RETAIL RESEARCH Q3FY18 Results Review - hdfcsec.com Result Review... · stimulus and improvement in...

RETAIL RESEARCH 05 March 2018

Q3FY18 Results Review

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The quarter gone by:

A year after economic disruption owing to demonetisation, corporate earnings are yet to move into high gear. Companies focussed on the domestic market, especially Consumer Goods players, have recovered well in the third quarter (Q3FY18). However, higher energy and commodity prices have started hurting domestic manufacturers. In any case, the negative impact on margins was cushioned by slower growth in employee costs, as well as interest and depreciation charges. Higher operating leverage owing to sweating of assets (higher capacity utilisation) has also helped.

Q3FY18 corporate performance reveals a recovery in demand, partly aided by a favourable base effect (from last year’s demonetisation setback), along with fiscal stimulus and improvement in global trade. Positive momentum reflected in a pick-up in rural demand, translating into improved performance by Automobiles and Consumer companies. Improvement in global conditions, coupled with fiscal support, benefitted sectors such as Metals, Ports, Construction and Rural. Limiting factors include the lingering impact of GST transition, re-emergence of cost pressures, land acquisition issues, pricing power remaining feeble, continuingasset quality issues for PSBs amidst rising G-Sec yields, and persisting distress in the Agriculture sector despite Government policy interventions

According to Capitaline data, net sales, operating profit and adjusted net profit of companies (excluding financial services and Oil &Gas) that are in the NSE 500 grew 8.4 per cent, 12.6 per cent and 14 per cent Year-on-Year, respectively, in the December 2017 quarter. As with the Nifty 50, while sales growth in this set is the best witnessed in three quarters, profitability has been the best in four quarters

A Mint analysis of 2,040 listed companies showed that aggregate net profit, after adjusting for one-time gains and losses, rose 11.1% in the three months ended December, the highest in the last four quarters. This sample excludes Banks, Financial Services firms and Oil & Gas companies.During the quarter, both operating profit margins and net profit margins of these companies were at a five-quarter high, even as raw material costs increased. However, the interest coverage ratio, which measures a firm’s ability to cover its interest costs, was at a 15-quarter high, up 3.47 times

Operating profit margin widened to 19.39% from 17.8% in the September quarter. Net profit margin expanded 1.63 percentage points to 7.12%

Though signs of modest recovery cannot be ignored, it is still early to conclude that a complete revival has taken place

On the topline front, Oil & Gas and the Metals space continued to benefit from the surge in commodity prices, while Capital Goods and Auto Space saw strong growth in the bottomline

While different sectors have been affected by industry-specific reasons, lower revenue growth may be attributed to a combination of the ongoing restocking process, adjustment to GST especially at the SME level, limited pick-up in demand, and high base effect

Sectors including Cement, Capital Goods, IT, Pharma, Power, Public Sector Banks and Private Banks with high corporate exposure, and Telecom continued to display stress

Sales growth in Q3FY18 (Sensex companies, ex-Oil & Financials) came in at 10.4%, despite a favourable base of demonetisation. The emergence of cost pressures has resulted in cost-control efforts (through lower marketing spends), that have aided in improving margins. However, most companies are projecting a stronger outlook on the back of further recovery in rural demand and capital outlay by the Government. Consumption space is likely to drive overall corporate performance, even as momentum in the commodity space sustains. Adjusted net profits of the BSE-30 Index increased 9.7% YoYNifty’s aggregate sales grew 13.4% YoY, EBITDA grew 8.8%,PAT was up 7%; Ex-SBI, Nifty profits were up 16.6%. Nifty sales/EBITDA/PAT grew 13.4%/8.8%/7% respectively. Nifty benefitted from higher-than-estimated

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inventory gains in OMCs. Major earnings surprises were from Tata Steel, HUL, Tech Mahindra, IOC and Dr Reddy’s. Major disappointments in earnings were from Tata Motors, Ultratech Cement, Lupin, ONGC and SBI

The average shares pledged by promoters of the Top 500 companies listed on the BSE dropped to 7.8 per cent in Q3FY18, from 8.3 per cent in Q2FY18. Promoters pledged shares worth Rs 1.98lakh cr, about 1.47 per cent of the total BSE-500 Index's market capitalisation in December 2017. Promoters of 129 companies pledged their holdings among BSE-500 index stocks, with nine firms having more than 90 per cent of their promoter holdings pledged

In December, industrial production showed robust growth for the second straight month, growing at 7.1%. Retail inflation slowed to 5.07% in January, indicating that the economy may be stabilising

This is the fifth consecutive quarter of PAT decline for Defensives, dragged down by Healthcare. Consumer reported 16% profit growth, the highest in 19 quarters, aided by a low base. Telecom posted a sixth consecutive quarter of PAT decline, and second consecutive quarter of loss, dragged by continued elevated competitive intensity, resulting in a sequential ARPU drop for another quarter

Volume growth of Consumer Staples and 2Ws, and the top-line of Consumer Durable players posted double-digit growth after many quarters. However, adjusting for the weak base owing to DeMon (on two-year CAGR), volume growth remained moderate

Private sector wage bill growth stood at a mere 7% (mid-teens pre DeMon). This remains subdued, despite a low base of DeMon last year. While this augurs well for corporate profitability, it could weigh on domestic consumption and household ability to leverage.

Sectoral comment:

Automobiles

Revenue growth was robust at 19% YoY, due to strong rural demand, higher realisations and low base of demonetisation. Overall auto volumes reported strong growthof 16% YoY

In terms of segments, 2-W reported healthy growth of 16.6% YoY, driven by both Scooters &Motorcycles, which were up 20% YoY and 17% YoY respectively. CV volumes witnessed a pick-up (increased 29.6% YoY), driven by robust M&HCV volumes, up 36.8% YoY, mainly due to pre-buying on account of the mandatory norm of air ventilation systems in trucks sold after 31-Dec-17. Recovery in freight demand, increased infrastructure and mining investments coupled with a ban on overloading in various states led to a strong demand. The PV segment remained subdued, up 3.2% YoY

EBITDA margin expanded on a YoY basis due to operating leverage benefits. However, margins contracted on 100 bps QoQ, mainly led by lower scale, increase in discounts/incentives and higher RM costs

The stage is set for strong growth in Automobile demand, led by an increase in Government Infrastructure spending and focus on the rural economy and higher disposable income in view of 7th Pay Commission awards, and new launches

On the ancillary front, Apollo Tyres and JK Tyre reported strong volumes, driven by revenue growth (post dumping duty on import of TBR tyres) and reported a QoQ margin expansion. The Battery players, Exide & Amara, reported healthy revenue growth. However, the continued escalation in lead price impacted their margins

Airlines

Utilisation of domestic Airlines continued to improve, as new fleet supplies would be insufficient to cater to the growing demand. Cumulative PLF of domestic carriers was at a historical high at 88% vs 77% in Q3FY17

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Government push to generate aviation demand through the regional connectivity scheme would generate additional inorganic demand

Addition of new domestic routes is strong (~30% growth in the last six months), which is generating an additional demand of 4-5%

Crude prices were at a three-year high, but strong revenue per unit ASKM growth of low-cost carriers indicates higher pricing power due to capacity constraints against strong demand growth

Apparels, Jewellery and Retail

Apparels &Jewellery sectors reported average revenue growth of low double-digits, backed by healthy SSG in the retail channel

Companies witnessed margin expansion due to input tax credit in rent expenses and ad spends across apparels and jewellery

Apparels’ margin expanded on account of GST benefits of input tax credit, and margin expansion on Apparels priced at Rs 1,000 and lower (with a 5% GST rate)

Most branded Apparels and retail companies posted robust double-digit revenue growth during Q3FY18, on account of the low base of demonetisation in Q3FY17, early end-of-season-sales (EOSS) and the wedding season

Export-focussed companies witnessed marginal revenue growth on account of lower volume off-take by overseas clients, and a stronger rupee against major foreign currencies. For the export-driven businesses/segments, the cutting down of duty drawback incentive by the Government on export of garments from 7.7% to 2% from 1-Oct-17, will affect sales in the coming quarters

Revenue growth amongst branded and retail players was boosted on account of a favourable base (given demonetisation in the base quarter), and an early start to the EOSS. The months of November and December witnessed healthy growth

Despite cotton prices cooling down ~4-5% to Rs 107/kg vs. Rs 112/kg, margins for textiles players continued to remain under pressure on account of high-cost cotton inventory, constant rupee appreciation and reduction in duty drawbacks

Customer-related destocking issues seen with Home Textile companies in the earlier quarter continued in this quarter. Revenue growth for all Home Textile companies except Himatsingka Seide remained muted

A shift to organised Retail and regulatory policies such as GST, demonetisation, and compulsory hallmarking has helped boost domestic sales of organised jewellers. PC Jeweller's domestic business grew 40% YoY, while Titan's jewellery reported a growth of 8% YoY

The standout performance for the quarter was led by Jubilant Foodworks, where SSSG came in at ~18%, a 21-quarter high Agri-Inputsand Fertilisers

Consumption of Agrochemicals in the domestic market remained subdued during Q3FY18, on the back of lower pest infestation witnessed due to favourable weather conditions, deficient monsoon in South India and higher-than-normal inventory in the system

Bumper kharif harvest kept prices of many crops subdued, and consequently impacted farmers' profitability, which restricted their ability to purchase high-end Specialty Agrochemicals

Exporters of generic Agrochemicals registered healthy growth owing to a better start to the season in Europe, new product launches and stabilisation of currencies

Performance of the Fertiliser segment remains very strong. Overall revenues for the space increased by 36% YoY, also driven by commissioning of the new NPK plant at Deepak Fertilizers. Steady realisations and higher utilisation led to improved operating leverage and subsequently aided in margin expansion

Rising prices of Phosphoric Acid, Ammonia and Sulphuric Acid are likely to put pressure on margins, as the current agrarian distress will leave little room to increase fertiliser prices to pass on higher costs

Subsidy disbursement has been quick this year, and the companies could receive a major portion of ongoing subsidies for the current year. However, the disbursement of prior-period subsidies will continue to be delayed

Channel inventory of Complex Fertilisers and Urea is low, which will drive volume growth in FY19.

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Banks& Financials

Private banks (PBs) outperformed PSU banks with a better loan book growth and stable asset quality. In some cases, with corporate-facing banks such as ICICI Bank and Axis Bank, GNPA percentage improved sequentially

Growth in interest income in Q3FY18 was 8.9% as against 2.3% in interest expenditure. This may be attributed to a combination of higher growth in bank credit this year, which was 10.7% for the system as compared with 4.7% last year. Growth in deposits was lower at 4%, as compared with 14.6% last year. NII growth was healthy across banks at 14.8% YoY (13.7% YoY for PSU banks), mainly led by improved traction in loans at >10% YoY (albeit on a lower base last year due to demonetisation)

A major setback for banks was the decline in other income, primarily due to the rise in yields on investments which affected the P&L owing to the MTM losses that were booked

NPA ratio touched 9.45% from 8.34% in Dec-16. It does appear that the NPA issue is still not sorted out at the macro level, in terms of recognition as well as accretion

The total losses reported by 16 public sector banks amount to Rs 18,947cr for the quarter-ended December 2017, following higher provisions toward non-performing assets (NPAs) and absence of Treasury profits. PSBs continue to be under stress, despite an increase in loan growth and net interest income

Asset quality witnessed pressure in Q3FY18, after witnessing a fall in slippages in Q2FY18. Absolute GNPA of PSU banks increased 20% YoY (6% QoQ) to Rs777,266cr, while that of private banks increased 2.1% QoQ to Rs 1, 08,522cr. The reasons for rise in slippages include NPAs from the second list referred to NCLT, NPA divergences largely by SBI and recognition of a large telecom account in Q3FY18. Excluding Axis Bank, most private banks saw a QoQ rise in GNPA. Overall system GNPA and RA remained >12% of loans

Rise in slippages and G-sec yields required higher provisions in Q3FY18, which increased 17% QoQ to Rs76,618cr. This was led by PSU banks, which saw an increase of 23.9% QoQ to Rs.66,484 cr

GNPAs and slippages may have peaked, and resolutions to the pending cases before the NCLT over the next few months are expected. The deadlines for resolution of 11 out of the 12 NCLT 1 cases are in late April/early May 2018, as these cases were admitted to the NCLT courts in late July/early August 2017

Loan-loss provisions and RoEs of several banks could normalise over FY2019-20, after a very weak performance in FY2016-18, which may drive a sharp recovery in the profits of private and public banks

NBFCs could see pressure on NIMs/RoEs due to increase in borrowing costs and increased competition in all lending segments. A squeeze on the NIMs of the HFCs is already visible, owing to increased competition in the Housing Finance segment. However, the NIMs of the MFIs and rural finance companies could recover from the lows of FY17

Diversified NBFCs such as Bajaj Finance and Capital First have shown a strong performances, as there is negligible or minimal impact on margins, improving levels of collections and the momentum in business growth continues

After a long period of under-performance, we are witnessing a revival in the Vehicle Finance space. While a host of factors are contributing to it, some of the important reasons are an increased activity in the mining sector, good monsoon and steady freight rates

Impact of demonetisation is slowing fading away for the SME sector. As such, Gold loan companies like Manappuram reported 5% sequential growth in the loan book, while Muthoot Finance witnessed 2% sequential growth in its book

Improving collections, declining provisions and re-starting of its growth engine resulted in profits for Bharat Finance, after it had made aggressive provisions in the last few quarters

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Building materials

The Building Materials (mainly tiles, plywood, MDF and sanitary ware) sector continued to reel under the impact of GST, led by the change in GST rate from 28% to 18%. However, although some recovery was seen, driven by restocking activity gathering pace

Ceramics tile companies were worst hit by a change in GST rate

Building Material companies are poised to regain lost ground after implementation of the E-way bill, which is expected to result in a shift of business from unorganised to organised players

Tiles industry results were weaker-than-estimates, while plywood and laminates’ results were in line with estimates

Industry volume growth in both tiles and plywood (at ~5-12%) remains muted, on the back of a low base, as the industry continues to face pressure from unorganised sector. Owing to the lack of implementation of the E-way Bill and strict surveillance, unorganised players continue to push products enjoying tax benefits (despite the recent reduction in GST rates from 28% to 18%)

In Tiles, a hike in gas prices by ~10% and as an increased price cut in GVT due to increase in supplies put pressure on margins

Pipes industry witnessed volume growth in both the PVC and CPVC segments, and volume growth is expected to remain strong

MDF segment witnessed strong volume growth and realisations remain strong, amidst an increase in industry capacity Capital Goods / Engineering

The December quarter earnings of Capital Goods firms had one silver lining: the return of non-greenfield investments. Commentaries and order win trends from ABB India Ltd, Siemens Ltd and Thermax Ltd show that brownfield investments relating to de-bottlenecking, augmentation of existing capacities and efficiency improvement spends are emerging as notable order inflow drivers

Overall, even as core industries are yet to re-enter the capex phase, companies are seeing green shoots in certain segments, notably Infrastructure sector, driven by the Government, and improvement in capacity and efficiency resulting in expenditure by the private sector

Bulk of the order flows were propelled by the public sector-driven push in Power Transmission, Transportation and Renewables. Order flows from the private sector capex remains muted

On an overall basis, revenues for capital goods companies grew 12.4% YoY in Q3YF18, backed by robust execution trends across all EPC companies. EBITDA margins were flattish YoY at 10%, given high input costs were cushioned by a pick-up in execution

On the order inflow front, L&T announced order wins in to the tune of Rs 48,000cr (vs Rs35,000 last year), with strong order wins in the domestic market

Order inflows improved 8% YoY, led by strong ordering by L&T and BHEL

Most companies in our Capital Goods universe witnessed a pick up in execution in Q3, post a temporary disruption on the back of GST in Q2FY18

Growth for most companies was led by the Industrial segment, particularly Transportation (railways and metros). Few companies highlighted the fact that green shoots of revival in private capex were witnessed in some segments like Cement, Metals etc

Commentary on end markets like Power T&D, led by SEB/O&G/Roads/Urban transport(metro)/Railways/Defence/Water/Genset/B&F were positive for the year ahead, with improved viability of pipeline for fresh orders

Corporates believe that awarding activity is likely to stay robust for next two to three quarters, as the Government tries achieving various laid out targets. The fact that Government is entering last 15 months of its current term will expedite execution to showcase their achievement

In Railways, a pick-up in ordering activity, especially for large projects (above Rs 100cr) in FY17, is expected to continue with a focus on track addition and electrification, increasing speed for Freight and Passenger trains, modernising through better signalling and anti-collision devices. In Union Budget 2018, Railways capex provision jumped 22% to Rs 1.5lakh crore in FY19 (includes 12,000 wagons, 5,160 coaches and ~ 700 locomotives + 3,600km of track renewals and 6,000km of electrification)

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In Renewables, incremental 110GW capacity addition from Renewables power over Q4FY18-22 would be the source of sustainable order inflows. This could provide opportunities for wind turbine generators, solar invertors, generators and other electrical balance of plant systems and commensurate addition of T&D network

In Transmission &Distribution, the Government had earmarked a capex of Rs1lakh crorefor enhancing the power transmission network in the country. Implementation of UDAY, coupled with the ongoing rollout of IPDS and DDUGJY could augment urban and rural power network infrastructure, with new avenues of investments in GIS substations in cities and smart meters and energy-efficient products. The Union Budget 2018 has earmarked expenditure of Rs2,750cr, up 77% under Saubhagya (household electrification) and Rs49cr, up 13% under IPDS, while allocation fell 30% to Rs 3800cr under DDUGJY

Cement

Profitability of Cement companies was impacted in Q3FY18 owing to an increase in input costs. Average EBIDTA/t declined by 4.1% YOY to Rs734, led by higher energy cost (increase in pet coke price/ban on pet coke use for a period of time in Rajasthan and imported coal price), and freight cost (ban on overloading and increase in diesel price), which impacted profitability of companies despite better realisations and strong volume growth

Cement companies reported volume growth of 22% YoY (due to a lower base -Q3FY17 was impacted by demonetisation) - led by a 35% YoY increase in volumes by Ultratech owing to JPA capacity augmentation. EBITDA increased 10% YoY, but declined 7% QoQ because of lower realisations and rise in costs. Most companies reported better-than-expected volumes on the back of low base, pick-up in Infrastructure and strong execution under the Pradhan Mantri Awas Yojana (PMAY)

The Southern companies suffered owing to a continous sand mining ban in Tamil Nadu

Cement companies are banking on a demand revival, higher utilisation and pricing discipline (to contain rising costs)

Barring firms with a presence in Bihar, Tamil Nadu and Kerala, all others reported strong double-digit volume growth

Average cement price declined by 1.8% YoY, owing to price declines in South/Central regions. In the West, cement prices grew 5.8% YoY, led by steep price hikes in Gujarat

Credit rating agencies

A rise in G-Sec yield adversely affected bond issuances, with volume down 7% for Q3FY18. Commercial paper (CP) issuances held up due to a differential in interest rates

Recent regulations on large corporate exposures (25% through bond markets), mandatory rating into NCLT cases, and a pick-up in the capex cycle remain key drivers for the industry

Construction

Q3FY18 execution was a mixed bag, with few companies clocking double-digit YoY revenue growth owing to a pick-up in execution, while other companies saw a muted-to-negative growth, owing to varied issues such as land acquisition delays, GST issues etc

Most companies have a comfortable order book position of 2.5-3x trailing FY17 revenue, and the focus, going forward, will be largely on execution as opposed to the quantum of order wins

Majority of the companies reported muted top-line growth due to GST impact (indirect taxes no longer a part of revenues). Operating margins expanded across the board

Bid pipeline, especially in the Road segment, remained strong, which has boosted hopes for improvement in revenue visibility and thus traction in execution, going ahead

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Many state governments are focussing on Infrastructure development, and emerging as important source of fresh orders for the sector. Select states have seen uptick in areas like water/irrigation/T&D/Roads etc

Huge upcoming opportunities in the Roads segment, with the expected launch of Bharatmala project worth Rs 8.5 lakh cr spread across 80,000km to be awarded over the next five years

With no dearth of new orders, order inflows are expected to improve, which, in turn, would enhance future revenue visibility of EPC firms

Increased competition may be witnessed going forward, as some firms which earlier refrained from bidding for road projects seem to be showing interest to come back in the race

NHAI's bid pipeline for the coming two months seems to be very promising and encouraging, given that 9MFY18 was lacklustre in terms of awarding, and the award target still remains unchanged

Strong opportunities lie ahead, with NHAI looking to bid out EPC and HAM projects worth ~Rs 1.3lakh crore over the next few months. Also, strong awarding momentum should continue, with the Government looking to construct 83,677 km of roads over the next five years, with a total outlay of Rs 6.92lakh cr under the Bharatmala Pariyojana

Consumer Goods

Aggregate revenue growth stood at ~10% YoY, the highest since Q2FY15. As anticipated, Q3FY18 was one of the strongest quarters for most FMCG companies, which achieved double-digit revenue and PAT growth

The strong margin improvement was largely on account of benign input prices, operating efficiencies and low base of Q3FY17. Gross margin (calculated on GST adjusted sales) for a majority of the companies has witnessed an improvement, as key input commodities such as palm oil, wheat, sugar, and coffee (except Copra) have been benign

Adspends increased 15% during the quarter. This is also propelled to a certain extent by a lower base, as most companies cut down on advertising spends during the demonetisation quarter

GST-led transitional pangs at wholesaler and distributor levels are almost over, and CSD channel (~5-6% of FMCG revenues) is expected to pick up by Q4FY18-end

Currency depreciation/devaluation, which has been an overhang on the International operations for the past few quarters, seems to be receding. There are green shoots of recovery in rural demand, and companies expect rural demand to pick up, led by fiscal stimulus by the Government

As for Paint companies, volume growth was disappointing, especially in Asian Paints. This was due to the early onset of the festive season in Q2

On the margin front, raw material prices such as titanium di-oxide and copper prices witnessed northward movement, which put pressure on gross margin of paint companies (down in the range of ~150 bps) and selective electrical goods companies (remain flat in Q3FY18). However, the impact of flattish to negative gross margin was largely negated by higher operating leverage, which finally translated into a marginal increase in EBITDA margin

With GST-related issues subsiding, going forward, the trade channel across India would start building inventory at a pre-GST level. Organised players would also benefit from implementation of GST in terms of gaining market share owing to a shift in demand from the unorganised to organised category

Volume growth in the AC segment was largely on account of a low base (demonetisation), launch of new products and inventory build-up at the dealers level (prior to change in energy norms)

Information Technology

In Q3FY18 (a quarter impacted by furloughs and holiday season), US$ revenue growth for most IT companies was broadly in line with estimates, but the highlight for the quarter was the resilient and strong margin performance led by better cost control and improvement in operating metrics, for example utilisation rates, in spite of headwinds related to lower billing days vs. pay days

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Tier-I IT companies reported dollar revenue growth of 1.2% QoQ, and 9% YoY growth in Q3FY18. Constant currency (CC) revenues grew an average of 1.5% QoQ in a seasonally weak quarter

Several Tier-II vendors have been witnessing an undeterred upward trajectory, and have all been witnessing strong traction and double-digit YoY revenue growth

Analysing growth trends across geographies suggests that Europe is leading the growth for most Tier-I IT companies, while US witnessed a slowing of momentum. Among the verticals, Energy saw good growth, while Retail is witnessing early signs of a recovery. BFSI segment continued to see pressure, and is yet to see any recovery, although insurance is steady. Digital offerings with 20-30% contribution to overall revenues is witnessing healthy double-digit growth

Management commentary of most IT companies remained different on the growth outlook of BFS, which contributes about 29% to total revenue of the Top five IT companies in Q3FY18. Unlike BFS and Retail, managements of IT companies see more positive set-ups for the remaining verticals, on account of healthy deal pipelines, upcoming capex in telecom and strong deal wins in the Insurance vertical.

The top five IT companies indicated that CY18 will be better compared to CY17, driven by strong deal inflows, healthy deal pipelines, increasing digital deal sizes, improved macro environment in the US (low unemployment, rising interest rate and possible increase in IT spends due to US tax reforms) and higher outsourcing from European clients

However, the sector continues to face challenges such as sluggishness in non-digital revenue, rebidding concerns, regulatory uncertainties, margin pressures owing to significant investments in digital/IP investments and impact of captive shift. Nevertheless, most global companies are gradually embracing new-age digital technologies to realign their business models, creating tremendous opportunities for the Indian IT sector over the long term

NASSCOM has guided for 7-9% USD revenue growth for FY19, up marginally from 7-8% for FY18. The macro data from US continues to be strong, and this geography grew 2.0% QoQ, which can improve further with a lag effect once the tailwinds from the cut in US Income Tax rates starts to drive spending, which, based on management commentary, looks unlikely to begin before the second half of FY19

Lower bargaining power of employees also provides margin tailwinds, and a cut/flattish spends on S&M is a precursor to similar industry growth in FY19E compared to FY18E

The utilisation levels are unlikely to improve going ahead, thereby limiting the scope of margin improvement to levers like higher offshore contribution and changes in the employee pyramid and business mix

Logistics & ports

The merchandise value of exports grew 12% in dollar terms and 7.7% in rupee terms on a YTD basis (April-December FY18). Over the same period, the value of imports grew 21.8% in dollar terms and 17% in rupee terms

The resultant impact on volumes of major ports remained positive, with a robust growth of 7% on YTD basis (April to December) handling 6.8mn TEUs compared to 6.3mnTEUs. Q3FY18 volumes at major ports reported the highest-ever growth rate (since FY15) of 8% handling 2.3mn TEUs compared to 2.1mn TEUs in Q3FY17

Exim Rail volumes followed the trend, with 12% YTD growth (up 15% for Q3FY18) to 318 lakh tonnes (MT) (10.5 MT in Q3FY18), as compared to 284 lakh tonnes over YTDFY17 (9.1 MT in Q3FY17). Container rail volumes (Exim + domestic) for the quarter (Q3FY18) was at 13.3 MT (up 14% YoY), compared to 11.6 MT

For Concor, total volumes for the quarter demonstrated robust growth of 12% YoY to 867408 TEUs. Commencement of the fourth terminal at JNPT, coupled with Mundra aggressively chasing container traffic, has resulted in flat volume growthfor Gujarat Pipavav Port

India’s West coast container market volumes grew by 15% YoY in Q3FY18, wherein JNPT grew 7% YoY. While, Pipavav port witnessed a growth of 4% YoY in container volumes. Mundra and Hazira continued to capture market share on the West coast, growing 26% YoY and 31% YoY respectively

Road operators expect growth to pickup with the rollout of the E-way bill over the coming months, as the Industry will witness a paradigm shift from the unorganised to organised within the sector

After healthy growth in last two quarters, container rail volume growth has remained steady in January as well

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Logistics sector could gain traction, as macros turn around, and benefits from GST and E-way bill percolate for the organised space

Metals

Q3FY18 for the Metals And Mining sector was marked by healthy volume growth and strong realisations

The ferrous space reported outperformance on the back of increased volumes and strong realisations. Volumes for steel companies increased 5% QoQ/11% YoY to 12mt, led by capacity expansion and exports. Steel companies’ realisations increased 5% QoQ/13% YoY on bullish global steel prices and an improvement in domestic steel demand. Realisation for steel companies are expected to be even stronger in 4Q, as global prices remain strong and domestic demand is improving. Underlying indicators remain positive on supply-side measures in China and an unexpected surge in demand

Aluminum volumes grew 18% QoQ to 860kt on the ramp-up at Vedanta and NALCO. Copper volumes were down ~5% QoQ to 196kt. Strong volume growth was led partly by re-stocking on expectation of price increase and higher exports. Aluminum realisation was up 5% QoQ

Graphite electrode majors reported an upbeat performance again for Q3FY18, driven by higher realisations

All companies faced cost pressures mainly due to non-availability of domestic thermal coal

China is cutting illegal capacity in the Aluminum and Steel industries. Also, to curb rising pollution, China announced production cuts during the winter season, which is likely to support prices at higher levels

NMDC's domestic fine prices remain at a discount to international ore prices. This is despite the recent sharp price hikes leading to the stability of prices in the short term

Zinc fundamentals remain strong with tight refined supply reflecting in the firm prices of both Zinc and Lead. Zinc realisation was up 14% QoQ, and lead 7%. Chinese winter Aluminium/Zinc/Lead smelter capacity cuts have led to the outlook for non-ferrous metals improving, reflecting in the firm trend in metals’ pricing

SAIL has reported profit of Rs 86.5cr(after 10 consecutive quarter of losses)

Stainless steel sector continues to maintain a strong momentum, in terms of both offtake and realisation

Media

Broadcasters Zee Entertainment Enterprises Ltd and Sun TV Network Ltd have done much better than companies from the print media, indicating there has been a fair bit of recovery in advertising revenues in television. Unfortunately, this is not very visible for the print media

One of the reasons for this could be the FMCG sector is not a very large advertiser in print. However, print media companies had a relatively better advertising base quarter (December 2016 quarter), thanks to the Uttar Pradesh elections. That advantage was absent in this fiscal’s December quarter

New product launches from the FMCG sector should lead to these companies increasing their advertising expenditure in the coming year. Further, the coming elections in several states will give a boost to Government spending on ads, and that will be very helpful for print media firms

Except for the Print and Radio industry, advertisement growth was healthy for Broadcasters and Multiplexes. The Print and Radio industry continued to be impacted by a slowdown in recovery in local advertising , GST transition and RERA

Subscription revenues for Zee declined 15.5% YoY, owing to the exclusion of the Sports business. On a like-to-like basis, domestic subscription grew 7.5% YoY. Subscription revenues for Sun TV grew 16.5% YoY.

Oil & Gas

Q3 was a mixed quarter for the Oil & Gas sector. Gas production growth disappointed due to a temporary delay in key projects, which have been commissioned in Q4, and are on track to deliver strong gas volume growth. Core GRM (ex-inventory impact) across OMCs disappointed, which was offset by better-than-expected marketing performance. City gas saw robust volume growth across segments, while margins remained stable despite a sharp spike in feedstock prices

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Oil and Natural Gas Corporation (ONGC) and Oil India reported an increase of 16.9% YoY and 20.7% YoY in their net oil realisation to US$60.6 per barrel and US$59.4 per barrel, respectively, on account of a sharp rise in the Brent Oil price (up US$9.3/bbl QoQ and + US$10.4/bbl YoY)

Oil marketing companies held prices of diesel and gasoline up to the Gujarat state elections, despite the increase in crude prices, which resulted in a blip in their margins. They raised prices of diesel and gasoline after the Gujarat elections in December 2017, and their marketing margins have reverted to normal levels since then

Similarly, in the case of refining, margins have improved over the past two to three years, led by improved global demand-supply balance and higher distillate yields of public sector refineries due to modernisation projects at various refineries

QTD oil price is up 10%, indicating some inventory gains. Strong marketing margin for OMCs following the state elections will be offset by continued pressure from rising private competition

Pharma

Majority of the companies reported an increase in sales. Companies reported healthy growth in the domestic business post the GST rollout on the back of further channel re-filling. Although price erosion continued to drag the US business, most of the companies believe that price erosion has bottomed out, and will remain in high-single-digits. Companies having a large presence in the US saw a one-time tax expense, which adversely impacted their PAT

Overall, Pharma companies witnessed muted revenue growth of 1% QoQ (down 0.5% YoY), while EBITDA was down 16% YoY and APAT fell 21% YoYUSFDA's propensity to ensure at least three competitors for every off-patent product is enough to materially dent high margin/ROE dynamics of the sector. Sector M&As are the only way to relieve industry pressure, but meaningful M&As are gridlocked

US sales declined 15% YoY due to persisting pricing pressure, owing to client consolidation and increased competition, lack of meaningful approvals and a high base. Domestic formulations grew 10% YoY

Healthcare companies’ results were marred by regulatory issues like stent and implant price control

Regulatory hurdles are temporary in nature, as most companies are due for re-inspection after bracing compliance systems with the FDA requirements Power

Regulated utilities reported a lower-than-expected performance in terms of revenue and profitability. However, the only silver lining was decent capacity addition by both regulated utilities

The power sector witnessed 6% demand growth during Q3FY18 and ~5.8% in 9MFY18. Thermal power generation recorded only 3.4% growth, with PLFs now at ~59.9%. Old capacities worth ~2.5 GW have been shut down in the past two to three quarters, and similar capacities are planned to be shut in the ensuing quarters. This is mainly because either the capacities are too old or are financially unviable

Coal shortage peaks to three-year highs. This, coupled with lower hydro & wind volume, preventive maintenance at coal-fired plants lead to a surge in short-term market and volume

Spot electricity prices increased in Q3FY18 on seasonally stronger demand and coal shortage. However, the recent move of the Government to open coal mining to private players will improve coal supplies, thus pushing spot prices to historical averages

International coal prices continue to impact the profitability of players dependent on imported coal

Power Grid Corp of India Ltd (PGCIL) capitalised assets worth Rs6050crin Q3FY18, taking the overall capitalisation to Rs19570cr in 9MFY18 vs Rs15970 cr in 9MFY17

While the sector continues to face constraints in terms of poor demand recovery and low pricing, environment clearances and Discoms’ financials, recent initiatives taken by the Government like UDAY, new coal distribution policy - SHAKTI etc. may unblock the policy logjam

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Real estate

Operating performance was mixed for the quarter. Companies which focus on premium residential projects posted muted new sales figures, while the same for others like Godrej Properties, Sobha and Brigade were healthy

Consolidation in the industry post RERA is leading to a substantial increase in the development portfolio of many companies Specialty & Commodity Chemicals

Stringent pollution measures taken by China have led to supply-side issues in many basic chemicals, resulting in higher prices for these chemicals in the global market

Many chemical manufacturers in India have benefited from the surge in chemical prices

The price rise was visible across the broad range of chemicals like Soda Ash, Caustic Soda, Reactive Dyes, Chlorinated Chemicals, Phosphoric Chemicals, Fluorinated Chemicals, TDI, MDI, etc.

Telecom

Highly competitive scenario in the industry continues to impact wireless revenue of the incumbents. Q3 for telecom operators was impacted by the dual impact of IUC cut (from Rs 0.14 to Rs 0.06), and down trading by subscribers to attractive bundled packages. This led to sharp erosion in ARPU, which percolated to EBITDA levels

Overall net subscriber addition regained for the operators with 3% QoQ growth in total subscribers

ARPU remain subdued, with 13-15% sequential decline

For Bharti, Africa has been the silver lining, with continued revenue recovery and healthy operating performance

Domestic wireless revenue declined 12.2% QoQ for Bharti and 13.1% QoQ for Idea. Voice traffic accelerated for both Bharti and Idea to 13.1% and 10.8% QoQ respectively, driven by increasing acceptance of bundled offerings. Voice realisation for Idea stood at 17paisa, and declined 24% on a sequential basis. Data volume increased for Bharti and Idea by 41% and 30% QoQ. Data realisation for Idea registered double-digit decline of 26% QoQ to 2.0 paisa

Though revenue registered a decline on a sequential basis, the EBITDA decline was restricted by stricter cost control measures. Both access charge cost and network cost were lower

Jio continued to attract subscribers in the marketplace, owing to festive season demand coupled with continued disruption in tariffs. It reported strong net additions of 215 lakh for the quarter, followed by Airtel, which added 8.1 million subscribers during the quarter. Net additions for Airtel were impacted due to regulatory issue with its payment bank arm Airtel Money, during which (roughly 10 days) subscriber addition process was halted. Vodafone and Idea added 114 lakh net subscribers on an combined basis

The way ahead:

The earnings revival could continue to the next financial year as well. Since the impact of increased Government spending will take effect in the next financial year, numbers for all quarters of FY19 are expected to be good. Besides the domestic recovery, the turnaround in global commodity prices will support the growth revival. Though it will be inflationary, the impact will be positive in the beginning, though could hurt later on

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The March 2018 quarter is also expected to benefit from the low base of the previous year’s comparable quarter. Besides, demand across sectors is expected to pick up

For stock market investors, it would certainly be good news if the earnings recovery at India Inc finally gets underway, after the string of misses over the last four years. Two big risks that can still scuttle this revival are rising interest rates and escalating input costs, which are not proving easy to pass on to consumers. But it would be a mistake to think that India Inc’s return to double-digit profit growth will provide new legs to the ongoing bull market. For long, the Street has been ignoring dismal earnings growth and continues to trade at rich valuations. For the valuations to be justified, overall earnings have to turn around. Apart from the usual issues regarding the quantum of earnings growth, the quality of earnings growth is also quite poor, with 60% of the incremental profits of the Nifty-50 Index for FY19 coming from sectors such as PSU Banks, Metals and Mining, Oil &Gas and utilities, which should logically trade at low multiples. With the Nifty50 trading at 17.5 times forward earnings, these growth expectations are already baked into stock valuations. Multiples could be under pressure if GST revenues will fail to pick up over the next few months, adding to the nervousness of the bond market, and oil prices were to move up to ~US$70/bbl

In the months ahead, rising Brent crude prices will impact profit margins. This will be especially so for companies in the paint and aviation sector, as oil accounts for a large portion of the expenditure. Brent crude is currently trading at ~$64 per barrel, an increase of 18% since the beginning of the financial year

Market valuations could be under pressure if GST revenues would fail to pick up over the next few months, and if oil prices were to move up to ~US$70/barrel, adding to the nervousness in the bond market

Sustainability of growth recovery is pivoted on the following factors: The strengthening of external trade due to cyclical improvement in global growth, higher Central & State government spending in the run-up to the upcoming elections (boosting consumption both in urban as well as rural areas), and depreciation in INR/USD currency

The Government’s sharpening focus on the revival of Agriculture and rural sectors is likely to reinforce momentum in rural-centric companies. Companies in sectors such as Auto, Consumer Staples and Asset Financing NBFCs are banking on strong consumption demand. Additionally, export-driven sectors are likely to benefit from currency depreciation and improving global growth prospects

The Banking sector is likely to see further gains in the market share of private lenders, even as PSBs continue to face headwinds such as persisting credit costs, treasury losses and setback from the recent adverse developments

Near-term events, such as recurring concerns about PSU banks’ assets and externalities such as state elections leading upto the national elections next year may keep market sentiments in check

The shortlist The following is the list of companies that have released results in Q3FY18 that were good on one or more of the following parameters: • Sales growth – YoY / QoQ • PAT and OPM growth - YoY / QoQ • P/E on 4Q trailing EPS (Consolidated P/E provided wherever available)

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• Profit growth in this quarter is not due to the impact of exceptionally benevolent commodity cycle or lumpy sales

Healthy RoE

Healthy CAGR growth in sales, EBITDA and PAT overthree and five years The companies have been listed in alphabetical order and do not reflect our recommendation/buys or even preference in that order. Most of these companies may not be under our coverage.

All figures provided below are in Rs cr (except FV, CMP, BV& EPS). OPM and growth numbers are in %. OPM has been calculated without other income (OI) and EPS is based on trailing twelve months (TTM) adjusted PAT.

Co_Name Industry

Net Sales

Dec 17 PAT

Dec 17 Latest Equity CMP BV FV EPS

Growth in Sales

YoY

Growth in PAT

YoY

Growth in Sales

QoQ

Growth in PAT QoQ

OPM% w/o OI - Dec 17

OPM% w/o OI - Sep 17

OPM% w/o OI –

Dec16

P/E on TTM EPS P/BV

Div Yield - Latest

Aarti Inds. Chemicals 990.2 90.2 41.1 1176.1 175.3 5 37.3 28.6% 22.1% 11.5% 14.9% 18.0% 18.1% 19.5% 31.6 6.7 0.1%

Advance. Enzyme.* Chemicals 108.2 26.5 22.3 242.5 23.5 2 7.5 82.8% 85.6% 9.7% 21.4% 41.7% 41.5% 31.3% 32.3 10.3 0.2%

Alphageo (India)* Oil Exploration 103.8 14.1 6.4 809.2 252.6 10 95.5 28.0% 20.2% 387.1% 519.0% 29.8% 21.0% 33.6% 8.5 3.2 0.5%

Ambuja Cem.* Cement 6170.7 478.4 397.1 252.6 99.4 2 9.8 26.0% 56.5% 14.8% 36.2% 16.0% 14.4% 12.0% 25.8 2.5 1.4%

Apis India Food 50.8 2.6 5.5 17.7 104.0 10 17.1 40.2% -7.8% 7.7% 24.5% 9.0% 8.9% 10.5% 1.0 0.2 0.0%

Arfin India Aluminium 119.3 7.0 12.2 512.2 51.0 10 15.1 35.0% 115.0% 33.8% 47.0% 10.8% 10.1% 7.3% 33.9 10.1 0.4%

Ashoka Buildcon Engineering 658.9 52.0 93.6 218.7 103.7 5 11.3 25.7% 21.6% 74.0% 59.1% 12.1% 13.4% 11.8% 19.4 2.1 0.4%

Asian Hotels (N) Hotels - Medium 77.6 14.8 19.5 279.6 274.8 10 7.7 14.0% 322.9% 23.4% 280.5% 33.3% 26.1% 33.6% 36.4 1.0 0.0%

Assoc.Alcohols Distilleries 96.7 9.6 18.1 273.1 58.5 10 13.9 15.0% 79.8% 50.1% 163.8% 18.5% 12.7% 12.4% 19.7 4.7 0.4%

Banco Products* Auto Ancillaries 314.7 29.5 14.3 221.9 81.4 2 14.1 29.1% 68.5% -18.6% -21.6% 8.9% 15.3% 6.5% 15.7 2.7 4.1%

BCL Industries Solvent Extraction 232.8 4.8 14.2 149.3 68.5 10 10.2 27.3% 21.6% 8.1% 9.6% 3.6% 6.7% 6.5% 14.6 2.2 0.7%

Bhageria Indust. Dyes And Pigments 89.6 14.6 8.0 296.5 84.5 5 24.1 18.4% 126.7% 0.9% 58.7% 27.9% 22.3% 12.8% 12.3 3.5 1.7%

Bhandari Hosiery Textiles 61.9 1.6 14.7 3.3 4.1 1 0.3 23.5% 40.4% 12.1% 100.0% 7.3% 7.5% 7.4% 12.7 0.8 0.3%

Bhansali Engg. Petrochemicals 257.9 29.1 16.6 175.0 12.1 1 5.2 109.8% 849.7% 4.0% 15.8% 16.8% 15.3% 7.4% 33.7 14.5 0.1%

Bharat Bijlee Electric Equipment 227.7 9.7 5.7 1637.2 1158.0 10 39.6 34.3% 190.7% 30.0% 52.2% 6.2% 6.0% 4.1% 41.3 1.4 0.0%

Bharat Rasayan Pesticides / Agroch 188.7 25.1 4.3 4584.2 563.6 10 183.3 45.0% 123.0% -22.7% 1.4% 22.2% 18.2% 17.4% 25.0 8.1 0.0%

Bimetal Bearings Bearings - Large 45.2 1.7 3.8 595.0 436.3 10 20.9 43.6% 286.7% 12.2% -8.4% 6.0% 4.7% -10.4% 28.5 1.4 1.3%

Camson Seeds Miscellaneous 9.0 3.0 30.0 27.8 24.9 10 1.8 411.4% 210.6% 9.4% 39.2% 36.8% 33.8% -104.5% 15.3 1.1 0.0%

Capacit'e Infra. Construction 366.5 22.7 67.9 322.7 104.2 10 12.3 15.8% 40.4% 13.7% 29.0% 13.6% 14.9% 14.4% 26.3 3.1 0.0%

Capital First* Finance 987.6 87.0 98.9 667.0 236.6 10 30.6 36.0% 41.7% 12.2% 11.1% 49.5% 50.0% 54.4% 21.8 2.8 0.4%

Caplin Point Lab* Pharmaceuticals 141.6 37.5 15.1 588.6 32.3 2 18.9 37.8% 57.9% 7.8% 5.5% 35.9% 37.6% 30.5% 31.2 18.2 0.3%

Captain Polyp.* Plastics - Others 38.5 1.9 10.1 155.4 30.8 10 5.3 23.5% 39.6% 253.6% 228.1% 12.7% 18.0% 12.8% 29.3 5.0 0.3%

Castrol India Lubricants 970.3 196.7 494.6 201.9 10.3 5 6.8 24.0% 30.0% 12.6% 23.2% 31.6% 29.4% 27.4% 29.7 19.6 3.5%

Ceinsys Tech Computers 41.0 2.8 11.1 209.9 63.5 10 7.8 38.8% 112.3% 86.6% 922.2% 20.3% 18.5% 18.4% 26.9 3.3 0.6%

Central Dep. Ser* Finance - Small 51.1 25.4 104.5 319.4 44.4 10 9.7 36.1% 24.7% 8.2% -5.4% 61.1% 63.5% 53.3% 33.0 7.2 0.9%

Cerebra Integr.* Computers 89.1 8.6 120.4 58.4 17.6 10 1.5 29.5% 78.3% 48.4% 23.0% 14.6% 11.9% 7.1% 37.7 3.3 0.0%

Chamanlal Setia Food - Proccesing 202.8 13.6 10.4 153.8 31.9 2 8.0 69.2% 25.9% 7.4% 29.7% 10.0% 9.4% 16.3% 19.2 4.8 0.3%

Chembond Chem.* Chemicals 79.4 6.3 6.7 353.5 164.3 5 13.3 11.8% 201.9% 6.4% 38.0% 6.6% 5.7% 4.6% 26.5 2.2 0.5%

Dai-ichi Karkari Chemicals 46.4 5.0 7.5 473.2 173.3 10 17.1 49.8% 63.6% 46.4% 62.1% 14.8% 9.6% 12.0% 27.6 2.7 0.6%

DCM Shriram* Diversified - Mega 1767.6 213.4 32.6 565.1 180.3 2 47.5 30.1% 56.1% 10.6% 24.0% 18.7% 18.2% 13.9% 11.9 3.1 1.0%

Dilip Buildcon Construction 1942.1 164.7 136.8 944.4 151.7 10 43.8 39.8% 51.6% 22.8% 42.5% 17.7% 18.0% 20.0% 21.6 6.2 0.1%

Dynemic Products Dyes And Pigments 43.9 5.4 11.4 201.3 72.8 10 14.9 48.0% 49.7% 19.0% 17.8% 20.6% 22.7% 22.2% 13.5 2.8 0.7%

RETAIL RESEARCH


Co_Name Industry

Net Sales

Dec 17 PAT


Growth in Sales

YoY

Growth in PAT

YoY

Growth in Sales

QoQ

Growth in PAT QoQ



OPM% w/o OI –

Dec16

P/E on TTM EPS P/BV

Div Yield - Latest

Edelweiss.Fin.* Finance 2025.3 236.4 91.1 268.6 36.8 1 8.9 28.4% 52.3% 2.5% 13.0% 62.2% 64.1% 59.8% 30.1 7.3 0.5%

Elantas Beck Chemicals - Organic 97.8 14.8 7.9 2030.5 314.2 10 69.7 15.0% 26.8% 7.3% 11.5% 21.4% 20.8% 19.2% 29.1 6.5 0.2%

Emk.Global Fin.* Securities/Comm 43.3 9.5 24.5 189.5 50.8 10 11.4 58.2% 209.1% 19.8% 52.3% 33.3% 28.0% 20.5% 16.6 3.7 0.5%

Excel Inds. Chemicals 146.8 19.6 6.3 873.1 294.6 5 34.0 60.1% 1557.6% 12.9% 77.7% 21.5% 16.6% 5.3% 25.7 3.0 0.7%

Fairchem Speci.* Chemicals 272.2 10.7 37.6 411.5 20.6 10 7.8 58.9% 39.3% 22.2% 44.9% 10.5% 11.6% 12.3% 52.9 20.0 0.2%

G M Breweries Distilleries 117.9 22.3 14.6 912.4 167.9 10 40.0 20.9% 125.3% 16.4% 41.8% 28.9% 24.6% 15.9% 22.8 5.4 0.3%

G N F C Fertilizers 1590.9 227.9 155.4 433.2 256.3 10 30.7 39.9% 241.3% 5.6% 37.2% 26.9% 21.2% 17.9% 14.1 1.7 1.2%

G S F C Fertilizers 1537.5 199.6 79.7 128.1 170.6 2 12.7 39.4% 226.3% -0.2% 151.9% 10.5% 6.3% 7.1% 10.1 0.8 1.7%

Ganesh Benzopl. Chemicals 46.6 8.0 5.2 88.6 -1.8 1 5.0 57.7% 151.1% 20.1% 2.6% 30.6% 32.8% 34.4% 17.6 -48.4 0.0%

Ganesha Ecosphe. Textiles - Texturising 180.2 9.3 19.2 346.2 127.0 10 17.6 8.8% 25.3% 6.8% 27.2% 11.9% 11.5% 12.2% 19.7 2.7 0.3%

Gayatri Projects Construction 903.9 46.5 35.5 211.6 55.3 2 8.6 73.7% 228.5% 113.6% 96.2% 15.5% 17.6% 15.8% 24.7 3.8 0.0%

Goa Carbon Aluminium Chemicals 186.6 22.5 9.2 987.3 105.5 10 51.2 159.6% 2519.4% 23.9% 63.5% 20.6% 16.6% 2.6% 19.3 9.4 0.5%

Godawari Power* Steel 672.1 74.5 34.1 512.0 203.0 10 34.6 57.6% 908.7% 21.2% 308.3% 25.1% 21.5% 21.1% 14.8 2.5 0.0%

GP Petroleums Lubricants 174.1 5.8 25.5 81.2 31.3 5 3.6 36.5% 72.5% 62.0% 84.7% 4.8% 6.1% 5.6% 22.7 2.6 0.9%

GTPL Hathway Entertainment 189.5 23.7 112.5 165.0 56.1 10 6.5 22.4% 470.7% 4.7% 66.0% 30.3% 28.6% 25.1% 25.4 2.9 0.0%

Guj Alkalies Chlor-Alkali 617.6 112.2 73.4 737.0 490.2 10 54.6 27.1% 137.1% 3.7% 5.5% 29.0% 27.0% 17.5% 13.5 1.5 0.7%

Guj Inds. Power Power Generation 342.6 59.1 151.3 111.5 153.1 10 17.0 12.1% 43.2% 5.8% 10.9% 34.4% 36.9% 31.2% 6.5 0.7 2.4%

Guj. Ambuja Exp Solvent Extraction 1013.4 63.2 22.9 272.2 76.8 2 11.7 16.8% 39.3% 31.5% 201.8% 10.6% 6.2% 8.6% 23.2 3.5 0.3%

Guj.St.Petronet Gas Distribution 350.2 181.6 563.8 206.7 83.8 10 11.3 31.3% 53.1% 4.6% 2.6% 84.8% 85.3% 85.3% 18.3 2.5 0.7%

H P C L Refineries 57229.8 1949.7 1523.8 380.1 150.3 10 42.2 18.0% 22.6% 20.9% 12.4% 5.5% 6.1% 6.0% 9.0 2.5 7.9%

Harita Seating Auto Ancillaries 133.1 9.3 7.8 960.1 127.0 10 37.8 58.2% 51.3% 20.0% 66.8% 7.9% 7.5% 7.7% 25.4 7.6 0.5%

HEG Electrodes - Graphites 842.7 342.1 40.0 2823.1 244.5 10 111.0 248.1% 9846.7% 105.8% 201.0% 66.2% 46.3% 12.0% 25.4 11.5 0.0%

Hikal Pharmaceuticals 346.6 23.2 16.4 251.0 66.1 2 9.6 40.1% 68.0% 20.1% 51.6% 19.3% 18.6% 19.5% 26.0 3.8 0.5%

Hil Ltd Cement Products 282.0 14.3 7.5 1752.0 723.9 10 88.7 32.3% 49.8% 10.0% 51.4% 9.8% 8.8% 4.0% 19.8 2.4 1.1%

Hind.Tin Works Packaging - Metallic 77.6 3.5 10.4 95.6 126.2 10 7.9 33.8% 163.4% 5.3% 77.4% 11.8% 9.8% 9.2% 12.0 0.8 1.0%

Honda Siel Power Electric Equipment 203.3 19.9 10.1 1488.5 434.6 10 59.8 15.4% 40.8% 10.2% 32.8% 16.1% 13.8% 14.1% 24.9 3.4 0.5%

Huhtamaki PPL Packaging 553.6 20.9 15.1 312.8 66.0 2 8.4 7.0% 63.1% 2.8% 9.5% 10.9% 11.8% 9.9% 37.1 4.7 1.0%

I G Petrochems Chemicals 294.6 40.5 30.8 707.9 147.4 10 45.9 23.9% 74.9% 22.3% 20.4% 24.2% 24.9% 15.8% 15.4 4.8 0.4%

I O C L Refineries 110666.9 7883.2 4855.9 379.3 219.5 10 40.9 18.9% 97.3% 22.2% 113.3% 12.0% 8.1% 8.5% 9.3 1.7 5.0%

Indo National Dry Cells 81.2 6.6 3.8 864.1 492.3 10 45.0 10.3% 91.6% 8.8% 39.3% 9.8% 7.3% 4.3% 19.2 1.8 2.9%

Innovative Tech Plastics 32.9 1.8 2.2 78.0 19.3 1 4.7 18.4% -5.8% 23.1% 21.6% 19.7% 19.6% 20.3% 16.7 4.1 0.3%

Interglobe Aviat Transport - Airlines 6177.9 762.0 384.3 1335.5 160.6 10 66.7 23.9% 56.4% 16.8% 38.2% 16.0% 14.0% 12.5% 20.0 8.3 2.5%

IOL Chemicals Chemicals 262.7 8.8 56.2 78.0 34.9 10 3.2 43.5% 771.3% 20.6% 98.6% 12.3% 13.6% 13.9% 24.7 2.2 0.0%

ION Exchange Pollution Control 242.9 8.9 14.7 493.5 191.4 10 34.3 23.3% 49.0% 11.9% 11.7% 5.9% 5.0% 5.2% 14.4 2.6 0.7%

IVP Chemicals 71.7 3.6 10.3 208.2 71.8 10 10.2 86.6% 26.3% 14.7% 28.6% 8.3% 8.6% 10.7% 20.5 2.9 1.0%

J Kumar Infra Construction 457.2 32.9 37.8 320.6 187.6 5 14.3 23.9% 24.0% 44.2% 42.9% 17.0% 19.4% 17.1% 22.4 1.7 0.6%

JHS Sven.Lab.* Personal Care 43.8 2.5 60.9 67.0 34.5 10 2.4 92.8% 41.7% 40.1% 40.1% 11.5% 11.1% 15.2% 27.9 1.9 0.0%

Jindal Saw Steel - Large 2114.7 117.6 64.0 138.2 176.6 2 11.1 55.5% 45.8% 60.1% 95.7% 10.3% 16.5% 17.3% 12.5 0.8 0.7%

JK Paper Paper - Large 790.8 69.8 175.5 140.2 86.8 10 13.8 24.0% 94.5% 17.8% 23.3% 19.5% 20.7% 19.0% 10.1 1.6 1.1%

JM Financial* Finance 760.5 168.1 79.8 147.8 22.3 1 7.4 39.6% 41.7% 11.0% 15.3% 85.7% 83.8% 82.7% 19.9 6.6 1.0%

RETAIL RESEARCH


Co_Name Industry

Net Sales

Dec 17 PAT


Growth in Sales

YoY

Growth in PAT

YoY

Growth in Sales

QoQ

Growth in PAT QoQ



OPM% w/o OI –

Dec16

P/E on TTM EPS P/BV

Div Yield - Latest

JSW Steel* Steel - Large 17669.0 1984.5 241.0 312.1 101.6 1 18.5 28.1% 177.2% 6.2% 137.4% 20.3% 18.2% 20.4% 16.9 3.1 0.7%

Jubilant Life* Pharmaceuticals 2041.5 212.8 15.6 877.6 129.7 1 40.5 41.9% 80.2% 25.9% 69.6% 20.4% 18.9% 23.1% 21.7 6.8 0.3%

K E C Intl.* Transmisson Line 2404.9 111.8 51.4 416.1 67.9 2 15.9 25.8% 78.5% 12.8% 25.1% 10.2% 10.1% 9.5% 26.1 6.1 0.4%

Kabra Extrusion Engineering - Heavy 66.0 4.4 16.0 127.0 67.4 5 6.3 23.2% 396.0% 27.6% 270.6% 9.9% 4.4% 1.7% 20.2 1.9 1.6%

Kallam Spinning Textiles 86.9 5.1 8.6 31.0 20.8 2 3.4 25.0% 989.4% 33.1% 1322.2% 15.1% 11.3% 16.5% 9.2 1.5 0.6%

Kalpataru Power Transmisson Line 1417.4 75.2 30.7 500.6 168.7 2 20.0 25.6% 31.7% 15.9% 5.2% 10.7% 10.9% 10.5% 25.0 3.0 0.4%

Kanchi Karpooram Chemicals 30.3 3.8 4.1 251.6 66.1 10 26.3 88.4% 222.9% 1.8% -5.2% 20.2% 22.9% 14.7% 9.6 3.8 0.0%

Kanpur Plastipa. Packaging - Polysacks 73.5 5.0 11.9 133.6 72.4 10 11.6 21.7% 60.5% 8.2% 41.0% 13.7% 11.4% 12.5% 11.5 1.8 1.3%

KEI Inds. Cables - Power 888.7 39.0 15.7 386.8 64.7 2 16.2 24.3% 50.7% 18.7% 36.9% 9.5% 10.2% 10.7% 23.9 6.0 0.2%

Kellton Tech* Computers 209.7 17.0 23.6 116.0 20.1 5 12.7 32.5% 23.6% 14.0% 17.0% 14.6% 14.6% 13.5% 9.1 5.8 0.0%

KIC Metaliks Castings - Grey Iron 111.9 2.3 7.1 180.0 75.9 10 14.8 178.6% 706.9% 7.1% -7.1% 5.6% 5.7% 8.1% 12.1 2.4 0.0%

KNR Construct. Construction 433.2 65.7 28.1 308.9 72.1 2 17.4 13.3% 61.3% 10.1% 11.2% 22.7% 21.0% 12.3% 17.7 4.3 0.2%

Kolte Patil Dev.* Construction 288.3 36.8 75.8 349.5 110.3 10 16.1 27.2% 131.5% -25.9% 22.0% 23.8% 17.9% 24.6% 21.7 3.2 0.5%

Kopran* Pharmaceuticals 94.3 9.8 43.3 69.4 46.4 10 5.9 18.3% 34.4% 29.5% 116.8% 9.8% 9.5% 13.1% 11.7 1.5 0.0%

Kothari Ferment. Food - Processing 24.2 1.7 15.0 53.0 23.2 10 2.5 10.9% 44.7% 21.5% 170.5% 15.1% 10.4% 12.5% 21.1 2.3 0.0%

Kriti Inds. Plastics - Others 121.9 4.2 5.0 52.2 14.6 1 1.3 36.8% 138.9% 90.9% 407.4% 8.4% 4.5% 7.0% 39.6 3.6 0.3%

KSE Food - Processing 351.4 21.2 3.2 2512.2 318.5 10 189.2 27.5% 287.5% -3.4% 20.8% 9.7% 7.2% 3.5% 13.3 7.9 1.2%

Lambodhara Text. Textiles 41.9 3.5 4.5 75.9 38.1 5 8.0 38.8% 96.6% 13.9% 208.9% 15.0% 12.3% 17.3% 9.5 2.0 1.3%

Lime Chemicals Chemicals 13.3 2.1 5.9 70.9 -43.5 10 10.0 19.6% 49.3% 7.0% -2.8% 17.4% 22.3% 14.5% 7.1 -1.6 0.0%

Lords Chloro Chlor-Alkali 40.3 2.2 25.2 61.0 18.9 10 2.6 45.1% 5500.0% 11.5% 3.7% 12.4% 12.5% 5.9% 23.4 3.2 0.0%

Lumax Auto Tech.* Auto Ancillaries 277.2 14.9 13.6 870.2 144.5 10 36.4 25.9% 84.5% 3.6% -0.7% 9.7% 9.4% 5.9% 23.9 6.0 0.5%

M R P L Refineries 14101.0 969.9 1752.6 119.3 54.3 10 14.7 22.9% 71.2% 55.0% 95.6% 12.4% 9.7% 10.0% 8.1 2.2 5.0%

Mahalaxmi Rubtec Textiles 52.9 1.0 11.5 53.0 58.8 10 2.9 16.1% 288.0% -8.1% 148.7% 7.1% 5.2% 5.8% 18.5 0.9 0.0%

Mahanagar Gas Gas Distribution 581.4 124.0 98.8 1043.6 198.4 10 47.8 15.3% 25.2% 8.9% -0.6% 34.6% 37.5% 33.1% 21.8 5.3 1.8%

Mahindra CIE Forgings - Large 561.5 16.8 378.4 238.9 92.4 10 1.9 39.6% 53.8% 15.9% -17.3% 9.2% 10.1% 8.5% 126.4 2.6 0.0%

Maithan Alloys Ferro Alloys 549.1 78.3 29.1 919.7 244.4 10 104.8 72.6% 17.6% 19.7% 20.0% 19.1% 19.6% 25.4% 8.8 3.8 0.3%

Man Inds. Steel - Tubes / Pipes 480.7 17.0 28.6 126.1 106.8 5 8.4 128.0% 532.7% 69.1% 82.0% 4.5% 5.5% 2.0% 15.1 1.2 1.2%

Mastek* Computers - Software 209.5 18.4 11.8 518.3 96.5 5 27.2 66.1% 53.1% 5.6% 5.4% 12.3% 12.0% 11.4% 19.1 5.4 0.7%

Merck Pharmaceuticals 304.1 21.1 16.6 1583.6 407.3 10 52.9 21.7% 8.5% -2.7% -33.4% 10.1% 18.1% 9.5% 30.0 3.9 0.9%

Mideast Int. Stl Steel - Pig Iron 208.7 57.3 137.9 62.2 49.5 10 7.4 268.3% 2966.3% 120.0% 118.4% 34.4% 42.8% 23.1% 8.4 1.3 0.0%

Milkfood Food And Dairy 142.1 3.7 4.9 533.2 186.2 10 27.0 27.1% 111.0% 42.6% 30.8% 6.4% 6.9% 5.4% 19.8 2.9 0.0%

Multibase India Plastics - Others 28.6 5.7 12.6 641.0 58.2 10 14.9 39.1% 88.0% 4.0% 10.3% 29.0% 27.6% 21.0% 43.0 11.0 0.0%

N R Agarwal Inds Paper 315.2 25.9 17.0 442.2 128.4 10 52.8 20.4% 37.4% 13.9% 39.1% 12.5% 11.5% 13.7% 8.4 3.4 0.5%

Nath Bio-Genes Floriculture 25.8 4.0 16.0 477.0 156.7 10 15.9 41.7% 237.6% 78.9% 11.0% 26.8% 45.0% 28.7% 30.0 3.0 0.0%

Natl. Peroxide Chemicals - Inorganic 69.7 20.7 5.8 2514.6 814.9 10 120.3 30.9% 162.9% 4.9% 12.3% 45.0% 42.1% 24.6% 20.9 3.1 1.4%

NCC Construction 1850.7 122.6 111.2 131.4 67.4 2 6.6 -2.8% 94.2% 42.3% 54.6% 12.2% 5.0% 8.7% 20.0 1.9 0.3%

Nitta Gelatin Chemicals - Gelatine 94.9 5.8 9.1 225.9 172.1 10 11.6 18.7% 44.9% 17.7% 25.7% 11.6% 13.2% 12.1% 19.4 1.3 1.1%

NOCIL Chemicals 249.3 45.0 164.4 193.8 46.3 10 8.7 40.6% 80.7% 9.5% 18.1% 27.9% 23.7% 22.0% 22.3 4.2 0.9%

OCL India Cement 859.2 117.7 11.4 1220.3 442.3 2 74.9 25.4% 46.8% 23.0% 49.3% 19.8% 20.2% 22.9% 16.3 2.8 0.4%

Orient Bell Ceramics - Tiles 165.5 4.3 14.2 280.7 137.4 10 11.9 16.8% 58.6% 10.1% 20.4% 7.1% 6.9% 7.8% 23.7 2.0 0.2%

RETAIL RESEARCH


Co_Name Industry

Net Sales

Dec 17 PAT


Growth in Sales

YoY

Growth in PAT

YoY

Growth in Sales

QoQ

Growth in PAT QoQ



OPM% w/o OI –

Dec16

P/E on TTM EPS P/BV

Div Yield - Latest

Orient Refrac. Refractories 157.8 22.0 12.0 167.2 23.3 1 6.3 23.2% 31.0% 6.3% 9.5% 21.0% 19.7% 19.9% 26.4 7.2 1.5%

Pasupati Acrylon Textiles 142.7 11.7 89.1 25.9 14.8 10 3.9 48.1% 1483.8% 1.0% 74.9% 12.5% 8.0% 0.8% 6.6 1.8 0.0%

PBM Polytex Textiles 60.5 1.9 8.1 89.4 131.6 10 8.0 39.7% 29.3% 62.0% 186.2% 4.6% -6.5% 1.2% 11.2 0.7 3.4%

Petronet LNG Gas Distribution 7757.1 528.8 1500.0 246.9 57.8 10 13.5 23.1% 33.0% -0.2% -10.2% 10.9% 11.6% 9.6% 18.3 4.3 2.0%

Phillips Carbon Carbon Black 612.4 56.6 34.5 1201.2 362.1 10 53.3 26.1% 280.3% 2.5% 11.4% 15.8% 15.8% 13.3% 22.5 3.3 0.5%

Piramal Enterp.* Pharmaceuticals 2858.4 490.5 34.6 2585.7 874.9 2 86.5 22.6% 20.9% 12.7% 27.9% 50.6% 50.1% 46.5% 29.9 3.0 0.8%

Prec. Wires (I) Metal - Copper 413.5 10.9 11.6 302.9 96.5 5 15.2 100.5% 149.7% 34.8% 42.4% 5.9% 6.2% 6.0% 19.9 3.1 1.2%

Prima Agro Miscellaneous 34.7 0.7 5.2 33.8 5.2 10 5.1 NA 44.0% -31.9% -7.7% 3.5% 2.6% NA 6.7 6.5 0.0%

PSP Projects Construction 170.8 15.2 36.0 497.4 73.4 10 17.1 126.5% 107.4% 22.4% 19.9% 15.6% 13.4% 12.5% 29.1 6.8 0.5%

RACL Geartech Auto Ancillaries 35.7 1.7 9.9 65.5 40.2 10 5.4 18.7% 45.2% 12.0% 62.1% 8.8% 8.5% 11.5% 12.1 1.6 0.0%

Rain Industries* Trading 3144.8 388.8 67.3 381.0 27.5 2 25.7 32.5% 333.0% 3.1% 53.4% 18.3% 22.1% 18.3% 14.8 13.9 0.5%

Ramkrishna Forg. Forgings 400.1 27.7 32.6 752.1 220.6 10 22.8 88.6% 1314.8% 20.0% 17.8% 19.3% 19.5% 19.1% 32.9 3.4 0.1%

RCI Industries* Trading 539.9 9.7 13.4 181.0 82.9 10 37.0 40.2% 35.1% 2.8% 7.8% 3.1% 2.2% 3.0% 4.9 2.2 0.0%

Reliance Nip.Lif Finance - Small 394.0 128.0 612.0 271.4 38.6 10 7.8 23.5% 26.7% 5.9% 6.7% 34.0% 35.2% 39.5% 35.0 7.0 79.2%

Renaissance Jew.* Diamond Cutting 616.1 29.6 18.9 342.5 233.4 10 33.8 19.7% 28.7% 60.7% 74.9% 7.0% 6.7% 7.2% 10.1 1.5 0.0%

Ruchira Papers Paper 117.5 11.9 22.4 176.6 77.8 10 18.4 14.8% 47.6% 13.0% 41.6% 19.3% 15.4% 15.9% 9.6 2.3 1.3%

Safari Inds. Moulded Luggage 103.4 6.8 4.5 522.0 70.9 2 7.5 11.5% 128.3% 17.3% 93.2% 11.9% 9.1% 6.6% 69.9 7.4 0.1%

Sahyadri Inds. Cement Products 57.2 4.3 9.6 301.9 126.9 10 22.1 28.9% 233.5% 22.3% 14.4% 24.3% 24.0% 11.7% 13.7 2.4 0.0%

Saksoft* Computers 75.1 7.0 10.5 241.4 70.9 10 19.9 18.2% 42.4% 11.2% 32.0% 15.2% 13.4% 12.6% 12.1 3.4 1.2%

Salasar Techno* Steel 132.3 8.5 13.3 354.8 101.7 10 20.6 39.1% 85.5% 32.8% 53.0% 11.1% 11.1% 9.6% 17.2 3.5 0.0%

Salzer Electron. Electric Equipment 110.7 5.3 14.5 211.8 168.0 10 12.9 21.9% 57.4% 9.9% -9.0% 12.2% 12.8% 10.6% 16.4 1.3 0.8%

Sanco Industries Plastics - Pipes 47.9 1.3 10.3 38.0 29.3 10 3.6 324.0% 966.7% 90.3% 0.8% 6.1% 14.1% 20.2% 10.6 1.3 0.0%

Sandur Manganese Mining / Minerals 152.3 20.5 8.8 1245.2 542.7 10 111.6 55.6% 123.9% 6.0% -27.0% 21.8% 29.8% 18.7% 11.2 2.3 0.4%

Savita Oil Tech Petrochemicals 453.6 35.2 14.6 1501.2 487.6 10 80.4 22.9% 94.2% 3.3% 28.5% 11.5% 9.6% 8.2% 18.7 3.1 0.9%

Seya Indus. Chemicals 88.4 15.7 24.6 657.9 298.7 10 22.9 12.0% 67.2% 7.5% 3.9% 34.8% 33.1% 22.0% 28.7 2.2 0.2%

Sh. Jagdamba Pol Packaging - Polysacks 46.3 4.3 0.9 209.5 38.6 1 12.7 47.9% 186.0% 8.4% 27.7% 16.8% 15.7% 10.3% 16.5 5.4 0.0%

Shaily Engineer. Plastics - Others 78.6 5.9 8.3 1187.4 133.8 10 28.8 41.8% 245.6% -0.3% -7.1% 16.7% 18.2% 13.4% 41.3 8.9 0.4%

Shakti Pumps* Pumps 147.7 16.7 18.4 570.3 122.8 10 18.7 41.9% 306.8% 119.8% 452.3% 20.6% 16.2% 14.2% 30.5 4.6 0.4%

Shivalik Bimetal Electronics 41.7 3.1 7.7 129.4 20.0 2 3.5 33.1% 54.5% 9.7% -11.6% 13.1% 15.9% 14.4% 37.0 6.5 0.4%

Shivalik Rasayan* Pesticides / Agroch 38.4 3.9 4.2 767.8 115.0 10 30.7 25.3% 64.2% 0.8% 20.9% 17.9% 13.2% 14.7% 25.0 6.7 0.1%

Simm. Marshall Fasteners 46.2 2.9 2.2 124.0 50.0 2 6.5 29.5% 116.5% -1.5% -7.4% 12.7% 13.4% 10.3% 19.1 2.5 0.4%

Simplex Infra Construction - 1360.1 31.1 9.9 581.7 319.9 2 31.1 -1.9% 69.0% 9.2% 12.0% 13.1% 13.6% 11.5% 18.7 1.8 0.1%

Skipper Engineering - Heavy 566.4 29.2 10.2 240.5 53.9 1 11.8 33.2% 31.5% 9.9% 25.6% 13.1% 13.2% 13.7% 20.3 4.5 0.6%

Sonata Software* Computers 766.8 49.3 10.4 321.3 43.5 1 16.7 33.3% 22.0% 79.6% 9.1% 8.5% 12.8% 9.5% 19.2 7.4 2.8%

SpiceJet* Transport - Airlines 2067.6 239.5 599.5 138.1 -5.6 10 9.3 29.0% 68.4% 15.0% 129.1% 14.6% 8.7% 10.9% 14.9 -24.9 0.0%

SPML Infra Construction 344.1 8.4 8.2 112.2 126.2 2 8.6 -20.2% 2318.4% 74.1% 3.4% 20.5% 20.4% -5.2% 13.1 0.9 0.0%

Sreeleathers Leather Products 32.5 4.9 25.2 240.0 99.4 10 7.7 39.2% 91.1% -24.9% -23.4% 23.8% 22.7% 19.2% 31.1 2.4 0.0%

SRF* Textiles - Manmade 1378.2 131.2 57.4 1898.7 570.5 10 81.3 23.5% 21.1% 8.5% 27.7% 18.3% 16.6% 20.3% 23.3 3.3 0.6%

Steel Str. Wheel Auto Ancillaries 397.4 18.1 15.6 1017.0 344.5 10 46.5 19.4% 43.6% 5.2% -0.3% 12.0% 13.1% 11.3% 21.9 3.0 0.3%

Sterlite Tech.* Cables - Telephone 835.2 99.2 80.2 358.7 23.0 2 7.8 23.9% 87.1% 7.2% 27.3% 24.1% 21.8% 20.6% 45.8 15.6 0.3%

RETAIL RESEARCH


Co_Name Industry

Net Sales

Dec 17 PAT


Growth in Sales

YoY

Growth in PAT

YoY

Growth in Sales

QoQ

Growth in PAT QoQ



OPM% w/o OI –

Dec16

P/E on TTM EPS P/BV

Div Yield - Latest

Sukhjit Starch Starch 191.2 8.4 7.4 509.2 328.1 10 28.5 11.6% 107.4% 18.2% 104.9% 10.3% 7.4% 6.4% 17.9 1.6 1.0%

Sunflag Iron Steel 506.4 40.9 180.2 97.6 42.1 10 5.8 33.9% 214.7% -5.0% 58.9% 14.9% 10.3% 8.7% 16.8 2.3 0.0%

Surya Roshni Steel 1312.8 31.0 54.4 441.1 145.1 10 16.3 31.2% 34.5% 15.5% 31.8% 7.0% 7.2% 8.1% 27.0 3.0 0.3%

Suyog Telematics Transmisson Line 22.6 6.2 10.2 380.1 60.6 10 15.6 50.2% 62.0% 11.5% 29.0% 49.6% 48.3% 46.8% 24.4 6.3 0.0%

T.V. Today Netw. Entertainment 173.6 35.7 29.8 465.4 110.7 5 20.9 23.2% 35.8% 20.3% 20.5% 32.9% 33.1% 29.7% 22.3 4.2 0.4%

Talbros Auto.* Auto Ancillaries 102.0 5.7 12.4 290.4 109.7 10 14.2 29.9% 43.9% 1.2% 11.2% 10.9% 9.8% 9.7% 20.4 2.6 0.5%

Tanfac Inds. Aluminium Chemicals 38.7 2.8 10.0 127.5 8.1 10 7.5 30.2% 241.0% -4.0% 28.8% 13.6% 12.8% 2.2% 17.1 15.7 0.0%

Tata Metaliks Steel - Pig Iron 489.9 40.4 25.3 809.4 104.2 10 57.3 63.2% 106.7% 8.8% 20.3% 14.8% 14.8% 14.3% 14.1 7.8 0.3%

Tata Sponge Iron* Steel - Sponge Iron 214.5 36.0 15.4 1050.6 585.9 10 74.9 49.4% 228.2% 28.3% 30.3% 22.4% 20.6% 7.5% 14.0 1.8 1.0%

Tata Steel* Steel - Large 33100.0 1745.1 970.2 671.7 514.2 10 61.6 20.1% 627.4% 3.1% 68.0% 13.8% 14.6% 12.9% 10.9 1.3 1.5%

Technofab Engg. Engineering 107.9 3.2 10.5 232.0 255.7 10 8.7 16.4% 49.1% 40.5% 17.3% 12.1% 14.5% 13.5% 26.8 0.9 0.0%

Thirumalai Chem.* Chemicals 345.6 51.5 10.2 1996.4 414.9 10 145.8 39.3% 241.0% 10.6% 11.1% 23.1% 25.1% 16.3% 13.7 4.8 0.9%

Tide Water Oil Lubricants 292.4 29.1 1.7 6432.2 1796.6 5 302.9 20.9% 27.6% 10.0% 25.3% 11.4% 10.7% 11.0% 21.2 3.6 2.3%

Time Technoplast* Plastics - Others 754.7 46.7 22.6 173.1 52.2 1 7.4 12.5% 27.9% 4.1% 11.4% 15.4% 15.1% 15.3% 23.3 3.3 0.4%

Transport Corp. Transport - Road 555.3 27.9 15.3 272.9 81.6 2 11.7 24.3% 65.1% 6.7% 9.3% 9.5% 9.6% 8.4% 23.3 3.3 0.4%

TTK Healthcare Pharmaceuticals 146.0 12.3 7.8 1211.7 196.2 10 31.6 18.9% 243.1% -6.1% 9.4% 13.1% 11.2% 6.2% 38.3 6.2 0.4%

Ultramarine Pig. Dyes And Pigments 76.0 11.8 5.8 332.4 152.0 2 14.7 11.6% 42.2% 17.1% -13.6% 21.6% 22.5% 19.4% 22.6 2.2 1.2%

Universal Cables Cables - Power 297.1 8.4 34.7 145.2 79.2 10 8.3 43.9% 72.9% 16.0% 7.5% 9.2% 9.1% 8.7% 17.4 1.8 0.0%

Venky's (India) Hatcheries 695.9 69.4 14.1 3937.7 425.3 10 135.0 12.7% 66.4% 18.4% 155.8% 17.7% 9.6% 13.7% 29.2 9.3 0.2%

Veto Switchgears* Electric Equipment 70.2 7.8 18.3 220.8 65.9 10 15.0 27.0% 152.4% 10.3% -4.6% 15.2% 18.9% 8.7% 14.7 3.4 0.9%

Visaka Inds. Cement Products 241.8 14.3 15.9 689.7 260.9 10 38.6 10.5% 141.7% 20.3% 0.8% 14.2% 16.6% 10.1% 17.8 2.6 0.9%

V-Mart Retail Trading 368.0 36.7 18.1 1619.9 162.3 10 36.9 12.6% 27.4% 52.1% 1233.8% 17.4% 3.5% 15.0% 43.9 10.0 0.1%

Volt.Transform. Electric Equipment 160.1 23.6 10.1 1143.3 569.5 10 75.1 52.1% 153.3% 24.2% 54.5% 11.7% 6.7% 9.5% 15.2 2.0 1.3% Note: 1) While compiling the above, we have excluded companies whose Q3FY18 sales is less than Rs.30crores 2) * - Consolidated numbers; Book value is standalone even for companies with consolidated figures, CMP is as of 28 Feb, 2018, PAT is adjusted and not reported,

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