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Result Update

May 27, 2014


Rating matrix
Rating
Target
Target Period
Potential Upside

:
:
:
:

SpiceJet (MODLUF)

Hold
| 21
12-15 months
10%

Demand slowdown, weak rupee hurting growth

Whats changed?
Target
EPS FY15E
EPS FY16E
Rating

Changed from | 12 to | 21
Changed from | -3.7 to | -3.8
Introduced at | 2.0
Changed from Sell to Hold

Quarterly performance
Revenue
EBITDA
EBITDA (%)
PAT

Q4FY14
1,573.4
(276.4)

Q4FY13
1,437.8
(156.1)

(17.6)
(321.4)

YoY (%)
9.4
77.1

(10.9) -671 bps


(185.7)
73.1

Q3FY14
1,796.3
(122.2)

QoQ (%)
-12.4
826 bps

(6.8) -1077 bps


(172.8)
86.0

| Crore
Net Sales
EBITDA

FY13
5,601
(196)

FY14
6,359
(796)

FY15E
7,186
28

FY16E
8,263
339

Net Profit
EPS (|)

(191)
(4)

(1,003)
(19)

(201)
(4)

107
2

FY14
-1.1
(1.1)
-3.2
0.4
-1.1
NA
-174.4

FY15E
-5.3
(5.6)
93.4
0.4
-0.9
NA
-14.3

FY16E
10.0
10.5
7.6
0.3
-1.0
NA
50.8

Valuation summary
FY13
-5.1
(5.3)
-13.1
0.5
-4.3
NA
-5.2

Stock data
Particular
Mcap
Debt (FY14)
Cash & Invest (FY13)
EV
52 week H/L (|)
Equity cap
Face value (|)

Amount (| crore)
1070.6
1516.3
5.4
2581.5
39/13
535
10

Price performance
1M
SpiceJet
Nifty

SpiceJets Q4FY14 revenues grew 9.4% YoY to | 1573.4 crore (Idirect estimate: | 1661.7 crore). Growth came in lower due to 6%
YoY fall in passengers while yield increased 17% YoY to | 4,375
With lower-than-expected growth in revenues, operating loss
widened to | 276.4 crore vs. our expected operating loss of | 200.6
crore
Net loss for the quarter stood at | 269.6 crore (vs. I-direct estimate:
| 321.4 crore)
For the full year, the company reported a net loss of | 1003.1 crore
vs. net loss of | 191 crore last year
Low penetration of air travel in India provides huge growth potential

Key financials

P/E
Target P/E
EV/EBITDA
EV/Sales
P/BV
RoNW (%)
RoCE (%)

| 19

3M

6M

12M

-13.9

1.3

-14.6

-61.1

5.8

17.8

17.6

15.9

Analyst
Rashesh Shah
rashes.shah@icicisecurities.com
Darpan Thakkar
darpan.thakkar@icicisecurities.com

ICICI Securities Ltd | Retail Equity Research

Despite the slowdown in passenger traffic growth witnessed over the past
two years, we believe significant growth opportunities exist for the
aviation sector in India due to the current low penetration of air travel. As
per the latest data, domestic pax per head in India (i.e. ~51 per 1000
population) is significantly lower than China and the US. Hence, we
expect strong growth in penetration of air travel over the next five to
seven years, which will be mainly driven by sustained growth of per
capita income, increased affordability accorded by healthy competition
and potential upgrading by the vast user base of Indian Railways.
however, sustainable growth to come only by keeping ticket prices low
Although SpiceJet (third largest player) has been successful in increasing
market share from 12.9% in FY09 to 18.1% in FY14 by keeping prices at
low levels and through fleet expansion, the high cost environment led by
currency weakness coupled with a demand slowdown in the past two
years have led to heavy losses (FY13 loss - | 191 crore, FY14 loss - | 1003
crore). Since aviation demand is very price sensitive, we believe
sustainable growth is possible only through cost optimisation. Dollar is
also one of the influencing factors as nearly 75% of total operating costs
are linked to the dollar. Hence, we believe strengthening of rupee would
aid in significant reduction in costs over the next two or three years.
Key challenge now to infuse funds to run business smoothly
Given the companys negative net worth of over | 1000 crore and loan
liability of | 1500 crore, funding the operations, going forward, would
remain a very challenging task for the company.
Margin expansion visible; upgrade to HOLD
Given the better profitability of international routes, we expect SpiceJet to
keep on adding new overseas routes to its kitty, which currently has
~10% share in total revenues. Further, we believe, strengthening of the
rupee against the dollar would play a key role in margin expansion, going
forward. However, maintaining caution on the aviation space, as a whole,
we remain neutral with a positive bias. We roll over our valuation base to
FY16E and upgrade our target price to | 21/share with HOLD rating on the
stock (i.e. 0.4x FY14E EV/sales). Any strategic tie-ups with foreign carriers
will remain a key upside risk to our call.

Variance analysis
Comments

Q4FY14 Q4FY14E Q4FY13 YoY (%) Q3FY14 QoQ (%)


Revenues
Other operating Income

Growth remained lower than estimates due to 6% YoY fall in passenger traffic growth

1573.4
16.2

1661.7
15.2

1437.8
18.0

9.4
-10.0

1796.3
11.5

-12.4
41.3

Fuel expenses
Lease rentals
Airport charges
Aircraft maintainance

860.5
292.5
121.1
230.3

824.4
284.0
115.0
250.4

775.1
204.0
104.9
248.4

11.0
43.4
15.4
-7.3

941.1
272.1
127.6
238.9

-8.6
7.5
-5.1
-3.6

Other ope costs


Employe cost
Other Expenses
EBITDA
EBITA Margin (%)
Depreciation
Interest
Other Income
Exceptional items
Tax

70.5
136.0
155.1
-276.4
-17.6
41.7
45.1
41.8
0.0
0.0

65.0
154.0
169.5
-200.6
-12.1
44.7
52.3
28.0
0.0
0.0

51.6
36.7
132.8
2.4
95.1
63.2
-156.1
77.1
-10.9 -671 bps
28.7
45.1
35.7
26.3
34.8
20.1
0.0
NA
0.0
NA

PAT

-321.4

-269.6

-185.7

73.1

Higher capacity addition (up 5% YoY) coupled with weak currency led to sharp increase
52.0
35.6 in other operating costs
145.6
-6.6
152.6
1.7
-122.2 826 bps
-6.8 -1077 bps Margins corrected sharply due to lower growth in revenues and high operating costs
32.4
28.7
30.3
48.9
12.0
247.4
0.0
NA
0.0
NA
Overall, an adverse business environment led to higher net loss of | 321.4 crore for the
-172.8
86.0 quarter

Key Metrics
No of passengers (In mn)
3.0
3.3
Yield per passenger (|)
4,375
4,225
ATF price (|/litre)
79,900 79,900
Source: Company, ICICIdirect.com Research

3.2
3,739
72,308

-6.0
17.0
10.5

3.2
4,601
79,800

-5.7
-4.9
0.1

Fuel costs were higher by 11% YoY mainly on account of weakness in the currency
against the dollar

Lean season coupled with high ticket prices led to sharp fall in pax traffic growth
Yields were higher by 17% mainly to counter the high cost burden
Average ATF prices came in higher by 10% YoY due to weak currency

Change in estimates
(| Crore)
Revenue
EBITDA

Old
7,185.5
20.6

FY15E
New % Change
7,185.5
0.0
27.6
33.9

EBITDA Margin (%)


0.4
0.4
PAT
-197.5
-201.3
EPS (|)
-3.7
-3.8
Source: Company, ICICIdirect.com Research

0 bps
1.9
1.9

Old
NA
NA

FY16E
New % Change
8,263.3
NA
338.8
NA

NA
NA
NA

4.1
107.3
2.0

NA
NA
NA

Comments
We expect passenger CAGR of 14% during FY14-16E
Margins to pick up from FY15 with strengthening of rupee and demand
improvement
Expect meaningful turnaroud from FY16 onwards

Assumptions
Passeneger (In mn)
Yield per passenger (|)

FY13
11.7
4,050

FY14
12.4
4,253

FY15E
13.7
4,423

FY16E
15.2
4,644

FY15E
13.5
4,423

FY16E
NA
NA

Expect passenger CAGR of 10.5% during FY14-16E


Realisation to grow annually at 4-5% during FY14-16E

Source: Company, ICICIdirect.com Research

ICICI Securities Ltd | Retail Equity Research

Page 2

Company Analysis
Consistent increase in market share through capacity expansion
SpiceJet has constantly remained ahead of industry passenger growth
over the past five years. While industry passenger traffic grew at a CAGR
of 9.2% during FY09-14, SpiceJets pax traffic grew at a CAGR of 23.3%
during the same period.
Exhibit 1: Passenger traffic growth
800.0
700.0
600.0
500.0
400.0
300.0
200.0
100.0
0.0

During FY12-14, passenger traffic growth remained flattish


due to the economic slowdown. Passengers carried by
SpiceJet grew 12.3% during the same period

616.0

543.1

614.4

604.5

452.8

396.0

FY09

FY10

FY11

FY12

Total Industry passenger traffic (In Lacs)

116.9

112

92.7

72.8

57

41.1

FY13

FY14P

Passenger carried by Spicejet (In lacs)

Source: Company, ICICIdirect.com Research

Exhibit 2: Market share trend (%)

19.5
Q3FY14

18.1

19.3
Q2FY14

19.7
Q4FY13

19.5

19.3
Q3FY13

18.3
Q2FY13

13.6
Q2FY12

18.3

14.0
Q1FY12

Q1FY13

13.9
Q4FY11

16.4

13.6
Q3FY11

12.1
Q4FY10

12.8

12.7
Q3FY10

Q2FY11

12.9
Q2FY10

13.2

12.7
Q1FY10

Q1FY11

12.9

15.0

Q4FY09

20.0

16.1

25.0

10.0

Q4FY14

Q1FY14

Q4FY12

Q3FY12

5.0

Market Share (%)

Source: Company, ICICIdirect.com Research

Exhibit 3: Load factor data (%)


90.0

Although SpiceJets market share improved from 16.1% in


Q3FY12 to 18.1% in Q4FY14, its load factor has come down
to 69.7% from 80% during the same period due to an
increase in fleet supply and higher competition

80.0

80.0

80.0

75.0

73.8

76.0

77
71.8

70.0

70.5

69.7

66.3
60.0
Q3FY12 Q4FY12 Q1FY13 Q2FY13 Q3FY13 Q4FY13 Q1FY14 Q2FY14 Q3FY14 Q4FY14
Load factor (%)

Source: Company, ICICIdirect.com Research

ICICI Securities Ltd | Retail Equity Research

Page 3

Exhibit 4: Trend in ATF prices


85,000

As on April 01,2014 | 76,610/-

80,000

ATF prices over the past year have increased sharply by 19%
due to currency weakness that, in turn, led to sharp erosion

75,000

in margins

70,000
65,000

Mar-14

Dec-13

Sep-13

Jun-13

Mar-13

Dec-12

60,000

Average ATF Prices (|./per kl)

Source: Company, ICICIdirect.com Research

While FY14 revenues grew 13.5% to | 6358.9 crore (with Q4FY14


reporting revenue growth of 9.2% YoY), margins have got eroded sharply
over the past three quarters mainly on account of a weak currency and
higher competition in the domestic market.

EBITDA margin

Source: Company, ICICIdirect.com, Research

Q4FY14

Q3FY14

-39.1
-44.5

Growth YoY (RHS)

-17.4
-20.2

-6.8
-9.6

5.5

3.0

7.9
6.4

Q1FY13

Q4FY14

Q3FY14

Q2FY14

Q1FY14

Q4FY13

Q3FY13

Q2FY13

Q1FY13

Total Revenues (LHS)

Q2FY14

Q1FY14

15

-10.7

30

500

-12.8

45

1000

Q4FY13

60

20
10
0
-10
-20
-30
-40
-50
-60
-70

Q3FY13

1257

75

-10.8
-13.5

1456

1590

Q2FY13

1207

1808

3.8

1467

1704

(%)

1500

1590

(%)

(| Crore)

2000

Exhibit 6: EBITDA and net margin trend


5.4

Exhibit 5: Quarterly revenue trend

Net margin

Source: Company, ICICIdirect.com, Research

5136
4375

3771

4278
4081

3739
4139

4412
4063

4001
4445

4068
3848

4000

3460
4083

5000

5245

6000

4551
4860

Exhibit 7: Yield and cost per passenger

20.0

Q4FY14

Q3FY14

Q2FY14

Q1FY14

Q4FY13

Q3FY13

Q2FY13

Q1FY13

Q4FY12

0.0

1000

-10.0
-20.0
-30.0

-40.0
Yield per pax (|) -LHS

Cost per pax (|)-LHS

Margin (%) - RHS

Source: Company, ICICIdirect.com Research

ICICI Securities Ltd | Retail Equity Research

30.0

10.0

3000
2000

40.0

Page 4

Expect revenue CAGR of 14% during FY14-16E


SpiceJet has reported revenue CAGR of over 30% during FY10-14 led by
a rebound in the economy and a favourable cost environment. However,
over the past 12-18 months, passenger traffic growth has remained
moderate due to higher ticket prices given the high cost environment.
Although we remain positive over the next two or three years with an
expected recovery in the economy coupled with the rupee strengthening,
we build in moderate revenue CAGR of 14% during FY14-16E.
Exhibit 8: Revenue growth trend (%)
8,263

9,000.0
7,500.0

40.0

6,359

5,601

6,000.0

30.0

3,943

4,500.0
3,000.0

50.0

7,186

2,181

2,880

20.0
10.0

1,500.0
-

FY10

FY11

FY12

FY13

FY14

Revenue (| Crore) - LHS

FY15E

FY16E

Growth (%) - RHS

Source: Company, ICICIdirect.com Research

Margins to improve led by strengthening of currency


FY14 has remained a challenging year for SpiceJet due to an adverse cost
environment. However, we expect the company to improve its margin,
going forward, led by strengthening of its position in international routes
and through cost rationalisation. We believe strengthening of the rupee
against dollar would play a key role in margin expansion, going forward.
Exhibit 9: Margin trend
10.0
5.0
0.0
-5.0

3.1
1.4
FY10

3.5
2.4

4.1
1.3

0.4

FY11

FY12

FY13
-3.5

FY14

FY15E
-2.8

FY16E

-3.4

-10.0
-14.5
-15.4

-15.0

-12.5
-15.8

-20.0
EBITDA margin (%)

PAT margin (%)

Source: Company, ICICIdirect.com Research

Key challenge currently to infuse funds to run business smoothly


Given the companys negative net worth of over | 1000 crore and loan
liability of | 1500 crore, funding the operations, going forward, would
remain a very challenging task for the company.

ICICI Securities Ltd | Retail Equity Research

Page 5

Company snapshot
120
100
80
60
40

Target Price: 21

20

Apr-15

Jan-15

Oct-14

Jul-14

Apr-14

Jan-14

Oct-13

Jul-13

Apr-13

Jan-13

Oct-12

Jul-12

Apr-12

Jan-12

Oct-11

Jul-11

Apr-11

Jan-11

Oct-10

Jul-10

Apr-10

Jan-10

Oct-09

Jul-09

Apr-09

Jan-09

Oct-08

Jul-08

Apr-08

Jan-08

Source: Bloomberg, Company, ICICIdirect.com Research

Key events
Date
Jul-08

Event
Kingfisher was said to be in talks to buy SpiceJet in All-Cash deal

Jul-08

Invesco Ltd acquired a minority stake in SpiceJet

Jun-10

A consortium led by private investor acquired 7.68% stake in the company for | 107.3 crore

May-11

The company was aiming to more than double passenger numbers to 20 million in three years as it started flights to smaller cities with few regular air services

Sep-12

Indian allows foreign airlines to buy local carrier stakes

Mar-13

The company which was operating an all-Boeing Co. fleet, said it may consider a full switch to Airbus SAS aircraft as it weighs options or a new generation of
planes
Boeing gets $ 4.4 Billion order from SpiceJet for 42 737 Max Jets

Mar-14
Source: Company, ICICIdirect.com Research

Top 10 Shareholders
Rank
1
2
3
4
5
6
7
8
9
10

Name
Kal Airways Pvt. Ltd.
Maran (Kalanithi)
SBI Funds Manageme nt Pvt. Ltd.
Jhunjhun wala (Rakesh Radheshyam)
Tata Group of Companies
Reliance Capital Asset Management Ltd.
Singh (Kalpana)
Van Eck Associates Corpora tion
BNP Paribas Investment Partners Asia Ltd.
Kotak Mahindra (UK) Ltd

Shareholding Pattern
Latest Filing Date
31-Mar-14
31-Mar-14
21-Oct-13
31-Mar-14
31-Mar-14
31-Dec -13
31-Mar-14
30-Apr-14
30-Sep-13
30-Jun-13

% O/S Position (m) Change (m)


29.24
156.5
0.0
24.24
129.7
0.0
2.91
15.6
1.2
1.87
10.0
0.0
1.79
9.6
0.0
1.60
8.6
0.0
1.40
7.5
0.0
0.66
3.5
1.0
0.21
1.1
1.1
0.11
0.6
0.3

(in %)
Promoter
FII
DII
Others

Mar-13 Jun-13 Sep-13 Dec-13 Mar-14


52.14 52.14 52.14 53.48 53.48
4.89
3.80
2.01
0.82
0.95
9.69
7.69
5.58
2.49
0.65
33.28 36.37 40.27 43.21 44.92

Source: Reuters, ICICIdirect.com Research

Recent Activity
Buys
Investor name
SBI Funds Management Pvt. Ltd.
BNP Paribas Investment Partners Asia Ltd.
Van Ec k Associates Corporation
Kotak Mahindra (UK) Ltd

Value
0.39m
0.32m
0.25m
0.13m

Shares
1.18m
1.10m
0.98m
0.28m

Sells
Investor name
BNP Paribas Asset Management, Inc.
Schroder Investment Manage ment (Hong Kong) Ltd.
Kotak Mahindra Asset Management Company Ltd.
TIAA-CREF
Principal PNB Asset Management Company Ltd.

Value
-1.10m
-0.71m
-0.59m
-0.41m
-0.35m

Source: Reuters, ICICIdirect.com Research

ICICI Securities Ltd | Retail Equity Research

Page 6

Shares
-2.42m
-2.25m
-2.02m
-1.44m
-1.35m

Valuation
Given the better profitability of international routes, we expect SpiceJet to
keep on adding new overseas routes to its kitty, which currently has
~10% share in total revenues. Further, we believe, strengthening of the
rupee against the dollar would play a key role in margin expansion, going
forward. However, maintaining caution on the aviation space, as a whole,
we remain neutral with a positive bias. We roll over our valuation base to
FY16E and upgrade our target price to | 21/share with HOLD rating on the
stock (i.e. 0.4x FY14E EV/sales). Any strategic tie-ups with foreign carriers
will remain a key upside risk to our call.
Exhibit 10: Valuation matrix
Sales
(| cr)
5600.6
6358.9
7185.5
8263.3

FY13
FY14
FY15E
FY16E

Growth
(%)
42.0
13.5
13.0
15.0

EPS
(|)
-3.9
-18.7
-3.8
2.0

Growth
(%)
NA
NA
NA
NA

PE EV/EBITDA
(x)
(x)
NA
-13.1
NA
-3.2
NA
93.4
NA
7.6

RoNW
(%)
NA
NA
NA
NA

RoCE
(%)
-5.2
-174.4
-14.3
50.8

Source: Company, ICICIdirect.com Research

Exhibit 11: EV/sales


10000

(| Crore)

8000
6000
4000
2000

EV

0.3x

0.6x

0.8x

1.1x

1.4x

Source: Company, ICICIdirect.com Research

ICICI Securities Ltd | Retail Equity Research

Page 7

Mar-14

Jul-13

Nov-12

Mar-12

Jul-11

Nov-10

Mar-10

Jul-09

Nov-08

Mar-08

Jul-07

Nov-06

Mar-06

Financial summary
Profit and loss statement

| Crore

Cash flow statement

| Crore

(Year-end March)
Total operating Income
Growth (%)
Fuel Expenses
Employee Expenses
Lease Rentals
Other Operating costs

FY13
5,600.6
42.0
2,803.3
526.7
808.0
1,658.9

FY14
6,358.9
13.5
3,252.6
575.7
1,053.2
2,273.9

FY15E
7,185.5
13.0
3,377.2
650.5
1,190.1
1,940.1

FY16E
8,263.3
15.0
3,718.5
743.7
1,305.6
2,156.7

(Year-end March)
Profit after Tax
Add: Depreciation
(Inc)/dec in Current Assets
Inc/(dec) in CL and Provisions
Others
CF from operating activities

FY13
-191.1
83.5
-174.7
355.3
0.0
73.0

FY14
-1,003.1
148.2
6.9
820.4
0.0
-27.5

FY15E
-201.3
164.7
-109.2
318.2
0.0
172.4

FY16E
107.3
171.3
-326.3
166.3
0.0
118.5

Total Operating Expenditure


EBITDA
Growth (%)
Depreciation
Interest
Other Income
PBT
Exceptionals
Total Tax
PAT
Growth (%)
EPS (|)

5,797.0
-196.3
NA
83.5
115.7
191.6
-204.0
-12.9
0.0
-191.1
NA
-3.9

7,155.3
-796.4
NA
148.2
136.6
78.2
-1,003.1
0.0
0.0
-1,003.1
NA
-18.7

7,157.9
27.6
LP
164.7
145.6
81.3
-201.3
0.0
0.0
-201.3
NA
-3.8

7,924.5
338.8
1,125.6
171.3
145.6
85.4
107.3
0.0
0.0
107.3
NA
2.0

(Inc)/dec in Investments
(Inc)/dec in Fixed Assets
Others
CF from investing activities
Issue/(Buy back) of Equity
Inc/(dec) in loan funds
Dividend paid & dividend tax
Inc/(dec) in Sec. premium
Others
CF from financing activities
Net Cash flow
Opening Cash
Closing Cash

0.0
-944.5
47.0
-897.5
43.0
822.7
0.0
0.0
-16.8
848.8
24.4
235.9
217.3

0.0
-82.6
89.0
6.4
50.9
-161.8
0.0
0.0
-28.9
-139.8
-161.0
217.3
5.4

0.0
44.7
78.0
122.7
0.0
100.0
0.0
0.0
-247.7
-147.7
147.4
5.4
152.8

0.0
41.3
95.0
136.3
0.0
0.0
0.0
0.0
-266.3
-266.3
-11.5
152.8
141.3

FY13

FY14

FY15E

FY16E

-3.9
-2.2
-4.6
4.5

-18.7
-16.0
-19.0
0.1

-3.8
-0.7
-22.9
2.9

2.0
5.2
-20.9
2.6

-3.5
-3.6
-3.4
2.5
4.1
92.8

-12.5
-15.8
-15.8
3.0
8.5
130.9

0.4
-2.8
-2.8
3.1
10.8
167.7

4.1
1.3
1.3
4.4
13.8
183.2

NA
-5.2
NA

NA
-174.4
NA

NA
-14.3
NA

NA
50.8
NA

-5.1
-13.1
0.5
0.2
-4.3

-1.1
-3.2
0.4
0.2
-1.1

-5.3
93.4
0.4
0.1
-0.9

10.0
7.6
0.3
0.1
-1.0

NA
-7.5
0.8
0.2

-1.9
-1.5
0.4
0.1

58.5
-1.3
0.5
0.1

4.8
-1.4
0.6
0.1

Source: Company, ICICIdirect.com Research

Source: Company, ICICIdirect.com Research

Balance sheet
(Year-end March)
Liabilities
Equity Capital
Reserve and Surplus
Total Shareholders funds
Total Debt
Total Liabilities
Assets
Gross Block
Less: Acc Depreciation
Net Block
Capital WIP
Total Fixed Assets
Investments
Inventory
Debtors
Loans and Advances
Other Assets
Cash
Total Current Assets
Creditors & Other Liabilities
Provisions
Total Current Liabilities
Net Current Assets
Deferred Tax Assets
Application of Funds

| Crore
FY13

FY14

FY15E

FY16E

484.4
-709.0
-224.6
1,678.1
1,453.5

535.3
-1,554.7
-1,019.4
1,516.3
496.9

535.3
-1,761.0
-1,225.7
1,616.3
390.6

535.3
-1,653.7
-1,118.4
1,616.3
497.9

1,700.2
155.4
1,544.8
250.0
1,794.8
0.0
45.6
105.1
418.4
489.7
217.3
1,276.1
1,600.3
17.2
1,617.4
-341.3
0.0
1,453.5

1,950.2
303.7
1,646.5
230.9
1,877.4
0.0
45.2
155.7
451.4
399.7
5.4
1,057.3
2,416.2
21.7
2,437.8
-1,380.5
0.0
496.9

Source: Company, ICICIdirect.com Research

2,181.1
468.3
1,712.7
120.0
1,832.7
0.0
51.0
176.0
503.0
431.1
152.8
1,313.9
2,730.5
25.6
2,756.1
-1,442.2
0.0
390.6

2,301.1
639.6
1,661.5
130.0
1,791.5
0.0
82.6
247.9
661.1
495.8
141.3
1,628.7
2,892.2
30.2
2,922.3
-1,293.6
0.0
497.9

Key ratios
(Year-end March)
Per share data (|)
EPS
Cash EPS
BV
Cash Per Share
Operating Ratios (%)
EBITDA Margin
PBT / Total Operating income
PAT Margin
Inventory days
Debtor days
Creditor days
Return Ratios (%)
RoE
RoCE
RoIC
Valuation Ratios (x)
P/E
EV / EBITDA
EV / Net Sales
Market Cap / Sales
Price to Book Value
Solvency Ratios
Debt/EBITDA
Debt / Equity
Current Ratio
Quick Ratio

Source: Company, ICICIdirect.com Research

ICICI Securities Ltd | Retail Equity Research

Page 8

RATING RATIONALE

ICICIdirect.com endeavours to provide objective opinions and recommendations. ICICIdirect.com assigns


ratings to its stocks according to their notional target price vs. current market price and then categorises them
as Strong Buy, Buy, Hold and Sell. The performance horizon is two years unless specified and the notional
target price is defined as the analysts' valuation for a stock.
Strong Buy: >15%/20% for large caps/midcaps, respectively, with high conviction;
Buy: >10%/15% for large caps/midcaps, respectively;
Hold: Up to +/-10%;
Sell: -10% or more;

Pankaj Pandey

Head Research

pankaj.pandey@icicisecurities.com

ICICIdirect.com Research Desk,


ICICI Securities Limited,
1st Floor, Akruti Trade Centre,
Road No. 7, MIDC,
Andheri (East)
Mumbai 400 093
research@icicidirect.com
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ICICI Securities Ltd | Retail Equity Research

Page 9