HCLTechnologiesLimited

17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

Q2FY12RESULTUPDATE

CMP: `425

AsonJan17,2012.
MarketCap.(`.Mn.)

280,590
`528.4/360.1

52WeekHigh/Low
BookValue

`97

FaceValue

`2
Codes

BSECode

532281

NSESymbol

HCLTECH

BloombergCode

HCLTIN

ReutersCode

HCLT.BO

ShareholdingPattern

Sept2011

Jun2011

March2011

Promoters

64.27

64.37

64.65

FII

20.51

21.35

21.5

DII

6.71

6.13

5.95

Others

8.51

8.15

7.90

120
HCLT

110
100

NIFTY

90
80
70
60

SharePriceReturns(%)

Absolute
Relative

1M
3.38
5.53

6M
19.19
6.09

12M
16.51
2.56

AbbasMerchant
amerchant@jaypeeindia.com

ContactNo:
+912243542019

Target:`547

BUY

Flatgrowthin$terms` helpsprofitability;BUY

ThegrowthstoryofHCLTechhascontinuedinQ2FY12.$Revenuehasgrownby2%
QoQ,though` realizationinrevenuewashighowingtoweaker`.Onprofitmargins
front,itwasanaverageshow.EBITmarginsimprovedby150bps.EPSat`8.21was
betterthanthestreetexpectations.EBITmarginsforallbusinesssegmentsimproved
marginally.Utilizationremainedflatwhileattritiondropped.Numberofactiveclients
increasedfrom480to516.BusinesscontributionfromAmericaincreasedandEurope
wasflatonQoQbasisat58.8%and26.8%respectively,whilebusinessfromEmerging
Marketsdecreasedto14.4%

Focus on growth leading into performance: In $ terms, topline was $1021 mn (+2%
QoQ, +18.3% YoY) {our estimate $1044.3 mn}. EBIT was $161.8 mn (+13.1% QoQ,
+42.6%YoY),andNetIncome$111.6mn(+4.2%QoQ,+25.6%YoY).In` terms,topline
was`52452mn(+12.8%QoQ,+34.9%YoY).EBITwas`8,307mn(+62.6%YoY),andNet
Income`5,727mn(+14.3%QoQ,+43.3%YoY){ourestimate`5896mn}.EPSis`8.21.
EBIT margin increased by 150 bps from 14.3% in Q1FY12 to 15.8%. However, Net
margin improved marginally by 20bps to 10.9% level. The company also declared a
dividendof`2/share.

STRONGDEALWINS:ThecompanyhasreachedamilestoneofUS$1bn+indealsthis
quarter.Theyhave18newdealssignedthisquarterexcludingexistingcustomersand
continue to maintain a high repeat business percentage of 94.4%.Among the deals
signed3ofthesedealsare100mil+deals,outofwhich2arenewandonecomesfrom
rebusiness. This quarter all top 10 clients are Fortune 500 clients which have helped
drivegrowth
Valuation:AtCMPof`425.4,thestockistradingat12.6xitsFY12Eearnings.Wevalue
HCL Tech at 14x its FY13E earnings to arrive at revised June12 target price of `547,
implyinganupsideof29%.

We maintain our stock rating at BUY on back of potential of growth and presence of
marginleversinformoflowutilization,highSG&Aandhighcapex.
Financial Summary (` mn)

$Revenue($mn)
Revenue
EBIT
EBITmargin
NetIncome
Netmargin
EPS(`)

Q2FY12 Q1FY12 Q2FY11

1,021.9 1,002.2 864.1
52,452.0
46512
38884
8,307.0
6641
5108
15.8%
14.3% 13.20%
5,727.0
4975
3997
10.90% 10.70% 10.30%
8.21
7.11
5.73

OurreportsareavailableonBloomberg<JAYP>
Pleaserefertothedisclaimerattheendofthereport

QoQ
2%
13%
25%
50bps
15%
50bps
15%

YoY
18%
35%
63%
162bps
43%
90bps
43%

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

Revenuehasbeenonconsistentrisesincepastsixquarters:

$ Revenue

Revenue growth has been flat this

quarter in $ terms however `
depreciation
has
increased
profitability

7.5%
9.0%

$1,000

Revenue($mn)

7.6%

$900
$800

$803.8

$962.9
$914.5
$864.1 5.8%
5.3%

$1,002.2$1,021.9

8%
6%

$737.6

4%

4.1%

$700

10%

$600

2.0%2%

$500

0%

QoQgrowth

$1,100

Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12

QoQGr.

` Revenue
44,000
Revenue(` mn)

40,000
36,000

41,382
11%37,081

42,995

14%
13%

38,884

10%

34,254
8%

8%

32,000

6%
5%

28,000

4%

4%

24,000

2%

20,000

0%

Revenue

QoQGr.

[Source:Company,JaypeeResearch]

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

8%
6%

Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12

12%
QoQgrowth

Revenue

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

NetProfitgrowthhasbeenvolatile:

` NetProfit
21%17%
4,682
3,997

5,100
4,100

5,106 4,975

25%
20%

15%15%

3,418 3,311

3,100

10%

9%

2,100

5%
1%

1,100

NetProfitGrowth

5,731

6,100
NetProfit(` mn)

Net Profit has however shown a

growth of 15% QoQ primarily due to
rupeedepreciation

0%
3%

3%

100

5%

Q4FY10Q1FY11Q2FY11Q3FY11Q4FY11Q1FY12Q2FY12
NetProfit

QoQGr.

[Source:Company,JaypeeResearch]

OverallBusiness
Thetableillustratesrevenuebyindustryverticals:

Healthcare&Lifesciencesverticalhas
shownthestrongestgrowthof100bps
QoQ, also, verticals like BFSI,
Manufacturing & Retail showed
marginalgrowth..

%Revenuebyindustryvertical
FinancialServices
Manufacturing
Telecom
Retail&CPG
MediaPublishing&Entertainment
Healthcare&LifeSciences
EnergyUtilitiesPublicSector
Others
Revenuebyindustryvertical(Rsmn)
FinancialServices
Manufacturing
Telecom
Retail&CPG
MediaPublishing&Entertainment
Healthcare&LifeSciences
EnergyUtilitiesPublicSector
Others

Q2FY12
Q1FY12 Q2FY11 QoQ(bps) YoY(bps)
24.7%
20
60
25%
25.1%
27.1%
50
240
30%
29.0%
8%
8.5%
10.3%
50
230
8.7%
30
10
9%
8.5%
6%
6.8%
40
20
6.6%
8.0%
100
60
9%
7.6%
6%
8.0%
160
90
7.3%
5.6%
30
130
7%
6.6%
Q2FY12
13,271
15,474
4,196
4,616
3,357
4,511
3,357
3,619

Q1FY12 Q2FY11
11675
9604.5
13489 10537.7
3954
4199.5
3954
3577.4
3163
2644.1
3535
3266.3
3721
2799.7
3070
2255.3

[Source:Company,JaypeeResearch]

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

QoQ
14%
15%
6%
17%
6%
28%
10%
18%

YoY
38%
47%
0%
29%
27%
38%
20%
60%

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

Maximum growth is witnessed in manufacturing and healthcare and utilities

verticals.

InfraManagementservicewitnessed
degrowththisquarter.HoweverCAS
showedagrowthof100bps,while
otherservicelinesshowedmarginal
improvement.

Thefollowingtableillustratesrevenuebyserviceofferings:
%RevenuebyServiceOffering
Enterpriseapplicationsservices
EngineeringandR&Dservices
Customapplications(industrysolutions)
InfrastructureManagementservices
BPOservices

Q2FY12
Q1FY12 Q2FY11 QoQ(bps) YoY(bps)
50
100
20%
19.8%
21.3%
19%
18.6%
30
40
18.5%
40
100
33%
32.4%
31.8%
23%
24.6%
120
60
22.8%
5%
4.6%
10
110
5.6%

RevenuebyServiceOffering(Rsmn)
Enterpriseapplicationsservices
EngineeringandR&Dservices
Customapplications(industrysolutions)
InfrastructureManagementservices
BPOservices

Q2FY12
Q1FY12 Q2FY11
10648
9209
8282
9914
8651
7194
17205
15070
12365
12274
11442
8866
2360
2140
2178

QoQ
16%
15%
14%
7%
10%

YoY
29%
38%
39%
38%
8%

[Source:Company,JaypeeResearch]
The company is witnessing maximum growth in EAS and custom applications,
whichareofADMinnature.BPOkeepsshrinking,thoughitisstabilizing.
Thefollowingtableillustratesrevenuebyvariousgeographies:

USremainsthekeygeography,though
Emerging Markets (ROW) was the
fastest growing it has shown a de
growthof310bps.

%Revenuebygeography
Americas
Europe
RestoftheWorld

Q2FY12 Q1FY12 Q2FY11 QoQ(bps) YoY(bps)

59%
55.8%
300
170
57.1%
20
20
27%
26.6%
26.6%
16.3%
310
190
14%
17.5%

Revenuebygeography
Americas
Europe
RestoftheWorld

Q2FY12 Q1FY12 Q2FY11

30843
25954
22203
14058
12372
10343
7553
8140
6338

[Source:Company,JaypeeResearch]

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

QoQ
19%
14%
7%

YoY
39%
36%
19%

HCLTechnologiesLimited

Jaypee Research Desk

17January2012

www.jaypeeindia.com
www.jaypeeusa.com

BusinessAnalysis
SoftwareServices

Software services have grown by 19%

YoY

SoftwareServicesRevenue($mn)

SoftwareServicesRevenue
$800
$750
$700
$650
$600
$550

40%
$736.4
35%
35%
$709.4
$679.0
30%
$650.9
28%
29%
$617.7
25%
19%
23%
$575.7
19% 20%
$526.8
15%
34%

$500

10%

9%
9%

$450

7%

5%

$400

4% 5%
0%

4%

4%

Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12

Revenue

QoQGr.

YoYGr.

[Source:Company,JaypeeResearch]
Software Services business, which contributes 72% to the topline, keeps on
growing,especiallyinpastfourquarters,whereYoYgrowthhasbeengrowing
everyquarter.Q2FY12sawsoftwareservicesgrowby19%YoYand4%QoQ.
InfraServices

has

$300
$250
$200

60%

47%

$165.3

$180.0

$213.7
$196.9
49%

41%

$150
$100

9%

$236.2 $246.3 $239.1

9%

9%

43%

30%
21%20%
10%
4%

$50

3%
Q1
FY11

Q2
FY11

Revenue

Q3
FY11

Q4
FY11

QoQGr.

Q1
FY12

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

Q2
FY12

YoYGr.

[Source:Company,JaypeeResearch]

0%
10%

$0
Q4
FY10

40%

37%

11%

9%

50%

RevenueGrowth

Infrastructure Management
grownby21%YoY

InfraServicesRevenue($mn)

InfraServicesRevenue
54%

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

Infra Management service line has shown a degrowth this quarter primarily
duetorupeedepreciationwhichaffectedcontractssignedinIndia
BPOServices

BPOServicesRevenue($mn)

BPORevenue

BPOisstilllaggingandhasdeclinedby
6%thisquarteronaYoYbasis

$48.1

$60
$50

$49.5

$45.5

$49.8

$47.7
5% $46.5

10%
$46.4

0%

$40

4%

6%

$30
$20

3%

14%

5%
10%
15%

18%

$10
$0

5%

20%

22%

25%

Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12

Revenue

QoQGr.

YoYGr.

[Source:Company,JaypeeResearch]
The BPO business keeps on lagging. The company maintains that the
investments which it is doing in the BPO business will start showing result by
quarterendingMarch12.

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

Letsanalyzerevenueandprofitcontributionofvariousbusinesses:

100%
80%

6%

6%

6%

5%

5%

5%

5%
23%

72%

22%

22%

23%

23%

25%

25%

71%

72%

71%

71%

71%

71%

60%
40%
20%
0%
Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12
SoftwareServ.

InfraServ.

BPO

EBITDAContribution
100%

EBITDAbybusiness segments

As seen in the charts, contribution of

Infra Management to revenue
although consistently increasing has
shown a decline this quarter, while
BPO is dropping. Similar trend is
witnessed in contribution to EBITDA
and EBIT, where BPO contribution is
negative,asitsmarginsarenegative.

Revenuebybusinesssegments

RevenueContribution

80%

23%

24%

25%

26%

26%

26%

24%

81%

79%

76%

75%

74%

74%

76%

60%
40%
20%
0%
20%

0%
1%
1%
1%
2%
3%
4%
Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12
SoftwareServ.

InfraServ.

BPO

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

HCLTechnologiesLimited

Jaypee Research Desk

17January2012

www.jaypeeindia.com
www.jaypeeusa.com

EBITContribution
EBITbybusinesssegments

100%

Margins have expanded in rupee

termsinQ2FY12

80%

22%

25%

25%

25%

26%

26%

24%

84%

82%

79%

78%

77%

76%

79%

60%
40%
20%
0%
20%

2%
2%
3%
3%
5%
6%
7%
Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12
SoftwareServ.

InfraServ.

BPO

[Source:Company,JaypeeResearch]
Software services is the most stable business, and a cash cow, whereas Infra
Managementwhichwaswitnessinggrowthhasshowndegrowththisquarter.

Margins
Thefollowingchartillustratesconsolidatedmargins:

Margins
20%

18.6%
16.3%

16.3%

Margins

15%

14.4%

15.3%
12.9%

10%
10.0%
5%

17.3%

8.9%

18.5%
15.5%

13.1%
10.3%

11.3%

11.9%

17.1%
14.3%
10.7%

18.5%
15.8%
10.9%

0%
Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12
EBITDAMargin

EBITMargin

NetMargin

[Source:Company,JaypeeResearch]
Margins have all expanded by approximately 150bps however PAT margins
haveincreasedmarginallyduetoforexloss.

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

EBITDAMarginsofbusinesses
25%

EBITDAmargins

20%

Margins of all businesses other than

BPO business have shown a marginal
increase

15%
10%
5%
0%
5%

Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12

10%
15%
ConsolidatedIT

SoftwareServ.

InfraServ.

#REF!

BPO

[Source:Company,JaypeeResearch]

EBITMargins
20%
15%

EBITmargins

10%
5%
0%
5%

Q4FY10 Q1FY11 Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12

10%
15%
20%
ConsolidatedIT

SoftwareServ.

InfraServ.

[Source:Company,JaypeeResearch]

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

BPO

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

ClientDetails

Number of clients is consistently Thefollowingtableillustratesclientmatrix:

improving.

ClientMetrics
ActiveClientRelationships
NewClientRelationships
$100mn+clients
$50mn+clients
$40mn+clients
$30mn+clients
$20mn+clients
$10mn+clients
$5mn+clients
$1mn+clients
Top5clients
Top10clients
Top20clients
Repeatbusiness(consolidated)
Clientsaccountingfor>5%oftherevenue
Dayssalesoutstanding(DSO)

Q2FY12
Q1FY12 Q2FY11
516
480
434
57
66
46
3
1
1
9
9
7
12
11
9
23
23
16
42
37
28
84
79
67
144
135
113
362
349
312
16%
15.3%
16.8%
24%
24.1%
25.6%
34%
34.2%
36.6%
94%
94.9%
94.3%
1
1
1
55
53
61

[Source:Company,JaypeeResearch]
Letsanalyzecontributionbytopclients:
%Contribution
Top5clients
Top10clients
Top20clients

Q2FY12 Q1FY12 Q2FY11 QoQ(bps) YoY(bps)

16.8%
50
100
0.158
15.3%
0.242
24.1%
10
140
25.6%
30
270
0.339
34.2%
36.6%

Rev.Contribution
Top5clients
Top10clients
Top20clients

Q2FY12 Q1FY12
8287.7521
7116.4
12693.899 11209.4
17781.949 15907.1

Q2FY11
6532.596
9954.432
14231.73

QoQ
16%
13%
12%

YoY
27%
28%
25%

[Source:Company,JaypeeResearch]
Revenuecontributionbytop10clientsis60%whiletherevenuesfromthetop
mostclienthasremainedflatonQoQbasis.Top5andTop10clientsaredriving
growthduetocrosssellandupsellstrategiesemployedbythecompany.

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

EmployeeDetails
Thecompanyhadtheheadcountof56,624insoftwareservices,17,431ininfra
servicesand11,021employeesinBPOservicesbyendofQ2FY12.Grosshiring
figurewas7,804whilenethiring2,556forthequarter.
Utilizationremainedflatat69.6%,whileattritionreducedsignificantly.Attrition
inconsolidatedITserviceswasdownfrom15.9%inpreviousquarterto15.7%,
whilethatinBPOwasalsodownfrom8.5%inpreviousquarterto6.1%.
Utilization remained relatively flat. However, attrition has reduced. Going
forwardweexpectutilizationandattritionbothtoremainflat.

Valuation

Wehavebuiltinthetaxrateof25%fromApril12,andhaveassumedtheUSD
`rateof49.5goingforward.
AtCMPof`425.4,thecompanyistradingat12.6xitsFY12Eearnings.Wevalue
HCLTechat14xitsFY13EEPSof`39.07toarriveatrevisedJune12targetprice
of`547.
WemaintainourBUYratingonthestock.

We have a target price of `547 and Ourinvestmenttheseshingesonfollowingarguments:

maintainourratingtoBUY.
a) Thecompanyfeelsconfidentthatitcannotonlymaintaintheongoing
growthrate,butcanalsopreserveitsmargins.Itexudesconfidenceof
thecompanytoelevateitsmargins,whichcanhappenduetopresence
ofmarginleverslikelowutilization(thecompanyistryingtoreachthe
levelof75%frompresent70%levels),highSG&A(whichpresentlyisin
excessof15%ofSales),andhighinvestmentincapex/infrastructure.
b) The company is already paying tax @25%, and the incremental tax
which they have to pay from April 12, when STPI benefit ends, is not
much.Wehavebuilt25%taxrate.

Service offerings:

Research & Advisory

Execution

Corporate Access & Events

HCLTechnologiesLimited
17January2012

Jaypee Research Desk

www.jaypeeindia.com
www.jaypeeusa.com

ConsolidatedFinancialsHCLTech
IncomeStatement
Y/EJune(`mn)

FY10

FY11

FY12E

FY13E

BalanceSheet
Y/EJune(` mn)

FY11
5,198

FY12E
11,961

FY13E

Revenue

125,650 160,342 210,420

243,144

Cashandcashequivalents

4,686

YoYGrowth
DirectCost
SG&AExpenses
EBITDA
EBITDAMargin
Depreciation&amortization
EBIT(OperatingProfit)
EBITMargin
Gain/(loss)fromforexhedging
Othernonoperatinginc./(exp.)
PBT

18.6%
81,957
17,965
25,728
20.5%
5,009
20,719
16.5%
(4,757)
(545)
15,417

27.6%
109,140
23,714
27,488
17.1%
4,974
22,514
14.0%
(818)
257
21,953

31.2%
142,484
29,903
38,033
18.1%
5,288
32,745
15.6%
(1,437)
326
31,634

15.6%
163,457
36,472
43,216
17.8%
5,796
37,420
15.4%
(1,000)

36,420

AccountsReceivables
Bankdeposits
Investmentsecurities
OtherCurrentAssets
CurrentAssets
PPE,net
Intangibleassets
Investments(longterm)
Othernoncurrentassets
NonCurrentAssets
TotalAssets

30,496 25,907 36,714 39,198

11,913 10,785 10,041 10,041
7,820 6,426 108 108
8,845 20,704 27,739 31,582
63,760 69,020 86,563 113,947
18,486 22,165 26,119 28,323
43,122 41,878 47,521 47,521
707 2,780 2,878 2,878
9,640 10,392 11,607 11,607
71,955 77,215 88,125 90,329
135,715 146,235 174,687 204,275

IncomeTaxes
Effectivetaxrate
MinorityInterest
Netincome
YoYGrowth
Sharesoutstanding(mn)
EPS(Rs)(FullyDiluted)
DPS(Rs)

2,404
15.6%
12.0
13,025
2.0%
689.5
18.89
4.50

4,854
22.1%
1.0
17,100
31.3%
696.4
24.55
7.40

7,971
25.2%
3.0
23,666
38.4%
699.2
33.85
15.04

9,105
25.0%
0.0
27,315
15.4%
699.2
39.07
15.63

CurrentLiabilities
Longtermdebt
Otherliabilities
TotalLiabilities
MinorityInterest
Stockholders'equity
Totalliabilities&equity
BVPS(Rs)

31,329 33,763 40,397 43,574

26,632 21,240 20,905 20,905
7,386 6,887 9,163 10,433
65,347 61,890 70,466 74,912

70,368 84,345 104,221 129,363

135,715 146,235 174,687 204,275
102.1 121.1 149.1 185.0

Cashflow

33,017

FinancialRatios

Y/EJune(`mn)
NetIncome

FY10
FY11
FY12E
FY13E
13,025 17,100 23,666 27,315

Y/EJune
Profitability&Returnratios(%)

FY10

FY11

FY12E

FY13E

Depreciation&Amortization
Changesinworkingcapital
Otheroperatingcashflow
CashflowfromOperations
Capitalexpenditure
(Inc.)/Dec.ininvestments

3,894
1,380
(1,691)
16,608
(6,122)
(5,936)

4,974
(2,362)
(357)
19,355
(7,782)
(43)

5,040
2,917
1,861
33,484
(7,639)
1,844

5,796
2,453

35,564
(8,000)

Grossmargin
EBITDAmargin
Netmargin
ROE
ROA
ROCE

35%
20%
10%
19%
10%
13%

32%
17%
11%
20%
12%
16%

32%
18%
11%
23%
14%
19%

33%
18%
11%
21%
13%
18%

Otherinvestingcashflow

CashflowfromInvesting
Issueofequity
Issue/(repay)debt

(12,059) (7,824) (5,795) (8,000)

1,035 581 206
(3,302) (4,494) (877)

WorkingCapital&Liquidityratios

Dividendspaid+div.tax

(3,099) (5,153) (10,518) (10,926)

Turnover&Leverageratios(x)

Otherfinancingcashflow
CashflowfromFinancing

(180) (63) (23)

(5,546) (9,130) (11,212) (10,926)

Grossfixedassetturnover
DebttoEquityratio

Receivables(days)
Currentratio(x)
Cashratio(x)

84 64 54 57
2.0 2.0 2.1 2.6
0.1 0.2 0.3 0.8
1.8 2.1 2.5 2.7
0.4 0.3 0.2 0.2

Forextranslationeffect

404

(2,468)

Valuationratios(x)

NetChangeincash&casheq

(592) 2,970

14,009

16,638

EV/Sales

2.2 1.7 1.3 1.1

Beginningcash&casheq
Closingcash&casheq

2,042
1,450

4,420
18,429

18,429
35,067

EV/EBITDA
P/E

10.5 9.9 7.1 6.3

22.5 17.3 12.6 10.9

P/BV

4.2 3.5 2.9 2.3

568
1,450
4,420

[Source:Company,JaypeeResearchEstimates]

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RecommendationStructure:
ABuyrecommendationimpliesanupsideof10%ormorefromthecurrentlevels.
ASellrecommendationimpliesadownsideof10%ormorefromthecurrentlevels.

ANeutralrecommendationimpliesanupside/downsideoflessthan10%fromthecurrentlevels.

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