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Please refer to important disclosures at the end of this report 1

Quarterly highlights Consolidated

Op. profit 79 67 102 18.9 (22.4)

Source: Company, Angel Research

For 2QFY2013, Ashoka Buildcon (ABL) reported a mixed set of numbers with

revenue reporting a muted growth while EBITDAM came in ahead of our estimate

resulting in higher earnings growth. Order book as of 2QFY2013 stood at

`4,417cr (2.8x FY2013E E&C revenue), providing revenue visibility.

On the top-line front, ABL reported a muted growth of

6.5% yoy to`305cr (`287cr) which was below our estimate of`403cr. The E&C

segment contributed revenue of `240cr (including other income) and the BOT

segment reported `70cr (including other income) for the quarter. On the

EBITDAM front, ABLs margins came in at 26.0% (23.3%) higher than our

estimate of 22.0%. Interest cost came in at`34cr a jump of 40% yoy but a decline

of 9.4% on sequential basis. On the bottom-line front, ABL reported a decent

growth of 42% yoy to`24.0cr (`17.0cr) above our estimate of`22.0cr, owing to

better-than-expected performance at the operating level.

ABL successfully diluted 34% stake in Ashoka Concessions

Ltd (ACL) for `700cr to SBI-Macquarie, valuing ACL at `2,060cr. Further, SBI-

Macquarie will invest a further`650cr for future bids as well. This development is

positive for ABL as not only does it take care of equity requirement for the current

portfolio but it also provides comfort for future bids. Management expects to get

environment clearance by March end, post which it would commence construction

activity for the Cuttack Angul project.

Key financials (Consolidated)

% chg 63.8 15.1 35.4 13.7

% chg 25.3 23.9 14.0 16.9

EBITDA Margin (%) 19.4 21.7 22.4 22.4

P/E (x) 11.4 9.2 8.0 6.9

RoAE (%) 14.9 13.1 13.0 13.4

RoACE (%) 9.3 6.7 6.0 5.5P/BV (x) 1.3 1.1 1.0 0.9

EV/Sales (x) 1.8 1.8 2.0 2.2

EV/EBITDA (x) 9.1 8.4 8.8 10.0


CMP `217

Target Price `286

Investment Period 12 Months

Stock Info

Sector

Net Debt (`cr) 1,895

Bloomberg Code

Shareholding Pattern (%)

Promoters 67.4

MF / Banks / Indian Fls 18.3

FII / NRIs / OCBs 0.0

Indian Public / Others 14.3

Abs. (%) 3m 1yr 3yr

Sensex 6.4 7.6 13.6

ABL (7.2) (11.7) #

Note:#

listing in Oct 2010

52 Week High / Low 279/180

Infrastructure

Market Cap (`cr) 1,111

Beta 0.5

Avg. Daily Volume 2,469

Face Value (`) 10

BSE Sensex 18,684

Nifty 5,686

Reuters Code ABDL.BO

ASBL@IN

022-39357800 Ext: 6842

[email protected]

Performance Highlights

2QFY2013 Result Update | Infrastructure

November 9, 2012

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Ashoka Buildcon| 2QFY2013 Result Update

November 9, 2012 2

Exhibit 1:2QFY2013 performance (Consolidated)

OPM (%) 26.0 23.3 270bp 22.0 408bp 23.6 23.4 15bp

Interest 34 25 40.0 38 (9.4) 73 48 51.1

Depreciation 26 28 (8.2) 32 (20.8) 58 55 5.5

Non operating income 5 5 (11.2) 9 (49.0) 14 10 42.5

Nonrecurring items/Dividend from SPV's - - - - - - - -

Tax 9 4 16 25 19 35.5

Share of Profits/ (Losses) of Asso. 2 - - 9 - 11 - -

Share of Profits/ (Losses) of MI (7) (2) - (8) - (15) (3) -

PAT (%) 7.9 5.9 196bp 8.8 (96)bp 8.4 6.3 213bp


Exhibit 2:Segmental revenue break-up

Construction segment 240 227 6.0 395 (39.2) 636 555 14.6

BOT segment 70 65 7.1 80 (13.0) 150 129 16.2


BOT segment 53 48 8.6 58 (8.7) 110 99 11.2

Construction segment (%) 13 10 330bp 14 (51)bp 13 12 125bp

BOT segment (%) 76 75 98bp 72 360bp 74 77 (329)bp

Construction segment 9 7 43.8 9 7.2 18 15 22.7

BOT segment 25 17 50.1 29 (14.4) 54 34 62.4

Construction segment 7 7 3.2 7 4.9 14 13 6.1

BOT segment 19 21 (12.0) 26 (27.6) 44 42 5.2


BOT segment 14 10 - 15 (6.9) 30 22 33.3


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November 9, 2012 3

Exhibit 3:2QFY2013 Actual vs Angel estimates

Revenue 403 305 (24.2)

EBITDA 89 79 (10.3)Interest 40 34 (13.7)

PAT 22 24 6.7


Execution disappoints

On the top-line front, ABL reported a muted growth of 6.5% yoy to `305cr

(`287cr) which was below our estimates of `403cr. This was mainly on

account of slower execution pace in the under-construction projects owing to

heavy monsoons. The E&C segment contributed revenue of `240cr (including

other income) and the BOT segment reported `70cr (including other income) forthe quarter respectively.

Going forward, management expects its under-construction projects (a)

Sambalpur-Baragarh, (b) Belgaum-Dharwad and (c) Dhankuni-Kharagpur to drive

E&C revenue growth. Management expects the E&C segment to contribute

revenues of ~`1,500cr for the full year on the back of its order book of`4,417cr.

Exhibit 4:Muted revenue growth of 6.5% yoy


603

388

287

353

468

466

305

121.4

38.9 56.849.3

(22.4) 20.1

6.5

(40.0)

(20.0)

-

20.0

40.0

60.0

80.0

100.0

120.0

140.0

-

100

200

300

400

500

600

700

4QFY11 1QFY12 2QFY12 3QFY12 4QFY12 1QFY13 2QFY13

Net Sales (` cr, LHS) Growth (yoy %, RHS)

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November 9, 2012 4

BOT toll revenue

On the toll collection front, ABL witnessed a growth of 59.7% yoy but a decline of

8.3% on a qoq basis. This growth was on the back of commencement of toll

collection on Dhankuni Kharagpur and Jaora Nayagaon (third section in

4QFY2012) projects.

Toll collections: From April 1, 2012 onwards, ABL started toll collection on

Dhankuni-Kharagpur project and has reported a toll collection of `4cr for

2QFY2013. ABL is expecting toll collection to increase by ~30-33% (owing to

upward toll revision) in Dhankuni-Kharagpur project post completion of

structures in June 2013. During the quarter, three projects had a toll rate hike

of ~9% yoy namely Waiganga (w.e.f August 2012), Durg and Bhandara (w.e.f

September 2012).

Exhibit 5:Road BOT project-wise toll revenue growth (`cr)

Indore-Edalabad 16 16 1.7 18 (11.5) 34 32 4.1

Ahmednagar-Aurangabad 4 4 (7.9) 4 (5.2) 8 8 (6.5)

Wainganga Bridge 5 5 0.4 6 (10.0) 11 10 10.6

Dewas Bypass 5 5 10.8 6 (7.3) 11 10 14.4

Katni Bypass 4 5 (6.1) 5 (7.9) 9 10 (5.1)

Pune-Shirur$ 5 5 8.0 6 (10.7) 11 10 9.2

Nagar-Karmala 6 6 (8.2) 6 (10.4) 12 13 (4.2)

Jaora-Nayagaon** 27 16 72.5 27 (0.1) 54 26 107.2

Bhandara 11 10 6.6 11 1.5 22 20 8.3Belgaum Dharwad# 14 13 9.4 15 (3.2) 29 22 34.2

Others* 14 0 - 14 (5.6) 28 0 -

Durg 37 0 - 40 (6.9) 77 0

Dhankuni Kharagpur 4 11 (61.7) 9 (54.1) 14 23 (41.4)

Source: Company, Angel Research; Note $ Toll collection disturbed in 3QFY2011 and 4QFY2011, Toll on one toll plaza discontinued, # Toll collection

adjusted in Capital WIP, Toll collection started from May 2011, *Others include Anawali Kasegaon, Dhule Bye pass, Nashirabad & Sherinala, ** Toll on the

second section started in May 2011 and that on the third section started on February 15, 2012

Under-construction projects

Company has completed 84% of the construction work as on

2QFY2013 and also started collecting partial toll from October 2, 2012.

28% construction on the project is complete.

The concession agreement has been signed on March 15,

2012. Debt tied up of`801cr with Axis Bank.

53% construction on the project is complete.

: Received the Appointed date on April 1, 2012. company

Company has completed 14% of EPC as on 2QFY2013.

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November 9, 2012 5

Better EBITDAM leads to higher-than-expected earnings

On the EBITDAM front, ABLs margins came at 26.0% (23.3%) higher than our

estimate of 22.0%.Interest cost came in at`34cr a jump of 40% yoy but a decline

of 9.4% on a sequential basis. On the bottom-line front, ABL reported a decent

growth of 42% yoy to`24.0cr (`17.0cr) above our estimate of`22.0cr, owing to

better-than-expected performance at the operating level.

Exhibit 6:EBITDAM improves


Exhibit 7:PATM higher owing to lower depreciation


PE deal removes funding constraints

ABL successfully diluted 34% stake in in Ashoka Concessions Ltd (ACL) for`700cr

in favour of SBI-Macquarie, valuing ACL at`2,060cr. The details are as follows:

ACL, (subsidiary of ABL) will have the following BOT projects - Belgaum-

Dharwad, Sambalpur-Baragarh, Dhankuni-Kharagpur, Bhandara Highways,

Dhule Highways, Pimpalgaon-Nashik-Gonde and Jaora-Nayagaon (six NH

project and one state highway project).

ACLs portfolio size - `7,800cr, total equity requirements for the current

portfolio is`1,550cr and ABL has already invested`765cr till 2QFY2013. SBI-

Macquarie will invest`700cr towards equity requirements of the portfolio and

another firm commitment of `100cr will be available for any contingent

requirements for these seven projects.

SBI Macquarie will have an equity stake of 34% for`700cr, and this 34% can

go up to 39% depending on the performance of Sambalpur project.

In addition to`800cr investment mentioned above, SBI-Macquarie will invest

further`650cr for future bids.

ABL expects to complete the pre-disbursement formalities by 3QFY2013.

75

91

67

69

94

102

79

12.5

23.5 23.3

19.6

20.022.0

26.0

-

5.0

10.0

15.0

20.0

25.0

30.0

-

20

40

60

80

100

120


EBITDA (` cr) EBITDAM (%, RHS)

38

32

17

20

47

41

24

6.3 8.3

5.9 5.5

10.0

8.8

7.9

-

2.0

4.0

6.0

8.0

10.0

12.0

-

5

10

1520

25

30

35

40

45

50


PAT (` cr, LHS) PATM (%, RHS)

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November 9, 2012 6

Outlook and valuation

The PE deal is a positive for ABL as not only does it take care of equity requirement

for the current portfolio but also provides comfort for future bids. ABL has also

managed to achieve financial closure for the Cuttack Angul project, however,

owing to pending environmental clearances ABL has not received the appointed

date by NHAI. The management expects to get the environmental clearances by

March-end post which it will start construction activity on the project.

We have valued ABL on a SOTP basis by assigning 4.0x EV/EBITDA to its

standalone business and valued its BOT projects on NPV basis (it should be noted

we have been conservative than management on revenue estimates [toll receipts]

for under-construction projects, keeping an eye on revenue yield given the current

competitive environment) to arrive at a target price of `286.

Exhibit 8:SOTP valuation break-up

Indore -Edalabad NPV 225 99.7 225 43 14.9

Ahmednagar-Aurangabad NPV 55 100.0 55 11 3.7

Wainganga Bridge NPV 64 50.0 32 6 2.1

Dewas Bypass NPV 32 100.0 32 6 2.1

Katni Bypass NPV 29 99.9 29 6 1.9

PuneShirur NPV 54 100.0 54 10 3.6

Nagar -Karmala NPV 55 100.0 55 11 3.7

Bhandara NPV 169 51.0 86 16 5.7

JaoraNayagaon NPV 432 22.9 99 19 6.5

Durg NPV 139 51.0 71 13 4.7

Pimpalgaon-Nashik-Gonde NPV 248 26.0 64 12 4.3

Belgaum Dharwad NPV 28 100.0 28 5 1.8

Sambalpur-Baragarh NPV 28 100.0 28 5 1.9

DhankuniKharagpur NPV 9 100.0 9 2 0.6

Cuttack Angul P/BV 20 100.0 20 4 1.3

Others NPV 26 100.0 26 5 1.8

EPC (Parent) 4.0x EV/EBITDA 867 165 57.5

Net debt at standalone level (273) (52) (18.1)

Source: Company, Angel Research, Note: Discount rate 14% and 16% for operational and under-construction projects, respectively, *Others include

Nashirabad ROB, Sherinallah bridge and FOBs

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November 9, 2012 7

Exhibit 9:ABL BOT projects details/assumptions

Indore -Edalabad MPRDC 407 87 165.0 64.7 55.6 45.0 22-Sep-01 11.9 7.0 5.0

Ahmednagar-Aurangabad PWD 168 100 103.0 36.0 67.0 - 18-Dec-06 10.0 15.0* 5.0

Wainganga Bridge MORTH 26 50 41.0 14.5 26.5 - 16-Nov-98 9.5 6.0 5.0

Dewas Bypass PWD 40 100 61.0 25.0 36.0 - 31-Aug-01 13.8 25.0* 5.0

Katni Bypass PWD 35 100 71.0 28.0 43.0 - 19-Aug-02 14.0 5.0 5.0

PuneShirur PWD 216 100 161.0 55.0 106.0 - 7-May-03 11.0 18.0* 5.0

Nagar -Karmala PWD 160 100 50.0 31.5 18.5 - 19-Feb-99 11.3 18.0* 5.0

Bhandara NHAI 377 51 535.0 150.0 375.0 10.0 18-Sep-07 11.0 6.0 5.0

Dhule Bypass PWD 12 100 6.0 0.6 5.4 - 28-Aug-97 No debt - 5.0

Nashirabad MORTH 8 100 15.0 14.5 0.5 - 16-Nov-98 No debt 21.0# 5.0

Sherinala PWD 7 100 14.0 7.0 7.1 - 23-Mar-99 No debt 16.0 5.0

Anawali Kasegaon PWD 22 5 7.4 3.3 4.1 - 1-Mar-04 No debt n.a. 5.0

JaoraNayagaon MPRDC 340 15 835 273.0 562.0 (15.3)^ 20-Aug-07 11.0 5.0 5.0

Durg NHAI 368 51 587 201.0 386.0 (1.0) 23-Jan-08 13.3 5.0 5.0

PNG NHAI 452 26 1,691 339.0 1,352.0 6.2%@ 8-Jul-09 10.3 5.0 5.0

Belgaum Dharwad NHAI 454 100 694 215.0 479.0 (31.0)^ 29-Jun-10 12.3 5.0 5.0

Sambalpur-Baragarh NHAI 408 100 1,142 332.0 810.0 (1.3)^ 29-Jun-10 11.8 5.0 5.0

DhankuniKharagpur NHAI 840 100 2,200 450.0 1,750.0 (126.1)^ 21-Jun-11 11.0 5.0 5.0

Source: Company, Angel Research, Note:* Every three years, # Every five years, ^ 5% increment per annum, @ 6.19% of revenue payable as premium and

increment of 1% per annum

Exhibit 10:Angel EPS forecast vs consensus

FY2013E 27.0 27.6 (2.1)

FY2014E 31.6 32.6 (3.1)


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November 9, 2012 8

Investment arguments

ABL is able to undertake all activities related to a BOT

road project in-house from tendering for the project to collection of tolls. ABLs

integrated structure enables it to bid for BOT projects with confidence given itsability to complete and operate the project on a profitable basis. It also allows

capturing the entire value in the BOT development business, including EPC

margins, developer returns and operation and maintenance margins.

NHAI plans to award 9,500kms in FY2013

despite awarding only ~560kms of projects in the April-September period months.

Of this, it is targeting to award ~3,000kms on an EPC basis and rest on BOT

basis. Going ahead, we believe there is fair amount of awarding remaining from

NHAIs end (~21,000kms), state projects, expressways and mega highways which

would provide humungous opportunities for road-focused players such as ABL.

Concerns

: The inherent nature of BOT projects requires high leverage.

Going by the thumb rule, most road BOT projects have a debt-equity blend of

70:30. Hence, the companys business model is vulnerable to interest rate

fluctuations, and any hike in interest rates could increase its interest costs.

Revenue from BOT toll-based projects is directly affected by

traffic growth. Companies bid for projects assuming long-term traffic growth

patterns, which may be higher than actual growth. This aberration in traffic growth

estimates could result in lower returns for companies. Moreover, any economicslowdown could impact our estimates. The thumb rule for traffic growth is a factor

of 0.8-0.9x of real GDP growth. Therefore, we have conservatively factored in 5%

traffic growth in ABLs BOT projects.

Prices of commodities like cement, steel and bitumen play an

important role in shaping EBITDAM. We have factored in a flat EBITDAM for ABL

for the C&EPC and BOT segments owing to inclusion of escalation clause while

estimating costs and due to the integrated business model of ABL. However, if the

movement in the prices of these commodities is higher than estimates, it would

have a negative impact on the companys EBITDAM.

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November 9, 2012 9

Exhibit 11:Recommendation summary

CCCL 14 - Neutral 2,048 2,262 2,522 11.0 (0.5) 1.5 2.7 - - 9.3 5.2 2.2

IRB Infra 121 164 Buy 3,133 3,843 4,212 15.9 14.9 16.8 17.8 9.3 8.1 7.2 6.8 2.9

ITNL 186 225 Buy 5,606 6,564 7,054 12.2 25.6 26.3 29.0 6.5 7.3 7.1 6.4 1.8

IVRCL 41 51 Buy 4,971 5,510 6,722 16.3 0.9 2.5 4.6 125.5 45.9 16.3 9.0 4.9

JP Assoc. 91 91 Neutral 12,853 15,259 17,502 16.7 4.8 4.2 5.0 1.9 18.9 21.5 18.2 -

L&T 1,621 1,748 Accu. 53,171 61,031 69,753 14.5 64.3 66.1 76.5 9.1 25.2 24.5 21.2 2.5

Madhucon 35 56 Buy 1,802 2,206 2,502 17.8 4.9 4.6 4.7 (2.6) 7.0 7.5 7.4 3.2

NCC 42 44 Neutral 5,250 5,947 6,569 11.9 1.4 3.1 4.1 71.4 30.3 13.7 10.3 3.4

Punj Lloyd 53 - Neutral 10,557 11,892 13,116 11.5 2.8 1.7 3.1 5.7 19.0 31.0 17.0 2.3

Sadbhav 142 182 Buy 2,676 2,506 3,147 8.5 9.3 7.5 10.4 5.7 15.2 18.9 13.6 2.9

Simplex In. 196 265 Buy 6,010 6,732 7,837 14.2 16.8 23.4 29.4 32.2 11.6 8.4 6.6 2.3


Exhibit 12:SOTP break-up

CCCL 16 100 - - - - - - - - 16

IRB Infra 52 32 - - 113 69 4 3 - - 164

ITNL 74 33 - - 121 54 - - 30 13 225IVRCL 32 63 - - - - 19 37 - - 51

JP Assoc. 28 31 30 33 - - - - 33 36 91

L&T 1,377 79 - - - - 371 21 - - 1,748

Madhucon 14 25 2 3 28 50 - - 12 21 56

NCC 25 57 - - 7 16 - - 12 27 44

Punj Lloyd 69 100 - - - - - - - - 69

Sadbhav 83 46 - - 99 54 - - - - 182

Simplex In. 265 100 - - - - - - - - 265

ABL 113 39 - - 174 61 - - - - 286

CCCL 16 100 - - - - - - - - 16


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November 9, 2012 10

Profit & loss statement (Consolidated)

% growth 60.6 53.5 63.7 14.8 35.6 13.8Other operating income - - 1.0 4.9 4.9 4.9

% chg 60.6 53.5 63.8 15.1 35.4 13.7

Construction/Contract expenses 265 484 928 1,032 1,384 1,574

Cost of material sold 58 59 61 68 93 105

Administrative and other expenses 16 18 27 31 42 48

Personnel 16 21 33 43 58 66

Other - - - - - -

% chg 33.0 30.6 18.2 28.4 39.7 13.7

(% of Net Sales) 31.6 26.9 19.4 21.7 22.4 22.4

Depreciation & amortisation 64 66 69 85 122 135

% chg 41.9 48.8 24.4 30.3 38.5 14.8

(% of Net Sales) 19.2 18.6 14.1 16.1 16.4 16.6

Interest & other charges 65 49 72 114 186 207

Other income 15 19 33 35 39 43

Share in profit of associates - - - - - -

% chg 23.8 135.9 23.6 10.7 15.6 16.9

Extraordinary expense/(inc.) - - (107) - - -

Tax 12 32 42 45 54 63

(% of PBT) 23.3 27.1 16.8 28.0 29.0 29.0

- - - - - -

Less: Minority interest (MI) 3 6 2 (9) (10) (12)

Prior period items - - (0) - - -

% chg 5.2 130.8 25.3 23.9 14.0 16.9

(% of Net Sales) 6.7 10.1 7.7 8.3 7.0 7.2

% chg 5.2 130.8 25.3 23.9 14.0 16.9

Note: Some of the figures from FY2011 onwards are reclassified; hence not comparable with previous

year numbers

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November 9, 2012 11

Balance sheet (Consolidated)

Equity share capital 46 46 53 53 53 53

Preference capital 13 12 10 3 3 3

Reserves & surplus 289 404 830 964 1,106 1,272

Share App pending allotment 0.3 14.9 14.9 14.9

Total loans 723 1,122 1,220 1,627 2,894 4,093

Deferred tax liability 2 3 2 1 1 1

Minority interest 24 81 111 63 63 63

Other Long Term Liabilities 41 2,094 2,094 2,094

Long Term Provisions 21 39 39 39

Gross block 749 791 1,389 2,076 2,516 4,352

% growth 20 6 76 49 21 73

Less: Acc. depreciation 259 330 368 450 572 707

Capital Work-in-Progress 373 814 604 2,678 3,738 3,375

Goodwill - - - - - -

Long Term Loans and Adv. 134 124 124 124

Other Non-Current Assets 79 127 127 127

Inventories 67 196 241 277 375 427

Sundry debtors 35 182 208 147 199 226

Cash 69 85 71 50 52 59

Loans & advances 135 222 156 139 188 214

Other - - 5 2 2 2

Mis. Exp. not written off - - - - - -

Note: Some of the figures from FY2011 onwards are reclassified; hence not comparable with

previous year numbers

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November 9, 2012 12

Cash flow statement (Consolidated)

Profit before tax 50 118 253 170 196 229Depreciation 64 66 69 85 122 135

Change in Working Capital (49) 38 79 (191) 20 8

Less: Other income 4 5 33 35 39 43

Direct taxes paid 11 31 42 45 54 63

(Inc.)/ Dec. in Fixed Assets (367) (478) (388) (2,761) (1,500) (1,473)

(Inc.)/ Dec. in Investments (19) (58) 9 (66) (10) (11)

Other income 4 47 33 35 39 43

Issue of Equity - - 222 - - -

Inc./(Dec.) in loans 211 399 97 2,460 1,268 1,199

Dividend Paid (Incl. Tax) - - - - - -

Others (7) (6) (155) (55) - -

Inc./(Dec.) in Cash (30) 15 (15) (21) 2 7



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November 9, 2012 13

Key Ratios

P/E (on FDEPS) 32.9 14.2 11.4 9.2 8.0 6.9P/CEPS 11.5 7.8 6.7 5.5 4.3 3.8

P/BV 3.3 2.5 1.3 1.1 1.0 0.9

EV/Sales 3.5 2.7 1.8 1.8 2.0 2.2

EV/EBITDA 11.0 10.2 9.1 8.4 8.8 10.0

EV / Total Assets 1.6 1.3 1.0 0.6 0.6 0.7

EPS (Basic) 7.6 17.6 19.1 23.7 27.0 31.6

EPS (fully diluted) 6.6 15.3 19.1 23.7 27.0 31.6

Cash EPS 18.9 27.8 32.2 39.8 50.1 57.2

DPS - - - - - 1.0

Book Value 66.0 87.8 169.6 193.6 220.6 252.2

EBIT margin 19.2 18.6 14.1 16.0 16.4 16.5

Tax retention ratio 0.8 0.7 0.8 0.7 0.7 0.7

Asset turnover (x) 0.6 0.6 0.7 0.4 0.4 0.3

ROIC (Post-tax) 8.6 8.3 8.1 4.9 4.3 3.9

Cost of Debt (Post Tax) 8.0 3.9 5.1 5.8 5.8 4.2

Leverage (x) 1.6 2.1 1.6 1.4 2.0 2.8

Operating ROE 9.6 17.5 12.9 3.7 1.1 3.2

ROACE (Pre-tax) 10.3 10.7 9.3 6.7 6.0 5.5

Angel ROIC (Pre-tax) 11.3 11.3 9.7 6.8 6.0 5.5

ROAE 11.6 21.2 14.9 13.1 13.0 13.4

Asset Turnover (Gross Block) 0.8 1.0 1.2 0.9 0.9 0.7

Inventory / Sales (days) 55 60 61 63 59 63

Receivables (days) 24 50 55 43 31 34

Payables (days) 128 190 141 138 140 151

WC cycle (ex-cash) (days) 63 53 56 35 11 12

Net debt to equity 1.9 2.2 1.3 1.5 2.4 3.0Net debt to EBITDA 4.0 4.8 4.5 4.9 6.3 7.8

Interest Coverage 1.5 3.0 2.6 2.1 1.8 1.8



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Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com

This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment

decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should makesuch investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the companies

referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and

risks of such an investment.

Angel Broking Limited, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make

investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this

document are those of the analyst, and the company may or may not subscribe to all the views expressed within.

Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and

trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's

fundamentals.

The information in this document has been printed on the basis of publicly available information, internal data and other reliablesources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as thisdocument is for general guidance only. Angel Broking Limited or any of its affiliates/ group companies shall not be in any wayresponsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report .Angel Broking Limited has not independently verified all the information contained within this document. Accordingly, we cannot testify,nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document. WhileAngel Broking Limited endeavours to update on a reasonable basis the information discussed in this material, there may be regulatory,compliance, or other reasons that prevent us from doing so.

This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced,

redistributed or passed on, directly or indirectly.

Angel Broking Limited and its affiliates may seek to provide or have engaged in providing corporate finance, investment banking or

other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or in

the past.

Neither Angel Broking Limited, nor its directors, employees or affiliates shall be liable for any loss or damage that may arise from or in

connection with the use of this information.

Note: Please refer to the important `Stock Holding Disclosure' report on the Angel website (Research Section). Also, pleaserefer to the latest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Limited andits affiliates may have investment positions in the stocks recommended in this report.

Disclosure of Interest Statement ABL

1. Analyst ownership of the stock No

2. Angel and its Group companies ownership of the stock No

3. Angel and its Group companies' Directors ownership of the stock No

4. Broking relationship with company covered No

Note: We have not considered any Exposure below `1 lakh for Angel, its Group companies and Directors.

Buy (> 15%) Accumulate (5% to 15%) Neutral (-5 to 5%)Reduce (-5% to 15%) Sell (< -15%)

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