2QFY2016 Result Update | Pharmaceutical

November 10, 2015

Lupin

NEUTRAL

CMP

`1,838

Performance Highlights

Target Price

Y/E March (` cr) 1QFY2016

4QFY2015

% chg qoq 1QFY2015

% chg yoy

Investment Period

Net sales

3,178

3,074

3.4

3,117

2.0

Other income

184

152

21.8

167

10.6

Stock Info

Operating profit

529

745

(29.0)

776

(31.9)

Interest

322.9

376.5

Sector

Pharmaceutical

Net profit

409

525

(22.1)

630

(35.1)

Market Cap (` cr)

83,442

Source: Company, Angel Research

Net Debt (` cr)

(629)

For 2QFY2016, Lupin posted a poor set of numbers, with the OPM coming in

Beta

0.7

lower than expected, and consequently the net profit as well. The company

52 Week High / Low

2,127 / 1,343

posted a 2.0% growth in sales to `3,178cr V/s `3,272cr estimated, mainly driven

Avg. Daily Volume

88,469

by the European markets. On the operating front, the Gross margin came in at

Face Value (`)

64.5% V/s 65.7% expected. Further, a 19.4% yoy and 36.2% yoy rise in the Staff

BSE Sensex

26,304

cost and R&D expenditure led the OPM to come in at 16.6% V/s 24.6% expected

Nifty

7,955

and V/s 24.9% in 2QFY2015. Thus, the net profit came in at `408.5cr V/s

Reuters Code

LUPN.BO

`578.6cr expected and V/s `630.0cr in 2QFY2015, a yoy dip of 35.1%. We

Bloomberg Code

LPC@IN

maintain our Neutral stance on the stock.

Below expectation numbers: The company posted a 2.0% yoy growth in sales to

Shareholding Pattern (%)

`3,178cr V/s `3,272cr estimated, mainly driven by European markets. Its key

Promoters

46.6

market US (`1,155cr), posted a dip of 9.2% yoy, on account of slow pace of

MF / Banks / Indian Fls

7.6

approvals. The company launched 4 products in the US during the period. The

company expects US sales to get normalized by 4QFY2016. Other key markets:

FII / NRIs / OCBs

37.4

India, Europe, Japan, South Africa and ROW, posted a growth of 9.4%, 32.2%, -

Indian Public / Others

8.4

6.5%, -5.6% and 52.9% yoy, respectively. On the operating front, the Gross

margin came in at 64.5% V/s 65.7% expected. Further, a 19.4% and 36.2% rise

Abs. (%)

3m 1yr 3yr

in Staff cost and R&D expenditure led the OPM to come in at 16.6% V/s 24.6%

expected and V/s 24.9% in 2QFY2015. Thus, the net profit came in at `408.5cr V/s

Sensex

(7.2)

(5.9)

39.6

`578.6cr expected and V/s `630.0cr in 2QFY2015, a yoy dip of 35.1%.

Lupin

8.8

34.1

215.8

Outlook and valuation: We expect Lupin to post a CAGR of 14.6% in net sales

3-year price chart

to `16,561cr and earnings to report a 13.1% CAGR to `68.3/share over

2,300

FY2015-17E. Currently, the stock is trading at 36.8x and 27.1x its FY2016E

2,100

and FY2017E earnings, respectively. We remain Neutral on the stock.

1,900

1,700

Key financials (Consolidated)

1,500

1,300

Y/E March (` cr)

FY2014

FY2015

FY2016E

FY2017E

1,100

Net sales

11,087

12,600

13,092

16,561

900

700

% chg

17.2

13.6

3.9

26.5

500

Net profit

1,836

2,403

2,266

3,072

% chg

39.7

30.9

(5.7 )

35.5

EPS (`)

41.0

53.5

50.4

68.3

Source: Company, Angel Research

EBITDA margin (%)

25.3

27.4

25.0

27.0

P/E (x)

44.9

34.4

36.5

26.9

RoE (%)

30.3

30.4

22.8

24.7

RoCE (%)

34.7

34.3

26.1

29.6

P/BV (x)

11.9

9.3

7.5

6.0

Sarabjit Kour Nangra

EV/sales (x)

7.4

6.5

6.1

4.7

+91 22 3935 7600 Ext: 6806

EV/EBITDA (x)

29.2

23.7

24.5

17.5

[email protected]

Source: Company, Angel Research; Note: CMP as of November 5, 2015

Please refer to important disclosures at the end of this report

Lupin | 2QFY2016 Result Update

Exhibit 1: 2QFY2016 - Consolidated performance

Y/E March (` cr)

2QFY2016

1QFY2016

% chg (qoq) 2QFY2015

% chg (yoy) 1HFY2016 1HFY2015

% chg (yoy)

Net sales

3,178

3,074

3.4

3,117

2.0

6,253

6,401

(2.3)

Other income

184

152

21.8

167

10.6

336

253

33.0

Total income

3,363

3,226

4.2

3,284

2.4

6,589

6,653

(1.0)

Gross profit

2,049

2,091

(2.0)

2,116

4,140

4,224

(2.0)

Gross margin

64.5

68.0

67.9

66.2

66.0

Operating profit

528.8

744.5

(29.0)

776

(31.9)

1,273

1,833.8

(30.6)

OPM (%)

16.6

24.2

24.9

20.4

28.7

Interest

322.9

376.5

167.0

Dep. & amortisation

107

101

6.1

109

(1.7)

208

217

(4.5)

PBT

596

793

(24.8)

832

(28.3)

1,389

1,864

(25.5)

Provision for taxation

185

264

(30.0)

193

(3.9)

450

596

(24.5)

Reported net profit

411

529

(22.2)

639

(35.7)

940

1,269

(26.0)

Less : exceptional items

MI & share in associates

(12.0)

(71.8)

(60.3)

PAT after exceptional items

409

525

(22.1)

630

(35.1)

934

1,255

(25.6)

EPS (`)

9.1

11.7

14.1

20.8

28.0

Source: Company, Angel Research

Exhibit 2: 2QFY2016 - Actual vs Angel estimates

` cr

Actual

Estimates

Variation

Net Sales

3,178

3,273

(2.9)

Other Income

184

152

21.8

Operating Profit

529

804

(34.2)

Deprecation

107

101

6.1

Tax

185

264

(30.0)

Net Profit

409

579

(29.3)

Source: Company, Angel Research

Revenue grows 2.0% yoy: The company posted a 2.0% yoy growth in sales to end

the period at `3,178cr V/s `3,272cr estimated, mainly driven by European

markets. Overall formulations posted a sales growth of 2.0% yoy to `2,856.4cr

and APIs posted a 1.1% yoy growth to `321.9cr. Indian formulation sales

(`874cr), a yoy growth of 9.4%. Overall, formulations posted a growth of 2.1%

yoy (~90% of sales), while API grew by 1.1% yoy (~10% of sales).

Its key market US (`1,155cr), posted a dip of 9.2% yoy, on slow pace of approvals.

The company launched 4 products in the US during the period. The company

expects US sales to get normalized by 4QFY2016. It has 84 products in the

market.

Another export destination - Japan, posted a yoy dip of 6.5% to `323.4cr, mainly

on back of the currency impact. Sales in JPY terms grew 2.5% yoy to JPY6,077mn

during the quarter. Lupin’s sales in Europe (`115.8cr) and India (`873.8cr) posted

a yoy growth of 32.2% and 9% yoy, respectively. ROW (`288.6cr) posted a strong

growth of 52.9% yoy in 2QFY2016.

Pharma Dynamics clocked in revenues of `99.8cr during 2QFY2016, a decline of

5.6% yoy, while growing by 6.1% in ZAR terms to end the quarter at ZAR199mn.

November 10, 2015

Lupin | 2QFY2016 Result Update

The company remains the fastest growing and the 4th largest generic company in

the South African market with clear leadership in the cardiovascular space.

On the regulatory front, Lupin received 7 approvals from the USFDA during the

quarter. Cumulative ANDA filings with the USFDA as of September 30, 2015 stood

at 220 (35 FTFs) with the company having received 124 approvals to date.

Exhibit 3: Advanced markets - Sales trend

Source: Company, Angel Research

Exhibit 4: Domestic Formulation Market

1000

885

874

900

799

800

744

664

700

600

500

400

300

200

100

2QFY2015

3QFY2015

4QFY2015

1QFY2016

2QFY2016

Source: Company

OPM lower than expectation at 16.6%: On the operating front, the Gross

margin came in at 64.5% V/s 65.7% expected. Further, a 19.4% and 36.2%

yoy rise in Staff cost and R&D expenditure led the OPM to come in at 16.6%

V/s 24.6% expected and V/s 24.9% in 2QFY2015.

November 10, 2015

Lupin | 2QFY2016 Result Update

Exhibit 5: OPM trend

29.0

27.0

24.9

24.2

25.0

23.0

21.0

19.0

16.6

17.0

15.0

2QFY2015

3QFY2015

4QFY2015

1QFY2016

2QFY2016

Source: Company, Angel Research

Net profit growth lower than our estimate: Thus, the net profit came in at `408.5cr

V/s `578.6cr expected and V/s `630.0cr in 2QFY2015, a yoy dip of 35.1%.

Exhibit 6: Net profit trends

Source: Company, Angel Research

Conference call takeaways

 The Management expects to post 17% yoy growth in the domestic formulation

business in FY2016E, despite slump seen in 2QFY2016.

 The Management has guided for lower sales growth in FY2016 and expects to

report good numbers 3QFY2016 onwards, primarily helped by good number

of quality launches in US and Gavis’ acquisition (to close by 3QFY2016).

 EBITDA margins to stay in the range of 26-27% in FY2016E.

November 10, 2015

Lupin | 2QFY2016 Result Update

Recommendation rationale



US market - the key driver: The high-margin branded generic business has

been the key differentiator for Lupin in the Indian pharmaceuticals space. On

the generic turf, Lupin is currently the fifth largest generic player in the US,

with 5.3% market share in prescription. Lupin is now the market leader in 33

products marketed in the US generics market and is amongst the Top 3 by

market share in 61 products.

Currently, the company’s cumulative filings stand at 220, of which 124 have

been approved, with 35 FTFs valued at more than US$13bn. Lupin plans to

launch 15-20 products in the US in FY2017. Another driver, the OC segment,

is expected to contribute US$100mn to the company’s top-line over the next

2-3 years. Another significant portion of the company’s US business, Branded

segment which is around ~10% of its US sales (FY2015), is expected to

increase to 30% of sales by FY2018, through acquisitions. We expect the

region to post a CAGR of 15.0% during FY2015-17.



Domestic formulations on a strong footing: Lupin continues to make strides in

the Indian market. Currently, Lupin ranks No 3, and is the fastest growing

company among the top five companies in the domestic formulation space,

registering a strong CAGR of 20.0% over the last few years. Six of Lupin's

products are among the top 300 brands in the country. Lupin introduced

54 new products in the Indian market in FY2014 and has a strong field force

of ~5,400MRs (as of FY2015). We expect the domestic formulation market to

grow at a CAGR of 16.0% over FY2015-17E.



First-mover advantage in Japan: Lupin figures among the few Indian

companies with a formidable presence in the world’s second largest pharma

market (ranked as the 8th largest as per IMS MAT March 2014). The

Management believes there will be patent expiries (US$14-16bn) in the next

two years in the Japanese market, which along with increased generic

penetration, would drive growth in the market. For FY2015, the market posted

a moderate growth after a dip in FY2014; however going forward the

company expects a healthy growth, with double digit growth (15% in constant

currency) in the Kyowa business and a single digit growth in the I’rom

business. The Management expects improvement in growth in the next 3-4

years. On a conservative basis, we expect the market to post a CAGR of 9.5%

over FY2015-17E.

November 10, 2015

Lupin | 2QFY2016 Result Update

Exhibit 9: Recommendation summary

Company

Reco

CMP Tgt. price Upside

FY2017E

FY15-17E

FY2017E

(`)

(%) PE (x) EV/Sales (x) EV/EBITDA (x) CAGR in EPS (%) RoCE (%) RoE (%)

Alembic Pharma

Neutral

675

28.2

4.0

19.8

26.1

30.3

30.2

Aurobindo Pharma Accumulate

820

872

6.3

18.8

3.0

13.2

16.3

23.4

30.2

Cadila Healthcare

Neutral

429

24.4

3.7

16.7

24.6

25.2

29.0

Cipla

Neutral

659

22.8

3.1

16.4

21.4

17.1

16.8

Dr Reddy's

Neutral

4,253

22.1

3.3

14.7

21.6

20.6

22.0

Dishman Pharma

Neutral

402

18.6

1.7

8.6

20.4

11.7

GSK Pharma*

Neutral

3,191

46.7

8.1

36.9

6.6

33.7

34.3

Indoco Remedies

Neutral

310

22.4

2.4

13.4

23.0

19.7

Ipca labs

Buy

733

900

22.7

26.2

2.6

14.0

26.1

13.0

14.9

Lupin

Neutral

1,838

26.9

4.7

17.5

13.1

29.6

24.7

Sanofi India*

Neutral

4,276

28.2

3.7

17.6

33.1

27.9

25.5

Sun Pharma

Buy

816

950

16.4

30.3

5.3

17.4

8.4

15.8

16.6

Source: Company, Angel Research; Note: * December year ending

November 10, 2015

Lupin | 2QFY2016 Result Update

Company Background

Lupin, established in 1968, is primarily engaged in the manufacture and global

distribution of active pharmaceutical ingredients (APIs) and finished dosages. Over

the years, the company forayed into the US markets through a differentiated export

strategy of tapping branded generics and consequently gaining a large share of

the US prescription market. Further, to expand its foot-print in the global market,

Lupin has prudently adopted the inorganic growth route. In line with this, over the

last two years, the company made small acquisitions across geographies,

prominent among these being the acquisition of Kyowa in the growing Japanese

market. In the US, the company has acquired privately held GAVIS

Pharmaceuticals LLC and Novel Laboratories Inc. The acquisition enhances Lupin’s

scale in the US generic market and also broadens Lupin’s pipeline in dermatology,

controlled substance products and other high-value and niche generics.

November 10, 2015

Lupin | 2QFY2016 Result Update

Profit & Loss Statement (Consolidated)

Y/E March (` cr)

FY2012

FY2013

FY2014

FY2015

FY2016E

FY2017E

Gross sales

7,002

9,524

11,167

12,684

13,171

16,661

Less: Excise duty

100

Net sales

6,960

9,462

11,087

12,600

13,092

16,561

Other operating income

123

180

200

170

Total operating income

7,083

9,641

11,287

12,770

13,262

16,731

% chg

21.4

36.1

17.1

13.1

3.9

26.2

Total expenditure

5,638

7,371

8,284

9,150

9,819

12,089

Net raw materials

2,604

3,548

3,817

4,157

4,189

5,299

Other mfg costs

906

757

887

1,008

1,047

1,325

Personnel

970

1,249

1,465

1,747

2,053

2,153

Other

1,159

1,818

2,115

2,238

2,529

3,312

EBITDA

1,322

2,090

2,803

3,449

3,273

4,471

% chg

24.0

58.2

34.1

23.1

(5.1)

36.6

(% of Net Sales)

19.0

22.1

25.3

27.4

25.0

27.0

Depreciation& amortisation

228

332

261

435

468

548

EBIT

1,094

1,758

2,542

3,015

2,805

3,923

% chg

22.3

60.7

44.6

18.6

(7.0)

39.9

(% of Net Sales)

15.7

18.6

22.9

23.9

21.4

23.7

Interest & other charges

Other Income

116

240

(% of PBT)

Share in profit of associates

Recurring PBT

1,196

1,925

2,832

3,415

3,205

4,323

% chg

20.0

60.9

47.1

20.6

-6.1

34.9

Extraordinary expense/(Inc.)

PBT (reported)

1,196

1,925

2,832

3,415

3,205

4,323

Tax

309

584

962

970

897

1,211

(% of PBT)

25.8

30.4

34.0

28.4

28.0

PAT (reported)

888

1,340

1,870

2,444

2,307

3,113

Add: Share of earnings of asso.

Less: Minority interest (MI)

Prior period items

PAT after MI (reported)

868

1,314

1,836

2,403

2,266

3,072

ADJ. PAT

868

1,314

1,836

2,403

2,266

3,072

% chg

0.6

51.5

39.7

30.9

(5.7)

35.5

(% of Net Sales)

12.5

13.9

16.6

19.1

17.3

18.5

Basic EPS (`)

19.4

29.4

41.0

53.5

50.4

68.3

Fully Diluted EPS (`)

19.4

29.4

41.0

53.5

50.4

68.3

% chg

0.6

51.0

39.5

30.5

(5.7)

35.5

November 10, 2015

Lupin | 2QFY2016 Result Update

Balance Sheet (Consolidated)

Y/E March

FY2012

FY2013

FY2014

FY2015

FY2016E

FY2017E

SOURCES OF FUNDS

Equity share capital

Reserves & surplus

3,924

5,115

6,842

8,784

10,882

13,785

Shareholders funds

4,013

5,204

6,932

8,874

10,972

13,875

Minority interest

106

Total loans

1,640

1,164

553

471

Other Long-Term Liabilities

Long-Term Provisions

112

132

Deferred tax liability

144

163

178

118

Total liabilities

6,010

6,754

7,908

9,693

11,771

14,717

APPLICATION OF FUNDS

Gross block

3,627

4,114

4,564

5,355

6,355

7,355

Less: Acc. depreciation

1,442

1,684

1,928

2,363

2,831

3,380

Net block

2,185

2,430

2,635

2,992

3,524

3,975

Capital work-in-progress

444

311

304

Goodwill

564

570

720

1,648

Investments

178

1,658

Long-Term Loans and Adv.

394

387

373

275

284

359

Current assets

4,297

5,143

5,924

6,176

7,844

11,189

Cash

402

435

798

1,306

2,783

4,787

Loans & advances

309

340

302

671

697

882

Other

3,586

3,154

4,825

4,199

4,364

5,520

Current liabilities

1,878

2,089

2,227

3,360

3,491

4,416

Net current assets

2,420

3,054

3,697

2,816

4,352

6,772

Mis. Exp. not written off

Total assets

6,010

6,754

7,908

9,693

11,771

14,717

November 10, 2015

Lupin | 2QFY2016 Result Update

Cash Flow Statement (Consolidated)

Y/E March (` cr)

FY2012 FY2013 FY2014 FY2015 FY2016E FY2017E

Profit before tax

1,196

1,925

2,832

3,415

3,205

4,323

Depreciation

228

332

261

435

468

548

(Inc)/Dec in working capital

(724)

620

(1,481)

1,487

(69)

(491)

Direct taxes paid

(309)

(584)

(962)

(970)

(897)

(1,211)

Cash Flow from Operations

391

2,293

649

4,367

2,707

3,170

(Inc.)/Dec.in Fixed Assets

(997)

(353)

(443)

(791)

(1,000)

(Inc.)/Dec. in Investments

Cash Flow from Investing

(997)

(353)

(443)

(791)

(1,000)

Issue of equity

Inc./(Dec.) in loans

550

(476)

(611)

(82)

Dividend Paid (Incl. Tax)

(165)

(209)

(157)

(168)

Others

204

499

(795)

(2,816)

(62)

Cash Flow from Financing

589

(186)

(1,564)

(3,067)

(230)

(166)

Inc./(Dec.) in Cash

(18)

1,753

(1,358)

509

1,477

2,004

Opening Cash balances

420

402

435

798

1,306

2,783

Closing Cash balances

402

435

798

1,306

2,783

4,787

November 10, 2015

Lupin | 2QFY2016 Result Update

Key Ratios

Y/E March (` cr)

FY2012

FY2013

FY2014

FY2015

FY2016E

FY2017E

Valuation Ratio (x)

P/E (on FDEPS)

94.5

62.6

44.9

34.4

36.5

26.9

P/CEPS

74.9

50.0

39.3

29.1

30.2

22.8

P/BV

20.4

15.8

11.9

9.3

7.5

6.0

Dividend yield (%)

0.2

EV/Sales

11.9

8.7

7.4

6.5

6.1

4.7

EV/EBITDA

62.8

39.6

29.2

23.7

24.5

17.5

EV / Total Assets

13.8

12.3

10.4

8.4

6.8

5.3

Per Share Data (`)

EPS (Basic)

19.4

29.4

41.0

53.5

50.4

68.3

EPS (fully diluted)

19.4

29.4

41.0

53.5

50.4

68.3

Cash EPS

24.5

36.8

46.8

63.1

60.8

80.5

DPS

3.4

4.0

Book Value

89.9

116.3

154.6

197.4

244.1

308.7

Dupont Analysis

EBIT margin

15.7

18.6

22.9

23.9

21.4

23.7

Tax retention ratio

74.2

69.6

66.0

71.6

72.0

Asset turnover (x)

1.4

1.6

1.7

1.6

1.5

1.8

ROIC (Post-tax)

16.8

20.9

25.4

28.2

23.5

30.2

Cost of Debt (Post Tax)

1.9

2.0

1.4

1.5

Leverage (x)

0.3

0.0

Operating ROE

20.6

20.9

25.4

28.2

23.5

30.2

Returns (%)

ROCE (Pre-tax)

20.5

27.5

34.7

34.3

26.1

29.6

Angel ROIC (Pre-tax)

27.5

35.0

44.1

48.2

41.6

52.3

ROE

23.8

28.5

30.3

30.4

22.8

24.7

Turnover ratios (x)

Asset Turnover (Gross Block)

2.3

2.5

2.6

2.3

2.4

Inventory / Sales (days)

Receivables (days)

Payables (days)

156

WC cycle (ex-cash) (days)

Solvency ratios (x)

Net debt to equity

0.3

0.1

(0.0)

(0.1)

(0.2)

(0.3)

Net debt to EBITDA

0.9

0.3

(0.1)

(0.2)

(0.7)

(1.0)

Interest Coverage

30.8

42.9

95.4

307.3

285.9

399.9

November 10, 2015

Lupin | 2QFY2016 Result Update

Research Team Tel: 022 - 39357800

E-mail: [email protected]

Website: www.angelbroking.com

DISCLAIMER

Angel Broking Private Limited (hereinafter referred to as “Angel”) is a registered Member of National Stock Exchange of India Limited,

Bombay Stock Exchange Limited and Metropolitan Stock Exchange of India Limited. It is also registered as a Depository Participant with

CDSL and Portfolio Manager with SEBI. It also has registration with AMFI as a Mutual Fund Distributor. Angel Broking Private Limited is

a registered entity with SEBI for Research Analyst in terms of SEBI (Research Analyst) Regulations, 2014 vide registration number

INH000000164. Angel or its associates has not been debarred/ suspended by SEBI or any other regulatory authority for accessing

/dealing in securities Market. Angel or its associates including its relatives/analyst do not hold any financial interest/beneficial

ownership of more than 1% in the company covered by Analyst. Angel or its associates/analyst has not received any compensation /

managed or co-managed public offering of securities of the company covered by Analyst during the past twelve months. Angel/analyst

has not served as an officer, director or employee of company covered by Analyst and has not been engaged in market making activity

of the company covered by Analyst.

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

make such 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.

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 reliable

sources 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 this

document is for general guidance only. Angel Broking Pvt. Limited or any of its affiliates/ group companies shall not be in any way

responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report.

Angel Broking Pvt. 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.

While Angel Broking Pvt. Limited endeavors 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.

Neither Angel Broking Pvt. 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, please refer to the

latest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Pvt. Limited and its affiliates may

have investment positions in the stocks recommended in this report.

Disclosure of Interest Statement

Lupin

1. Analyst ownership of the stock

2. Angel and its Group companies ownership of the stock

3. Angel and its Group companies' Directors ownership of the stock

4. Broking relationship with company covered

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

Ratings (Based on expected returns

Buy (> 15%)

Accumulate (5% to 15%)

Neutral (-5 to 5%)

over 12 months investment period):

Reduce (-5% to -15%)

Sell (< -15)

November 10, 2015