1QFY2013 Result Update | IT

March 1, 2013

MphasiS
Performance highlights
Y/E Oct. (` cr) – Cons. Net sales EBITDA EBITDA margin (%) Reported PAT
Source: Company, Angel Research

ACCUMULATE
CMP Target Price
4QFY12 % chg (qoq) 1,306 270 20.7 209 (3.8) (13.8) (215)bp (11.9) 1QFY12 1,367 252 18.4 185 % chg (yoy) (8.1) (7.7) 7bp (0.2)

`380 `403
12 Months

1QFY13 1,257 233 18.5 184

Investment Period
Stock Info Sector Market Cap (`cr) Net debt (` cr) Beta 52 Week High / Low Avg. Daily Volume Face Value (`) BSE Sensex Nifty Reuters Code Bloomberg Code

IT 7,954 (2,790) 0.4 439/317 18,149 10 18,919 5,720 MBFL.BO MPHL@IN

For 1QFY2013, MphasiS’ numbers underperformed our expectation on the revenue as well as the operating front. The company’s USD revenue declined on a qoq basis due to the prevalence of holiday season onsite and delays in the ramp up of a few projects in the HP channel. Revenues from the HP channel declined by 9.1% qoq while revenues from the Direct channel grew by 1.1% qoq. We maintain our Accumulate view on the stock. Quarterly highlights: MphasiS reported a revenue of US$238mn, down 4% qoq. In INR terms, revenue came in at `1,257cr, down 3.8% qoq. Service vertical wise, only infrastructure services posted a sequential growth of 3.6% qoq while all the other services areas reported a sequential decline in revenues. The EBITDA margin declined by 215bp qoq to 18.5%; 100bp of the 215bp decline is explained by seasonal shutdowns during the quarter. Outlook and valuation: The Management continues to guide towards sustained weakness in the HP-enterprise services (ES) business channel, which constitutes the bulk of Mphasis’ HP channel revenues. The Management reiterated its organic growth target of 1.5x industry average for the Direct channel business, aided by a robust deal pipeline, and traction in the US and Indian markets. The pipeline in the Direct channel remains robust; compared to the corresponding period last year, the current pipeline is up by 10-20%. The company closed Digital Risk’s acquisition during the quarter. At the time of acquisition, the revenue run rate from Digital Risk was ~US$127mn and was growing at a rate of 50%+. While the traction is not the same now, growth rates still remain healthy for Digital Risk. We expect a 4.6% and 6.4% USD and INR revenue CAGR for MphasiS over FY2012-14, considering that the business from HP is sluggish and client budgets for the next year remain flat. Among the positives, cash flow generation from operations continues to remain healthy, and the cash kitty is sizeable even after considering the expected outflow of ~`1,160cr in 2QFY2013. We maintain our Accumulate rating on the stock with a target price of `403.

Shareholding Pattern (%) Promoters MF / Banks / Indian Fls FII / NRIs / OCBs Indian Public / Others 60.5 5.1 24.6 9.9

Abs. (%) Sensex Mphasis

3m (2.2)

1yr 7.6

3yr 15.1 (42.8)

(2.3) (11.9)

Key financials (Consolidated)
Y/E Oct. (` cr) Net sales % chg Net profit % chg EBITDA margin (%) EPS (`) P/E (x) P/BV (x) RoE (%) RoCE (%) EV/Sales (x) EV/EBITDA (x) FY2010 5,036 17.9 1,091 19.0 25.1 52.0 7.3 2.4 33.1 32.9 1.3 5.0 FY2011 5,098 1.2 822 (24.6) 19.3 39.2 9.7 2.0 21.1 19.5 1.2 6.3 FY2012 5,358 5.1 792 (3.6) 19.6 37.7 10.1 1.8 18.0 18.7 1.0 5.0 FY2013E 5,560 3.8 756 (4.6) 18.2 35.7 10.6 1.6 15.4 16.1 1.0 5.6 FY2014E 6,065 9.1 805 6.5 17.9 38.4 9.9 1.4 14.1 15.0 0.8 4.5

Ankita Somani
022-39357800 Ext: 6819 ankita.somani@angelbroking.com

Source: Company, Angel Research

Please refer to important disclosures at the end of this report

1

MphasiS | 1QFY2013 Result Update

Exhibit 1: 1QFY2013 reported performance (Consolidated)
(` cr) Net revenue Cost of revenue Gross profit SG&A expenses EBITDA Dep. and amortization EBIT Interest income Other income PBT Income tax PAT EPS EBITDA margin (%) EBIT margin (%) PAT margin (%)
Source: Company, Angel Research

1QFY13 1,257 905 352 114 233 38 195 (1) 43 237 53 184 8.8 18.5 15.5 14.2

4QFY12 1,306 909 397 124 270 41 229 (2) 41 269 59 209 9.9 20.7 17.6 15.5

% chg (qoq) (3.8) (0.4) (11.4) (8.0) (13.8) (7.1) (15.0)

1QFY12 1,367 1,000 368 116 252 47 205 (2) 36

% chg (yoy) (8.1) (9.4) (4.3) (1.5) (7.7) (19.2) (5.1)

FY2012 5,358 3,813 1,544 493 1,051 175 877 (15) 166

FY2011 5,098 3,698 1,400 416 985 155 830 (2) 177 1,005 183 822 39.2 19.3 16.3 16.1

% chg (yoy) 5.1 3.1 10.3 18.6 6.8 12.6 5.7

(11.7) (10.9) (11.9) (11.9) (215)bp (204)bp (136)bp

239 54 185 8.8 18.4 15.0 13.2

(0.8) (2.8) (0.2) (0.2) 7bp 49bp 101bp

1,028 236 793 37.7 19.6 16.4 14.8

2.3 29.0 (3.6) (3.8) 31bp 9bp (133)bp

Exhibit 2: 1QFY2013: Actual vs Angel estimates
(` cr) Net sales EBITDA margin (%) PAT
Source: Company, Angel Research

Actual 1,257 18.5 184

Estimate 1,353 19.5 195

% Var. (7.1) (101)bp (5.4)

Weak revenue performance
MphasiS reported a muted performance on the revenue front for 1QFY2013. USD revenue came in at US$238mn, down 4% qoq. The company’s revenue was impacted due to continuous ramp down seen in some of the accounts of HP channel and seasonal shutdown of 6-7 days at HP. In INR terms, the revenue came in at `1,257cr, down 3.8%% qoq. During the quarter, the revenue from the Direct channel grew by 1.1% qoq to `621cr. Excluding the impact of INR depreciation, the revenue from the direct channel grew by 1.0% qoq. Emerging market business in the Direct channel grew by 9.1% qoq while mature market business in the Direct channel remained flat due to seasonal shutdowns with some customers. The revenue from the HP channel declined by 9.1% qoq (9.3% qoq decline excluding impact of INR depreciation) due to a ramp down in certain projects and annual shutdown at HP. The HP non-ES portion of the business witnessed a qoq decline of 10.1%. Service vertical wise, only infrastructure services posted a sequential growth of 3.6% qoq while all the other services areas reported a sequential decline in revenues. The revenue from the company’s anchor service lines - application development and application maintenance declined by 12.2% and 4.0% qoq, respectively.

March 1, 2013

2

MphasiS | 1QFY2013 Result Update

Exhibit 3: Service-wise performance
Service type (` cr) Application maintenance Application development Customer service Service/Technical help desk Transaction processing Infrastructure management Knowledge processes License income Contribution to revenue (%) Application maintenance Application development Customer service Service/Technical help desk Transaction processing Infrastructure management Knowledge processes License income
Source: Company, Angel Research

1QFY13 425 305 72 49 67 345 8 9 33.2 23.9 5.6 3.8 5.3 26.9 0.6 0.7

4QFY12 442 348 74 51 74 333 8 9 33.0 26.0 5.5 3.8 5.6 24.9 0.6 0.6

1QFY12 445 390 76 52 70 335 8 16 32.0 28.0 5.5 3.8 5.1 24.0 0.6 1.2

% chg qoq (4.0) (12.2) (2.8) (3.5) (9.4) 3.6 (1.2) 1.2 14 (213) 9 4 (29) 209 2 4

% chg yoy (4.6) (21.6) (5.7) (5.9) (4.3) 3.1 (1.2) (46.6) 121 (413) 14 9 21 292 5 (49)

chg qoq (bp) chg yoy (bp)

Industry vertical wise, MphasiS posted a 10.1% decline in its revenue from banking and capital markets. Revenues from insurance and IT, communication & entertainment industry declined by 3.0% and 9.5% qoq to `154cr and `317cr, respectively.

Exhibit 4: Vertical-wise performance
Vertical (` cr) Banking and capital markets Insurance IT, comm. and entertainment Emerging industries Contribution to revenue (%) Banking and capital markets Insurance IT, comm. and entertainment Emerging industries
Source: Company, Angel Research

1QFY13 316 154 317 493 24.7 12.0 24.8 38.5

4QFY12 352 159 350 479 27.5 12.4 27.4 37.4

1QFY12 357 158 378 500 25.6 11.4 27.2 35.9

% chg qoq (10.1) (3.0) (9.5) 3.0 (277) (37) (260) 112

% chg yoy (11.5) (2.5) (16.2) (1.3) (94) 69 (240) 266

chg qoq (bp) chg yoy (bp)

MphasiS again reported a slight decline of ~US$2/hr in its onsite billing rate of infrastructure technology outsourcing (ITO) business segment to US$59/hr. The onsite and offshore billing rate of application business segment remained flat qoq at US$66/hr and US$20/hr, respectively.

March 1, 2013

3

MphasiS | 1QFY2013 Result Update

Exhibit 5: Segment-wise pricing
Price movement (US$/hr) APO Onsite Offshore ITO Onsite Offshore BPO Offshore
Source: Company, Angel Research

1QFY13 66 20 59 21 6

4QFY12 66 20 61 21 6

1QFY12 67 21 67 21 6

% chg qoq 0.0 0.0 (3.3) 0.0 0.0

% chg yoy (1.5) (4.8) (11.9) 0.0 0.0

Client metrics
MphasiS has been focusing on direct channel strategy to win clients. Overall, the company added 22 new clients in 1QFY2013 - 8 in the HP channel and 14 in the Direct channel. Vertical wise, three clients were added in the banking and capital market service industry; two in insurance; three in IT, communication and entertainment; and the rest 14 in emerging industries. MphasiS witnessed reduction of one client each in the HP as well as Direct channel in the over US$10mn category. In addition, reduction of three clients is witnessed in the HP channel in the >US$1mn category.

Exhibit 6: Client concentration
(` cr) Top client revenue % contribution Top-5 clients revenue % contribution Top-10 clients % contribution
Source: Company, Angel Research

1QFY13 115.2 9 396.9 31 563.4 44

4QFY12 120.6 9 415.3 31 576.0 43

1QFY12 139.3 10 431.8 31 612.9 44

% chg qoq (4.4) (4.4) (2.2)

% chg yoy (17.3) (8.1) (8.1)

March 1, 2013

4

MphasiS | 1QFY2013 Result Update

Exhibit 7: HP and non-HP client breakup
No. of clients >US$1mn revenue Direct channel HP channel >US$5mn revenue Direct channel HP channel >US$10mn revenue Direct channel HP channel >US$20mn revenue Direct channel HP channel
Source: Company, Angel Research

1QFY13 126 55 71 40 15 25 23 9 14 9 5 4

4QFY12 130 56 74 39 15 24 25 10 15 9 5 4

1QFY12 122 42 80 41 14 27 25 11 14 12 5 7

Addition (qoq) (4) (1) (3) 1 0 1 (2) (1) (1) 0 0 0

Addition (yoy) 4 13 (9) (1) 1 (2) (2) (2) 0 (3) 0 (3)

Hiring muted
During the quarter, MphasiS again recorded a net reduction in its overall employee base, taking its total employee base to 36,438. Headcount of the application services business and the ITO business declined by 274 and 20 employees to 11,928 and 6,990, respectively. The Management indicated that the company would continue to hire in line with the demand environment and there are no plans of future hiring as yet.

Exhibit 8: Employee metrics
No. of employees Application services Onsite Offshore ITO services Onsite Offshore BPO services Onsite Offshore Sales and marketing General and administration Total 1QFY13 4QFY12 1QFY12 Net add.(qoq) Net add.(yoy) 11,928 2,374 9,554 6,990 296 6,694 16,173 111 16,062 328 1,019 36,438 12,202 2,475 9,727 7,010 301 6,709 16,023 111 15,912 369 1,025 36,629 14,536 2,716 11,820 7,811 308 7,503 14,951 121 14,830 343 1,157 38,798 (274) (101) (173) (20) (5) (15) 150 150 (41) (6) (191) (2,608) (342) (2,266) (821) (12) (809) 1,222 (10) 1,232 (15) (138) (2,360)

Source: Company, Angel Research

March 1, 2013

5

MphasiS | 1QFY2013 Result Update

EBITDA margin declines
MphasiS’ EBITDA margin declined by 215bp qoq to 18.5%; 100bp of the 215bp decline is explained by seasonal shutdowns during the quarter. Onsite and offshore utilization of the application services business declined to 91% and 83% in 1QFY2013 from 93% and 84% in 4QFY2012, respectively. Blended utilization of the application services business decreased to 84% in 1QFY2013 from 85% in 4QFY2012. In the ITO business also, onsite and offshore utilization declined to 92% and 86% in 1QFY2013 from 94% and 87% in 4QFY2012, respectively. Blended utilization of BPO inched up to 67% from 66% during 4QFY2012. MphasiS expects EBIT margin to remain at the lower end of the targeted band of 15-18%, despite the reversal of impact from shutdowns in 2Q, due to headwinds from the lower margin Digital Risk's integration and higher investments in S&M.

Exhibit 9: Segment-wise utilization
89 84 84 79 74 69 64 1QFY12 2QFY12 Application services
Source: Company, Angel Research

87 85 85 82 81 77 71 86 84

80

(%)

71

70 66 3QFY12 ITO services 4QFY12 67

1QFY13

BPO servics

Outlook and valuation
MphasiS’ revenue has been continuously getting hurt due to sluggish performance of HP-enterprise services business. Also, traction in the HP non-ES business is below the Management’s initial expectation of US$90mn-100mn in FY2012 and is in the range of US$50mn-60mn. The Management continues to guide towards sustained weakness in the HP-ES business channel which constitutes the bulk of Mphasis’ HP channel revenues. The Management reiterated its organic growth target of 1.5x industry average for the Direct channel business, aided by robust deal pipeline and traction in US and Indian markets. The pipeline in the Direct channel remains robust; compared to the corresponding period of last year, the current pipeline is up by 10-20%. The company closed Digital Risk’s acquisition during the quarter. At the time of acquisition, the revenue run rate from Digital Risk was ~US$127mn and was growing at a rate of 50%+. While the traction is not the same now, growth rates still remain healthy for Digital Risk. In 2QFY2013, MphasiS will witness cash outgo of US$200mn for Digital Risk’s acquisition and ~`80-90cr for dividend payouts. We expect a 4.6% and 6.4% USD and INR revenue CAGR for MphasiS over FY2012-14, considering that the business
March 1, 2013

6

MphasiS | 1QFY2013 Result Update

from HP is sluggish and client budgets for the next year remain flat. Among the positives, cash flow generation from operations continues to remain healthy, and the cash kitty is sizeable even after considering the expected outflow of ~`1,160cr in 2QFY2013. The company's recent policy of ~50% payout too is a potential cushion for the stock. The stock is currently trading at 9.9x FY2014E EPS of `38.4. We maintain our Accumulate rating on the stock with a target price of `403, valuing it at 10.5x FY2014E EPS.

Exhibit 10: One-year forward P/E
1,000 800 600

(`)
400 200 0

Aug-08

Aug-09

Aug-10

Aug-11

Aug-12

Feb-08

Feb-09

Feb-10

Feb-11

Feb-12

Nov-07

Nov-08

Nov-09

Nov-10

Nov-11

May-08

Price
Source: Company, Angel Research

May-09

15x

12x

May-10

9x

May-11

6x

May-12

3x

Exhibit 11: Change in estimates
FY2013 Parameter (` cr) Net revenue EBITDA PBT Tax PAT Earlier estimates 5,531 974 996 254 742 Revised estimates 5,560 1,011 997 242 756 Variation (%) 0.5 3.8 0.1 (4.9) 1.8 Earlier estimates 5,874 1,029 1,067 277 790 FY2014 Revised estimates 6,065 1,087 1,081 276 805 Variation (%) 3.2 5.6 1.3 (0.7) 2.0

Source: Company, Angel Research

March 1, 2013

Nov-12

Feb-13

7

MphasiS | 1QFY2013 Result Update

Exhibit 12: Recommendation summary
Company HCL Tech Hexaware Infosys Infotech Enterprises KPIT Cummins Mahindra Satyam Mindtree MphasiS NIIT Persistent TCS Tech Mahindra Wipro Reco Accumulate Buy Neutral Accumulate Buy Neutral Neutral Accumulate Buy Neutral Neutral Accumulate Neutral CMP (`) 722 88 2,908 170 107 124 886 380 23 542 1,500 1,102 421 Tgt. price (`) 765 113 184 134 403 36 1,205 Upside (%) 6.0 28.6 8.1 25.1 6.3 54.5 9.3 FY2014E EBITDA (%) 20.7 18.3 28.8 17.4 15.2 20.2 19.3 17.9 10.9 24.1 28.9 19.6 19.4 FY2014E P/E (x) 13.7 8.7 16.8 8.8 8.4 10.9 10.2 9.9 3.8 10.0 18.9 10.0 15.2 FY2011-14E EPS CAGR (%) 13.6 4.2 5.9 10.3 16.9 3.6 17.4 0.7 (2.7) 15.1 13.3 7.9 6.8 FY2014E EV/Sales (%) 1.6 0.9 3.1 0.5 0.7 1.2 1.1 0.8 0.1 1.1 3.9 1.9 1.8 FY201E RoE (%) 22.9 21.0 21.3 13.6 20.5 23.7 21.7 14.1 14.1 18.0 29.7 22.3 17.9

Source: Company, Angel Research

Company background
MphasiS is a mid-tier Indian IT company. MphasiS was acquired by BFL in 1999. In 2006, EDS acquired a majority stake in MphasiS and subsequently HP bought EDS in May 2008, thereby making MphasiS an HP company. The company provides application, infrastructure and BPO services to clients in the banking, capital markets, insurance, telecommunication and manufacturing industries. MphasiS is one of the largest BPO service providers in India, offering voice as well as transaction-based services.

March 1, 2013

8

MphasiS | 1QFY2013 Result Update

Profit and Loss statement (Consolidated)
Y/E Oct (` cr) Net sales Cost of revenue % of net sales Gross profit % of net sales Selling and mktg. expenses % of net sales General and admin. exp. % of net sales Provision for doubtful debts EBITDA % of net sales Dep. and amortization EBIT Interest income, net Other income, net Forex gain Profit before tax Provision for tax % of PBT PAT EPS (`) FY2010 5,036 3,352 66.6 1,684 33.4 220 4.4 199 4.0 1,265 25.1 164 1,101 1 50 58 1,210 119 9.8 1,091 52.0 FY2011 5,098 3,698 72.5 1,400 27.5 232 4.6 184 3.6 985 19.3 155 830 (2) 111 66 1,005 183 18.2 822 39.2 FY2012 5,358 3,813 71.2 1,544 28.8 287 5.4 202 3.8 4 1,051 19.6 175 877 (15) 148 18 1,028 236 22.9 792 37.7 FY2013E FY2014E 5,560 4,018 72.3 1,542 27.7 334 6.0 197 3.6 1,011 18.2 171 839 (7) 141 24 997 242 24.2 756 35.7 6,065 4,432 73.1 1,633 26.9 334 5.5 212 3.5 1,087 17.9 182 905 147 29 1,081 276 25.5 805 38.4

March 1, 2013

9

MphasiS | 1QFY2013 Result Update

Balance sheet (Consolidated)
Y/E Oct (` cr) Liabilities Share capital Reserves and surplus ESOP outstanding Total shareholders’ funds Secured loans Unsecured loans Total debt Deferred tax liability Trade payables Other long-term liabilities Long term provisions Total liabilities Assets Gross block - Fixed assets Accumulated depreciation Net block Capital work-in-progress Goodwill Long term loans and advances Deferred tax asset Other non-current assets Current assets Debtors and unbilled revenues Cash and cash equivalents Loans & advances Current investments Other current assets Less:- current liabilities Less:- provisions Net current assets Total assets 1,198 178 945 0 802 350 1,170 3,345 562 275 304 1,776 764 775 379 2,528 4,258 636 412 274 2,519 599 849 590 3,000 4,701 884 649 855 1,947 824 1,078 690 3,391 5,210 964 824 1,092 2,472 763 1,202 800 4,113 6,015 1,026 784 242 9 389 1,460 75 1,135 850 286 7 870 470 97 2 1,152 904 248 0 961 372 101 17 1,402 1,075 327 0 961 412 101 17 1,627 1,257 370 0 961 452 101 17 210 3,089 1 3,299 45 45 0 3,345 210 3,678 12 3,900 49 243 292 2 2 41 22 4,258 210 4,186 8 4,405 269 269 7 7 12 4,701 210 4,696 8 4,914 269 269 7 7 12 5,210 210 5,501 8 5,719 269 269 7 7 12 6,015 FY2010 FY2011E FY2012 FY2013E FY2014E

March 1, 2013

10

MphasiS | 1QFY2013 Result Update

Cash flow statement (Consolidated)
Y/E Oct. (` cr) Pre tax profit from operations Depreciation Pre tax cash from operations Other income/prior period ad Net cash from operations Tax Cash profits (Inc)/Dec in Current assets Current liabilities Net trade working capital Cashflow from operating actv. (Inc)/Dec in fixed assets (Inc)/Dec in loans and advances (Inc)/Dec in deferred tax liab. (Inc)/Dec in investments Cashflow from investing actv. Inc/(Dec) in debt Inc/(Dec) in equity/premium Dividends Cashflow from financing actv. Cash generated/(utilized) Cash at start of the year Cash at end of the year (512) 237 (275) 979 (180) (699) (6) (884) 42 (39) 98 (95) (0) 179 178 (1,264) 3 (1,261) (284) (677) 990 (20) 63 356 247 (123) 98 25 97 178 275 (621) 285 (335) 631 (222) 97 1 (60) (184) (23) (189) 98 (310) 137 275 412 (483) 329 (154) 773 (250) (40) (290) (148) 98 (247) 237 412 649 (781) 234 (547) 440 (225) (40) (265) 98 98 0 175 649 824 FY2010 1,160 164 1,324 50 1,374 (119) 1,254 FY2011 894 155 1,049 111 1,160 (183) 977 FY2012 FY2013E FY2014E 880 175 1,055 148 1,202 (236) 967 856 171 1,027 141 1,169 (242) 927 934 182 1,116 147 1,263 (276) 987

March 1, 2013

11

MphasiS | 1QFY2013 Result Update

Key ratios
Y/E Oct. Valuation ratio (x) P/E (on FDEPS) P/CEPS P/BVPS Dividend yield (%) EV/Sales EV/EBITDA EV/Total assets Per share data (`) EPS Cash EPS Dividend Book value Dupont analysis Tax retention ratio (PAT/PBT) Cost of debt (PBT/EBIT) EBIT margin (EBIT/Sales) Asset turnover ratio (Sales/Assets) Leverage ratio (Assets/Equity) Operating ROE Return ratios (%) RoCE (pre-tax) Angel RoIC RoE Turnover ratios (x) Asset turnover (fixed assets) Receivables days 1.8 70 1.3 65 1.2 58 1.1 58 1.1 58 32.9 91.3 33.1 19.5 31.5 21.1 18.7 29.7 18.0 16.1 26.3 15.4 15.0 24.0 14.1 0.9 1.1 0.2 1.5 1.0 33.1 0.8 1.2 0.2 1.2 1.1 21.1 0.8 1.2 0.2 1.1 1.1 18.0 0.8 1.2 0.2 1.1 1.1 15.4 0.7 1.2 0.1 1.0 1.1 14.1 52.0 59.8 4.0 157 39.2 46.6 6.5 186 37.7 46.1 4.0 210 35.7 44.2 4.0 234 38.4 47.1 4.0 273 7.3 6.3 2.4 1.1 1.3 5.0 1.9 9.7 8.1 2.0 1.7 1.2 6.3 1.5 10.1 8.2 1.8 1.1 1.0 5.0 1.1 10.6 8.6 1.6 1.1 1.0 5.6 1.1 9.9 8.1 1.4 1.1 0.8 4.5 0.8 FY2010 FY2011 FY2012 FY2013E FY2014E

March 1, 2013

12

MphasiS | 1QFY2013 Result Update

Research Team Tel: 022 - 3935 7800

E-mail: research@angelbroking.com

Website: www.angelbroking.com

DISCLAIMER
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. Angel Broking Limited, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within. 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 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 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 Limited endeavours 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. Angel Broking Limited and its affiliates may seek to provide or have engaged in providing corporate finance, investment banking or other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or in the past. Neither Angel Broking 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 Limited and its affiliates may have investment positions in the stocks recommended in this report.

Disclosure of Interest Statement 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

MphasiS No No No No

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

Ratings (Returns):

Buy (> 15%) Reduce (-5% to -15%)

Accumulate (5% to 15%) Sell (< -15%)

Neutral (-5 to 5%)

March 1, 2013

13

Sign up to vote on this title
UsefulNot useful