Industry Multiples in India - Duff & Phelps · 2019-07-22 · Industry Multiples in India -...

F E B R UA RY 2 019 - S I X T H E D I T I O N

Industry Multiples in India

Industry Multiples in India - February 2019 - Sixth Edition


1Duff & Phelps

Foreword

Dear Readers

Wish you a very happy and prosperous new year!

It gives me great pleasure to share the sixth edition of our quarterly report, “Industry

Multiples in India”. This quarter’s report provides trading multiples for various key

industries in India as of December 31, 2018.

Global markets around the world in 2018 have largely been impacted by the trade conflict

between the United States and China, monetary tightening by the U.S. Federal Reserve

(Fed), higher oil prices (though these came down during the last quarter) and geopolitical

snafus like Brexit. Global equity markets posted sharp declines in the quarter ended

December 2018 on persistent concerns over global trade and slowing economic growth.

On the other hand, a divergence was seen in the growth momentum in developed markets

with the U.S. continuing to see steady growth, and EU’s growth momentum starting to

wane. Similarly, China is also witnessing slowdown in GDP growth mainly due to ongoing

trade issues with the U.S. This may also put pressure on China’s trading partners.

Overall, the Indian equity market (S&P BSE 500 Index) has experienced a slight

improvement during this quarter primarily due to sharp decline in crude oil. However, further

upward movement would depend upon oil prices remaining at lower levels and the benefits

of lower oil prices and currency appreciation flowing into corporate earnings.

The P/E multiples of most industries have declined from September 30, 2018 to December

31, 2018. Multiples in financials industry space have improved on account of capital

infusion in public sector banks and improvement in asset quality. Healthcare, Internet and

Software industries experienced a larger decline due to weakening global growth

prospects and U.S. monetary tightening.

Steady Index of Industrial Production (IIP) and PMI data, high credit growth and strong

currency during the month continue to reflect improvement in macro trends. The GDP

growth in the quarter ended September 2018 came in at 7.1% YoY, which was lower than

expectations. However, India continued to be the fastest growing major economy in the

world. While domestic flows have increased in the recent period, the Indian equity markets

are expected to be extremely volatile. This phenomenon can be attributed to the expected

volatility in other global markets including currency markets, and the upcoming Lok Sabha

elections.

Our report details the P/B, P/E, EV/ EBITDA and EV/Sales multiples of companies in the

S&P BSE 500 Index across 22 major industries for which such data is available. We hope

you find this report helpful to get a broad understanding of the trading multiples for major

industries in India. Contact us if you would like to receive further information or wish to

discuss any findings of this analysis.

Varun Gupta

Managing Director and

Asia Pacific Leader for

Valuation Advisory Services


2

1 Foreword

Industry Multiples

4 Consumer Discretionary: Apparel

6 Consumer Discretionary: Auto Parts and Equipment

8 Consumer Discretionary: Household Appliances

10 Electric and Gas Utilities

12 Energy

14 Financials: Banks

16 Financials: Consumer Finance

18 Financials: Specialized Finance

20 Household and Personal Products

22 Industrial Machinery

24 Internet Services and Infrastructure

26 Application Software

28 Materials: Chemicals

30 Materials: Construction and Material

32 Materials: Metals and Mining

34 Pharmaceuticals and Biotechnology

36 Real Estate

38 Other Industries

40 Industry Definitions

42 Contributors

Contents

Duff & Phelps


3Duff & Phelps Duff & Phelps

Industry EV/Sales EV/EBITDA P/E P/B

Consumer Discretionary : Apparel 2.3 20.1 44.5 4.3

Consumer Discretionary : Auto Parts and Equipment 1.7 12.9 25.1 4.4

Consumer Discretionary : Household Appliances 2.7 25.3 45.7 8.5

Electric and Gas Utilities 2.2 9.9 15.1 1.9

Energy Industry 0.8 5.6 7.6 1.2

Household and Personal Products 4.6 24.5 32.3 7.1

Industrial Machinery Industry 2.6 20.6 33.1 4.5

Internet Services and Infrastructure 2.1 12.9 17.9 4.0

Application Software 1.7 11.4 18.1 3.0

Materials : Chemicals 2.5 14.2 22.2 3.5

Materials : Construction Materials 1.8 10.9 27.6 3.1

Materials : Metals and Mining 1.0 6.2 9.1 1.3

Healthcare: Pharmaceuticals and Biotechnology 3.7 15.7 23.8 3.5

Real Estate 6.6 14.3 18.5 2.0

Automobile Manufacturers Industry 1.9 11.6 22.0 5.2

Media Industry 2.9 11.5 19.9 3.3

Healthcare Facilities and Services Industry 2.3 20.5 30.2 3.8

Independent Power and Renewable Electricity Producers Industry 2.9 9.3 8.6 0.8

IndustryMarket Cap/

RevenueP/TBV P/E P/B

Financials : Banks 4.6 0.6 18.1 0.6

Financials: Consumer Finance 5.2 2.1 18.1 2.2

Financials : Specialized Finance 5.5 1.5 10.2 1.5

Other Diversified Financial Services 2.9 3.0 20.4 2.5

Summary

A S O F D E C E M B E R 31 , 2 0 18

4Duff & Phelps

Consumer Discretionary: Apparel

EV/Sales EV/EBITDA P/E P/B

Number of Observations 21 21 21 21

Number of Outliers 4 1 3 1

Negative Multiples 0 0 0 0

High 5.7x 57.3x 68.4x 16.2x

Mean 2.9x 23.8x 40.3x 6.5x

Median 2.3x 20.1x 44.5x 4.3x

Low 1.2x 3.8x 10.6x 1.1x

Low Quartile 1.4x 8.4x 14.4x 2.5x

Upper Quartile 4.2x 36.9x 64.0x 10.7x

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

1

2

7

8

6

4

5

3

9

4.9 - 5.84.0 - 4.93.0 - 4.02.1 - 3.01.2 - 2.1

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 1.0 2.0 3.0 4.0 5.0 6.0 7.0

10%

20%

30%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 30.020.0 40.0 50.0 60.00%

5%

10%

15%

20%

25%

30%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

10

8

6

4

2

50.4 - 62.038.7 - 50.427.1 - 38.715.5 - 27.13.8 - 15.5


A S O F D E C E M B E R 31 , 2 0 18

5Duff & Phelps

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

1

2

3

4

5

6

56.7 - 68.4 45.1 - 56.7 33.4 - 45.1 21.8 - 33.4 10.1 - 21.8

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

6

4

2

10

8

12

13.2 - 16.310.2 - 13.27.1 - 10.24.1 - 7.11.0 - 4.1

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

8.0

2.0

1.0

4.0

5.0

6.0

7.0

3.0

0

60.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E

P/B EV/Sales P/E EV/EBITDA

10.0

20.0

30.0

40.0

50.0

An industry must have a minimum of five company participants to be considered for analysis. For all reported multiples in India, we have considered all the S&P BSE 500 Index constituents. The S&P BSE 500 Index is comprised of the top 500 companies based on Float Adjusted Market Capitalization that are publicly-traded on the Bombay Stock Exchange (BSE). The S&P BSE 500 is designed to be a broad representation of the Indian market.

Any outliers including negative multiples in the industry have been excluded from the above analysis.

EV = Enterprise Value = Market value of equity on diluted basis plus book value of debt plus preferred stock less cash and cash equivalents, Sales = Revenue for latest 12 months, EBITDA = Earnings before interest, taxes, depreciation and amortization for latest 12 months, P/E = Share price divided by earnings per share on a diluted basis, P/B = Share price / book value per share on a diluted basis where book value per share equals total book value of equity divided by diluted number of shares. Return on equity = Net income / shareholder’s equity. Adjusted ROE is calculated as follows: ROE x (1-dividend payout ratio), Market value of equity is computed using diluted number of shares.

Financial information of companies reflect the latest available information based on company filings as of December 31, 2018.

Source: Data derived from Standard & Poor’s Capital IQ database.

Consumer Discretionary: Apparel – Continued


6Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Consumer Discretionary: Auto Parts and Equipment

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

4

6

5

3

2

1

8

9

7

10

4.2 - 5.0 3.3 - 4.22.5 - 3.31.6 - 2.5 0.8 - 1.6

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

1.0 2.0 3.0 4.0 5.0 6.0

5%

10%

15%

20%

25%

30%

0

AD

JUS

TED

RO

E (%

)

EV/EBITDA

0 10.0 15.05.0 25.020.0 30.00%

5%

10%

15%

20%

25%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

10

8

4

6

2

26.2 - 30.821.6 - 26.217.0 - 21.612.4 - 17.07.8 - 12.4





High 4.9x 26.8x 43.7x 7.8x

Mean 2.1x 13.6x 26.7x 4.2x

Median 1.7x 12.9x 25.1x 4.4x

Low 0.8x 6.7x 8.6x 1.1x



7Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Consumer Discretionary: Auto Parts and Equipment – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

4

3

2

1

5

6

7

36.9 - 44.229.6 - 36.922.2 - 29.6 14.9 - 22.2 7.6 - 14.9

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

4

6

2

8

6.4 - 7.85.1 - 6.43.7 - 5.12.3 - 3.71.0 - 2.3

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

2.0

3.0

6.0

4.0

7.0

8.0

1.0

5.0

0

40.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


10.0

5.0

15.0

20.0

25.0

30.0

35.0





Source: Data derived from Standard & Poor’s Capital IQ database


8Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Consumer Discretionary: Household Appliances

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

1

2

3

3.9 - 4.63.3 - 3.92.6 - 3.3 2.0 - 2.61.3 - 2.0

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 1.0 2.0 3.0 4.0 5.0

5%

10%

15%

20%

25%

30%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.05.0 25.020.0 30.0 35.0 40.00%

5%

10%

15%

20%

25%

30%

35%

40%

45%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

3

2

1

31.5 - 34.328.8 - 31.5 26.0 - 28.8 23.2 - 26.0 20.5 - 23.2





High 4.6x 34.3x 61.5x 16.8x

Mean 2.7x 26.1x 47.3x 9.5x

Median 2.7x 26.3x 45.7x 8.5x

Low 1.3x 20.5x 32.8x 5.5x




9Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Consumer Discretionary: Household Appliances – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

3

2

1

4

55.7 - 61.6 49.9 - 55.7 44.0 - 49.9 38.2 - 44.032.3 - 38.2

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

2

3

1

4

14.5 - 16.8 12.2 - 14.510.0 - 12.27.7 - 10.05.4 - 7.7

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

14.0

4.0

2.0

12.0

8.0

10.0

6.0

0

70.0

60.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

10.0

30.0

40.0

50.0






10Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Electric and Gas Utilities

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

3

2

1

4

5

7.3 - 9.15.6 - 7.33.8 - 5.62.0 - 3.80.3 - 2.0

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 1.0 3.02.0 4.0 6.0 7.0 8.0 9.05.0 10.0

20%

10%

30%

40%

60%

50%

70%

80%

100%

90%

AD

JUS

TED

RO

E (%

)

EV/EBITDA

0 8.0 12.04.02.0 6.0 10.0 14.0 16.0 18.00%

5%

10%

15%

20%

25%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

5

2

3

4

1

13.0 - 15.510.6 - 13.08.1 - 10.65.6 - 8.13.1 - 5.6





High 9.0x 15.4x 31.6x 5.1x

Mean 3.4x 9.4x 16.2x 2.5x

Median 2.3x 9.9x 15.1x 1.9x

Low 0.8x 3.1x 5.6x 0.3x



11Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Electric and Gas Utilities – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

3

4

2

1

5

25.6 - 31.6 19.6 - 25.613.6 - 19.67.6 - 13.61.6 - 7.6

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

6.0

2.0

1.0

4.0

5.0

3.0

0

30.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


10.0

5.0

15.0

20.0

25.0






NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

2

3

1

4

4.2 - 5.23.2 - 4.22.2 - 3.21.2 - 2.20.2 - 1.2


12Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Energy

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

3

2

1

4

5

6

2.2 - 2.71.7 - 2.21.2 - 1.70.7 - 1.20.2 - 0.7

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 1.00.5 2.01.5 2.5 3.0

5%

10%

15%

25%

20%

30%

35%

40%

45%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 4.0 6.02.0 8.0 10.0 12.00%

10%

5%

15%

20%

25%

30%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

6

4

2

8.8 - 10.27.5 - 8.86.1 - 7.54.8 - 6.13.4 - 4.8





High 2.7x 10.2x 17.2x 5.4x

Mean 0.9x 6.2x 8.0x 1.7x

Median 0.8x 6.1x 7.6x 1.2x

Low 0.2x 3.4x 0.0x 0.7x




13Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Energy – Continued






NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

3

2

1

4

13.7 - 17.2 10.1 - 13.76.6 - 10.13.0 - 6.6-0.5 - 3.0

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

4

6

2

8

4.5 - 5.5 3.5 - 4.52.5 - 3.51.5 - 2.50.6 - 1.5

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

2.5

1.0

0.5

2.0

1.5

0

18.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


6.0

2.0

4.0

8.0

10.0

12.0

14.0

16.0

14Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


14Duff & Phelps

Financials: Banks

P/B P/E P/TBV Market

Cap/Revenue




High 6.3x 38.2x 6.3x 15.0x

Mean 1.4x 20.0x 1.4x 5.4x

Median 0.6x 18.1x 0.6x 4.6x

Low 0.2x 7.1x 0.2x 1.0x



P/BV

AD

JUS

TED

RO

E (

%)

-50%

20%

-30%

-40%

-20%

-10%

7.01.0 2.0 3.0 4.0 5.0 6.00%

10%

AD

JUS

TED

RO

E (%

)

P/E

0 15.0 20.010.05.0 25.0 30.0 35.0 40.0 45.00%

4%

2%

6%

8%

10%

12%

14%

16%

18%

NU

MB

ER

OF

CO

MPA

NIE

S

P/BV

0

14

16

8

10

12

2

4

6

18

20

22

3.7 - 4.6 2.7 - 3.71.8 - 2.70.9- 1.80.0 - 0.9

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

4

2

6

30.6 - 38.222.9 - 30.615.3 - 22.97.6 - 15.30 - 7.6

15Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Financials: Banks – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/TBV

0

18

20

24

22

16

12

14

10

6

8

2

26

5.1 - 6.4 3.8 - 5.1 2.6 - 3.8 1.3 - 2.6 0 - 1.3

4N

UM

BE

R O

F C

OM

PAN

IES

Market Cap/Revenue

0

6

8

2

10

0.0 - 3.0 3.0 - 6.0 9.0 - 12.0 12.0- 15.0 15.0 - 18.0

4

6.0 - 9.0

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

0.2

0.4

1.8

1.6

1.4

1.2

1.0

0.8

0.6

2.0

0

25.0

Median multiples

P/B

P/E

& M

arke

tCap

/Rev

enue

5.0

10.0

15.0

20.0

P/B Market Cap/Revenue P/E






A S O F D E C E M B E R 31 , 2 0 18

16Duff & Phelps

Financials: Consumer Finance


Cap/Revenue




High 8.8x 52.6x 6.2x 14.5x

Mean 3.1x 23.3x 2.7x 6.2x

Median 2.2x 16.1x 2.1x 5.2x

Low 1.1x 10.2x 1.1x 1.9x



P/BV

AD

JUS

TED

RO

E (

%)

0%

25%

15%

5%

10%

20%

0 2.0 4.0 8.06.0 10.0

P/E

AD

JUS

TED

RO

E (

%)

0%

25%

15%

5%

10%

20%

0 20.010.0 40.030.0 50.0 60.0

NU

MB

ER

OF

CO

MPA

NIE

S

P/BV

0

2

4

6

4.5 - 5.63.3 - 4.52.2 - 3.31.1 - 2.20.0 - 1.1

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

2

4

6

8

42.2 - 52.8 31.7 - 42.2 21.1 - 31.710.6 - 21.10.0 - 10.6


A S O F D E C E M B E R 31 , 2 0 18

17Duff & Phelps

Financials: Consumer Finance – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/TBV

0

6

8

2

10

5.0 - 6.33.8 - 5.02.5 - 3.81.3 - 2.50.0 - 1.3

4

NU

MB

ER

OF

CO

MPA

NIE

S

Market Cap/Revenue

0

2

6

11.6 - 14.58.7 - 11.65.8 - 8.72.9 - 5.80 - 2.9

4

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

3.5

0.5

1.0

3.0

2.5

2.0

1.5

0

35.0

30.0

Median multiples

P/B

P/E

& M

arke

tCap

/Rev

enue

5.0

10.0

15.0

20.0

25.0








18Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Financials: Specialized Finance


Cap/Revenue




High 5.0x 19.9x 5.1x 10.6x

Mean 1.9x 10.3x 1.9x 5.3x

Median 1.5x 10.2x 1.5x 5.5x

Low 0.4x 4.8x 0.5x 1.9x



P/BV

AD

JUS

TED

RO

E (

%)

0%

30%

15%

5%

10%

20%

25%

0 2.01.0 4.03.0 5.0 6.0

P/E

AD

JUS

TED

RO

E (

%)

0%

30%

15%

5%

10%

20%

25%

0 10.05.0 20.015.0 25.0

NU

MB

ER

OF

CO

MPA

NIE

S

P/BV

0

2

4

6

4.3 - 5.12.6 - 3.4 3.4 - 4.31.7 - 2.60.9 - 1.70.0 - 0.9

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

4

2

6

16.0 - 20.0 12.0 - 16.08.0 - 12.04.0 - 8.00.0 - 4.0

19Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Financials: Specialized Finance – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/TBV

0

2

6

4.1 - 5.13.1 - 4.12.0 - 3.1 1.0 - 2.0 0 - 1.0

4

NU

MB

ER

OF

CO

MPA

NIE

S

Market Cap/Revenue

0

1

6

8.5 - 10.6 6.4 - 8.5 4.2 - 6.4 2.1 - 4.2 0 - 2.1

3

4

5

2

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

4.0

0.5

1.0

3.5

3.0

2.5

2.0

1.5

0

25.0

Median multiples

P/B

P/E

& M

arke

tCap

/Rev

enue

5.0

10.0

15.0

20.0








20Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Household and Personal Products

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

8

6

4

2

10

12

14

10.0 - 12.27.7 - 10.05.5 - 7.73.2 - 5.5 1.0 - 3.2

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 4.02.0 6.0 8.0 10.0 12.0 14.0

5%

10%

15%

25%

20%

30%

35%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 20.0 30.010.0 40.0 50.0 60.00%

20%

10%

30%

40%

50%

60%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

10

4

6

8

2

41.4 - 50.432.3- 41.423.3- 32.314.2 - 23.35.2 - 14.2





High 12.2x 50.3x 79.3x 28.8x

Mean 5.2x 25.0x 35.4x 8.8x

Median 4.6x 24.5x 32.3x 7.1x

Low 1.0x 5.2x 0.0x 0.8x




21Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Household and Personal Products – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

5

6

8

4

1

2

3

7

9

63.9 - 80.047.8 - 63.931.7 - 47.815.6 - 31.7-0.5 - 15.6

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

10

4

2

8

14

23.3 - 28.917.6 - 23.312.0 - 17.66.3 - 12.00.7 - 6.3

6

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

14.0

4.0

2.0

10.0

8.0

12.0

6.0

0

60.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


40.0

10.0

20.0

30.0

50.0






22Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Industrial Machinery

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

3

2

1

4

4.4 - 5.33.5 - 4.4 2.7 - 3.51.8 - 2.70.9 - 1.8

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 1.0 2.0 4.0 5.03.0 6.0

5%

10%

15%

20%

25%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.05.0 20.0 25.0 30.00%

6%

4%

2%

8%

10%

12%

14%

16%

18%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

4

2

3

1

23.9 - 27.220.6 - 23.917.3 - 20.6 14.0 - 17.310.7 - 14.0





High 5.3x 27.2x 48.6x 6.9x

Mean 2.8x 19.9x 34.8x 4.3x

Median 2.6x 20.6x 33.1x 4.5x

Low 0.9x 10.7x 23.6x 0.0x



23Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Industrial Machinery – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

3

4

2

1

5

43.6 - 48.638.6 - 43.633.6 - 38.6 28.6 - 33.623.6 - 28.6

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

2

4

6

5.6 - 7.0 4.2 - 5.62.8 - 4.21.4 - 2.80.0 - 1.4

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

7.0

4.0

2.0

3.0

5.0

6.0

1.0

0

45.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

5.0

10.0

15.0

25.0

30.0

35.0

40.0







24Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Internet Services and Infrastructure

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

4

5

3

1

2

6

4.1 - 4.83.3 - 4.12.6 - 3.31.8 - 2.61.1 - 1.8

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 2.01.0 3.0 4.0 5.0 6.0

5%

15%

25%

20%

10%

30%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.05.0 20.0 25.0 30.00%

15%

10%

5%

20%

25%

30%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

6

4

5

3

2

1

20.9 - 24.417.5 - 20.914.0 - 17.510.6 - 14.07.1 - 10.6





High 4.8x 24.3x 34.4x 8.7x

Mean 2.5x 13.8x 19.0x 4.5x

Median 2.1x 12.9x 17.9x 4.0x

Low 1.1x 7.1x 8.7x 1.4x




25Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Internet Services and Infrastructure – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

3

2

1

5

6

7

8

29.2 - 34.423.9 - 29.218.7 - 23.9 13.4 - 18.78.2 - 13.4

4

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

4

5

3

1

2

6

7.2 - 8.75.7 - 7.24.2 - 5.72.8 - 4.21.3 - 2.8

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

5.0

3.0

1.5

2.5

3.5

4.0

4.5

0.5

1.0

2.0

0

25.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


5.0

10.0

15.0






Note - As per recent changes in the GICS structure, Internet Software and Services industry has been re-classified into two sub-industries. The sub-industries are now called “Internet Services and Infrastructure” industry and “Application Software” industry. All the historic multiples reflect the information of companies forming part of the new definition of the industry.


26Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Application Software

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

4

5

3

1

2

6

5.2 - 6.34.2 - 5.23.1 - 4.22.0 - 3.11.0 - 2.0

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 2.01.0 3.0 4.0 5.0 6.0 7.0

5%

15%

25%

35%

30%

40%

20%

10%

45%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 4.0 8.02.0 12.0 14.0 16.010.06.0 18.00%

15%

10%

5%

20%

25%

35%

30%

40%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

4

2

13.7 - 15.5 11.8 - 13.710.0 - 11.88.2 - 10.06.4 - 8.2





High 6.2x 15.4x 26.1x 7.9x

Mean 2.4x 11.5x 18.9x 3.9x

Median 1.7x 11.4x 18.1x 3.0x

Low 1.0x 6.4x 10.3x 1.3x




27Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Application Software – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

6

4

2

8

22.9 - 26.219.7 - 22.916.4 - 19.713.1 - 16.49.8 - 13.1

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

2

4

6

6.6 - 7.95.2 - 6.63.9 - 5.2 2.6 - 3.91.2 - 2.6

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

4.0

3.0

1.5

2.5

3.5

0.5

1.0

2.0

0

30.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

25.0

5.0

10.0

15.0






Note - As per recent changes in the GICS structure, Internet Software and Services industry has been re-classified into two sub-industries. The sub-industries are now called “Internet Services and Infrastructure” industry and “Application Software” industry. All the historic multiples reflect the information of companies forming part of the new definition of the industry.

28Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Materials: Chemicals

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

20

15

5

10

25

9.1 - 10.85.7 - 7.4 7.4 - 9.14.0 - 5.7 2.3 - 4.0 0.6 - 2.3

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 2.01.0 3.0 4.0 5.0 7.0 8.0 9.06.0 10.0

30%

40%

50%

20%

10%

60%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.05.0 20.0 30.0 35.025.0 40.00%

15%

10%

5%

20%

25%

30%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

18

12

14

16

10

6

8

4

2

32.4 - 39.625.3 - 32.418.1 - 25.310.9 - 18.13.8 - 10.9





High 9.1x 39.5x 65.9x 14.4x

Mean 2.9x 16.7x 27.3x 4.9x

Median 2.5x 14.2x 22.2x 3.5x

Low 0.6x 3.8x 4.4x 0.6x

Low Quartile 1.3x 9.7x 14.8 2.0x


29Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Materials: Chemicals – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

6

4

2

12

20

16

18

14

10

8

53.5 - 65.941.1 - 53.528.7 - 41.116.3 - 28.73.9 - 16.3

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

8

12

16

18

24

4

28

11.7 - 15.58.9 - 11.7 6.1 - 8.9 3.3 - 6.10.5 - 3.3

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

6.0

3.0

1.0

2.0

4.0

5.0

0

35.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


25.0

20.0

30.0

5.0

10.0

15.0







30Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Materials: Construction Materials

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

4

2

12

6

8

10

5.1 - 6.24.0 - 5.12.9 - 4.0 1.8 - 2.90.7 - 1.8

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 2.01.0 3.0 6.05.04.0 7.0

5%

15%

25%

20%

10%

30%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.05.0 20.0 25.0 30.0-0%

18%

8%

10%

4%

6%

2%

12%

14%

16%

20%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

6

4

2

20.4 - 24.2 16.6 - 20.4 12.9 - 16.69.1 - 12.95.3 - 9.1





High 6.2x 24.1x 62.8x 6.7x

Mean 2.2x 12.2x 34.5x 3.0x

Median 1.8x 10.9x 27.6x 3.1x

Low 0.7x 5.3x 13.4x 0.6x




31Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Materials: Construction Materials – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

6

4

2

8

51.9 - 62.841.0 - 51.930.2 - 41.019.3 - 30.28.4 - 19.3

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

2

4

6

5.5 - 6.8 4.3 - 5.53.0 - 4.31.7 - 3.00.5 - 1.7

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

4.0

1.5

3.0

2.5

3.5

0.5

1.0

2.0

0

50.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

40.0

30.0

10.0






32Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Materials:Metals and Mining

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

4

6

7

8

3

1

2

9

5

4.2 - 5.23.1 - 4.22.1 - 3.1 1.0 - 2.1 0.0 - 1.0

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 2.01.0 3.0 4.0 6.05.0

10%

30%

50%

40%

20%

60%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 8.0 10.06.0 12.04.02.0 14.0 16.0 18.00%

10%

5%

35%

40%

25%

30%

15%

20%

45%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

12

4

6

8

10

2

13.8 - 16.9 10.7 - 13.8 7.6 - 10.74.5 - 7.61.4 - 4.5





High 5.2x 16.9x 29.1x 4.9x

Mean 1.6x 7.6x 11.4x 1.9x

Median 1.0x 6.2x 9.1x 1.3x

Low 0.5x 2.4x 3.3x 0.5x



33Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Materials:Metals and Mining – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

3

2

1

6

5

4

23.8 - 29.118.6 - 23.813.3 - 18.68.1 - 13.32.8 - 8.1

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

6

8

10

2

4

12

4.0 - 4.93.1 - 4.02.2- 3.11.3 - 2.20.4 - 1.3

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

2.5

1.5

0.5

1.0

2.0

0

25.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

5.0

10.0

15.0







34Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Pharmaceuticals and Biotechnology

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

8

12

10

6

2

4

14

8.6 - 10.36.8 - 8.65.1 - 6.83.3 - 5.11.6 - 3.3

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 4.02.0 6.0 8.0 10.0 12.0

30%

40%

50%

20%

10%

60%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.05.0 20.0 25.0 30.00%

20%

10%

5%

30%

35%

25%

15%

40%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

10

4

6

8

2

24.3 - 28.320.4 - 24.316.4 - 20.412.4 - 16.48.5 - 12.4





High 10.2x 28.2x 47.7x 9.0x

Mean 4.2x 16.8x 26.9x 4.0x

Median 3.7x 15.7x 23.8x 3.5x

Low 1.6x 8.5x 9.5x 1.6x




35Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

Pharmaceuticals and Biotechnology – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

6

8

4

2

10

38.5 - 47.729.2 - 38.520.0 - 29.210.8 - 20.01.5 - 10.8

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

6

8

10

2

4

12

7.6 - 9.16.1 - 7.64.5 - 6.13.0 - 4.51.5 - 3.0

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

5.0

3.0

1.0

2.0

4.0

0

40.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

25.0

30.0

35.0

5.0

10.0

15.0






36Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Real Estate

NU

MB

ER

OF

CO

MPA

NIE

S

EV/Sales

0

1

2

3

4

5

7.1 - 8.75.4 - 7.13.8 - 5.42.2 - 3.80.5 - 2.2

0%

EB

ITD

A M

AR

GIN

(%)

EV/Sales

0 2.01.0 3.0 4.0 5.0 6.0 8.0 9.07.0 10.0

10%

30%

40%

60%

70%

50%

20%

80%A

DJU

STE

D R

OE

(%)

EV/EBITDA

0 10.0 15.0 20.0 30.05.0 25.0 35.00%

10%

5%

30%

40%

45%

35%

25%

15%

20%

50%N

UM

BE

R O

F C

OM

PAN

IES

EV/EBITDA

0

6

4

2

27.3 - 33.221.3 - 27.315.4 - 21.39.5 - 15.43.5 - 9.5





High 8.6x 33.2x 30.9x 3.0x

Mean 5.3x 16.8x 16.9x 1.8x

Median 6.6x 14.3x 18.5x 2.0x

Low 1.5x 3.5x 2.0x 0.9x



37Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18


Real Estate – Continued

NU

MB

ER

OF

CO

MPA

NIE

S

P/E

0

2

3

1

4

25.1 - 31.019.2 - 25.113.3 - 19.27.4 - 13.31.5 - 7.4

NU

MB

ER

OF

CO

MPA

NIE

S

P/B

0

2

4

6

2.6 - 3.12.2 - 2.61.7 - 2.21.3 - 1.70.8 - 1.3

0

– Q8 – Q7 – Q6 – Q5 – Q4 – Q3 – Q2 – Q1 12/31/2018

9.0

3.0

1.0

2.0

4.0

6.0

5.0

7.0

8.0

0

40.0

Median multiples

P/B

& E

V/S

ALE

S

EV

/EB

ITD

A &

P/E


20.0

25.0

30.0

35.0

5.0

10.0

15.0






38Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18

MediaA S O F D E C E M B E R 31 , 2 0 18

Healthcare Facilities and ServicesA S O F S E P T E M B E R 3 0 , 2 0 18

An industry must have a minimum of 5 company participants to be considered for analysis. For all reported multiples in India, we have considered all of the S&P BSE 500 Index constituents. The S&P BSE 500 Index is comprised of the top 500 companies based on float adjusted market capitalization that are publicly-traded on the Bombay Stock Exchange (BSE). The S&P BSE 500 is designed to be a broad representation of the Indian market. Source: Data derived from Standard & Poor’s Capital IQ database. Any outliers including negative multiples in the industry have been excluded from above analysis.

EV = Enterprise Value = Market value of equity on diluted basis plus book value of debt plus preferred stock less cash and cash equivalents, Sales = Revenue for latest 12 months, EBITDA = Earnings before interest, taxes, depreciation and amortization for latest 12 months, P/E = Share price divided by earnings per share on a diluted basis, P/B = Share price/book value per share on a diluted basis where book value per share equals total book value of equity divided by diluted number of shares, ROE (Return on Equity) = Net income/equity shareholder’s equity, Adjusted ROE is calculated using as ROE x (1-dividend payout ratio), Market value of equity is computed using diluted number of shares.

Financial information of companies reflect the latest available information based on company filings as of Decemner 31, 2018.





High 2.8x 20.5x 41.6x 9.5x

Mean 1.7x 12.9x 24.4x 5.7x

Median 1.9x 11.6x 22.0x 5.2x

Low 0.2x 2.9x 15.3x 2.4x







High 7.5x 18.7x 30.3x 5.6x

Mean 4.1x 11.6x 17.5x 3.4x

Median 2.9x 11.5x 19.9x 3.3x

Low 1.4x 0.0x 0.0x 0.9x







High 7.2x 26.4x 39.1x 8.6x

Mean 3.3x 20.9x 29.9x 4.1x

Median 2.3x 20.5x 30.2x 3.8x

Low 1.4x 14.9x 20.4x 1.4x



Other IndustriesAutomobile Manufacturers


39Duff & Phelps

A S O F D E C E M B E R 31 , 2 0 18EV/Sales EV/EBITDA P/E P/B




High 5.8x 10.8x 11.6x 1.2x

Mean 3.0x 8.9x 8.8x 0.8x

Median 2.9x 9.3x 8.6x 0.8x

Low 0.8x 5.3x 5.5x 0.3x



Other Diversified Financial ServicesA S O F D E C E M B E R 31 , 2 0 18






P/B P/E P/TBV Market Cap/Revenue




High 17.5x 33.6x 15.2x 10.6x

Mean 4.7x 20.1x 4.6x 4.3x

Median 2.5x 19.6x 3.0x 2.9x

Low 0.5x 2.3x 0.5x 0.2x



Other Industries – ContinuedIndependent Power and Renewable Electricity Producers


Industry Definitions

40Duff & Phelps

The industry classification for the companies represented in this report is based on the 2017 Global Industry Classification

Standard®(GICS®). Below represents a brief description of sub-industries which are forming part of a particular industry based

on the 2017 GICS® guidelines.

Our analysis reflects the recent changes to the GICS structure by MSCI, effective from September 28, 2018.

Consumer Discretionary

Auto Parts & Equipment Companies that manufacture parts and accessories for automobiles and motorcycles including and tires and rubber.

Automobile Manufacturers Companies that produce mainly passenger automobiles and light trucks. Also includes companies produce motorcycles, scooters or three-wheelers.

Media Erstwhile Broadcasting, Cable and Satellite Industry.

Owners and operators of television or radio broadcasting systems, including programming including radio and television, broadcasting, radio networks, and radio stations. Providers of cable or satellite television and satellite radio services. Includes cable networks and program distribution.

Apparel Manufacturers of apparel, accessories and luxury goods. Includes companies primarily producing designer handbags, wallets, luggage, jewelry and watches and manufacturers of textile and related products

Household Appliances Manufacturers of electric household appliances and related products. Includes manufacturers of power and hand tools, including garden improvement tools but excludes TVs and other audio and video products

Financial Services

Banks Commercial diverse with a national footprint whose revenues are derived primarily from conventional banking operations, have significant business activity in retail banking and small and medium corporate lending, and provide a diverse range of financial services. This also includes regional banks that tend to operate in limited geographic regions.

Consumer Finance Providers of consumer finance services, including personal credit, credit cards, lease financing, travel-related money services and pawn shops.

Other Diversified Financial Services

Financial exchanges for securities, commodities, derivatives and other financial instruments, and providers of financial decision support tools and products including ratings agencies. Providers of a diverse range of financial services and/or with some interest in a wide range of financial services including banking, insurance and capital markets, but with no dominant business line.

Specialized Finance Providers of specialized financial services not classified elsewhere. Companies in this sub-industry derive a majority of revenue from one specialized line of business. Includes, but not limited to, commercial financing companies, central banks, leasing institutions, factoring services, and specialty boutiques. Financial institutions providing mortgage and mortgage related services. These include financial institutions whose assets are primarily mortgage related, savings & loans, mortgage lending institutions, building societies and companies providing insurance to mortgage banks

Healthcare

Healthcare Facilities and Services

Owners and operators of health care facilities, including hospitals, nursing homes, rehabilitation and retirement centers and animal hospitals. Providers of patient health care services not classified elsewhere. Includes dialysis centers, lab testing services, and pharmacy management services. Also includes companies providing business support services to health care providers, such as clerical support services, collection agency services, staffing services and outsourced sales & marketing services.

Pharmaceuticals and Biotechnology

Companies engaged in the research, development or production of pharmaceuticals. Includes veterinary drugs. Companies primarily engaged in the research, development, manufacturing and/or marketing of products based on genetic analysis and genetic engineering. Includes companies specializing in protein-based therapeutics to treat human diseases.

Global Industry Classification Standard® (GICS®) was developed by S&P Dow Jones Indices, an independent international financial data and investment services company and a leading provider of global equity indices, and MSCI, a premier independent provider of global indices and benchmark-related products and services

Industry Multiples in India - February 2019 - Fifth Edition

Industry Definitions — Continued

41Duff & Phelps

Materials

Chemicals Companies that primarily produce industrial chemicals and basic chemicals. Including but not limited to plastics, synthetic fibers, films, commodity-based paints and pigments, explosives and petrochemicals. Producers of fertilizers, pesticides, potash or other agriculture-related chemicals including industrial gases and other diversified range of chemical products.

Construction Material Manufacturers of construction materials including sand, clay, gypsum, lime, aggregates, cement, concrete and bricks.

Metals and Mining Producers of aluminum and related products, including companies that mine or process bauxite and companies that recycle aluminum to produce finished or semi-finished products. Companies engaged in copper ore mining, production of iron and steel and related products, including metallurgical (coking) coal mining used for steel production and having other diversified mining operations but excluding gold, silver and other precious metals.

Utilities

Electric & Gas Utilities Companies that produce or distribute electricity including both nuclear and non-nuclear facilities. Also, includes companies whose main charter is to distribute and transmit natural and manufactured gas.

Independent Power and Renewable Electricity Producers

Companies that operate as Independent Power Producers (IPPs), Gas & Power Marketing & Trading Specialists and/or Integrated Energy Merchants. Companies that engage in generation and distribution of electricity using renewable sources, including, but not limited to, companies that produce electricity using biomass, geothermal energy, solar energy, hydropower, and wind power.

All Other Industries

Energy Companies primarily involved in the production and mining of coal, related products and other consumable fuels related to the generation of energy. Companies engaged in the exploration and production of oil and gas. Companies engaged in the refining and marketing of oil, gas and/or refined products

Household and Personal Products

Producers of packaged foods including dairy products, fruit juices, meats, poultry, fish and pet foods. Producers of non-durable household products, including detergents, soaps, diapers and other tissue and household paper products. Manufacturers of personal and beauty care products, including cosmetics and perfumes.

Industrial Machinery Manufacturers of industrial machinery and industrial components. Includes companies that manufacture presses, machine tools, compressors, pollution control equipment, elevators, escalators, insulators, pumps, roller bearings and other metal fabrications.

*Internet Services and Infrastructure Erstwhile was part of Internet Software & Services Industry

Companies providing services and infrastructure for the internet industry including data centers and cloud networking and storage infrastructure. Also includes companies providing web hosting services. Excludes companies classified in the Software Industry.

*Application Software Erstwhile was part of Internet Software & Services Industry

Companies engaged in developing and producing software designed for specialized applications for the business or consumer market. Includes enterprise and technical software, as well as cloud-based software. Excludes companies classified in the Interactive Home Entertainment Sub-Industry. Also excludes companies producing systems or database management software classified in the Systems Software Sub-Industry.

Real Estate Companies that develop real estate and sell the properties after development and also engaged in diverse spectrum of real estate activities including real estate development & sales, real estate management or real estate services, but with no dominant business line.


Contributors

42Duff & Phelps

Varun Gupta is the Country Managing Director for Duff & Phelps India. He set up the firm’soperations in India and is responsible for its overall growth and strategic direction. He is alsothe APAC Leader for Valuation Services for the firm. Varun has over 20 years of experience in valuation and financial advisory services. He has advised clients across a wide range of industries including IT/ ITES, energy (conventional as well as renewable), pharma and life sciences, infrastructure, internet and eCommerce, telecom, sports, and media and entertainment. His prior experience includes stints with the valuation and financial advisory arms of Deloitte and PricewaterhouseCoopers.He is a regular and sought-after speaker on the valuation of trademarks, intangible assets,early stage companies and eCommerce companies and has spoken at forums organized byASSOCHAM, ICAI, INTA, IVCA, VCCircle and other similar bodies. He is also regularlyquoted by the financial press on evolving issues related to valuation of brands, celebritiesand sports franchises.

Abhishek is a managing director in the Mumbai office and part of the national managementin India. He is responsible for overseeing key engagements, relationships and strategicinitiatives for the Indian operations. He has more than a decade of experience in managing a range of financial advisory engagements across various industries. He has provided financial advisory services to clients for a number of purposes including, mergers and acquisitions, restructuring, negotiations, valuation settlement of disputes, accounting and tax reporting, and strategic assessment. Abhishek has been speaker at conferences organized by forums such as ASSOCHAM and VC Circle on valuation and M&A related topics. Abhishek’s prior work experience includes stints with the corporate finance and advisory divisions of Deloitte and Grant Thornton. At Deloitte he was part of the Industrial M&A team. Abhishek holds a Master of Business Administration degree from INSEAD (France).

Santosh is a Managing Director at Duff & Phelps and is based in Bangalore. Santosh is apart of national management of the India office. He is responsible for overseeing keyengagements, relationships and strategic initiatives for the Indian operations. Santosh has more than 15 years of experience in valuation and financial advisory services.In the last 15 years, Santosh has managed and has provided a range of financial advisoryservices including due diligence, valuation, IFRS and US GAAP assignments, business planreview, M&A, internal audit, accounting assistance and risk advisory services.He previously led the Financial Instrument Valuation practice at American Appraisal (AA)India earlier and used to chair the global Complex Financial Instruments Valuationcommittee in AA. In his earlier stints, he was South India Valuation leader in Deloitte andwas part of the founding team in Grant Thornton Bangalore.He has been a speaker at several seminars and workshops, including those organized bythe Institute of Chartered Accountants of India (ICAI). He was an International Keynotespeaker in a conference on business valuation organized by RICS in London.

Varun Gupta

Managing Director India and

APAC Leader for Valuation

Services

[email protected]

Abhishek PandeyManaging Director, Mumbai

Abhishek.Pandey@duff

andphelps.com

Santosh N Managing Director, Bangalore

[email protected]


Industry Multiples in India - February 2019 - Sixth EditionIndustry Multiples in India - April 2018 - Third Edition

43Duff & Phelps

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About Duff & Phelps

Duff & Phelps is the global advisor that protects, restores and maximizes value for

clients in the areas of valuation, corporate finance, investigations, disputes, cyber

security, compliance and regulatory matters, and other governance-related

issues. We work with clients across diverse sectors, mitigating risk to assets,

operations and people. With Kroll, a division of Duff & Phelps since 2018, our firm

has nearly 3,500 professionals in 28 countries around the world. For more

information, visit www.duffandphelps.com

© 2019 Duff & Phelps, LLC. All rights reserved. DP190321

M&A advisory, capital raising and secondary market advisory services in the

United States are provided by Duff & Phelps Securities, LLC. Member FINRA/

SIPC. Pagemill Partners is a Division of Duff & Phelps Securities, LLC. M&A

advisory, capital raising and secondary market advisory services in the United

Kingdom are provided by Duff & Phelps Securities Ltd. (DPSL), which is

authorized and regulated by the Financial Conduct Authority. M&A advisory and

capital raising services in Germany are provided by Duff & Phelps GmbH,

which is a Tied Agent of DPSL. Valuation Advisory Services in India are

provided by Duff & Phelps India Private Limited under a category 1 merchant

banker license issued by the Securities and Exchange Board of India.

C O N TAC T S

Mumbai

14th floor, Raheja Tower,

Bandra Kurla Complex, Bandra (East),

Mumbai - 400 051

+91 22 6623 1000

New Delhi

206/207, WorldMark 2,

Hospitality District, Aerocity,

New Delhi - 110037

+91 11 4935 9800

Bangalore

4th Floor, Unit No 303,

SKAV Lavelle 909, Lavelle Road,

Bengaluru - 560001

+91 80 6125 6100

E D I TO R I A L T E A M

This publication contains information in summary form and is therefore intended for general guidance only. It is not intended to be a substitute for detailed research or the exercise of professional judgment. Whilst due care has been taken in the preparation of this document and information contained herein, Duff & Phelps does not accept any liability whatsoever, for any direct or consequential loss howsoever arising from any use of this document or its contents or otherwise arising in connection herewith.

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