
323
17.8
993
(27.8)
1Q
266.9
(71.1)
53.6
10.8
14,317
(68.0)
75.9
13.8
13.8
-488
(3.4)
523
911
26
-1,896
0
26.7
-1,391
(197.7)
January 2021
13
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
NOTES
January 2021
14
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
Explanation of Investment Rating
Investment Rating
Expected return (over 12-month)
BUY
>=15%
SELL
< - 10%
NEUTRAL
< - 10 % to 15%
UNDER REVIEW
Rating may undergo a change
NOT RATED
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
MOFSL 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 MOFSL even
though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report
MOFSL 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 MOFSL 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. Details of pending Enquiry Proceedings of Motilal Oswal Financial Services Limited are available on the
website at
https://galaxy.motilaloswal.com/ResearchAnalyst/PublishViewLitigation.aspx
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 MOFSL or its associates maintains arm’s length distance with Research Team as all the activities are segregated
from MOFSL 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 MOFSL & 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 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 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 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”,
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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 MOFSL, 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 MOFSL, Research Analyst and/or his relatives do not have actual/beneficial ownership of 1% or more securities in the subject company
3 MOFSL, Research Analyst and/or his relatives have not received compensation/other benefits from the subject company in the past 12 months
4 MOFSL, 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 MOFSL has not acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
7 MOFSL has not received compensation for investment banking/ merchant banking/brokerage services from the subject company in the past 12 months
8 MOFSL has not received compensation for other than investment banking/merchant banking/brokerage services from the subject company in the past 12 months
9 MOFSL has not received any compensation or other benefits from third party in connection with the research report
10 MOFSL has not engaged in market making activity for the subject company
January 2021
15
 Motilal Oswal Financial Services
December 2020 Results Preview | Sector: Automobiles
********************************************************************************************************************************
The associates of MOFSL may have:
- financial interest in the subject company
- actual/beneficial ownership of 1% or more securities in the subject company
- received compensation/other benefits from the subject company in the past 12 months
- 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.
- acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
- 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)
- 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.
January 2021
16