4 December 2018

Update | Sector: Healthcare

Jubilant Life Sciences

BSE SENSEX S&P CNX
36,134 10,870 CMP: INR809 TP: INR965 (+19%) Buy
Across-the-board traction strengthening growth story

We recently met Jubilant Life Sciences’ (JLS) management to understand the

business performance and outlook in detail.
 JLS reported revenue of INR44b, EBITDA margin of 20.4% and PAT of INR4.1b

Stock Info in 1HFY19. Management reiterated that it is well placed to improve on this
Bloomberg JUBILANT IN performance in 2HFY19.
Equity Shares (m) 155  We expect Pharmaceutical business (55% of sales) to remain on a strong
M.Cap.(INRb)/(USDb) 128.9 / 1.8 footing, particularly in Specialty Pharmaceuticals. The operating environment
52-Week Range (INR) 1039 / 617 for Generic Pharmaceuticals is also favorable, according to management.
1, 6, 12 Rel. Per (%) 12/8/5  Life Science Ingredient segment (LSI – 45% of total sales) also stands to
12M Avg Val (INR M) 564
benefit from improved prospects for Vitamin business and reduced supply
Free float (%) 49.3
from Chinese competitors.
Financials Snapshot (INR b)  We expect sales/PAT CAGR of 13%/23% to INR97b/INR11b over FY18-20. We
Y/E Mar 2018 2019E 2020E reiterate our Buy rating with a revised TP of INR965 (SOTP-based 12M
Net Sales 75.6 86.7 96.8 forward rolling).
EBITDA 15.2 18.9 21.2
PAT 7.1 9.3 10.8 Pharmaceutical – key pillars of growth in place
EPS (INR) 45.6 59.7 69.2 JLS performed much better than peers in Pharma segment, with EBITDA margin
Gr. (%) 23.3 30.9 16.1
improvement of ~700bp in 1HFY19 v/s FY18. We expect this momentum to
BV/Sh (INR) 262.3 317.0 380.5
18.9 20.6 19.9
continue, led by (1) increase in the number of Ruby-fill installations, improved
RoE (%)
RoCE (%) 12.1 13.7 14.2 penetration through Triad’s distribution network spread across 1,700 customers
P/E (x) 18.1 13.8 11.9 and better demand for existing products, (2) recently enhanced capacity in
P/BV (x) 3.1 2.6 2.2 Contract Manufacturing Organization (CMO) and Solid Dosage Formulation (SDF)
businesses, (3) expanding market share led by superior execution in Allergy
Shareholding pattern (%)
As On Sep-18 Jun-18 Sep-17 business, and (4) reduced competition in Active Pharmaceutical Ingredient (API)
Promoter 50.7 50.7 54.0 business, benefitting from cost efficiency and manufacturing issues for peers.
DII 4.3 5.1 5.3
FII 26.9 26.4 21.6 LSI – in a revival mode
Others 18.1 17.8 19.1 After coming in at an impressive INR4b (the best half yearly performance) in
FII Includes depository receipts 2HFY18, LSI segment EBITDA was subdued at INR2.2b in 1HFY19, largely due to
demand constraints, and thus, inferior pricing in nutritional products (17% of LSI
Stock Performance (1-year)
Jubilant Life
sales). However, we expect the ongoing demand improvement to provide much-
Sensex - Rebased needed support in 2HFY19. The segment also has more catalysts in the form of own
1,020
capacity expansion and ongoing slowdown in manufacturing in China (due to
880 government crackdown on polluting companies).

740 Valuation and view

We continue valuing JLS on an SOTP basis (10x EV/EBITDA for Pharma and 6x
600
EV/EBITDA for LSI) to arrive at a revised price target of INR965 (SOTP-based 12M
Nov-17

Nov-18
May-18

Aug-18
Feb-18

forward rolling). We expect PAT CAGR of 23% to INR10.7b over FY18-20 on the
back of improved performance across business segments. Re-iterate Buy.

Tushar Manudhane – Research analyst (Tushar.Manudhane@MotilalOswal.com); +91 022 6129 1536

Rajat Srivastava – Research analyst (Rajat.Srivastava@motilaloswal.com); +91 22 3010 2511
Investors are advised to refer through important disclosures made at the last page of the Research Report.
Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.
 Jubilant Life Sciences

Key meeting highlights

Specialty pharmaceuticals
Radiopharmaceuticals: Niche products, concentrated market and better
integration to drive growth
Radiopharma as a % of
sales in FY18  The industry size in North America at USD2.4b is expected to have a CAGR of
6.2% and reach USD3.5b over the next five years.
12.5  The products and generator market from a manufacturer’s perspective is at
USD600m and USD400m, respectively, out of a market size of USD2.4b.
 The market remains concentrated among four manufacturers and four
distributors catering to 2,600 hospitals.
 With sales at INR9.4b – ex of Triad (USD145m FY18), JLS has ~24% market share
in the product category as per our estimates.
Source: MOSL, Company  JLS remains the sole supplier for niche products, MAA and DTPA. Growth in this
segment would be driven by newer products and increased traction in existing
portfolio.
 Despite Rubyfill being a superior product, the company expects its sales growth
to be gradual initially as customers have already signed 1-3 year contracts with a
company having a relatively inferior product. However, the outlook remains
promising due to JLS’ better product and reduced impact of radioactivity on
patients.
 The new product pipeline is healthy with one product at the NDA filing stage
and four products under 505(b)(2) stage which are expected to be launched
over next 3-4 years.
 In addition, with acquisition of Triad, JLS now has access to 1,700 customers
spread across GPOs, regional network, local hospitals and physicians group,
thereby aiding last mile access for better value chain.
 We expect radiopharmaceutical (incl. Triad) business to have revenues of
INR28.3b at CAGR of 29% for FY18-20.

CMO: Increased operation time and expanded capacity to drive growth

CMO as a % of sales in
FY18
 One of the key constraints for JLS to grow in the CMO business was the
availability of capacity. JLS is on track to expand capacity through increasing the
8.6 running time of its plants and installation of new lyophilization line.
 Increased time for operations would provide better business from 3QFY19,
while installation of a new line should enhance operations from FY20.
 We expect the CMO business to witness revenue CAGR of 10% for FY18-20 and
to reach revenues of INR7.8b (INR6.4b in FY18).

Source: MOSL, Company

4 December 2018 2
 Jubilant Life Sciences

Allergy – Large product range including niche segment and superior

Allergy Therapy as a % of execution to aid growth
sales in FY18  Post exit of competitor (ALK Albello), JLS is expected to have better business
3.7 prospects for Venom as it becomes the sole supplier for treatment of allergies in
the US.
 Growth in the allergy segment would also be aided by superior execution,
enhanced product range, improving existing processes and supply reliability.
 We expect allergy therapy to witness revenue CAGR of 20% for FY18-20 and to
reach revenues of INR4b (INR2.8b in FY18).
Source: MOSL, Company

API: Product specific issues with peers to drive medium-term growth

API as a % of sales in FY18  Sartans remain the focus area for JLS. It continues to enjoy better market share
and favorable pricing due to ongoing impurity issue for its peers.
7.4  On the back of cost efficient manufacturing process, it has reasonable market
share in products like Risperidone (33%), Oxcarbazepine (30%), and ~16-20% in
Carbamazepine, Pinaverium, Meclizine, Citalopram and Donepezil.
 We expect the API business to see revenue CAGR of 9.7% for FY18-20 and to
reach revenues of INR6.6b (INR5.5b in FY18).
 The momentum of improved profitability (up 1250bp YoY for 1HFY19) in
API/Generic segment is expected to continue going forward.
Source: MOSL, Company

SDF: Capacity expansion/new launches/backward integration to aid growth

 JLS is in process of expanding its formulation capacity at Roorkee to meet
SDF as a % of sales
additional demand and launch new products.
 It is also expanding business in emerging markets leveraging product filings for
11
US market.
 In addition, backward integration has kept cost efficiency in place, thereby
driving superior profitability for this segment.

Source: MOSL, Company

4 December 2018 3
 Jubilant Life Sciences

Life Science Ingredient (LSI)

Life Science Chemicals – Better off-take and pricing to aid growth over
Life science chemicals as medium-term
a % of sales in FY18
 JLS is in the process of enhancing capacity for Acetic Anhydride to cater to
increasing demand in pharma, agrochemicals, drug and dyes sector.
24.1
 The Acetic anhydride capacity expansion is expected to be completed by
4QFY19. The revenue from this capacity is expected to increase gradually and
has potential to reach INR4b at optimum capacity with expected payback of 4-5
years.
 JLS intends to increase its market share globally, by increasing its presence in
Europe and South East Asia.
Source: MOSL, Company
 The manufacturing facility is near the sugarcane belt as raw materials required
for producing Ethanol are available at a lower cost. Based on the capacity and
pricing, JLS is the fourth largest supplier of Ethanol to the Government of India
under the Ethanol Blending Program (EBP).
 We expect this segment to see revenue CAGR of 10.5% for FY18-20 and to reach
revenues of INR22.2b (INR18.2b in FY18).

Specialty intermediates and nutritional products (SINP) – revival in demand

Speciality intermediates
for nutritional products and new launches in intermediates to drive growth
& Nutritional Products as
% of sales in FY18  The availability of Vitamin A and E has improved, thereby enhancing demand for
Vitamin B in feed applications. As a result, nutritional business is expected
20.4
improve in 2HFY19 compared to 1HFY19.
 JLS has launched 2-3 products in specialty intermediates. It intends to launch
about six products in FY19.
 Thus, JLS intends to grow the specialty intermediates business through
enhancing product portfolio and improving asset utilization.
 We expect this segment to see revenue CAGR of 12.7% for FY18-20 and to reach
Source: MOSL, Company
revenues of INR19.6b (INR15.4b in FY18).

4 December 2018 4
 Jubilant Life Sciences

Story in charts
Exhibit 1: Both Pharma & LSI to drive revenue growth Exhibit 2: Margins to improve gradually over next 2 years

Total Revenue (INRb) Yoy growth (%) EBITDA Margin (%) Gross Margin (%)
96.8
86.7 63.2 65.9
75.6 60.1 57.9 62.0 61.9 62.1
54.3
58.0 58.3 57.5 58.6
51.7
28.9
20.1 14.7 21.7 23.0 21.8 21.9
12.3 11.6 20.4 17.4 20.1
0.4 (1.3) 2.0 11.8

FY13

FY14

FY15

FY16

FY17

FY18

FY19E

FY20E
FY13

FY14

FY15

FY16

FY17

FY18

FY19E

Source: MOSL, CompanyFY20E Source: MOSL, Company

Exhibit 3: Specialty & Generics to aid growth in Pharma Exhibit 4: LSI growth to slow down on a high FY18 base

Pharma (INRb) YoY Growth (%) Life Sciences Ingredients (INRb) Growth YoY (%)
27.0 28.9 22.9 24.3
23.0 19.1
14.4 12.5 10.6
12.7
6.5 2.2 (1.5)
3.7 1.3
(12.6)

24.4 25.3 25.6 29.3 31.2 40.2 49.4 55.7 25.03 30.8 31.4 27.5 27.1 33.6 37.8 41.9
FY13

FY14

FY15

FY16

FY17

FY18

FY19E

FY20E

FY13

FY14

FY15

FY16

FY17

FY18

FY19E

FY20E
Source: MOSL, Company Source: MOSL, Company

Exhibit 5: JLS continues to reduce debt Exhibit 6: ROE and ROCE on an upward trend
Interest Expense as % of EBITDA ROE (%) ROCE (%)
3.6 3.7
3.2 3.4 20.6
3.0 18.9 19.9
2.8 18.0
51.6 2.3 14.5
2.1 2.1 10.9 9.9
13.7 14.2
32.1 29.8 11.2 12.1
28.3 (4.2) 8.9
23.9 25.4 7.2 7.2
18.7 12.4 9.9
(6.2)
FY12

FY13

FY14

FY15

FY16

FY17

FY18

FY19E

FY20E

FY13

FY14

FY15

FY16

FY17

FY18

FY19E

FY20E

Source: MOSL, Company Source: MOSL, Company

4 December 2018 5
 Jubilant Life Sciences

Financials and Valuations

Income Statement (INR Million)
Y/E Mar 2013 2014 2015 2016 2017 2018 2019E 2020E
Net Sales 51,660 58,034 58,263 57,491 58,614 75,578 86,679 96,770
Change (%) 20.1 12.3 0.4 -1.3 2.0 28.9 14.7 11.6
EBITDA 10,559 10,076 6,893 12,470 13,453 15,184 18,896 21,193
EBITDA Margin (%) 20.4 17.4 11.8 21.7 23.0 20.1 21.8 21.9
Depreciation 2,538 2,812 2,880 3,467 2,914 3,241 3,616 4,095
EBIT 8,021 7,264 4,013 9,002 10,539 11,943 15,280 17,098

Interest 2,987 3,237 3,553 3,714 3,411 2,843 2,342 2,107

Other Income 299 191 425 134 249 400 217 290
Extraordinary items -1,922 -2,145 -481 0 0 -910 0 0
PBT 3,411 2,073 403 5,422 7,376 8,591 13,154 15,281
Tax 1,524 696 805 1,554 1,630 2,247 3,946 4,584
Tax Rate (%) 44.7 33.6 199.6 28.7 22.1 26.2 30.0 30.0
Min. Int. & Assoc. Share 361 286 176 -50 -10 -84 -88 -92
Reported PAT 1,527 1,090 -578 3,918 5,757 6,428 9,296 10,789
Adjusted PAT 2,591 2,515 -1,057 3,918 5,757 7,100 9,296 10,789
Change (%) 68.0 -2.9 -142.0 -470.8 46.9 23.3 30.9 16.1

Balance Sheet (INR Million)

Y/E Mar 2013 2014 2015 2016 2017 2018 2019E 2020E
Share Capital 159 155 159 155 156 156 156 156
Reserves 24,602 26,111 24,376 29,507 34,205 40,710 49,234 59,127
Net Worth 24,761 26,265 24,535 29,663 34,361 40,865 49,390 59,283
Debt 42,452 43,953 47,931 44,933 40,453 35,449 32,449 30,449
Deferred Tax 2,922 2,371 2,380 1,146 445 26 26 26
Total Capital Employed 71,251 74,168 74,847 75,360 74,865 75,825 81,349 89,242
Gross Fixed Assets 50,244 53,614 54,245 35,597 39,102 44,936 52,804 57,877
Less: Acc Depreciation 19,027 22,319 24,508 2,864 5,657 9,807 13,423 17,519
Net Fixed Assets 31,217 31,295 29,737 32,733 33,445 35,129 39,380 40,359
Capital WIP 4,369 4,724 5,966 6,113 6,838 6,710 3,842 2,768
Investments 256 340 395 854 1,027 1,235 1,235 1,235
Current Assets 29,409 32,587 30,714 29,385 30,055 32,621 39,073 49,497
Inventory 11,162 13,414 12,353 12,031 12,204 13,914 18,317 20,423
Debtors 7,086 8,059 8,193 9,505 10,053 11,308 14,867 16,597
Cash & Bank 3,561 4,795 3,944 3,446 4,596 2,488 1,155 7,190
Loans & Adv, Others 7,601 6,318 6,225 4,403 3,202 4,912 4,735 5,286
Curr Liabs & Provns 12,458 14,471 11,342 12,038 14,122 18,747 21,059 23,494
Curr. Liabilities 9,060 9,702 9,697 9,815 12,334 17,259 18,414 20,541
Provisions 3,398 4,768 1,645 2,222 1,788 1,488 2,645 2,953
Net Current Assets 16,951 18,116 19,372 17,348 15,933 13,874 18,015 26,003
Total Assets 71,251 74,168 74,847 75,360 74,865 75,825 81,349 89,242

4 December 2018 6
 Jubilant Life Sciences

Financials and Valuations

Ratios
Y/E Mar 2013 2014 2015 2016 2017 2018 2019E 2020E
Basic (INR)
EPS 16.6 16.1 -6.8 25.1 36.9 45.6 59.7 69.2
Cash EPS 32.9 34.2 11.7 47.4 55.7 66.4 82.9 95.5
Book Value 158.9 168.6 157.5 190.4 220.5 262.3 317.0 380.5
DPS 3.1 3.0 3.1 3.1 3.1 3.4 5.0 5.7
Payout (incl. Div. Tax.) 36.6 49.9 -99.6 12.2 8.3 8.3 8.3 8.3
Valuation(x)
P/E 0.0 0.0 -121.6 32.8 22.3 18.1 13.8 11.9
Price / Book Value 0.0 0.0 5.2 4.3 3.7 3.1 2.6 2.2
EV/Sales 0.0 0.0 3.0 3.0 2.8 2.1 1.8 1.6
EV/EBITDA 0.0 0.0 25.0 13.6 12.2 10.6 8.5 7.2
Dividend Yield (%) 0.4 0.4 0.4 0.4 0.4 0.4 0.6 0.7
Profitability Ratios (%)
RoE 10.9 9.9 -4.2 14.5 18.0 18.9 20.6 19.9
RoCE 7.2 7.2 -6.2 8.9 11.2 12.1 13.7 14.2
RoIC 7.6 7.6 -6.2 9.9 12.9 13.8 15.2 15.6
Turnover Ratios (%)
Asset Turnover (x) 0.7 0.8 0.8 0.8 0.8 1.0 1.1 1.1
Debtors (No. of Days) 50 51 51 60 63 55 63 63
Inventory (No. of Days) 79 84 77 76 76 67 77 77
Creditors (No. of Days) 49 47 48 40 49 55 50 50
Leverage Ratios (%)
Net Debt/Equity (x) 1.6 1.5 1.8 1.4 1.0 0.8 0.6 0.4

Cash Flow Statement (INR Million)

Y/E Mar 2013 2014 2015 2016 2017 2018 2019E 2020E
Adjusted EBITDA 10,559 10,076 6,893 12,470 13,453 15,184 18,896 21,193
Non cash opr. exp (inc) -1,736 -2,007 -119 106 161 0 0 0
(Inc)/Dec in Wkg. Cap. -40 -1,107 964 -1,332 369 -50 -5,473 -1,954
Tax Paid -1,196 -809 -793 -481 -1,439 -2,247 -3,946 -4,584
Other operating activities 2,112 1,569 888 225 142 0 0 0
CF from Op. Activity 9,699 7,723 7,833 10,989 12,685 12,888 9,477 14,655
(Inc)/Dec in FA & CWIP -4,378 -2,438 -3,491 -3,392 -4,623 -6,961 -5,000 -4,000
Free cash flows 5,321 5,285 4,341 7,597 8,062 5,927 4,477 10,655
(Pur)/Sale of Invt -54 -63 -42 257 74 -208 0 0
Others 123 156 -125 76 -126 400 217 290
CF from Inv. Activity -4,309 -2,344 -3,658 -3,059 -4,676 -6,769 -4,783 -3,710
Inc/(Dec) in Net Worth 0 0 0 197 77 0 0 0
Inc / (Dec) in Debt -992 -247 -1,136 -4,558 -4,086 -5,004 -3,000 -2,000
Interest Paid -2,957 -3,345 -3,353 -3,511 -2,291 -2,843 -2,342 -2,107
Divd Paid (incl Tax) & Others -548 -552 -538 -556 -559 -381 -683 -803
CF from Fin. Activity -4,498 -4,144 -5,027 -8,427 -6,859 -8,228 -6,026 -4,910
Inc/(Dec) in Cash 892 1,235 -852 -498 1,150 -2,109 -1,333 6,035
Add: Opening Balance 2,668 3,561 4,795 3,944 3,446 4,596 2,488 1,155
Closing Balance 3,561 4,795 3,944 3,446 4,596 2,488 1,155 7,190

4 December 2018 7
 Jubilant Life Sciences

NOTES

4 December 2018 8
 Jubilant Life Sciences

Explanation of Investment Rating

Investment Rating Expected return (over 12-month)
BUY >=15%
SELL < - 10%
NEUTRAL < - 10 % to 15%
UNDER REVIEW Rating may undergo a change
NOT RATED We have forward looking estimates for the stock but we refrain from assigning recommendation
*In case the recommendation given by the Research Analyst becomes inconsistent with the investment rating legend, the Research Analyst shall within 28 days of the
inconsistency, take appropriate measures to make the recommendation consistent with the investment rating legend.
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1 MOSL, Research Analyst and/or his relatives does not have financial interest in the subject company, as they do not have equity holdings in the subject company.
2 MOSL, Research Analyst and/or his relatives do not have actual/beneficial ownership of 1% or more securities in the subject company
3 MOSL, Research Analyst and/or his relatives have not received compensation/other benefits from the subject company in the past 12 months
4 MOSL, Research Analyst and/or his relatives do not have material conflict of interest in the subject company at the time of publication of research report
5 Research Analyst has not served as director/officer/employee in the subject company
6 MOSL has not acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
7 MOSL has not received compensation for investment banking/ merchant banking/brokerage services from the subject company in the past 12 months
8 MOSL has not received compensation for other than investment banking/merchant banking/brokerage services from the subject company in the past 12 months
9 MOSL has not received any compensation or other benefits from third party in connection with the research report
10 MOSL has not engaged in market making activity for the subject company

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The associates of MOSL may have:
- financial interest in the subject company
- actual/beneficial ownership of 1% or more securities in the subject company
- received compensation/other benefits from the subject company in the past 12 months
- other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on
the specific recommendations made by the analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOSL
even though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report.
- acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
- be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instruments of the
company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies)
- received compensation from the subject company in the past 12 months for investment banking / merchant banking / brokerage services or from other than said services.
The associates of MOSL has not received any compensation or other benefits from third party in connection with the research report
Above disclosures include beneficial holdings lying in demat account of MOSL which are opened for proprietary investments only. While calculating beneficial holdings, It does not
consider demat accounts which are opened in name of MOSL for other purposes (i.e holding client securities, collaterals, error trades etc.). MOSL also earns DP income from
clients which are not considered in above disclosures.
Analyst Certification
The views expressed in this research report accurately reflect the personal views of the analyst(s) about the subject securities or issues, and no part of the compensation of the
research analyst(s) was, is, or will be directly or indirectly related to the specific recommendations and views expressed by research analyst(s) in this report.
Terms & Conditions:
This report has been prepared by MOSL and is meant for sole use by the recipient and not for circulation. The report and information contained herein is strictly confidential and
may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent
of MOSL. The report is based on the facts, figures and information that are considered true, correct, reliable and accurate. The intent of this report is not recommendatory in nature.
The information is obtained from publicly available media or other sources believed to be reliable. Such information has not been independently verified and no guaranty,
representation of warranty, express or implied, is made as to its accuracy, completeness or correctness. All such information and opinions are subject to change without notice. The
report is prepared solely for informational purpose and does not constitute an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial
instruments for the clients. Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. MOSL will not treat recipients as
customers by virtue of their receiving this report.
Disclaimer:
The report and information contained herein is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or
distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent. This report and information herein is solely for
informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments. Nothing
in this report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances.
The securities discussed and opinions expressed in this report may not be suitable for all investors, who must make their own investment decisions, based on their own investment
objectives, financial positions and needs of specific recipient. This may not be taken in substitution for the exercise of independent judgment by any recipient. Each recipient of this
document should make such investigations as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this
document (including the merits and risks involved), and should consult its own advisors to determine the merits and risks of such an investment. The investment discussed or views
expressed may not be suitable for all investors. Certain transactions -including those involving futures, options, another derivative products as well as non-investment grade
securities - involve substantial risk and are not suitable for all investors. No representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of
the information and opinions contained in this document. The Disclosures of Interest Statement incorporated in this document is provided solely to enhance the transparency and
should not be treated as endorsement of the views expressed in the report. This information is subject to change without any prior notice. The Company reserves the right to make
modifications and alternations to this statement as may be required from time to time without any prior approval. MOSL, its associates, their directors and the employees may from
time to time, effect or have effected an own account transaction in, or deal as principal or agent in or for the securities mentioned in this document. They may perform or seek to
perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities functions as a
separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of
information that is already available in publicly accessible media or developed through analysis of MOSL. The views expressed are those of the analyst, and the Company may or
may not subscribe to all the views expressed therein. This document is being supplied to you solely for your information and may not be reproduced, redistributed or passed on,
directly or indirectly, to any other person or published, copied, in whole or in part, for any purpose. This report is not directed or intended for distribution to, or use by, any person or
entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction, where such distribution, publication, availability or use would be contrary to law,
regulation or which would subject MOSL to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in all
jurisdictions or to certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction. Neither
the Firm, not its directors, employees, agents or representatives shall be liable for any damages whether direct or indirect, incidental, special or consequential including lost revenue
or lost profits that may arise from or in connection with the use of the information. The person accessing this information specifically agrees to exempt MOSL or any of its affiliates
or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOSL or any of its affiliates or employees responsible for any such misuse
and further agrees to hold MOSL or any of its affiliates or employees free and harmless from all losses, costs, damages, expenses that may be suffered by the person accessing
this information due to any errors and delays.
Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022-3980
4263; www.motilaloswal.com. Correspondence Address: Palm Spring Centre, 2nd Floor, Palm Court Complex, New Link Road, Malad (West), Mumbai- 400 064. Tel No: 022 3080
1000. Compliance Officer: Neeraj Agarwal, Email Id: na@motilaloswal.com, Contact No.:022-38281085.
Registration details: MOSL: SEBI Registration: INZ000158836 (BSE/NSE/MCX/NCDEX); CDSL: IN-DP-16-2015; NSDL: IN-DP-NSDL-152-2000; Research Analyst: INH000000412.
AMFI: ARN 17397. Investment Adviser: INA000007100. Motilal Oswal Asset Management Company Ltd. (MOAMC): PMS (Registration No.: INP000000670) offers PMS and Mutual
Funds products. Motilal Oswal Wealth Management Ltd. (MOWML): PMS (Registration No.: INP000004409) offers wealth management solutions. *Motilal Oswal Securities Ltd.
is a distributor of Mutual Funds, PMS, Fixed Deposit, Bond, NCDs, Insurance and IPO products. *Motilal Oswal Real Estate Investment Advisors II Pvt. Ltd. offers Real Estate
products. * Motilal Oswal Private Equity Investment Advisors Pvt. Ltd. offers Private Equity products.
* MOSL has been amalgamated with Motilal Oswal Financial Services Limited (MOFSL) w.e.f August 21, 2018 pursuant to order dated July 30, 2018 issued by Hon'ble National
Company Law Tribunal, Mumbai Bench. The existing registration no(s) of MOSL would be used until receipt of new MOFSL registration numbers.

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