edel - it the next big leap
TRANSCRIPT
-
8/12/2019 Edel - IT the Next Big Leap
1/48
E R ..,
B EDEL , T F C, R F.E S L
M 5, 2013
E R ..,
B EDEL , T F C, R F.E S L
INFORMAION ECHNOLOG I E R IT
I F14
F13. , ,
, , ,
. , ,
.
S M, M, A C (SMAC) ,
N SD1 F20. I
,
23% F15,
. SMAC
I , , .
, HCL
(HCL) I, . HOLD C
S (CS) . O
HCL .
I
.
G : SMAC, N
W . W ERP
,
. W
,
.
S : M,
I W
. S,
BPO
I, TCS W.
O : O
W CAGR 3.9% G IT . W
HCL TCS
S&M . W W (TP
INR515) HCL (TP INR898) I (TP INR3,361) B HOLD
, ,
HOLD TCS (TP INR1,587) . W
W, HCL T I .
S A+91 22 6623 3474
.@.
O H+91 22 6620 3147
.@.
SECTOR UPDATE
http://www.edelresearch.com/webcast/webcast_new.aspx?Id=22659&Type=ynaj9XvqmJoptbYzJzovtA== -
8/12/2019 Edel - IT the Next Big Leap
2/48
IT
2 E S L
CA .............................................................................................................................. 3
I IT ................................................................................................................. 4
E , .......................................................... 9
M, ........................................................................ 17
C S
HCL T ................................................................................................................. 23
I .................................................................................................................................. 28
TCS ....................................................................................................................................... 34
W ................................................................................................................................... 40
-
8/12/2019 Edel - IT the Next Big Leap
3/48
IT
3 E S L
A
AR
P
MC
R
EBIDA
EBIDA
PA
EPSR
EBIDA
PA
EPS
P/
E
(INR)
(SD)
(INR)
(INR)(%)(INR)
(IN
R)
INFOIN
I
BUY
SP
2,921
30,592
FY12
337
107
31.8
83
145
.5
20.1
13.6
4.3
FY13E
406
119
29.4
94
164
.2
17.8
12.0
3.5
FY14E
463
140
30.2
107
187
.0
15.6
9.9
3.0
FY15E
502
150
29.9
120
210
.1
14.1
11.9
13.0
13.0
13.9
8.8
2.6
TCSIN
TCS
HOLP
SP
1,540
54,972
FY12
489
144
29.5
106
54
.4
28.3
20.3
6.0
FY13E
630
181
28.7
140
71
.3
21.6
15.9
4.6
FY14E
735
204
27.8
153
78
.3
19.7
13.7
3.8
FY15E
811
223
27.5
173
88
.2
18.4
15.6
17.5
17.5
17.5
12.2
3.3
WPROIN
W
BUY
SO
433
19,450
FY12
372
71
19.1
56
22
.7
19.1
14.5
2.7
FY13E
378
80
21.2
64
25
.9
16.7
12.3
2.6
FY14E
421
89
21.1
73
29
.8
14.5
10.8
2.2
FY15E
457
96
21.1
81
32
.9
7.1
10.8
13.2
13.1
13.2
9.5
2.0
HCLTIN
HCLT
BUY
SO
746
9,450
FY12
210
40
19.1
24
34
.6
21.5
12.9
2.5
FY13E
256
55
21.6
36
50
.0
14.9
8.9
1.9
FY14E
290
58
20.1
39
54
.1
13.8
8.2
1.7
FY15E
326
63
19.4
43
59
.8
15.7
16.2
20.6
20.0
12.5
7.4
1.4
E/
R
E/
EBIDA
R
F
CAGR(%)(F12F15E)
()
-
8/12/2019 Edel - IT the Next Big Leap
4/48
IT
4 E S L
I I
I CAGR 3.9%
W IT FY14E . FY13
C , S
B . I , (IT+ BPM) USD 124130 10% IT
BPM . N
( + ; ) 1315%
USD 106111; USD 8487, 1214%.
W I ITBPM
, , . H, I IT
,
.
W BFSI, , I IT
. F 4 I IT
60%65%. W BFSI, ,
A ( 4),
A EMEA. T, ,
. C
,
, ,
. O , , ,
S,
M, A C (SMAC).
E SMAC
. O USD1.9 2012, ,
IT BPO USD1 58%
42% ( USD797). G 9% ( 4.8%
). W IT CAGR 3.9% FY12
15E.
1: (G ) (SD )
2009 2010 2011 2012 2013E 2014E 2015E 3CAGR
BFSI 221 225 236 247 254 263 271 3.2%
T & 178 184 195 204 214 222 230 4.0%
M 238 245 259 273 283 296 310 4.3%
R 110 112 118 123 129 136 145 5.5%
H 46 49 53 56 60 64 69 7.0%
T & 37 38 40 42 44 47 50 6.0%
C. & 56 58 61 64 68 73 78 6.5%
O 516 545 587 629 648 668 688 3.0%
1,402 1,456 1,550 1,640 1,701 1,769 1,840 3.9% : ,
P
IT
FY14 FY13
SMAC
-
8/12/2019 Edel - IT the Next Big Leap
5/48
IT
5 E S L
: 3
C ..
W , (A D &
M (ADM)) , 2008 , I IT
. T ,
.. ROI
.
F. 1: I I
D
ADM IS
M
C
F
P,, ,
:
D
W ,
ADM I IT ,
, . F IS
( IS
)
T II/III
I ( ). T
. W
, ,
.
D
S IS
I IT
-
8/12/2019 Edel - IT the Next Big Leap
6/48
-
8/12/2019 Edel - IT the Next Big Leap
7/48
IT
7 E S L
2: R, , 4 I (.)
F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
CS
R (USD ) 429 732 924 1,122 355 359 366
C(%) 7.1 11.5 11.3 11.0 13.0 12.6 12.4
G(%) 22.2 70.5 26.2 21.4 16.5 1.4 1.7
HCL
R (USD ) 236 214 195 189 48 49 51
C(%) 10.8 7.9 5.5 4.5 4.4 4.4 4.4
G(%) 6.2 (9.4) (8.7) (3.2) (3.5) 3.2 3.6
R (USD ) 404 463 509 514 127 134 139
C(%) 9.3 10.5 9.7 8.7 8.4 8.7 8.8
G(%) 30.8 14.5 NA 1.1 1.1 5.4 3.5
:
M
T I IT
. T
IT
. T
. T
,
. A I I, TCS, W HCL T
. M
, I
.
3: R, , 4 I C SI
F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
R (USD ) 1,327 1,375 1,879 2,178 524 539 623
C(%) 28.5 28.6 31.1 31.1 29.9 30.0 32.6
G(%) 33.2 3.6 36.7 15.9 (4.9) 2.9 15.6
CS (C)
R (USD ) 164 122 176 263 76 86 94
C(%) 2.7 1.9 2.2 2.6 2.8 3.0 3.2
G(%) (15.1) (25.5) 44.6 49.0 6.8 12.1 10.2
(C)
R (USD ) 100 103 147 179 38 37 38
C(%) 2.3 2.3 2.8 3.0 2.5 2.4 2.4
G(%) 19.8 3.0 43.0 22.0 (15.0) (2.3) 2.3
:
I IT
C
-
8/12/2019 Edel - IT the Next Big Leap
8/48
IT
8 E S L
F
P 2008, I IT ,
. T
, . W
, T & M
(T&M) / / .
T (48%) ,
/
IP .
4: R, , 4 I (N L P)
F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
&
I(PPS)
R (USD ) 366 396 322 380 107 99 105
C(%) 7.8 8.2 5.3 5.4 6.1 5.5 5.5
G(%) (8.9) 8.4 (18.7) 17.9 (2.7) (7.5) 6.3CS
R (USD ) 180 207 301 389 76 77 83
C(%) 3.0 3.3 3.7 3.8 2.8 2.7 2.8
G(%) (11.2) 15.4 45.1 29.3 (26.0) 0.8 7.2
(P E)
R (USD ) 246 183 443 493 129 126 118
C(%) 5.7 4.2 8.5 8.3 8.5 8.2 7.5
G(%) 7.1 (25.5) 142.2 11.2 2.3 (1.9) (6.4)
B I TCS IP
. W I
F (CBS) ST360, E, T F, TCS
SMB BANCS, C, I .
C 1: N C 2: C
64
256
449
641
834
1,026
FY07 FY08 FY09 FY10 FY11 FY12
(N.)
I TCS
:
16
30
44
59
73
87
FY07 FY08 FY09 FY10 FY11 FY12
(N.)
I TCS
N
-
8/12/2019 Edel - IT the Next Big Leap
9/48
IT
9 E S L
E ,
S , M, A C (SMAC) I I
T
IT
; . T IT I
. T
. SMAC IT
IT . T
, , . A
, ,
SMAC.
C SMAC
C SMAC
IT . S
. IT
.
W IT
.
S
. I
. P
F, T & L
. T
. I IT
. M
. A
. A N, SMAC USD1T 2020
70% .
5: E , CAGR (%) SMAC
E (SD ) E CAGR (%)
B D 2015 25 45.0
M 2020 140 15.0
C 2020 650700 32.0
S M 2020 235 40.0
G M E
:
S
S
-
8/12/2019 Edel - IT the Next Big Leap
10/48
IT
10 E S L
M
R
. C
. A ,
.M
.
I I ,
, . T
I
. M
. T, I
. C
, ,
.
E SD140, CAGR 15% 2020.
N A APAC
21%.
F.2: N
:
I
IT
-
8/12/2019 Edel - IT the Next Big Leap
11/48
IT
11 E S L
B /A
O
. A
. H
IT ,
. B ,
. I
,
.
I 110115% 2012 USD 200
205. O
. I
, ,
, ,
.
B / SD25 2015, CAGR 45%. I B
I SD200 2012 SD1 2015 (CAGR
83%).B ( , ,
) 8284%
, 1618%.
E B /
H:
C 1:A N ,
D , D . A
CAT
. T
,
,
. A
C D R (CDR). T C D R
.
C 2:A RFID
/ . T
. F / ,
. W
H
-
8/12/2019 Edel - IT the Next Big Leap
12/48
IT
12 E S L
/ . W
/
OPD// /
. O
.
S :
S , P, A 2010,
. N, , S
, , ,
.
R :
G , F T , ,
. R,
W K, , ,
.
L:
S , U.P.S.,
.
O P:
O , M., W
,
.
S A:
P , N Y,
, , , .
C
C, , ,
. C IT ,
IT . C
, IT
. C
. S
IT
. T
. H, ,
I
.
C
SMAC
-
8/12/2019 Edel - IT the Next Big Leap
13/48
IT
13 E S L
O SMAC , SD700
. 30% CAGR
2020. C , IT, ,
,
.
S S
. C
. T , ,
.
W ,
. A ,
. T
. F
,
. A , IT
. S CAGR
40% SD235 2020.
T F
. P , ,
.
G . F
955 (J
2011), 305 S, 2009.
C 3: G F (M)
0
200
400
600
800
1,000
S09
D09
M10
J10
S10
D10
M11
J11
S11
D11
M12
J12
()
F S(M)
:
S
-
8/12/2019 Edel - IT the Next Big Leap
14/48
IT
14 E S L
N E
O USD1.9 2012, , IT BPM
USD1 58% 42% (
USD797). G 9% USD124130. APAC 6% (1.6
), A 5% EMEA
1% . A C V (ACV),
USD5, USD 21 BPM. APAC 55%. EMEA
13% A 3%.
6: E '
G
I S
(SD )
I
(%) K F
M 29 4.0 IT ,BPM HCL, HP, IBM, I, TCS
B 47 2.0 L
,
, ,R & D
HCL, G, IBM, TCS
A 48 4.0 P ,
,CAD
A , AXA, B S, H , I, TCS,
Z
J 235
-
8/12/2019 Edel - IT the Next Big Leap
15/48
IT
15 E S L
8: G 5 I I (SD )
S F07 F08 F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
TCS 2,335 3,111 3,368 3,650 4,702 5,735 1,550 1,603 1,657
(%) 38.6 33.2 8.3 8.4 28.8 22.0 3.2 3.5 3.3
I 1,957 2,589 2,950 3,164 3,944 4,468 1,123 1,148 1,166
(%) 40.3 32.3 13.9 7.2 24.7 13.3 1.6 2.2 1.5
W 1,579 2,172 2,591 2,543 2,884 3,097 782 794 787
(%) 33.6 37.5 19.3 (1.8) 13.4 7.4 (2.3) 1.5 (0.8)
HCLT 780 1,042 1,297 1,608 1,980 2,365 611 635 657
(%) 33.3 33.6 24.5 23.9 23.2 19.5 2.9 3.9 3.5
C 1,228 1,769 2,228 2,594 3,584 4,798 1,435 1,505 1,536
(%) 58.9 44.1 26.0 16.4 38.2 33.9 5.5 4.9 2.1
E F07 F08 F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
TCS 1,115 1,633 1,779 1,686 2,032 2,576 726 759 784
(%) 68.0 46.4 9.0 (5.2) 20.5 26.8 9.6 4.6 3.3
I 815 1,172 1,228 1,106 1,301 1,531 375 394 459
(%) 54.2 43.7 4.8 (9.9) 17.6 17.7 (8.4) 5.0 16.5
W 760 1,012 1,140 1,149 1,415 1,676 426 435 467
(%) 38.2 33.3 12.6 0.8 23.2 18.4 0.1 2.1 7.4
HCLT 413 557 612 734 952 1,124 295 311 329
(%) 70.3 35.0 10.0 19.8 29.8 18.1 1.9 5.4 5.9
C 184 343 541 607 855 1,109 283 303 326
(%) 77.3 86.4 57.8 12.2 40.8 29.8 (0.5) 7.1 7.8
APAC F07 F08 F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
TCS 270 386 288 333 540 766 202 217 221
(%) 57.5 42.9 (25.4) 15.4 62.2 41.9 (1.0) 7.4 2.0
I 269 363 422 477 663 839 219 226 245
(%) 40.6 34.8 16.1 13.1 38.9 26.6 (1.1) 3.4 8.0
W 121 463 268 328 452 599 174 180 185
(%) 45.8 283.2 (42.1) 22.5 37.8 32.4 7.0 3.5 2.3
HCLT 131 181 185 242 409 439 114 112 112
(%) (12.1) 38.3 2.1 30.6 68.8 7.4 3.7 (1.4) 0.2
C 13 24 47 78 153 215 78 84 86
(%) 36.5 87.2 95.9 66.0 97.5 39.9 16.2 8.7 2.1
I F07 F08 F09 F10 F11 F12 Q1F13 Q2F13 Q3F13
TCS 443 505 474 548 751 876 194 214 224
(%) 32.8 13.9 (6.2) 15.7 37.0 16.7 (13.9) 10.5 4.7
I 49 52 63 57 133 155 35 29 42
(%) 29.4 6.3 20.8 (9.5) 133.2 17.0 (1.1) (17.9) 46.2
W 325 371 469 548 133 133 139
(%) 13.9 26.4 16.9 (9.6) (0.6) 4.7
HCLT 66 91 93 121 204 220 57 56 56
(%) (12.1) 38.3 2.1 30.6 68.8 7.4 3.7 (1.4) 0.2
:
-
8/12/2019 Edel - IT the Next Big Leap
16/48
IT
16 E S L
W APAC 6%, A & EMEA 5%
1% . T IT (IT + BPM) USD783 FY11
USD812 FY12. G , EMEA APAC
IT ( EMEA & APAC).
A,
. M & F S E
.
C 4: A S EMEA (SD )
0.0 0.8 1.6 2.4 3.2 4.0
M
F S
T M
B S
H P
R
E
T,T,L
ACV (2012) ACV (P 5 Y A) :
E IT EMEA US,
US. W A
11.7%, 7.4% 3.2% EMEA APAC.
A, (ACV) N, ACV
USD21 FY12, EMEA 48% A APAC
37% 15% . W EMEA
APAC .
9: G
C AC (SD )
A 7.9
EMEA 10.2
APAC 3.1
:
0.0 1.0 2.0 3.0 4.0 5.0
M
F ST M
B S
H P
R
E
T,T,L
ACV (2012) ACV (P 5 Y A)
L EMEA
APAC
-
8/12/2019 Edel - IT the Next Big Leap
17/48
IT
17 E S L
M,
P
O , I ITBPM
(T&M) , .
B
. T
. C
, ,
. T
, .
F. 3: C
A
L P M
T & M / F
E
N L P M
O L
P
N L P M
O B C
U B "P ", "P "
L IP/P
:
A ,
( ). T
, ,
.
P
-
8/12/2019 Edel - IT the Next Big Leap
18/48
IT
18 E S L
10: CAGR (%) , , F 4 I I
R(SD ) E R(SD ) E R CAGR(%) E CAGR(%)
TCS 5,634 111,407 10,171 238,583 15.9 21.0
I 4,176 91,187 6,994 149,994 13.8 13.2
W 3,647 95,567 5,921 135,920 12.9 9.2
HCLT 1,872 50,741 4,152 81,365 22.0 12.5
T 15,329 348,902 27,237 605,862 15.5 14.8
F12F08
:
C 5: R (F0812)
51
46
38 37
4347
44
51
0
11
22
33
44
55
TCS I W HCLT
(USD
'000)
FY08 FY12
:
H ,
, .
11: R CS SI (%)
C F08 F09 F10 F11 Q1F13 Q2F13 Q3F13
I 23.8 28.5 28.6 31.0 29.9 30.0 32.6
W 2.3 2.3 2.3 2.8 2.5 2.4 2.4
:
12: P (%)
C F08 F09 F10 F11 Q1F13 Q2F13 Q3F13
I 5.4 (2.9) (4.0) 1.7 (3.7) (0.2) 3.7
W NA 2.2 (6.9) (0.8) (1.2) 0.6 2.9:
-
8/12/2019 Edel - IT the Next Big Leap
19/48
IT
19 E S L
E
O :
I
. T
/
. O
, , .
:
T , ,
. T ,
. A I
. W TCS I
, W HCL T . W
.
L :
I . I
, I (F), TCS (BNCS)
O F S S (F) .
F. 4:
O B C
U B "P ", "P "
L IP/P
:
N
,
-
8/12/2019 Edel - IT the Next Big Leap
20/48
-
8/12/2019 Edel - IT the Next Big Leap
21/48
IT
21 E S L
O
O I IT . I
;
. W , I IT
IT , ,
IS . H, I IT . W
FY14 ,
H2FY14
FY15.
C 8: O %
40.0
43.0
46.0
49.0
52.0
55.0
Q410
Q111
Q211
Q311
Q411
Q112
Q212
Q312
Q412
Q113
Q213
Q313
(%)
I TCS W
:
FY12 9MFY13 I IT
. W , .. 30 (
10 ),
I IT . H, US
. T
I IT .
P US
US B "I I A 2013"
H1B . T B US
H1B
. I ,
H1B .
1) I 65,000 R H1B' 115,000 2) R 20,000 ADE H1B' U
O H2FY14
FY15
P
-
8/12/2019 Edel - IT the Next Big Leap
22/48
IT
22 E S L
3) E H1B , US ( 300,000
)
4) A H1B .C 9: S %
0.0
1.2
2.4
3.6
4.8
6.0
Q1FY11
Q2FY11
Q3FY11
Q4FY11
Q1FY12
Q2FY12
Q3FY12
Q412
Q1FY13
Q2FY13
Q3FY13
(%)
INFOSYS TCS
:
13: C EPS
C I
F14E F15E F14E F15E F14E F15E F14E F15E
SD R 8,576 9,646 1 3,617 15,603 7,800 8,783 5,423 6,264
N USD R 2,573 2,894 3,404 3,901 1,950 2,196 1,356 1,566
N SD R % 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3
EPS @ INR/USD 54 (FY14) 52 (FY15) 187.0 210.1 78.3 88.2 29.8 32.9 54.1 59.8H P 6 6 6 6
H I 0.5 1.0 0.5 1.0 0.5 0.5 0.5 0.5
0.3 0.3 0.2 0.2 0.2 0.2 0.2 0.2
R EPS
47 175.5 191.3 73.7 80.5 27.6 31.1 49.1 55.6
48 177.1 195.1 74.3 82.0 27.9 31.4 49.8 56.5
49 178.8 198.8 75.0 83.6 28.2 31.8 50.5 57.3
50 180.4 202.6 75.6 85.1 28.5 32.1 51.2 58.2
51 182.0 206.3 76.3 86.6 28.8 32.5 52.0 59.0
52 183.7 210.1 77.0 88.2 29.1 32.9 52.7 59.8
53 185.3 213.8 77.6 89.7 29.5 33.2 53.4 60.7
54 187.0 217.6 78.3 91.2 29.8 33.6 54.1 61.5
55 188.6 221.3 78.9 92.8 30.1 33.9 54.8 62.4
56 190.3 225.1 79.6 94.3 30.4 34.3 55.6 63.2
57 191.9 228.8 80.3 95.8 30.7 34.6 56.3 64.0
58 193.5 232.6 80.9 97.4 31.0 35.0 57.0 64.9
59 195.2 236.3 81.6 98.9 31.4 35.4 57.7 65.7
60 196.8 240.0 82.3 100.4 31.7 35.7 58.4 66.6
I CS HCL
:
-
8/12/2019 Edel - IT the Next Big Leap
23/48
IT
23 E S L
HCL (HCL)
I
.
. I
. 2021% (
) .
15.1% 15.5% SD F14E F15E
HCL B HOLD P INR898
(15 F15E EPS INR59.8).
R ; HCLT (USD1 Q2FY13) >USD2.5
FY12 15% FY14
FY15. F,
BFSI IMS, HCLT . T
HCLT . W, HCLT
, ,
2021% () .
IMS
IMS FY09Q2FY13 16% 28%. W IMS , HCLT
. T IMS
.
O : R ; B
W HCLT
15.1% 15.5% FY14 FY15. B
B HOLD
FY15 INR898 (15 FY15 EPS INR59.8).
COMPANY UPDATE
HCL ECHNOLOGIESS I E R IT
E R ..,
B EDEL , T F C, R F.E S L
F
J F12 F13E F14E F15E
R (INR ) 210,312 255,534 290,151 325,735
(%) 31.2 21.5 13.5 12.3
EBITDA (INR ) 40,251 55,316 58,278 63,114
N (INR ) 24,474 35,893 38,831 42,941
D EPS (INR) 34.6 50.0 54.1 59.8
(%) 49.8 44.5 8.2 10.6
D P/E () 21.5 14.9 13.8 12.5
EV/EBITDA () 12.9 8.9 8.2 7.4
ROAE (%) 25.7 30.2 26.4 24.2
EDELEISS 4D RAINGS
A R B
R R S O
R R R S H
S R M U
MARKE DAA (: ., : )
CMP : INR 746
T P : INR 898
52 (INR) : 749 / 441
S () : 694.9
M (INR /USD ) : 518/ 9,450
A. D V.BSE/NSE(000) : 1,333.6
SHARE HOLDING PAERN (%)
C Q2F13 Q1F13
P * 62.1 62.2 62.2
MF', FI' & BK 8.4 9.3 9.5
FII' 21.8 20.3 20.0
O 7.7 8.2 8.3
*
(% )
:
PRICE PERFORMANCE (%)
S N
E
I
1 4.9 (4.8) (4.0)
3 10.4 (3.2) 3.9
12 48.5 6.3 23.9
S A+91 22 6623 3474
.@.
O H+91 22 6620 3147
.@.
M 5, 2013
-
8/12/2019 Edel - IT the Next Big Leap
24/48
IT
24 E S L
C D
HCLT I IT . I IT ,
, BPO ,
. T
26 ,
, , , , ,
, . T 85,194 INR235 (USD4.4).
I
I 12.2% FY1215E, HCLT
. HCLT
. S HCLT I IT
X, S C, N C, D P S G, T L
G, A T, . I
, EAS ,
, HCLT .
A I W.
K R
K : () US; ()
, ; ()
() INR
USD, EUR GBP.
-
8/12/2019 Edel - IT the Next Big Leap
25/48
IT
25 E S L
F SI (INR )
J F12 F13E F14E F15E
N 210,312 255,534 290,151 325,735
C 140,558 165,635 192,638 219,516
G 69,754 89,899 97,513 106,219
T SG&A 29,503 34,582 39,235 43,105
EBITDA 40,251 55,316 58,278 63,114
D & A 5,641 7,051 8,316 9,277
EBIT 34,610 48,265 49,962 53,837
O 706 1,050 2,279 3,199
F /() (1,876) (1,000)
P 33,440 48,315 52,241 57,036
P 8,180 11,596 12,538 13,118
N 25,260 36,719 39,703 43,918
P A T 25,260 36,719 39,703 43,918
M . 786 826 872 977
P 24,474 35,893 38,831 42,941
S () 707 718 718 718D EPS (INR) 34.6 50.0 54.1 59.8
D (INR) 13.9 13.3 13.7 15.0
D (%) 39.4 26.0 25.0 25.0
C
J F12 F13E F14E F15E
G 33.2 35.2 33.6 32.6
SG&A 14.0 13.5 13.5 13.2
EBITDA 19.1 21.6 20.1 19.4
EBIT 16.5 18.9 17.2 16.5
N 12.0 14.4 13.7 13.5
G (%)
J F12 F13E F14E F15E
R 31.2 21.5 13.5 12.3
EBITDA 46.4 37.4 5.4 8.3
EBIT 53.7 39.5 3.5 7.8
N 47.7 45.4 8.1 10.6
EPS 49.8 44.5 8.2 10.6
K A
J F12 F13E F14E F15E
M
GDP(YY %) 6.5 5.0 6.5 7.0
I (A) 8.8 7.8 6.0 6.0
R ( ) 8.5 7.5 6.8 6.0
USD/INR (A) 47.9 54.5 54.0 52.0
C
E O* 341,082 376,655 425,620 476,694
V (%) O 16.5 10.4 13.0 12.0
E O* 124,795 130,678 147,666 165,386
V (%) O 13.4 4.7 13.0 12.0
B O* 21.1 21.1 21.1 21.1
P (%) O 1.8 (0.1)
B O* 77.1 77.0 77.0 77.0
P (%) O 2.4 (0.1)
IMS USD . 21.5 34.4 20.0 24.0
BPO USD . (2.7) 9.4 8.0 10.0C
D (% ) 66.8 64.8 66.4 67.4
SGA (% ) 14.0 13.5 13.5 13.2
F
D 2.7 2.8 2.9 2.8
Y & (%) 2.7 2.9 4.2 4.4
T % PBT 24.5 24.0 24.0 23.0
D 75 74 69 70
*
-
8/12/2019 Edel - IT the Next Big Leap
26/48
IT
26 E S L
P
M D PE () E/EBIDA () ROAE (%)
N (SD ) F14E F15E F14E F15E F14E F15E
HCL 9,590 13.8 12.5 8.2 7.4 26.4 24.2
CMC 743 11.9 10.0 7.5 5.9 33.1 31.1
C S 339 8.5 8.0 4.9 4.4 44.2 38.1
I 31,122 15.6 13.9 9.9 8.8 25.2 24.0
I E 346 7.8 7.5 3.0 2.7 17.0 15.6
P S 406 9.6 8.9 3.8 3.1 21.3 19.3
T C S 55,757 19.7 17.5 13.7 12.2 34.5 31.3
W 19,859 14.5 13.2 10.6 9.3 20.4 19.3
M 12.8 10.0 8.4 5.9 25.8 24.2
AVERAGE 13.1 11.0 8.3 6.4 27.4 25.4
:
O
J F12 F13E F14E F15E
T 0.4 0.5 0.5 0.4
F 9.0 9.7 9.5 9.2
E 2.2 2.1 2.0 1.8
J F12 F13E F14E F15E
D EPS (INR) 34.6 50.0 54.1 59.8
(%) 49.8 44.5 8.2 10.6
CEPS (INR) 43.4 61.0 66.3 72.8
D PE () 21.5 14.9 13.8 12.5
P/BV () 4.9 4.0 3.3 2.8
EV/S () 2.5 1.9 1.7 1.4
EV/EBITDA () 12.9 8.9 8.2 7.4
EV/EBITDA ()+1 9.4 8.4 7.6
D (%) 1.9 1.8 1.8 2.0
B (INR )
A 30 J F12 F13E F14E F15E
E 1,386 1,407 1,421 1,435
R & 104,370 130,931 160,054 192,260
S 105,756 132,338 161,475 193,695
B 32,097 13,238 13,323 13,408
S 137,854 145,576 174,798 207,103
G 53,753 64,878 77,378 92,378
A 29,338 36,389 44,705 53,982
N 24,416 28,490 32,673 38,397
G 48,689 48,311 47,857 47,421
I 21,406 24,406 27,406 30,406
C 6,574 21,180 36,576 52,576
S 52,664 50,407 58,825 66,039
O 32,783 31,989 36,586 43,904
T 85,447 82,395 95,411 109,943
T CL & 48,678 59,205 65,126 71,639
N 36,769 23,190 30,285 38,304
137,854 145,576 174,798 207,103
B (INR) 152.6 188.1 227.2 269.9
P &
J F12 F13E F14E F15E
ROAE (%) 25.7 30.2 26.4 24.2
ROACE (%) 33.1 40.6 37.2 33.2
D 75 74 69 70
C 1.8 1.4 1.5 1.5
-
8/12/2019 Edel - IT the Next Big Leap
27/48
IT
27 E S L
H 10
P. H P. H
L I C. I 4.28 HSBC G A M (S) L. 2.13
F S I M (UK) L. 1.40 HSBC G A M (H K) L. 1.19
C I, I. 1.05 SBI F M P L. 0.91
R C A M L. 0.79 T V G, I. 0.75
B S L A M C. L. 0.49 E I (S) L. 0.39
*
A D
D DM.S N C & C S O M.V N V C & CEO
M. R A N E D M. S B N E D
M. A G N E D M. R. S N E D
M. S K K N E D M. D M D N E D
M. S S S N E D
A S.R.B & C., C A
*
B DD A / S B/S Q P
04 M 2012 T R P B 8119140 500.00
04 M 2012 S I (D) P L S 10000000 500.15
*
I R D A / S B/S Q
05 M 2012 S N F S 17957.00
05 M 2012 HCL H P L S 285094.00
06 M 2012 S N F S 146910.00
23 M 2012 S N F S 17957.00
*
-
8/12/2019 Edel - IT the Next Big Leap
28/48
-
8/12/2019 Edel - IT the Next Big Leap
29/48
29 E S L
IT
C
N O % N O % C
N 463,095 462,697 0.1 501,593 489,403 2.5 R FY15 USD
12.5% . 10.1%
EBDITA 139,669 139,270 0.3 149,976 140,940 6.4 H
(%) 30.2 30.1 29.9 28.8
PAT 106,834 106,645 0.2 120,032 110,716 8.4 H
PAT
(%) 23.1 23.0 23.9 22.6
C 26,282 25,679 2.3 28,910 28,247 2.3
F14E F15E
-
8/12/2019 Edel - IT the Next Big Leap
30/48
30 E S L
IT
C D
I IT I IT
. I IT
G . I
,
776 B, F S, I, R
M, U 50 . T
F I,
M E, A E. I 155,629
TTM INR387.5 (USD7.2).
I
I, , TCS HCL T
I ,
. T
. W ,
.
K R
K IT
, INR USD, E GBP.
-
8/12/2019 Edel - IT the Next Big Leap
31/48
31 E S L
IT
F SI (INR )
M F12 F13E F14E F15E
N 337,340 405,720 463,095 501,593
C 188,740 239,334 270,468 291,200
G 148,600 166,386 192,627 210,393T SG&A 41,470 47,140 52,958 60,417
S&M 17,570 20,700 23,734 26,308
G&A 23,900 26,441 29,225 34,108
EBITDA 107,130 119,246 139,669 149,976
D & A 9,340 11,728 15,695 14,548
EBIT 97,790 107,517 123,974 135,428
O 19,040 21,724 22,376 26,778
P 116,829 129,240 146,348 162,206
P 33,670 35,412 39,514 42,174
N 83,159 93,828 106,834 120,032
P A T 83,159 93,828 106,834 120,032
P 83,159 93,828 106,834 120,032
B EPS (INR) 145.5 164.2 187.0 210.1
S () 571 571 571 571
D EPS (INR) 145.5 164.2 187.0 210.1
D (INR) 47.2 50.0 55.0 55.0
D (%) 32.5 30.4 29.4 26.2
C
M F12 F13 F14E F15E
C 55.9 59.0 58.4 58.1
G 44.1 41.0 41.6 41.9
G&A 5.2 5.1 5.1 5.2
S&M 7.1 6.5 6.3 6.8
SG&A 12.3 11.6 11.4 12.0EBITDA 31.8 29.4 30.2 29.9
EBIT 29.0 26.5 26.8 27.0
N 24.7 23.1 23.1 23.9
G (%)
M F12 F13 F14E F15E
R 22.7 20.3 14.1 8.3
EBITDA 19.5 11.3 17.1 7.4
EBIT 20.7 9.9 15.3 9.2
PBT 25.4 10.6 13.2 10.8
N 21.9 12.8 13.9 12.4
EPS 21.9 12.8 13.9 12.4
K A
M F12 F13E F14E F15E
M
GDP(YY %) 6.5 5.0 6.5 7.0
I (A) 8.8 7.8 6.0 6.0R ( ) 8.5 7.5 6.8 6.0
USD/INR (A) 47.9 54.5 54.0 52.0
C
E A ()
G 45,605 33,000 38,000 50,000
F A (BPO T) 5,559 7,500 9,000 7,000
E A (BPO S S) 262 500 700 500
E A (B P ) 6,359 6,000 7,000 5,000
A (%) 15.4 15.0 12.5 11.5
E (%)
IT S O 24.2 23.5 24.5 23.5
IT S O 75.8 76.5 75.5 76.5
P + BPO O 3.9 4.9 5.0 5.0
P + BPO O 96.1 95.1 95.0 95.0
(%)
IT S O 93.0 93.0 93.0 93.0
IT S O 68.0 64.6 73.3 74.5
P + BPO O 93.0 93.0 93.0 93.0
P + BPO O 74.6 80.7 85.0 85.0
P (%)
S 2.2 (1.1) 1.8
S 5.1 (4.5) 0.8
C
S O (%) 10.2 6.2 0.6 1.4
S O (%) (1.6) 1.6 3.2 1.9T (% ) 2.3 2.9 2.4 2.4
O (% ) 5.5 4.6 5.0 5.0
S&M (% ) 5.2 5.1 5.1 5.2
G&A (% ) 7.1 6.5 6.3 6.8
F
Y & (%) 9.6 9.8 8.6 8.5
T % PBT 28.8 27.4 27.0 26.0
C (INR ) 17,310 22,861 26,282 28,910
D 74 77 77 78
P 41 42 43 43
C () 33 35 34 35
-
8/12/2019 Edel - IT the Next Big Leap
32/48
32 E S L
IT
P
M D PE () E/EBIDA () ROAE (%)
N (SD ) F14E F15E F14E F15E F14E F15E
HCL T 9,590 13.8 12.5 8.2 7.4 26.4 24.2
CMC 743 11.9 10.0 7.5 5.9 33.1 31.1
C S 339 8.5 8.0 4.9 4.4 44.2 38.1
I 31,122 15.6 13.9 9.9 8.8 25.2 24.0
I E 346 7.8 7.5 3.0 2.7 17.0 15.6
P S 406 9.6 8.9 3.8 3.1 21.3 19.3
T C S 55,757 19.7 17.5 13.7 12.2 34.5 31.3
W 19,859 14.5 13.2 10.6 9.3 20.4 19.3
M 12.8 10.0 8.4 5.9 25.8 24.2
AVERAGE 13.1 11.0 8.3 6.4 27.4 25.4
:
C
M F12 F13 F14E F15E
O 82,120 97,621 118,818 127,525
I (20,610) (103,181) (26,282) (28,910)
F (22,260) (41,858) (36,769) (36,769)
N 39,250 (47,419) 55,766 61,845
C (17,310) (33,421) (26,282) (28,910)
D (23,270) (42,148) (36,769) (36,769)
P &
M F12 F13 F14E F15E
ROAE (%) 27.4 26.0 25.2 24.0
ROACE (%) 33.5 30.9 30.3 27.8
D 74 77 77 78
P 41 42 43 43
C () 33 35 34 35
C 6.3 5.6 6.3 7.0
O
M F12 F13 F14E F15E
T 1.2 1.2 1.1 1.0
F 6.6 6.8 6.6 6.0
E 1.1 1.1 1.1 1.0
M F12 F13 F14E F15E
D EPS (INR) 145.5 164.2 187.0 210.1
(%) 21.9 12.8 13.9 12.4
CEPS (INR) 161.9 184.7 214.4 235.5
D PE () 20.1 17.8 15.6 13.9
P/BV () 5.0 4.3 3.6 3.1
EV/S () 4.3 3.5 3.0 2.6EV/EBITDA () 13.6 12.0 9.9 8.8
EV/EBITDA ()+1 12.2 10.3 9.2
D (%) 1.6 1.7 1.9 1.9
B (INR )
A 31 M F12 F13 F14E F15E
E 2,860 2,860 2,860 2,860
S 30,890 30,900 30,900 30,900
R & 300,860 354,487 424,553 507,817
S 334,610 388,247 458,313 541,577
D (13,410) (13,880) (13,880) (13,880)O 1,090 1,000 1,000 1,000
S 322,290 375,367 445,433 528,697
G 11,660 24,220 24,220 24,220
T 54,090 65,223 75,810 90,173
I 120 730 730 730
O 1,620 1,830 1,830 1,830
C 209,680 232,141 287,908 349,753
S 77,550 93,735 100,911 112,275
L 15,230 18,430 18,430 18,430
T 302,460 344,306 407,249 480,458
S 41,350 52,802 56,266 60,574
P 6,310 8,140 8,140 8,140
T & 47,660 60,942 64,406 68,714
N 254,800 283,364 342,843 411,744
322,290 375,367 445,433 528,697
B (INR) 585.6 679.5 802.1 947.8
F (INR )
M F12 F13 F14E F15E
N 83,159 93,828 106,834 120,032
D 9,340 11,728 15,695 14,548
O 2,361 (1,833) 1 1
G 94,860 103,723 122,530 134,581
L: C WC 12,740 6,103 3,713 7,056
O 82,120 97,621 118,818 127,525L: C 17,310 22,861 26,282 28,910
F 64,810 74,759 92,536 98,614
-
8/12/2019 Edel - IT the Next Big Leap
33/48
33 E S L
IT
H 10
P. H P. H
L I C. I 7.24 OF, I. 3.89
A A M L. 3.12 A A M (A) L. 2.45
A D I A (I M 2.06 T V G, I. 1.96
T A M L. 1.73 HDFC A M C. L. 1.42
ICICI P L I C. L. 1.35 JF A M L. 1.32
*
I R D A / S B/S Q
N D A
*
B DD A / S B/S Q P
N D A
*
A D
D DD L B I D P J S L I D
D O G I D R V I D
S B D S I I D
B G S D A V D
R S I D D M S I DV B D CFO K V K C
S G E C C S D S CEO MD
A M F I D
A BSR & C., C A
*
-
8/12/2019 Edel - IT the Next Big Leap
34/48
-
8/12/2019 Edel - IT the Next Big Leap
35/48
35 E S L
IT
C
N O % N O % C
N 735,318 721,514 1.9 811,362 786,642 3.1 R FY14 FY15 USD
17.9% 14.6% 15.7%
13.2%,
EBDITA 204,161 200,228 2.0 222,732 214,195 4.0
(%) 27.8 27.8 27.5 27.2
PAT 154,817 152,079 1.8 174,156 161,598 7.8 H
PAT FY15
(%) 21.1 21.1 21.5 20.5
C 39,878 36,748 8.5 41,777 40,423 3.3
F14E F15E
-
8/12/2019 Edel - IT the Next Big Leap
36/48
36 E S L
IT
C D
TCS I' IT . I 1968
IT
, , , , , . W
42 , TCS . TCS
(1051 ), TCS 263,637 (
) (TTM) INR598
(USD11.2).
I
A I' IT , TCS
IT . I
, , ,
. TCS , ,
,
. E , ,
,
( ) TCS
. W
.
K R
K (1) US
E, (2)
USD, E GBP, (3) (4) .
-
8/12/2019 Edel - IT the Next Big Leap
37/48
37 E S L
IT
F SI (INR )
M F12 F13E F14E F15E
N 488,938 629,506 735,318 811,362
C 258,773 334,176 397,203 440,971
G 230,165 295,329 338,115 370,391T SG&A 85,988 114,424 133,955 147,659
EBITDA 144,177 180,906 204,161 222,732
D & A 9,036 10,563 12,496 13,789
EBIT 135,141 170,343 191,664 208,943
O 4,041 10,011 12,043 17,234
P 139,182 180,354 203,707 226,177
P 31,688 39,236 48,890 52,021
N 107,494 141,118 154,817 174,156
P A T 107,494 141,118 154,817 174,156
M . 1,110 1,512 1,596 1,596
P 106,384 139,606 153,221 172,560
S () 1,957 1,957 1,957 1,957
D EPS (INR) 54.4 71.3 78.3 88.2
D (INR) 17.0 22.0 22.9 25.8
C
M F12 F13E F14E F15E
C 52.9 53.1 54.0 54.3
G 47.1 46.9 46.0 45.7
SG&A 17.6 18.2 18.2 18.2
EBITDA 29.5 28.7 27.8 27.5
EBIT 27.6 27.1 26.1 25.8
N 22.0 22.4 21.1 21.5
G (%) M F12 F13E F14E F15E
R 31.0 28.7 16.8 10.3
EBITDA 28.7 25.5 12.9 9.1
EBIT 29.0 26.0 12.5 9.0
PBT 26.4 29.6 12.9 11.0
N 21.7 31.3 9.7 12.5
EPS 22.1 31.2 9.8 12.6
K A
M F12 F13E F14E F15E
M
GDP(YY %) 6.5 5.0 6.5 7.0
I (A) 8.8 7.8 6.0 6.0R ( ) 8.5 7.5 6.8 6.0
USD/INR (A) 47.9 54.5 54.0 52.0
C
E A ()
G 70,400 63,360 79,200 87,120
L (% G A) 56.0 46.3 56.3 45.0
A 14.2 13.2 11.0 11.1
E
O (%) 25.0 25.1 26.1 25.0
O (%) 75.0 74.9 73.9 75.0
O (%) 93.0 93.0 93.0 93.0
O (%) 79.0 78.5 76.1 76.5
B (%) 82.2 81.4 80.5 80.6
P
O (%) (1.2) (1.9) (0.8)
O (%) 2.2 (3.0) 2.1
C (% )
E 38.4 38.2 39.7 40.6
T 1.4 1.4 1.5 1.5
O 14.3 14.5 13.9 13.3
SGA (% )
E 12.2 12.7 13.2 13.5
O 6.1 6.2 5.6 5.3
F D (% .) 1.8 1.7 1.7 1.7
T % PBT 22.8 21.8 24.0 23.0
C (INR ) 19,906 25,727 39,878 41,777
D 74 74 76 80
P 51 50 53 58
-
8/12/2019 Edel - IT the Next Big Leap
38/48
38 E S L
IT
P
M D PE () E/EBIDA () ROAE (%)
N (SD ) F14E F15E F14E F15E F14E F15E
HCL T 9,590 13.8 12.5 8.2 7.4 26.4 24.2
CMC 743 11.9 10.0 7.5 5.9 33.1 31.1
C S 339 8.5 8.0 4.9 4.4 44.2 38.1
I 31,122 15.6 13.9 9.9 8.8 25.2 24.0
I E 346 7.8 7.5 3.0 2.7 17.0 15.6
P S 406 9.6 8.9 3.8 3.1 21.3 19.3
C S 55,757 19.7 17.5 13.7 12.2 34.5 31.3
W 19,859 14.5 13.2 10.6 9.3 20.4 19.3
M 12.8 10.0 8.4 5.9 25.8 24.2
AVERAGE 13.1 11.0 8.3 6.4 27.4 25.4
:
C
M F12 F13E F14E F15E
O 75,440 123,093 151,997 168,962
I (29,496) (63,562) (87,835) (84,543)
F (41,528) (70,066) (54,111) (60,604)
N 4,417 (10,534) 10,051 23,815
C (19,906) (25,727) (39,878) (41,777)
D (38,978) (73,185) (54,111) (60,604)
P &
M F12 F13E F14E F15E
ROAE (%) 36.7 38.8 34.5 31.3
ROACE (%) 64.8 73.7 78.2 71.5
D 74 74 76 80
P 51 50 53 58
C () 23 24 23 22
C 2.4 2.1 2.0 2.0
O
M F12 F13E F14E F15E
T 1.7 1.8 1.7 1.5
F 8.1 8.5 7.6 6.5
E 1.7 1.8 1.7 1.5
M F12 F13E F14E F15E
D EPS (INR) 54.4 71.3 78.3 88.2
(%) 22.1 31.2 9.8 12.6
CEPS (INR) 59.0 76.7 84.7 95.2
D PE () 28.3 21.6 19.7 17.5
P/BV () 9.3 7.7 6.1 5.0
EV/S () 6.0 4.6 3.8 3.3EV/EBITDA () 20.3 15.9 13.7 12.2
EV/EBITDA ()+1 16.1 14.0 12.6
D (%) 1.1 1.4 1.5 1.7
B (INR )
A 31 M F12 F13E F14E F15E
E 1,957 1,957 1,957 1,957
R & 323,276 391,983 492,689 606,241
S 325,233 393,940 494,646 608,199
M (BS) 5,276 6,210 6,210 6,210
B 1,266 5,121 5,121 5,121
D (13,147) (33,804) (33,804) (33,804)
S 318,628 371,467 472,173 585,726
N 66,284 82,606 109,987 137,975
G 33,193 33,894 33,894 33,894
I 80,839 146,754 206,754 266,754
C 19,836 10,827 20,877 44,692
S 114,992 140,475 165,248 189,479
U 22,478 31,660 31,660 31,660
P & 25,045 14,434 14,434 14,434
T 182,351 197,396 232,219 280,266
T CL & 75,718 95,543 117,042 139,524
N 106,633 101,853 115,177 140,742
318,628 371,467 472,173 585,726
B (INR) 166.2 201.3 252.7 310.7
F (INR )
M F12 F13E F14E F15E
N 106,384 139,606 153,221 172,560
D 9,036 10,563 12,496 13,789
O (7,377) (9,291) 965 7,648
G 108,043 140,878 166,683 193,997
L: C WC 32,603 17,785 14,686 25,036
O 75,440 123,093 151,997 168,962
L: C 19,906 25,727 39,878 41,777
F 55,534 97,366 112,119 127,185
-
8/12/2019 Edel - IT the Next Big Leap
39/48
39 E S L
IT
H 10
P. H P. H
L I C. I 3.01 F T A M (I) P L. 1.69
T A M L. 1.52 A A M (A) L. 0.81
T V G, I. 0.62 OF, I. 0.61
JF A M L. 0.44 L A M LLC 0.42
BR F A 0.36 FIL I M (H K) L . 0.36
*
I R D A / S B/S Q
27 M 2012 T AIG L I C L B 55000.00
28 M 2012 T AIG L I C L B 30000.00
30 M 2012 T AIG L I C L B 30000.00
02 A 2012 T AIG L I L B 20000.00
*
B DD A / S B/S Q P
N D A
*
A D
D DR N T C S R V C
N C CEO MD A M D
V T D P. C M C D
D. R S D L M C D
S M CFO E D P V DD. V K D I H D
O. P. B D C M D
A D H & S
*
-
8/12/2019 Edel - IT the Next Big Leap
40/48
40 E S L
IT
, BFSI .
. A F14,
. 11.8%
F14E F15 12.3% . 10.1%
. M
B INR515.
R
W W (IT ) 11.8% 12.3% FY14E FY15E, (1.7
Q2FY13) . T
. T
FY14 FY15 .
M
W W ( 78%)
80%81% FY10 FY11
EBIT 2223% 20
21%. A,
.
O : G ; B
W . E
. A
W
. W B/SO
/ INR515 (14 FY15E EPS
INR32.9=460*1.12 W E) (R T1).
COMPANY UPDATE
IPROA
I E R IT
E R ..,
B EDEL , T F C, R F.E S L
EDELEISS 4D RAINGS
A R B
R R S O
R R R S L
S R M U
MARKE DAA (: ., : )
CMP : INR 433
T P : INR 515
52 (INR) : 452 / 295
S () : 2,462.8
M (INR /USD ) : 1,067/ 19,450A. D V.BSE/NSE(000) : 1,556.4
SHARE HOLDING PAERN (%)
C Q2F13 Q1F13
P * 78.3 78.3 78.4
MF', FI' & BK 3.1 3.5 3.5
FII' 7.0 6.5 6.6
O 11.6 11.7 11.6
*
(% )
:
PRICE PERFORMANCE (%)
S N
E
I
1 2.8 (4.8) (4.0)
3 8.1 (3.2) 3.9
12 (1.8) 6.3 23.9
S A+91 22 6623 3474
.@.
O H+91 22 6620 3147
.@.
F
M F12 F13E* F14E* F15E*
R (INR ) 371,971 377,644 421,223 456,729. (%) 19.8 1.5 11.5 8.4
EBITDA (INR ) 70,863 80,245 89,067 96,413
N (INR ) 55,731 63,789 73,325 80,889
D EPS (INR) 22.7 25.9 29.8 32.9
(%) 5.1 14.3 14.8 10.3
D P/E () 19.1 16.7 14.5 13.2
EV/EBITDA () 14.2 12.0 10.6 9.3
ROAE (%) 21.2 20.7 20.4 19.3
* . M 5, 2013
-
8/12/2019 Edel - IT the Next Big Leap
41/48
41 E S L
IT
1:
E S 10
WEL* S 2
E WEL WL# 1:1.6
S IT 1
FY14 EPS (IT + IT ) (INR) 32.P/E () 14.
P (A) 46
S (B) 1.1
(INR) 51
* #
:
C
N O % N O % C
N 421,223 421,223 (0.0) 456,729 448,566 1.8 R FY15E USD
12.3% 10.1%
EBITDA 89,067 89,067 (0.0) 96,413 92,269 4.5
(%) 21.1 21.1 21.1 20.6
PAT 73,325 73,325 (0.0) 80,889 76,949 5.1
(%) 17.4 17.4 17.7 17.2
C 19,561 19,561 (0.0) 19,121 19,121 0.0
F14E F15E
-
8/12/2019 Edel - IT the Next Big Leap
42/48
42 E S L
IT
C D
W I IT & BPO
, , . I
, , IT ,
& , R&D . W P
CMM L 5 SEI CMM L 5 IT . I
919 BFSI, , , ,
W 142,905 . T
INR 364 (USD6.2).
I
W CEO, T K K. I
. W W ,
. I
. A
.
K R
K US
E,
USD, E GBP
.
-
8/12/2019 Edel - IT the Next Big Leap
43/48
43 E S L
IT
F SI (INR )
M F12 F13E* F14E* F15E*
N 371,971 377,644 421,223 456,729
C 263,174 260,844 291,297 316,469
G 108,797 116,800 129,925 140,259T SG&A 37,934 36,555 40,859 43,846
EBITDA 70,863 80,245 89,067 96,413
D & A 10,128 9,484 9,688 10,961
EBIT 60,735 70,761 79,379 85,452
O 5,404 9,252 12,027 15,034
F /() 3,277 2,580
P 69,416 82,593 91,406 100,486
P 13,762 18,193 18,281 20,097
N # 55,654 64,400 73,125 80,389
P A T 55,654 64,400 73,125 80,389
M . (77) 611 (200) (500)
P 55,731 63,789 73,325 80,889
S () 2,456 2,458 2,462 2,462
D EPS (INR) 22.7 25.9 29.8 32.9
D (INR) 6.0 6.0 6.0 6.0
D (%) 26.5 23.1 20.1 18.3
* .
#
C
M F12 F13 F14E F15E
C 70.8 69.1 69.2 69.3
G 29.2 30.9 30.8 30.7
SG&A 10.2 9.7 9.7 9.6
EBITDA 19.1 21.2 21.1 21.1
N 15.0 17.1 17.4 17.6
G (%)
M F12 F13 F14E F15E
R 19.8 1.5 11.5 8.4
EBITDA 8.3 13.2 11.0 8.2
N 5.2 14.5 14.9 10.3
EPS 5.1 14.3 14.8 10.3
* .
K A
M F12 F13E F14E F15E
M
GDP(YY %) 6.5 5.0 6.5 7.0
I (A) 8.8 7.8 6.0 6.0R ( ) 8.5 7.5 6.8 6.0
USD/INR (A) 47.9 54.5 54.0 52.0
C
E O 464,913 487,820 543,920 603,751
V (%) O 9.4 4.9 11.5 11.0
E O 197,184 202,637 225,940 250,793
V (%) O 17.0 2.8 11.5 11.0
B O 4,418.5 4,506.7 4,529.3 4,551.9
P (%) O 0.7 2.0 0.5 0.5
B O 12,106.1 12,584.9 12,647.8 12,711.1
P (%) O 2.3 4.0 0.5 0.5
IT (USD ) 804 711 797 916
IT G (%) (1.9) (11.6) 12.0 15.0
S&M (% ) 7.5 6.4 6.5 6.5
G&A (% ) 5.5 5.8 5.5 5.5
C (% ) 70.8 69.1 69.2 69.3
F
D ( % ) 2.7 2.5 2.3 2.4
Y & (%) 7.5 8.5 7.5 8.2
T % PBT 19.8 22.0 20.0 20.0
C (INR ) 20,123 16,909 19,561 19,121
D 70 76 71 72
P 45 49 51 54
C () 25 27 20 18
-
8/12/2019 Edel - IT the Next Big Leap
44/48
-
8/12/2019 Edel - IT the Next Big Leap
45/48
45 E S L
IT
H 10
P. H P. H
L I C. I 1.67 ICICI P A M C. L. 0.47
T. R P H K L. 0.46 JF A M L. 0.43
HSBC G A M (S) L. 0.43 ICICI P L I C. L. 0.40
T V G, I. 0.27 DSP B R I M P L. 0.22
E I (S) L. 0.19 F S I M (UK) L. 0.17
*
I R D A / S B/S Q
*
B DD A / S B/S Q P
N D A
*
A D
D DA S. G I NE D W A O I NE D
J N. S I NE D A H. P C , CEO , MD
D H K I NE D B. C. P I NE D
P M S I NE D S C S CFO E D
N V I NE D M. K. S I NE DT. K. K CEO E D S S I NE D
A BSR & C., C A
*
-
8/12/2019 Edel - IT the Next Big Leap
46/48
46 E S L
IT
C A
R
R
C A
R
R
R
CMC BUY SO L ECLERX SERVICES BUY SO M
HCL T BUY SO H H T BUY SO M
I E REDUCE SU M I BUY SP L
I E BUY SO H M HOLD SP M
P S BUY SO L T C S HOLD SP L
T M BUY SO M W BUY SO L
RATING & INTERPRETATION
ABSOLUTE RATING
Ratings Expected absolute returns over 12 months
Buy More than 15%
Hold Between 15% and - 5%
Reduce Less than -5%
RELATIVE RETURNS RATING
Ratings Criteria
Sector Outperformer (SO) Stock return > 1.25 x Sector return
Sector Performer (SP) Stock return > 0.75 x Sector return
Stock return < 1.25 x Sector return
Sector Underperformer (SU) Stock return < 0.75 x Sector return
Sector return is market cap weighted average return for the coverage universe
within the sector
RELATIVE RISK RATING
Ratings Criteria
Low (L) Bottom 1/3rd percentile in the sector
Medium (M) Middle 1/3rd percentile in the sector
High (H) Top 1/3rd percentile in the sector
Risk ratings are based on Edelweiss risk model
SECTOR RATING
Ratings Criteria
Overweight (OW) Sector return > 1.25 x Nifty return
Equalweight (EW) Sector return > 0.75 x Nifty return
Sector return < 1.25 x Nifty return
Underweight (UW) Sector return < 0.75 x Nifty return
-
8/12/2019 Edel - IT the Next Big Leap
47/48
47 E S L
IT
E S L, E H, C.S.T. R, K, M 400 098.
B: (9122) 4009 4400, E: .
V K H I E .@. +91 22 2286 4206
N M CH I E & H R .@. +91 22 4063 5476
N S H S .@. +91 22 4040 7499
C S, HCL T, H T, I T, I E, I E, M, P
C S, R I, T C S, W
D R / M C
E R C
R D* 120 49 17 186
* 0
M C (INR) 118 56 12
> 50 B 10 50 < 10
D C P (INR) R
B H R
R R
R I
B 15% 12
H 15% 12
R 5% 12
R E
11F13 H
G ;
84 B
07F13 C E ;
06F13 M G ;
980 B
-
8/12/2019 Edel - IT the Next Big Leap
48/48
ITDISCLAIMER
G D:
T E S L (E). E, , ,
. O . T
. T ,
. E /
. T
. T . E
( ),
. T . W , , , , : ()
, , , () ()
/ () . T
. T
, , , . T , ,
, , , , , , E /
. T ,
, , . T
. T . E
. H, E . N, E
. N E , , , ,
, , .
P . T
. E S L ,
. T , , E. A , ,
, I P, E
.
A C:
T ,
, , .
A : N.
A D .S. P
T E S L, () . T ()
/ U S (U.S.) U.S. () / U.S. ,
/ FINRA U.S. , ,
, .
T E S L "M I I" R 156()(4) U.S. S E A, 1934 ( E A)
U.S. S E C (SEC) R 15 6()(2). I M I I ,
. F, , / U.S. , M I
I.
I R 156 E A SEC M I I,
E S L U.S. , E C, LLC ("E").
T E U.S. .
A D .K. P
T F S M A 2000 ("FSMA").
I U K, () A 19(5)
FSMA (F P) O 2005 ( O); () A 49(2)() () O ( ); ()
( ).
T . A
. A . T , , ( ) .
E (I) ,
, , , E . I E
, , , , , E
.