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8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
1/21
IEA-Equity
Strategy
17th Dec, 2013
NIIT Tech :"Next Journey to Billion Dollar" "BUY" 9th Dec 2013
NIIT Tech management expressed its confidence of driving growth in the organization and looking at an aspirational goal of USD 1 billion
revenue in next 5 years.its order wins in the recent quarters have been healthy, lending visibility on revenue growth. At a CMP of Rs332, trade
at 7.5x FY14E earnings. We retain buy view on the stock with a price target of Rs360 (revised from Rs310).............................................
Page : 19- 20)
TATA Steel Ltd : "HOLD" 10th Dec 2013
Over the past two quarters, Tata Steel has reported strong growth in volumes in the domestic operations despite weak demand. Its Europe
operations have been broadly better than expectations indicating some stability and predictability from its Europe operations. Tata Steel
earnings growth is likely to be driven by higher sales volume in FY2014-15 on the back of 2.9mn ton brownfield expansion project in
Jamshedpur and steady improvement in profitability of European operations. We have arrived at "Hold" rating on the stock watching our step
for a target price of Rs.340 in near term. ................... ( Page : 15-18)
LUPIN : "Optimistic Guidance " "BUY" 11th Dec 2013
The management of the company in its latest interaction said that company is confident of logging 15-20 % CAGR in US and India in the days to
come on the back of rich pipeline as well as acquisition based strategy . ( Page : 13-14)
COAL INDIA : "BUY" 12th Dec 2013
We expect modest increase in sales volumes growth during FY2013-15 on account of poor offtake capabilities of CIL. Also, we expect CIL
margins to decline during FY2014 due to lower e-auction realizations and higher staff costs/other expenses.News flows related to further
divestment in CIL by the government is likely to keep the stock price under pressure in our view. we recommend Buy rating on the stock with
our previous target price Rs.350............................................ ( Page : 10-12)
Persistent System :"Persistently innovating.." "BUY" 13th Dec 2013
With the potential revenue growth, strong deal pipeline and multi-year relationships with marquee clientele in the Infrastructure vertical, we
upgrade this stock and expect for better earning visibility across niche IT players.we rateBUYon the stock and we revise our target price from
Rs 890to Rs 960. At a CMP of Rs 876, stock trades at 13.8x FY14E earnings........................ ( Page : 8-9)
UCO BANK : "BUY" 17th Dec 2013
We have the reduce the target price of UCO bank from Rs.94 to Rs. 84 on account ofbanksunlikely to get benefit of western sanction agains
Iran. Late last month US and six other major powers have imposed sanction against Iran for its nuclear deal. In order to quality for waive
sanction against Iran, India has cut back sharply on purchase of oil from Iran. UCO was the major beneficiary of current account deposits oIndia-Iran oil facilities. In our banking sector coverage universe, UCO bankscost of deposits were lowest at 6.1% whereas yield on loan wa
10.1% at the end of 2QFY14. After this development,banksmargin would be impacted and accordingly UCO bank loses the valuation premium
Although banks management is focusing on other area of growth like branch expansion and customer acquisition. We slightly tweak our
earnings and reduce our book value estimate from Rs.175.5 to Rs.168.8. Now our revised price target for the stock would be Rs.84 which is 0.5
times of FY14E book value................ ( Page : 2-6)
email: [email protected], website : www.narnolia.com
Narnolia Securities Ltd,
402, 4th floor 7/1, Lords Sinha Road Kolkata 700071, Ph 033-32011233 Toll Free no : 1-800-345-4000
LR VOLUME UPDATE : NOVEMBER 2013 16th Dec 2013
JLR wholly owned subsidiary of Tata Motors come up with November 2013 volume, the company for the month sold 37403 units up by 25%
YoY. This total volume of JLR includes 6244 units of Jaguar and 31159 units of Land Rover. Thismonthsperformance in particular is marked b
stellar performance by Jaguar .................................................... ( Page : 7)
India Equity Analytics
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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74
84-
14
1M 1yr YTD
bsolute 16.3 0.6 0.6
el.to Nifty 14.1 -7.0 -7.0
Current 1QFY14 4QFY1
omoters 69.3 69.3 69.3
I 4.2 3.9 3.2
I 12.4 12.5 13.0
hers 14.2 14.3 14.6
Financials Rs, Cr
2011 2012 2013 2014E 2015ENII 3845 3902 4582 4721 5533
Total Income 4770 4868 5534 6063 6875
PPP 2695 2811 3357 4184 4744
Net Profit 907 1109 618 1573 1977
EPS 16.5 17.7 9.3 23.7 29.7
Stable asset quality on sequentially
In absolute term GNPA was flat on QoQ basis and registered mere deterioration
3% largely due to asset quality. During quarterbanksreported fresh slippages we
Rs.725 cr as against Rs.629 cr in 1QFY14. Out of Rs.725 cr, over Rs.400
slippages came from infra segment alone. In percentage term GNPA stood at 5.3
from 5.7% in 1QFY14. In absolute term provision increased by 6% QoQ taking n
NPA increased to 7% QoQ. In absolute term NPA was 3.1% flat on sequential bas
Provision coverage ratio without technical write off stood at 46.6% as against 45.1
in 1QFY14 and 41.1% in 2QFY13.
CO Bank Vs Nifty
(Source: Company/Eastwind)
Please refer to the Disclaimers at the end of this Report.
Strong performance in NII on account of lower cost of deposits
ock Performance During quarter UCObanksperformance was better than expectation as banksN
grew by 55% YoY to Rs.1569 Cr aided by interest income growth of 5.92% a
interest expenses de-growth of 9.68%. On yearly basis credit deposits ratio declin
to 71.6% from 72.6% but loan and deposits growth of 15% and 16% support
overall business growth and hence margin expansion. Other income de-grew
1.6% YoY to Rs.209 cr largely due to lower treasury gain. Total income register
growth of 45.1% YoY to 1779 cr.
hare Holding Pattern-%
verage Daily Volume 2960821
fty 6154
SE Symbol UCOBANK
2wk Range H/L 86.65/46
kt Capital (Rs Cr) 5561
hange from Previous
arket Data
SE Code 532205
UCO BANK
ompany Update BUY We hav e the reduce the target pric e of UCO ban k from Rs.94 to Rs. 84 o
account of banksun lik ely to get benefit of wes tern sanc tion again st Iran. La
last month US and six other major powers have imp osed sanc tion against Irafor its nuc lear deal. In ord er to qualit y for waiver sanc tion again st Iran, Ind
has cut back s harply on pu rchase of oi l f rom Iran. UCO was the maj
benef ic iary o f current acco unt d eposi ts of India-I ran oi l faci l i t ies. In o
bank ing sector cov erage univ erse, UCO bankscost of depo sits were lowe
at 6.1% whereas y ield on l oan w as 10.1% at the end of 2QFY14. Aft er th
development , banksmargin would be impacted and accord ingly UCO ban
loses the valuation premium . Although banksmanagement is focus ing o
other area of growth l ike branch expansion and c ustom er acquis i t ion. W
slig ht ly tweak our earnings and reduc e our book value estimate from Rs.175
to Rs.168.8. Now ou r revised pri ce target for the stoc k wou ld be Rs.84 whic h
0.5 times o f FY14E boo k valu e.
MP
arget Priceevious Target Price
pside
"BUY"17th Dec, 2013
Narnolia Securities Ltd,
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n balance sheet growth front, banks deposits grew by 16% YoY to Rs.1888 bn
pported by current account deposits growth of 173% YoY and 12% rise in saving
eposits. CASA deposits registered the growth of 56% YoY to Rs.60096 cr. In
ercentage of total advances, CASA stood at 31.8% from 23.7% in 2QFY13. Growth in
rrent deposits was on account of providing facilities to Indo Iran trade payments which
presently covering 45% of oil imports from Iran and India export. Going forward 100%
oil import from Iran is to be covered and further fertilizer import from Iran is also being
nsidered by Government. This facilities will generated almost about 17000-18000 cr aser management. Loan grew by 15% YoY to Rs.1352 bn.
argin improved due to higher declined of cost of deposits than loan yield
et interest margin of the bank improved by 11 bps YoY to 2.84% from 2.73% in 1QFY14
ue to 22% YoY declined cost of deposits to 6.09% from 7.44% in 2QFY13. Lower cost
as account of higher growth in low cost current deposits. Yield on loan (EW calculated)
r the quarter stood at 10.1% from 10.1% in 1QFY14 and 10.9% in 2QFY13.
anagement expects NIM of 3% at the end of year end on the back of current deposits
pport.
aluation & View
e have the reduce the target price of UCO bank from Rs.94 to Rs. 84 on account of
anksunlikely to get benefit of western sanction against Iran. Late last month US and six
her major powers have imposed sanction against Iran for its nuclear deal. In order to
uality for waiver sanction against Iran, India has cut back sharply on purchase of oil from
an. UCO was the major beneficiary of current account deposits of India-Iran oil facilities.
our banking sector coverage universe, UCO bankscost of deposits were lowest at
1% whereas yield on loan was 10.1% at the end of 2QFY14. After this development,
anks margin would be impacted and accordingly UCO bank loses the valuation
emium. Although banksmanagement is focusing on other area of growth like branch
xpansion and customer acquisition. We slightly tweak our earnings and reduce our book
lue estimate from Rs.175.5 to Rs.168.8. Now our revised price target for the stock
ould be Rs.84 which is 0.5 times of FY14E book value.
Please refer to the Disclaimers at the end of this Report.
UCO BANK
gher earnings on account of robust growth in NII, lower CI ratio and flat
ovisions
et profit during the quarter registered growth of 286% YoY to Rs.400 cr largely due to
gher NII growth, lower cost income ratio and lower provision on account of stable asset
uality. Consequentially ROE and ROA improved to 17.4% and 0.88% from 4.5% and4% in 2QFY13 respectively.
urrent deposits grew almost double led CASA improvement
Narnolia Securities Ltd,
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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UCO BANK
undamental through graph
Source:Eastwind/Company
Please refer to the Disclaimers at the end of this Report.
Narnolia Securities Ltd,
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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UCO BANK
Please refer to the Disclaimers at the end of this Report.
Narnolia Securities Ltd,
uarterly Result 2QFY14 1QFY14 2QFY13 % YoY % QoQ
erest/discount on advances / bills 3396 3152 3230 5.1 7.7
come on investments 1026 968 897 14.4 5.9
erest on balances with Reserve Bank of India 8 37 32 -73.7 -77.3
hers 14 49 37 -61.9 -71.6tal Interest Income 4444 4207 4196 5.9 5.6
hers Income 209 462 213 -1.6 -54.7
tal Income 4653 4669 4409 5.6 -0.3
erest Expended 2875 2843 3183 -9.7 1.1
1569 1364 1013 54.9 15.1
her Income 209 462 213 -1.6 -54.7
tal Income 1779 1826 1226 45.1 -2.6
mployee 382 376 332 15.2 1.6
her Expenses 230 185 180 27.7 24.2
erating Expenses 612 562 512 19.6 9.1
P( Rs Cr) 1166 1264 714 63.4 -7.8
ovisions 759 741 597 27.1 2.3
T 408 523 116 249.9 -22.1
x 7 12 13 -42.5 -39.0
t Profit 400 511 104 285.9 -21.7
lance Sheet
uity Capital 2576 2576 2488 3.5 0.0
serve & Surplus 8195 7719 6644 23.3 6.2
t Worth 10770 10295 9132 17.9 4.6
posits 188779 177050 162567 16.1 6.6
rrowings 6605 6462 6601 0.1 2.2
her Liabilities & Provisions 6262 6566 4773 31.2 -4.6
tal Liabilities 212416 200373 183073 16.0 6.0
sh & Balance with Bank 7081 7600 7585 -6.6 -6.8
lance with bank & money at call 8045 8218 1957 311.1 -2.1
vestments 55193 52999 49589 11.3 4.1
vances 135233 125141 118045 14.6 8.1
ed Assets 977 926 815 19.9 5.5
her Assets 5887 5489 5082 15.8 7.2
tal Assets 212416 200373 183073 16.0 6.0
set Quality
NPA 7,376 7,178 5,888 25.3 2.8
A 4228 3939 3468 21.9 7.3
GNPA 5.3 5.7 5.0
NPA 3.1 3.1 2.9PCR(Without technical writeoff) 46.6 45.1 41.1
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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UCO BANK
Source: Company/Eastwind
Please refer to the Disclaimers at the end of this Report.
Narnolia Securities Ltd,
ncome Statement 2011 2012 2013 2014E 2015E
terest Income 11371 14632 16752 20313 24333
terest Expense 7526 10730 12170 15592 18800
II 3845 3902 4582 4721 5533
hange (%) 65.4 1.5 17.4 3.0 17.2
on Interest Income 925 966 952 1342 1342
otal Income 4770 4868 5534 6063 6875
hange (%) 45.0 2.0 13.7 9.6 13.4
perating Expenses 2075 2056 2177 1880 2131
re Provision Profits 2695 2811 3357 4184 4744
hange (%) 58.0 4.3 19.4 24.6 13.4
rovisions 1788 1661 2710 2596 2548
BT 907 1150 647 1588 2196
AT 907 1109 618 1573 1977
hange (%) -10.4 22.3 -44.2 154.5 25.6
alance Sheet
eposits( Rs Cr) 99071 115540 128283 153939 184727
hange (%) 17 11 20 20
f which CASA Dep 32031 34403 55733 67707 81249
hange (%) 6 7 62 21 20
orrowings( Rs Cr) 5475 12901 9492 12315 14777
vestments( Rs Cr) 42927 45771 52245 62692 75231
oans( Rs Cr) 99071 115540 128283 153939 184727
hange (%) 20 17 11 20 20
atio
vg. Yield on loans 8.6 9.9 10.0 10.0 10.0
vg. Yield on Investments 6.6 7.1 7.1 7.5 7.5
vg. Cost of Deposit 4.7 6.5 6.6 7.0 7.1
vg. Cost of Borrowimgs 12.5 6.1 7.0 6.0 6.0
aluation
ook Value 135 137 146 169 183
MP 107 79 50.1 74.55 74.55/BV 0.8 0.6 0.3 0.4 0.4
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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Earlier management said that company would invest 1.5 billion pounds for new technica
advanced aluminum vehicle architecture in forthcoming models. The first new model
utilize this innovative architecture will be an all-new mid-sized sports sedan from Jagu
The product will be launched by 2015.
(Source: Company/Eastwi
JLR wholly owned subsidiary of Tata Motors come up with November 2013 volume, t
company for the month sold 37403 units up by 25% YoY. This total volume of JLR includ
6244 units of Jaguar and 31159 units of Land Rover. This monthsperformance in particula
marked by stellar performance by Jaguar with volume growth of almost 55 % YoY while tLand Rover portfolio has grown by 20 % YoY.The new F type Jaguar is getting go
response.Company manage to sell 557 units of F-Type this month.
Please refer to the Disclaimers at the end of this Report.
The Table shows the Performance of Land Rover Portfolio : Model Wise.
JLR VOLUME UPDATE : NOVEMBER 2013
The performance of JLR on Geography Wise has been Tabulated as under :
The various models under JLR portfolio have grown well for the company however Jag
XJmodel has done exceptionally well .The company has sold 6244 units of Jaguar for t
Nov2013.The Land Rover is also growing good for the company. The Range Rover Evoque h
grown by 10% YoY to 10953 units for the month.
The Table shows the Performance of Jaguar Portfolio : Model Wise.
Strong Performance For The Month.
(Source: Company/Eastwi
(Source: Company/Eastwi
We continue to like Tata Motors, led by strong volume traction at JLR to continue over t
coming months as new Range Rover Sport get rolled out across more geographies,
addition to continued traction from RR and F-Type, which in turn will boost realisation a
margin.
The volumes for JLR across geographies came relatively, good all the geographies ha
done well except for UK where volume de grew by 1%YoY. The markets of china continu
to do well for the company. The Chinese market have grown over 40% YoY for the J
followed by ROW markets.
Narnolia Securities Ltd,
Model Nov-13 Nov-12 Change % (YoY)
UK 5231 5276 -1%
North America 6657 4843 37%
Europe 7300 6829 7%
China 9751 6879 42%Asia Pacific 1882 1428 32%
All other markets 6582 4638 42%
Monthly Performance of JLR : Geography Wise
Model Nov-13 Nov-12 Change % (YoY)
Defender 1615 1274 27%
Freelander 4124 4517 -9%
Discovery 3424 3683 -7%
New Range Rover Sport 6833 0 NA
Range Rover Sport 106 4909 NA
Range Rover 2 1417 NA
Range Rover Evoque 10953 9919 10%
New Range Rover 4102 143 NA
Monthly Performance of Land Rover: Model Wise
Model Nov-13 Nov-12 Change % (YoY)
XF 3825 2743 39%
XJ 1628 1004 62%
XK 234 284 -18%
F-TYPE 557 NA
Monthly Performance of Jaguar : Model Wise
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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Persistent System.
BUY
8%
1M 1yr YTD
bsolute 7.5 83.5 126.6
l. to Nifty 4.9 77.8 107.9
Current 1QFY14 4QFY13
omoters 38.96 38.96 38.96
15.28 14.84 12.39
I 21.23 19.31 21.59
hers 24.53 26.89 27.06
Financials
2QFY14 1QFY14 (QoQ)-% 2QFY13 (YoY)-%
Revenue 432.37 357.29 21.0 326.86 32.3
EBITDA 100.8 76.8 31.3 89.06 13.2
PAT 60.8 57.1 6.5 44.71 36.0
EBITDA Margin 23.3% 21.5% 180bps 27.2% (390bp
PAT Margin 14.1% 16.0% (190bps) 13.7% 40bps
With the potential revenue growth, strong deal pipeline and multi-year relationsh
with marquee clientele in the Infrastructure vertical, we upgrade this stock and expe
for better earning visibility across niche IT players.
Recently , Persistent System reported superlative set of numbers during the 2QFY
with 21%(QoQ) sales growth in INR term and 8.6%(QoQ) growth in USD term led
38%(QOQ) growth on the intellectual property (IP) revenues. PAT growth was at 6.5
(QoQ).
Margin ramp up:During the quarter, Its EBITDA margin improved by 180bps to 23.3
positively impacted by currency gain(270bps), while during the quarter company wa
hike to its off shore employee at a range of 8-9% was impacted margin by 310 badversely. However, management expects to maintain margin at a range of 24-25% f
FY14E.
On segmental front: The Companys cash cow segment Infrastructure and Syste
which contributes 69% on sales, grew by 21% and life science (13% contribution
sales) was up by 57% sequentially. While, Telecom space (17.6% contribution on sale
increased marginally by 3% (QoQ).
Clients Metrics: During the quarter, company added 2 clients at 32 under mediu
category( >$1mn to $3mn) and 1 client at 16 from large ( > $ 3Mn) . Revenue from top
client was improved from 21.2% (1QFY14) to 22.5% . DSO at 62days, almost
quarters low.
year forward P/E-x
Rs, Cro
(Source: Company/Eastwi
View and Valuation:Thecompanysfocus is shifting greater proportion to IP led servic
and company has marquee clientele in cutting-edge technologies around clou
mobility, collaboration and analytics; witnessing faster growth. Considering t
companysability to achieve scale and growth, we rateBUYon the stock and we rev
our target price from Rs 890 to Rs 960. At a CMP of Rs 876, stock trades at 13.8x FY14
earnings.
Persistent's management suggests that deal pipeline are looking strong and seegood activity and traction in the market across the board. Its focus on some of new
technologies like cloud, analytics and mobility are gaining a lot of traction because
pickup in demand environment. The emerging themes, (CAMB) Cloud, Analyti
Mobility, and Big data could also see strong demand traction ahead. Because
actively investment in these themes, management is very confident to see healt
growth and also they expressed their confidence to beat the NASSCOM guidance (1
14% revenue growth for FY14E).
PERSISTENT
Please refer to the Disclaimers at the end of this Report.
3505
erage Daily Volume 12139
kt Capital (Rs Crores)
fty
are Holding Pattern-%
6237
"Persistently innovating.."
ompany update
MP 876
rget Price 960
Persistent Sytems management remains confident of FY14 with deal pipeline bei
strong and remains focused on increasing the share of IP-led revenues in its portfol
The management expects to see more than 15% dollar revenue growth, more th
NASSCOM guidance of 12-14 % for FY14E.
ock Performance
ange from Previous
evious Target Price 890
pside 10%
wk Range H/L 906/477
arket Data
E Code 533179
SE Symbol
"BUY"13th Dec' 13
Narnolia Securities Ltd,
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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nancials
Please refer to the Disclaimers at the end of this Report.
Persistent S stem.
(Source: Company/Eastwi
perating Metrics
Narnolia Securities Ltd,
2QFY12 3QFY12 4QFY13 1QFY13 QFY13 3QFY13 4QFY13 1QFY14 2QFY1
op1 16.0% 15.9% 17.2% 17.8% 20.7% 21.1% 21.6% 21.2% 22.5%
op 5 38.6% 37.0% 36.6% 33.5% 36.3% 37.3% 36.7% 34.7% 36.4%
op 10 49.4% 48.3% 48.8% 45.3% 47.0% 49.4% 47.9% 46.0% 47.3%
nsite - Linear 12665 12387 12603 12789 12863 12772 14014 14567 1428
ffshore - Linear 3803 3778 3895 3898 3978 4032 4143 4111 4109
eild per Employee(excld- Trainee) 3208 3247 3350 3345 3746 3817 3769 3602 3919
otal Employee 6900 6706 6628 6536 6370 6719 6970 7144 7457
ttrition 17.7% 17.4% 18.3% 18.9% 16.9% 16.0% 14.4% 14.2% 14.0%
tilization rate %(xclude IP Led ) 73.8% 74.1% 71.7% 74.1% 75.2% 77.3% 72.5% 70.0% 71.7%
lling Rate-USD/ppm
mployee Metrics
ient Concentration
s in Cr, FY10 FY11 FY12 FY13 FY14E FY15E
ales 601.16 775.84 1000.3 1294.5 1657.54 2053.93
mployee Cost 368.74 481.62 599.05 719 895.07 1119.39
ost of technical professionals 0 30.67 41.68 54 82.88 102.70
ther expenses 86.05 105.24 135.2 218 290.07 379.98
otal expenses 454.79 617.53 775.93 990.78 1268.02 1602.06
BITDA 146.37 158.31 224.37 303.72 389.52 451.86
epreciation 33.52 42.39 61.1 78 93.54 84.18
ther Income 11.23 34.44 34.44 34.44 66.30 71.89
BIT 112.85 115.92 163.27 225.44 295.98 367.68
nterest Cost 0 0 0.00 0.03 0.00 0.00
rofit (+)/Loss (-) Before Taxes 124.08 150.36 197.71 259.851 362.29 439.57
rovision for Taxes 9.05 10.62 55.09 75.37 108.69 131.87
et Profit (+)/Loss (-) 115.03 139.74 142.62 184.481 253.60 307.70
rowth-% (YoY)ales 1.2% 29.1% 28.9% 29.4% 28.0% 23.9%
BITDA 60.2% 8.2% 41.7% 35.4% 28.3% 16.0%
AT 74.1% 21.5% 2.1% 29.4% 37.5% 21.3%
xpenses on Sales-%
mployee Cost 61.3% 62.1% 59.9% 55.5% 54.0% 54.5%
ther expenses 14.3% 13.6% 13.5% 16.9% 17.5% 18.5%
ax rate 7.3% 7.1% 27.9% 29.0% 30.0% 30.0%
Margin-%
BITDA 24.3% 20.4% 22.4% 23.5% 23.5% 22.0%
BIT 18.8% 14.9% 16.3% 17.4% 17.9% 17.9%
AT 19.1% 18.0% 14.3% 14.3% 15.3% 15.0%
aluation:MP 310.0 366.7 409.2 541.0 876.0 876.0
o of Share 4.0 4.0 4.0 4.0 4.0 4.0
W 639.0 747.1 840.5 1018.3 1234.4 1504.7
PS 28.8 34.9 35.7 46.1 63.4 76.9
VPS 159.7 186.8 210.1 254.6 308.6 376.2
oE-% 18.0% 18.7% 17.0% 18.1% 20.5% 20.4%
/BV 1.9 2.0 1.9 2.1 2.8 2.3
/E 10.8 10.5 11.5 11.7 13.8 11.4
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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Coal India LTD.
CCIs Rs 1,773-crore penalty:
289
350
35021%
NA
533278
176226 Coal India to get Rs 2,119 cr extra on coal price revision :
17622
6308
1M 1yr YTD
solute -1.3 -21.2 -21.4
l. to Nifty 2.8 8.8 8.6
2QFY14 1QFY14 4QFY13
omoters 90.0 90.0 90.0
5.5 5.4 5.4
5.3 2.3 2.0
hers 2.2 2.4 2.6
Financials : Q2FY14 Y-o-Y % Q-o-Q % Q2FY13 Q1FY1
Net Revenue 15411 5.8 -6.4 14573 1647
EBITDA 2794 -2.4 -29.4 2862 395Depriciation 495 27.8 4.1 387 47
Interest Cost 8 -22.2 7.0 10
Tax 1412 -4.2 -27.9 1475 195
PAT 3052 -0.8 -18.2 3078 373(In Cr
1
ompany Update
MP The Competition Commission of India (CCI) imposed a Rs 1,773 cr fine on Coal India, th
country' monopoly commercial coal miner, based on a complaint filed by two powe
companies that India's monopoly producer of coal abused its dominance. Thgovernment owns 90% stake in Coal India, and has traditionally drawn hefty dividen
income from the cash rich coal company. In 2012-13, the company paid a total dividen
of Rs 8,843 cr out of which the government's share was Rs 7,959 cr. A Rs 1800-crore fin
could possibly mean less profits for the company and less dividend income for its owner
But as the main owner, the government, will pocket this amount in the form of a fine,
will not be poorer in any way.
rget Price
evious Target Priceside
ange from Previous
arket Data
E Code
E Symbol COALINDIA
wk Range H/L 372/238
kt Capital (Rs Crores)
erage Daily Volume (Nos.) Coal India Ltd is likely to get additional revenue of Rs 2,119 cr in this fiscal on account o
revision in dry fuel prices.CIL (Coal India Ltd) has revised and rationalized the basi
notified prices of all the grades of non-coking coal except GI, G2 and G5.The estimateadditional revenue due to revision of basic notified price for the current financial year
Rs 2,119 cr.CIL had revised the prices of all grades of coal, barring three, for all its eigh
producing subsidiaries with effect from May 28 this year. Mahanadi Coalfields which
expected to contribute Rs 686 crore, followed by Rs 664 crore from Northern Coalfield
and Rs 495 crore from South Eastern Coalfields.
fty
ock Performance-%
are Holding Pattern-%
Thecompanys net sales grew 5.8% yoy to 15,411cr (above our estimate of 15,083cr
Sales volumes stood at 109mn ton in 2QFY2014 compared to 102mn ton in 2QFY2013
The blended realizations declined by 1.4% yoy to 1,414/ton (despite price hike) due t
lower realization on FSA coal.Despite 5.8% yoy growth in top-line, EBITDA decreased b
8.2% yoy to 3,176cr due to higher raw material costs (18.1% yoy to 2,251cr) an
contractual expenses (27.6% yoy to 1,394cr). The depreciation expenses increased b
27.8% yoy to 495cr; hence, adjusted net profit was flat yoy at 3,043cr .yr Forward P/B
Coal India 2QFY2014 top-line was above our estimate. The companys net sales grew
5.8% yoy to 15,411cr. Sales volumes stood at 109mn ton in 2QFY2014 compared t
102mn ton in 2QFY2013. The blended realizations declined by 1.4% yoy to 1,414/to
despite price hikes. Its FSA coalsrealizations were lower than expected due to lowe
grade coal. The company liquidated 11mn ton of old stock.
Source - Comapany/EastWind Research
Please refer to the Disclaimers at the end of this Report.
"Buy"12nd Dec' 13
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UTLOOK:
FY10 FY11 FY12 FY13
431 431 436 452
416 425 433 465
1073 1183 1441 1468
404744 390243 377447 364736
1066 1105 1155 1240
FY11 FY12 FY13 FY14E
50234 62415 68303 69864
7573 5123 6556 8383
1755 2013 2333 2595
4580 4901 5802 6057
20481 26705 27943 28943
40390 40857 50219 53738
9843 21558 18084 16126
1673 1969 1813 1860
79 54 45 345595 6484 7623 7332
10868 20588 17356 15870
33 51 36 33.1
Coal India LTD.
oal India 2QFY2014 top-line was above our estimate. The companysnet sales grew
8% yoy to 15,411cr. Sales volumes stood at 109mn ton in 2QFY2014 compared to
2mn ton in 2QFY2013. The blended realizations declined by 1.4% yoy to 1,414/ton
spite price hikes. Its FSAcoalsrealizations were lower than expected due to lower
ade coal. The company liquidated 11mn ton of old stock.
Lse-auction realizations have declined over the past one year on account of decline
international coal price coupled with weak domestic demand. Going forward, we
pectCILsprofitability to be affected due to lower e-auction realizations, sticky staff
sts and other expenses. Moreover, given the price hike taken during 4QFY2013, we
not expect CIL to undertake any further price hikes in the near-term.
e expect modest increase in sales volumes growth during FY2013-15 on account of
or offtake capabilities of CIL. Also, we expect CILsmargins to decline during FY2014
e to lower e-auction realizations and higher staff costs/other expenses.News flows
ated to further divestment in CIL by the government is likely to keep the stock price
der pressure in our view. we recommend Buy rating on the stock with our previous
rget price Rs.350.
et Revenue from Operation
PERATING MATRIX
al Production in MT
oal Offtake in MT
venue Generation From unit Ton
vg Man Power (in numbers)
oductivity Per Man
L PERFORMANCE
OE
ost Of Projects & Contractual
wer and fuel
ntractual expenses
mployee benefit Expence
penditure
ITDA
epriciation
terest Costx
AT
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FY10 FY11 FY12 FY13
6316 6316 6316 6316
20956 26998 34137 42156
27273 33314 40453 48472
343 1334 1305 10781620 33 0 0
2545 22461 28271 31144
772 645 829 837
1404 12387 15595 20447
5443 8490 9785 12385
0 779 759 712
12035 12065 12681 12754
2211 2057 1848 3496
610 845 1017 1181
4402 5586 6071 5618
2169 3419 5663 10480
39078 45806 58203 62236
8066 11180 13478 16189
17921 21646 24688 25479
FY10 FY11 FY12 FY13
0.0 5.7 5.5 4.0
0.0 17.3 32.6 27.5
4.9 22.8 29.2 52.7
1.7 4.3 4.3 4.2
1.0 3.7 3.1 2.8
FY10 FY11 FY12 FY13
10727 12819 16323 15948-131 -3822 3565 -6839
10596 8997 19888 9109
950 697 -10410 -1833
2163 2911 -7382 -7852
13708 12606 2095 -575
Down 21% from its 52week High
Up 14% from its 52 week Low
12
tal equity
Coal India LTD.
S PERFORMANCE
are capital
serve & Surplus
ngible assets
ng-term borrowingsort-term borrowings
ng-term provisions
ade payables
ort-term provisions
tal liabilities
tangibles
pital work-in-progress
ng-term loans and advances
ventories
ade receivables
sh and bank balances
ort-term loans and advances
ebtor to Turnover%
tal Assets
ATIOS
B
S
editors to Turnover%
ventories to Turnover%
ASH FLOWS
sh from Operationanges In Working Capital
sh From Investment
sh from Finance
et Cash Flow during year
rading At :
et Cash From Operation
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BUY
1M 1yr YTD
bsolute -1 46 41
el. to Nifty -4 39 23
Current 1QFY14 4QFY1
omoters 46.8 46.8 46.8
31.5 30.7 28.8
I 12.1 12.4 14.3
hers 9.7 10.1 10.0
Financials Rs, Cro
2QFY14 1QFY14 (QoQ)-% 2QFY13 (YoY)-%
Revenue 2668 2476 7.8 2301 15.9
EBITDA 660 590 11.9 515 28.2
PAT 417 405 3.0 297 40.4
EBITDA Margin 24.7% 23.8% 90bps 22.4% 240bps
PAT Margin 15.6% 16.4% (70bps) 12.9% 270bps
arket DataSE Code 500257
Lupin earlier posted slightly better than expected 2QFY14 results ,the company report
its net sales at Rs 2631 Cr up by 18 % YoY on the back of strong business performan
from US and Europe formulation segment. The segment grew by 31% YoY to Rs. 1108
Cr during 2Q FY14, against Rs. 844.4 Cr for Q2, FY 2012
13.This segment contribu
42% to overall Company sales.US brands business contributed 10% of total US sale
whereas the generics business contributed 90% for the quarter under review.
The Indian formulation business contributed 25% of the Company
overall revenues for the quarter.Companys India formulation business grew by 9
recording revenues of Rs. 6,635 m. during Q2, FY 2013
14, as compared to Rs. 6,064
for Q2, FY 2012
13. The companysrest other business geographies to have performrelatively good for the company.
The company has filed 7 ANDAs and received 6 ANDA approvals in the quarter. Cumulat
ANDA filings with the US FDA now stand at 183 with the company having received approvals to date.
ock Performance-%
hare Holding Pattern-%
kt Capital (Rs, Cr)
The operating EBITDA for the 2QFY14 came at Rs 660 Cr and OPM stands at 24.7%.T
RM cost decreased by 7.7% to 32.0% of net sales at Rs. 841.3 Cr during 2QFY14
compared to Rs. 889.8 Cr for 2Q FY 13.Manufacturing & other expenses increased by
30.4% of net sales at Rs. 798.8 Cr during 2Q FY14 as compared to Rs. 591.7 Cr for t
same period last fiscal.Revenue expenditure on R&D stood at 8.3% of net sales at R
217.2 Cr.
fty 6332
hange from Previous -
wk Range H/L 946/569
SE Symbol LUPIN
ne Year Forward P/E
(Source: Company/Eastwi
39101
verage Daily Volume 395892
Please refer to the Disclaimers at the end of this Report.
We have slightly raise our TP to Rs 1006 on the back management guidance post t
results. The management is quite optimistic for its business outlook going forward a
believes that the company will achieve its set target going forward.
The Net profits for 2QFY14 came at Rs 417 Cr. The higher incidence of tax during t
quarter is due to tax provision of Rs 51 Cr made on dividends received from subsidiaries
LUPIN"Optimistic Guidance "
arget Price 1006
evious Target Price -
esult UpdateMP 873
The management of the company in its latest media interaction stated that the company
confident of logging 15-20 % CAGR in US and India in the days to come on the back of ri
pipeline as well as acquisition based strategy. Management further said that company
expecting to launch about 100 new drugs in next three years. This new launch will incluan entire range of oral contraceptives and opthal products.
15%pside
"BUY"11th Dec' 13
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Please refer to the Disclaimers at the end of this Report.
LUPIN
les and PAT Trend (Rs)
(Source: Company/Eastwind)
PM %
PM %
company reported its net sales at Rs 2631up by 18 % YoY on the back of stro
business performance fr
US and Europe formulation segment.
The higher incidence of tax during
quarter is due to tax provision of Rs 51
made on dividends received from subsidiar
(Source: Company/Eastwind)
(Source: Company/Eastwind)
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TATA Steel Ltd.
420
440
NA
5%
NA
From the Management Corner the key takeaways are :
500470
40863
28604
6363
1M 1yr YTD
solute 21.7 5.5 9.5
l. to Nifty 23.4 0.3 3.5
2QFY14 1QFY14 4QFY13
omoters 31.4 31.4 31.4
13.6 13.2 13.9
26.1 26.3 27.3
hers 29.0 29.2 27.5
Financials : Q2FY14 Y-o-Y % Q-o-Q % Q2FY13 Q1FY1
Net Sales 36645 7.4 11.7 34133 3280
EBIDTA 3705 60.4 0.5 2310 368
Other Income 203 0.5 10.3 202 18
Interest Cost 1067 9.8 7.6 972 99
Depriciation 1444 8.2 2.9 1335 140
Tax 447 -32.4 27.4 661 35
PAT 917 -325.3 -18.2 (407) 112(In C
Focus on Domestic Market: The Management aims to sell incremental sales volume
from Jamshedpur expansion mainly in the domestic market. This is unlike other flat ste
producers such as JSW Steel and Essar Steel who have been opportunistically raisin
exports, considering INR depreciation against the USD alongside low domestic demand.
Odisha Project could provide further upside in long-term: The Company aims to ma
value added steel products at the new facility in Odisha (3mtpa) where the blende
realizations could be potentially higher than existing products by 2015. We believe timeclearance for expansion of iron ore mine is critical for the plant. The company's Odish
plant is highly automated and will require fewer employees/ton compared to i
Jamshedpur facility.
Debt levels to rise:Debt of the company is likely to rise till 2015 as it draws debt fo
Odisha expansion.
arket Data
E Code
TATASTEEL
erage Daily Volume (Nos.)
E Symbol
wk Range H/L
kt Capital (Rs Crores)
448/195
fty
Please refer to the Disclaimers at the end of this Report.
ock Performance-%
are Holding Pattern-%
yr Forward P/B
Source - Comapany/EastWind Research
Outlook:Over the past two quarters, Tata Steel has reported strong growth in volumes the domestic operations despite weak demand. Its Europe operations have been broad
better than expectations indicating some stability and predictability from its Europ
operations. TataSteelsearnings growth is likely to be driven by higher sales volume
FY2014-15 on the back of 2.9mn ton brownfield expansion project in Jamshedpur an
steady improvement in profitability of European operations. We have arrived at "Hold
rating on the stock watching our step for a target price of Rs.340 in near term.
On the back of a consistent operational improvement at the companys Europea
operations We are positive on the stock in long run .However, on the back of ongoin
capacity expansion, the gross debt is expected to increase from 66074 crore (FY13) t
76919 crore (FY14E) and 77543 crore (FY15E).
side
ange from Previous
tial Coverage
MP
rget Price
Company Update:
TATASteelsconsolidated net sales increased 7.4% yoy to 36,645Cr. TSE sales volume
grew by 10.0% yoy to 3.46mt .The consolidated EBITDA increased by 60.4% yoy t
3,705cr. Thecompanystax expenses declined 32.3% yoy. There was an exceptional ga
related to deferred tax write-back of 390cr. Adjusting for this, the net profit stood a
527cr, compared to a loss of 407cr in 2QFY2013.
evious Target Price
"Hold"10th Dec' 13
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DIAN Operation:
1
e apparent steel demand in the European Union continued to deteriorate during
nancial Year 2012-13 having decreased by about 9.7% in 2012. In aggregate, the steel
mand in Europe is currently about 30% below pre-crisis levels, which has impacted
e demand and customer buying behavior significantly. TSEs performance in thenancial Year 2012-13 was also impacted on account of operational issues faced in
building the Blast Furnace at Port Talbot, UK and undertaking of major repairs of the
ast Furnace at Ijmuiden. Even though the market demand was relatively muted. The
building of the Blast Furnace and other management tasks and initiatives may
sition TSE on a better platform for Financial Year 2013-14 even though the market is
pected to be subdued for the next 12 months. The European operations are
dertaking structural improvement measures including supply chain transformation,
fferentiated product strategy, reduction of manufacturing costs and overheads (head
unt currently 25% below pre-crisis levels).
TATA Steel Ltd.
ATA Steel Profile:
ta Steel is among the top ten global steel companies with an annual crude steel
pacity of over 28 mtpa. It is now one of the world's most geographically-diversified
eel producers, with operations in 26 countries and a commercial presence in over 50
untries. The Tata Steel Group, with a turnover of US$ 24.82 billion in FY 2012- 2013,ross five continents and is a Fortune 500 company. Tata Steels larger production
cilities include those in India, the UK, the Netherlands, Thailand, Singapore, China and
ustralia. Operating companies within the Group include Tata Steel Limited (India),
ta Steel Europe Limited (formerly Corus), NatSteel, and Tata Steel Thailand (formerly
illennium Steel).
e Indian Steel industry witnessed an increase in crude steel production of 5.4% y-o-y,
here as the real consumption increased only by 3.3% with imports registering a sharp
crease on account of lower import duties applicable to ASEAN countries. The
owdown in fixed asset investment and lackluster automotive demand impacted
argins of steelmakers adversely. In Financial Year 2013-14, Indian operations are
pected to benefit on account of stabilization of the commissioned capacity, sourcing
ke internally and reduced impact of exchange fluctuations because of part liquidation
foreign currency loans. The shift to an enhanced product-mix with new cold rolling
cilities being set up and the collaboration with Nippon Steel to produce high strength
tomotive steels is expected to aid profitability.
UROPIAN Operation:
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FY10 FY11 FY12 FY13
102393 118753 132900 134712
1186 680 1573 479
103579 119433 134473 135191
44092 53283 65745 605365549 6390 6660 7434
16463 15840 17229 18918
94350 102006 120483 122390
8043 16747 12417 12321
4492 4415 4517 5575
3022 3956 4250 3968
1715 9056 5223 3257
2152 3246 3636 3229
-15 60 173 214
-1684 3046 3362 -7390
-2009 8983 5390 -7058
22814 35386 42616 34172
-1.4 16.8 4.8 1.0
257 371 439 352
2.64 0.90 0.98 1.13
FY10 FY11 FY12 FY13
-0.31 4.97 1.51 0.25
3.43 10.33 5.87 4.99
7.76 14.02 9.23 9.11
-185.06 5.38 20.51 116.19
-2.41 9.11 5.18 -6.87
-23 94 55 -73
1
ITDA %
B
PM %
E
OCE%
S Source - Comapany/EastWind Resear
Source - Comapany/EastWind Resear
TATA Steel Ltd.
Source - Comapany/EastWind Researinority Interest
ceptional items
AT
ost Of Projectseight and forwarding
mployee benefit Expence
PERATION & PAT
et Revenue from Operation
her Income
tal Income
tal Expenditure
ITDA
epriciation
terest Cost
ALUATION
PM %
et Worth
OE%
ook value per share
BT
x
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FY10 FY11 FY12 FY13
887 959 971 971
21927 34427 41645 33201
22814 35386 42616 34172
884 889 1091 166928059 49251 45238 46858
25041 3794 4699 8115
53100 53045 49937 54972
1769 2188 2504 3155
3789 4585 4715 5356
22020 18457 20529 21779
2806 3395 3476 2943
109738 135488 146852 146906
1635 1790 2851 2959
14542 15298 17355 13065
31778 34778 39081 51978
12383 13552 20196 14277
3237 4688 2623 2497
4801 8685 6837 7098
18687 24055 25598 24091
11624 14812 14878 13994
6788 10859 10799 9860
1961 3547 3717 4061
2181 3159 1398 760
109738 135488 146852 146906
FY10 FY11 FY12 FY13
5600 13638 10312 10195et Cash From Operation 10502 6463 11385 13324
(4700) (8379) 3705 (12321)
(5135) 5993 (8462) (2045)
et Cash Flow during year 667 4077 6628 (1042)
4.8% Down from its 52week High
112% Up from its 52 week Low
1
sh From Investment
sh from Finance
S Performance
are capital
eserve & Surplus
tangibles
oodwill on consolidation
on-current Investments
ng-term loans and advances
ventories
ade receivables
sh and bank balances
ort-term loans and advances
ng-term borrowings
ort-term borrowings
sh from Operation
ngible assets
pital work-in-progress
tal liabilities
tal Borrowings
eferred tax liabilities (net)
ng-term provisions
ade payables
ort-term provisions
rading At :
rrent investments
tal Assets
sh Flows
TATA Steel Ltd.
tal equity
inority Interest
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NIIT Tech
1M 1yr YTD
solute 18.4 19.5 26.8
l. to Nifty 18.29 6.1 23.1
Current 1QFY14 4QFY13
omoters 31.19 31.23 31.29
29.21 29.04 27.79
19.94 19.67 19.52
hers 19.66 20.06 21.4
Financials
2QFY14 1QFY14 (QoQ)-% 2QFY13 (YoY)-%
Revenue 587.3 541.9 8.4 500.1 17.4
EBITDA 88.6 78.2 13.3 84.8 4.5
PAT 60.4 52 16.2 43.1 40.1
EBITDA Margin 15.1% 14.4% 70bps 17.0% (190bp
PAT Margin 10.3% 9.6% 70bps 8.6% (170bp
The Company's growth in past 3years gives the confidence of driving growth goi
forward. NIIT Tech has been strong performer from the slowdown with CAGR of 3
in the last 3 years and even we look at it in dollar terms, it has been about 22-23
Next journey to USD 1 billion in next 5 years, company would report at a CAGR of 2
in INR term and 18% in USD term for FY13-19E.
Aggressive in the US market:The company is expecting slight uptrend in the US mark
(Us market contributes 41% of sales) led by recent healthy demand environment. T
companysfocus would be very sharply on those developed markets particularly the
as well as Asian market going forward. That will be one aspect of growth strategy.
Scouting for acquisition:NIITTechsfocus is on strengthening the industry segments meaning full acquisition particularly in the insurance and the travel space.
management has indicated that they are constantly on the lookout and in conversati
with the potential assets. Therefore, certain amount of inorganic initiative is importa
to sustain the growth momentum.
Eyeing on Infrastructure services:NIITTechslarge engagements typically involved w
significant amount of infrastructure management services, which is a strong practice
the organization. The travel vertical and the infrastructure management services li
will be key areas of focus for NIIT, going forward.
Aspects of growth strategy:
Consistent in order addition:Fresh orders of USD 84Mn versus USD 154 mn in Q1 we
secured during the quarter leading to USD 263Mn worth of orders executable over t
next 12 months. In 1QFY14, Company had huge business in the domestic market whiwas USD 65 million intake from the Airports Authority of India (AAI). But in Q2 FY1
order has primarily been in the international market.
ock Performance
wk Range H/L 344/234
are Holding Pattern-%
kt Capital (Rs Crores)
fty 6260
2011
erage Daily Volume 20884
arket Data
E Code 532541
E Symbol NIITTECH
Buy
year forward P/E
Rs, Cro
(Source: Company/Eastwi
Please refer to the Disclaimers at the end of this Report.
View and Valuation:We expects good growth from Travel & Tourism vertical in FY'
but not the same level of the growth, But the BFSI expected to be softer. However, t
MFG and Govt verticals expected to improve going forward. CompanysOrder wins
the recent quarters have been healthy, lending visibility on revenue growth. At a CMP
Rs332, trades at 7.5x FY14E earnings. We retain buy view on the stock with a pr
target of Rs360 (revised from Rs310).
During the 2QFY14, they secured fresh orders of $84 million, leading to $248 milli
worth of orders executable over the next 12 months.
ange from Previous 16%
evious Target Price 310
side 8%
"Next Journey to Billion Dollar"
MP 332
rget Price 360
ompany update In an interview to Media, NIIT Tech management expressed its confidence of drivi
growth in the organization and looking at an aspirational goal of USD 1 billion reven
in next 5 years.
"BUY"9th Dec' 13
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Please refer to the Disclaimers at the end of this Report.
(Source: Company/Eastwi
nancials;
NIIT Tech
perating Metrics;
Narnolia Securities Ltd,
1QFY13 2QFY13 3QFY13 4QFY13 1QFY14 2QFY14
anking and Finacial Services 13% 13% 12% 12% 12% 14%
nsurance 21% 20% 19% 19% 18% 19%
ransport 40% 42% 42% 37% 36% 37%Manufacturing 7% 6% 6% 6% 7% 6%
overnment 8% 5% 8% 11% 13% 10%
thers 11% 14% 13% 15% 14% 14%
mericas 36% 38% 37% 38% 39% 41%
MEA 39% 39% 40% 37% 35% 36%
oW 25% 23% 23% 25% 26% 23%
SO-days 84 75 76 82 98 100
op-5 30% 32% 34% 32% 31% 36%
op-10 43% 47% 48% 47% 46% 49%
o of Headcounts 7444 7617 7882 8158 8207 8017
ales Mix-Geography
evenue Concentration %
eadcounts
ales Mix-Verticles
s in Cr, FY10 FY11 FY12 FY13 FY14E FY15E
ales 913.7 1232.25 1576.48 2021.36 2385.41 2863.75
mployee Cost 503.71 601.36 891.12 1115.1 1347.75 1589.38
ther expenses 239.75 393.1 415.26 576.96 667.91 816.17
otal expenses 743.46 994.46 1306.38 1692.06 2015.67 2405.55
BITDA 170.24 237.79 270.1 329.3 369.74 458.20
epreciation 35.81 31.46 36.42 56.69 65.73 73.49
ther Income 7.64 13.6 30.37 22.75 71.56 71.59
BIT 134.43 206.33 233.68 272.61 304.00 384.71
nterest Cost 0 2.22 3.84 1.91 4.89 3.67
rofit (+)/Loss (-) Before Taxes 142.07 217.71 260.21 293.45 370.68 452.64
rovision for Taxes 14.42 32.3 63.75 75.05 105.64 131.26et Profit (+)/Loss (-) 127.65 185.41 196.46 218.4 265.03 321.37
rowth-% (YoY)
ales -6.8% 34.9% 27.9% 28.2% 18.0% 20.1%
BITDA 2.3% 39.7% 13.6% 21.9% 12.3% 23.9%
AT 9.6% 45.2% 6.0% 11.2% 21.4% 21.3%
xpenses on Sales-%
mployee Cost 55.1% 48.8% 56.5% 55.2% 56.5% 55.5%
ther expenses 26.2% 31.9% 26.3% 28.5% 28.0% 28.5%
ax rate 10.1% 14.8% 24.5% 25.6% 28.5% 29.0%
Margin-%
BITDA 18.6% 19.3% 17.1% 16.3% 15.5% 16.0%
BIT 14.7% 16.7% 14.8% 13.5% 12.7% 13.4%
AT 14.0% 15.0% 12.5% 10.8% 11.1% 11.2%
aluation:
MP 170.25 184.65 270.9 262.35 332 332
o of Share 5.88 5.93 5.96 6.02 6.02 6.02
W 579.78 752.11 922.2 1094.12 1350.45 1662.62
PS 21.7 31.3 33.0 36.3 44.0 53.4
VPS 98.6 126.8 154.7 181.7 224.3 276.2
oE-% 22.0% 24.7% 21.3% 20.0% 19.6% 19.3%
/BV 1.7 1.5 1.8 1.4 1.5 1.2
/E 7.8 5.9 8.2 7.2 7.5 6.2
8/13/2019 Narnolia Securities Limited: India Equity Analytics Strategy Tips 17th Dec, 2013
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21
k Disclosure & Disclaimer: This report/message is for the personal information of the authorized recipient and does not construe to be any investment, legal or taxation advice t
rnolia Securities Ltd. (Hereinafter referred as NSL) is not soliciting any action based upon it. This report/message is not for public distribution and has been furnished to you solely fo
ormation and should not be reproduced or redistributed to any other person in any from. The report/message is based upon publicly available information, findings of our research
st wind& information that we consider reliable, but we do not represent that it is accurate or complete and we do not provide any express or implied warranty of any kind, an
se are subject to change without notice. The recipients of this report should rely on their own investigations, should use their own judgment for taking any investment decisions ke
mind that past performance is not necessarily a guide to future performance & that the the value of any investment or income are subject to market and other risks. Further it will b
assume that NSL and /or its Group or associate Companies, their Directors, affiliates and/or employees may have interests/ positions, financial or otherwise, individually or otherw
recommended/mentioned securities/mutual funds/ model funds and other investment products which may be added or disposed including & other mentioned in this report/messa