19 May 2020

Annual Report Threadbare

ACC
ACC Cement (ACC)’s CY19 Annual Report analysis highlights EBITDA The ART of annual report analysis
growth of 17.8% YoY to INR24.1b, primarily attributed to a 160bps  EBITDA increased 17.7% YoY to
INR24.1b due to operating margin
expansion in the EBITDA margin to 15.4%, led by cost-control initiatives. expansion of 160bps to 15.4%.
The company recognized INR1.7b (9% of PBT) in a government grant in  Significant part of grant/tax incentive
P&L. We note that while cumulatively over the last five years (CY15–19) recognized over last five year
the company recognized government grants of INR7.7b, the outstanding (INR7.7b) remains o/s as collectible
incentives and other claims as collectibles stood at INR6.9b and INR1.6b (INR8.5b; 7.3% of NW) at CY19.
respectively, 7.3% of NW as of CY19 end. However, despite this, earnings  FCF post interest increased significantly from INR5.8b
in CY18 to INR17.0b in CY19 due to rising OCF and
to cash conversion improved to 112% (CY18: 80%) on improvement in the working capital release.
cash conversion cycle to 35 days (CY18:36 days). FCF post interest  Contingently liability increased by 14.6% YoY to
increased to INR17.0b (CY18: INR5.8b) due to high OCF (INR22.5b v/s INR26.7b, 23.1% of NW.
INR11.2b in CY18) and low capex (INR4.9b v/s INR5.0b in CY18). Strong
operating performance resulted in RoIC improving 340bps to 18.7% in Stock Info
CY19. The company has high investments in non-core assets worth Bloomberg ACC IN
INR52.7b, 46% of NW, along with low investment yield of 4.7%, which led Equity Shares (m) 188
to limited improvement in RoE by 220bps to 12.5%. Contingent liability M.Cap.(INRb)/(USDb) 213.7 / 2.8
increased to INR26.7b (23.1% of NW) in CY19 (CY18: INR23.3b, 22.1%). 52-Week Range (INR) 1768 / 896
Related-party transactions included Technology and Know-how fees of 1, 6, 12 Rel. Per (%) 1/2/-9
INR1523m (1% of revenue; 7.4% of PBT) and fees of INR1995m for Other 12M Avg Val (INR M) 1339
Services Received, comprising 1.4% of the total cost in CY19. Free float (%) 45.5
 Margin expansion aids profitability: EBITDA increased 17.8% to Shareholding pattern (%)
INR24.1b in CY19 (CY18: INR20.5b) as the operating margin Mar-20 Dec-19 Mar-19
expanded 160bps to 15.4%. Margin expansion was driven by: a) a Promoter 54.5 54.5 54.5
drop in freight cost by 120bps to 25.8% of revenue (CY19: DII 21.2 21.3 21.6
INR40.3b; CY18: INR39.9b) as the company implemented logistics FII 7.8 8.6 8.9
cost and efficiency improvement initiatives, b) decline in opex by Others 16.5 15.5 15.0
130bps to 15.9% of revenue (CY19: INR24.9b; CY18: INR25.4b) due Note: FII Includes depository receipts
to 50bps fall in the consumption of packing material cost, and
60bps decline in miscellaneous expense. Stock Performance (1-year)
 Govt. grants comprise significant proportion of earnings, but
remain collectible: ACC’s tax incentive recognized (CY19:
INR1,747m, ~9% of PBT v/s CY18: INR 1,623m, ~11% of PBT)
contributes materially to earnings. Furthermore, we note that the
significant part of tax incentive recognized (INR 7.7b) over the last
five years (CY15–19) remains outstanding to be received as
incentives (INR6.9b) and other claims (INR 1.6b) as of CY19.
 FCF rises on improved performance and lower WC intensity: FCF
post interest increased significantly to INR 17.0b in CY19, from
INR5.8b in CY18, owing to improved operating performance and
decline in the cash conversion cycle to 35 days in CY19 from 36 Auditor’s name
days in CY18. This was led by decline in receivable by 6 days (to 15 Deloitte Haskins & Sells LLP
days) and inventory by 24 days (to 42 days), partially offset by a
drop in payable by 21 days (to 54 days). Sandeep Ashok Gupta
 Contingent liability remains high: Contingently liability increased (S.Gupta@MotilalOswal.com); +91 22 6129 1551
to INR26.7b, 23.1% of NW (v/s INR23.3b, 22.1% of NW in CY18). Umesh Jain
This primarily comprised: a) demand of INR16.2b (CY18: INR14.9b) (Umesh.Jain@motilaloswal.com); +91 22 7193 4221
raised under the Competition Act b) an income tax matter related
to the excise duty incentive of INR6.0b (CY18: 5.0b), and c) claims
for mining lease rent of INR2.1b (CY18: INR0.7b).
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.
 ART | ACC CY19

Stable revenue growth and margin expansion aids profitability

 Company revenue grew at 5.8% YoY to INR156.6b in CY19 (CY18: INR148.8b),
primarily driven by higher realization per ton of INR5,420 v/s INR 5,217 in CY18
(3.9% increase YoY), and supported by volume growth of 1.8% to 28.9 MTPA.
 EBITDA increased 17.8% YoY to INR24.1b (CY18: INR20.5b). This was largely
attributed to operating margin expansion by 160bps to 15.4% in CY19.
 The company undertook various cost initiatives in CY19, resulting in decline in:
a) freight cost by 120bps to 25.8% of revenue (INR40.3b in CY19 v/s INR39.9b in
EBITDA increased 17.8% CY18 as the company implemented logistics and efficiency improvement
YoY to INR24.1b driven by initiatives) and b) opex by 130bps to 15.9% of revenue (INR24.9b in CY19 v/s
operating margin expansion INR25.4b in CY18).
by 160bps to 15.4%.  Operating expenses declined primarily on account of: a) a drop in the
consumption of packing material to INR4.6b (2.9% of revenue) in CY19 from INR
5.0b (3.4% of revenue) in CY18 and b) lower miscellaneous expense of INR6.8b
(4.3% of revenue) in CY19 v/s INR7.2b (4.9% of revenue) in CY18.
 Earnings before tax increased 26.7% to INR17.2b in CY19. However, profit after
tax de-grew 9.4% to INR13.8b (CY18: INR15.2b) due to the reversal of income
tax provision of INR5.0b as an exceptional item in CY18. Excluding this, PAT
increased 35% YoY to INR13.8b.
Exhibit 1: EBIDTA margins rise on improving cost efficiency (INR b)
Particulars CY15 % CY16 % CY17 % CY18 % CY19 %
Net Revenue (Operations) 118.0 100.0 109.9 100.0 132.9 100.0 148.0 100.0 156.6 100.0
Raw Materials 18.5 15.7 16.1 14.6 19.7 14.8 23.3 15.8 27.2 17.4
Power and Fuel 24.0 20.3 21.6 19.7 27.2 20.5 30.0 20.3 31.3 20.0
Gross Margin 75.5 64.0 72.2 65.7 86.0 64.8 94.7 64.0 98.0 62.6
Freight and forwarding 27.0 22.9 26.4 24.0 34.3 25.8 39.9 27.0 40.3 25.8
Operating and Administrative Expenses 25.4 21.5 23.5 21.4 24.3 18.3 25.4 17.2 24.9 15.9
Personnel Cost 7.7 6.5 7.6 6.9 8.2 6.2 8.8 6.0 8.7 5.5
EBITDA 15.4 13.0 14.8 13.5 19.1 14.4 20.5 13.8 24.1 15.4
Depreciation 6.6 5.6 6.1 5.5 6.4 4.8 6.0 4.1 6.1 3.9
EBIT 8.7 7.4 8.7d 7.9 12.7 9.6 14.4 9.8 18.1 11.5
Financial Charges 0.6 0.5 0.8 0.7 1.0 0.7 0.9 0.6 0.9 0.6
EBT 8.1 6.9 7.9 7.2 11.7 8.8 13.6 9.2 17.2 11.0
Other Income 1.2 1.0 1.2 1.1 1.3 1.0 1.4 1.0 3.2 2.0
PBT (Before Exceptional Items) 9.3 7.9 9.1 8.3 13.0 9.8 15.0 10.1 20.4 13.0
Share in JV/associate 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1
Exceptional items (1.6) (1.4) (0.4) (0.4) - - - - - -
PBT 7.8 6.6 8.9 8.1 13.1 9.9 15.1 10.2 20.5 13.1
Tax 1.9 1.6 2.3 2.1 3.9 2.9 (0.1) (0.1) 6.8 4.3
PAT 5.9 5.0 6.6 6.0 9.2 7.0 15.2 10.3 13.8 8.8
Source: Company annual report, MOFSL

Exhibit 2: 130bps margin improvement driven by opex, 60bp due to lower misc. exp. (INR b)
Change
Particulars CY18 % of rev. CY19 % of rev.
YoY
Consumption of stores and spare parts 3.2 2.2% 3.3 2.1% -0.1%
Consumption of packing materials 5.0 3.4% 4.6 2.9% -0.5%
Rent 1.4 0.9% 1.3 0.8% -0.1%
Rates and taxes 1.5 1.0% 1.4 0.9% -0.1%
Repairs 1.7 1.2% 1.6 1.0% -0.2%
Other expense 5.4 3.6% 6.1 3.9% 0.3%
Miscellaneous expenses 7.2 4.9% 6.8 4.3% -0.6%
Operating and Admin Expenses 25.4 17.2% 24.9 15.9% -1.3%
Source: Company annual report, MOFSL

19 May 2020 2
 ART | ACC CY19

Exhibit 3: EBITDA per ton (excl. other operating income) increases 19.4% YoY (INR/ton)
Particulars CY15 CY16 CY17 CY18 CY19
Realisation per unit 4995 4780 5069 5217 5420
Other operating revenue 154 97 135 114 109
Raw Material Cost 782 699 750 822 941
Power and Fuel 1015 939 1037 1058 1085
Freight Cost 1145 1147 1310 1407 1396
Employee Benefits Expense 327 329 313 311 300
Other Expenses 1075 1023 929 897 863
Total Expense 4344 4137 4339 4495 4585
EBITDA per ton 651 643 730 722 835
EBITDA per ton excl. other operating income 497 547 595 608 726
Source: Company annual report, MOFSL

Exhibit 4: ACC Cement’s volume growth outpaces industry growth over CY16–19
ACC Industry

8%
7%
6%

2%

CY06-16 CY16-19
Source: Company annual report, MOFSL

Significant part of government grant remains outstanding

 ACC has recognized government grants under various industrial promotional tax
Outstanding
schemes over the years. The company’s tax incentive recognized (CY19:
incentive/government grant
increased to INR8.5b; 7.3%
INR1,747m, ~9% of PBT v/s CY18: INR 1,623m, ~11% of PBT) contributes
of NW in CY19. materially to earnings.
 Furthermore, we note that company has recognized government grant of
INR7.7b over the last five years (CY15–19) , significant part of grants remains
outstanding to be received as incentives (INR 6.9b) and other claims (INR1.6b) as
of CY19.

Exhibit 5: Outstanding claim/incentive receivable from

government on the rise (INR m) Exhibit 6: Incentive/Claim income recognized increased YoY
Incentives Other Claims % of NW Incentive income recognized (INR m) % of PBT
23%
7.3%
6.6%
6.0%
5.5% 5.5%
1,558
1,560 12% 11%
1,465 9%
7%
6,905
4,658 4,830 5,340
4,103
2,145 659 1,516 1,623 1,747

CY15 CY16 CY17 CY18 CY19 CY15 CY16 CY17 CY18 CY19
Source: Company annual report, MOFSL Source: Company annual report, MOFSL

19 May 2020 3
 ART | ACC CY19

Higher operating activity, supported by WC release, boosts FCF

 Earnings to cash conversion improved to 112% in CY19 (CY18: 80%) due to
decline in the WC cycle to 35 days in CY19 from 36 days in CY18.
 The fall in the cash conversion cycle was largely attributed to: a) decline in trade
receivable days to 15 days in CY19 from 21days in CY18. On the other hand,
Free cash flow post interest decline in inventory days to 42 days in CY19, from 66 days in CY18, was partly
increased to INR17.0b v/s
offset by a drop in trade payable days to 54 days in CY19 from 75 days in CY18
INR 5.8b in CY18 due to
higher OCF and working
and increase in receivables or governments grants to 20days in CY19 from 17
capital release of INR2.7b. days in CY18.
 We noted a working capital release of INR2.7b in CY19 (v/s an increase of
INR3.5b in CY18).Higher operating activity and release of WC led to higher
operating cash flow of INR22.5b v/s INR11.2b in CY18.
 Capital expenditure remained relatively lower at INR4.9b (CY18: INR 5.0b),
primarily comprising routine maintenance and efficiency/productivity
improvement capex. This led to higher free cash flow post interest of INR 17.0b
v/s INR5.8b in CY18.

Exhibit 7: FCF increases on improved operations and lower WC requirements (INR b)

Particulars CY15 CY16 CY17 CY18 CY19 CY15-19
PBT 7.7 8.9 13.1 15.1 20.5 65.2
Add/Less: Non-cash adjustments 8.7 5.9 5.5 5.3 3.8 29.2
Less: Direct Taxes Paid (2.3) (2.7) (2.2) (5.3) (4.5) (17.0)
Operating Profit Before Working Capital Changes 14.0 12.1 16.5 15.1 19.8 77.5
Trade receivables, loans and advances and other assets (2.2) (0.7) (7.8) (2.7) 0.3 (13.0)
Inventories 0.6 (0.5) (1.7) (2.8) 5.3 0.9
Trade payables, other liabilities and provisions 2.1 3.0 8.6 1.6 (3.0) 12.4
Working capital release 0.5 1.8 (0.9) (3.9) 2.7 0.2
Cash Generated from Operations 14.6 13.9 15.5 11.2 22.5 77.7
Less: Financial Cost (0.4) (0.5) (0.4) (0.4) (0.6) (2.3)
Free Cash Flow from Operations post Interest 14.2 13.4 15.1 10.8 22.0 88.7
Less: Capital expenditures (11.2) (5.0) (5.2) (5.0) (4.9) (31.3)
Free cash flow post interest 3.0 8.4 9.9 5.8 17.0 44.1
Source: Company annual report, MOFSL

Exhibit 8: Earnings to cash conversion increases… Exhibit 9: …due to decline in cash conversion cycle (days)
112% 112% Particulars CY15 CY16 CY17 CY18 CY19
110%
Inventory 62 70 63 66 42

93% Trade Payables 46 72 82 75 54

Advance to suppliers 3 7 19 13 16
80%
Advance from customers 4 7 5 6 4
Government Grant 14 16 15 17 20
Trade Receivables 15 18 18 21 15
CY15 CY16 CY17 CY18 CY19
Cash conversion cycle 44 32 28 36 35
Source: Company annual report, MOFSL Source: Company annual report, MOFSL

19 May 2020 4
 ART | ACC CY19

Operating cash flow predominant contributor to sources of funds

Over CY15-19, 92% of
sources of funds
contributed by operating
cash flows.
 Analysis of cash flow funds over CY15–19 suggests 92% of the sources of funds
were contributed by operating cash flow, while interest income contributed a
mere 6% to funds.
 On the other hand, capital expenditure absorbed 37% of funds (mainly due to
expansion plans comprising a new clinker line and grinding facility at the Jamul
plant, Chhattisgarh, and a new grinding unit at Sindri, Jharkhand during CY15–
16). Moreover, dividend payments as well as retained cash and bank balances
used 25% and 35% of funds, respectively.

Exhibit 10: Cash flow from operations contributes 92% to Exhibit 11: Majority of contribution utilized for dividend
sources of funds payments (25%) and retained cash and bank balances (35%)
Source of Funds CY15-19 Application of Funds CY15-19
0.2%
6% 2%
Operating cash flows Capex
35% 37%
CY15-19: Interest income CY15-19: Interest expense
INR84.3b INR84.3b
Dividend Dividend paid

Investments 3% Cash and Bank balance

92% 25%

Source: Company annual report, MOFSL Source: Company annual report, MOFSL

High non-core investments limit RoE improvement despite high RoIC:

RoIC improved 340bps to
18.7% in CY19. High non-
core asset of INR52.7b (46%
of NW) with low investment
yield of 4.7% limited RoE
improvement.
 Non-core assets (92% comprising cash and interest-bearing assets as of CY19)
increased significantly to INR52.6b (46% of NW) in CY19 from INR37.4b (36% of
NW) in CY18.
 ACC’s return on invested capital improved 340bps YoY to 18.7%, led by strong
operating performance. However, high cash and interest-bearing assets, with
low investment yield of 4.7% in CY19 (CY18: 4.5%), limited return on equity
improvement by 220bps to 12.5% in CY19.

Exhibit 12: Low investment yield on non-core assets takes Exhibit 13: …due to high cash and interest-bearing
toll on RoE despite high RoIC… instruments
RoE RoIC Investment Yield Non-core asset (INR m) % of NW
18.7%
15.3% 47% 46%
14.7% 14.5%
12.1% 12.5% 35% 36%
10.2% 10.3% 28%
9.0%
8.1%

5.6% 5.4% 4.7% 39,597 24,672 32,618 37,412 52,662

4.0% 4.5%

CY15 CY16 CY17 CY18 CY19 CY15 CY16 CY17 CY18 CY19

Return ratios are calculated after adjusting for the impact of exceptional items Non-core assets include cash and cash equivalents, loans, and CWIP
Source: Company annual report, MOFSL Source: Company annual report, MOFSL

19 May 2020 5
 ART | ACC CY19

Exhibit 14: ACC’s RoE on rising trajectory; high among large-cap peers

Ultratech ACC Ambuja Shree

20.0%

15.0%

10.0%

5.0%

0.0%
CY15 CY16 CY17 CY18 CY19

Return ratios of ACC and Ambuja Cement is on a CY basis; while, UltraTech Cement and Shree
Cement’s ratios are calculated on an FY basis as per book-keeping.
Source: Company annual report, MOFSL

Contingent liability increases to INR26.7b, 23.1% of NW

 Contingent liability increased to INR INR26.7b (23.1% of NW) in CY19 from
INR23.3b (22.1% of NW) in CY18.
Contingent liability  The Competition Commission (CCI) issued an order in CY16 imposing penalty on
increased by 15% YoY to the company and certain other cement manufacturers, alleging the
INR26.7b mainly consisting contravention of provisions of the Competition Commission Act. The company
of demand rose under
appealed the CCI matter to NCLAT, which upheld the CCI order in CY18. The
competition act, income tax
company subsequently appealed NCLAT’s order to the Supreme Court, and the
act and claims for mining
lease rent. matter is pending a hearing. The total penalty amount is INR11.5b. The interest
amount on the penalty as of Dec’30 stood at INR4.4b (CY18: 3.1b).
 The company received a demand notice in May’13 from the Government of
Tamil Nadu. Later, an order was passed by the collector on Aug’19 demanding
annual compensation of INR0.7b and INR 1.4b for the durations of FY08–FY14
and FY15–19 (IT financial year), respectively, for the use of the government land
for mining.
 The company was eligible for an excise incentive at its Gagal plant located in
Himachal Pradesh for the duration of FY06–15 (IT financial year). The company
contended the incentives were not liable to income tax. The company, up to
CY17, classified the risk as probable and provided for the same. However, based
on a favorable order from the IT department, the company reversed a provision
of INR5.0b in CY18 and classified the tax liability as a contingent liability.

Exhibit 15: Contingent liabilities increase to 23.1% of NW (INR m)

Particulars CY15 CY16 CY17 CY18 CY19
Competition Commission Matter - 12,288 13,667 14,880 16,194
Income Tax 5,006 5,980
Service Tax - - - 991 909
Claims for Mining Lease Rent 735 735 735 735 2,122
Mines and Mineral Act 199 199 199 288 288
Sales Tax Act/ Commercial Act 282 252 373 355 302
Custom Duty Demand 310 310 310 310 310
Claims by suppliers regarding supply of raw material 368 368 368 399 359
Royalty on Limestone 1,142 1,145 80
Other Demand 345 513 530 328 238
Total Contingent Liabilities 3,380 15,808 16,260 23,290 26,701
% of Networth 4.0% 17.9% 17.4% 22.1% 23.1%
Source: Company annual report, MOFSL

19 May 2020 6
 ART | ACC CY19

Payment for Technology
and Know-how fees stood
at INR1,523m (1.0% of
revenue and 7.4% of PBT) in
CY19.
Related-party transactions
 ACC Cement paid Technology and Know-how fees of INR1,523m (1.0% of
revenue; 7.4% of PBT) in CY19 (CY18: INR1,445m) to Holcim Technology (fellow
subsidiary).
 We note that the company has received services from various related-party
entities over the last few years. However, the nature of services is not provided
in the Annual Report. The total payment for services stood at INR1,995m (1.4%
of the total expenses) in CY19 v/s INR2,220m (1.7%) in CY18.
 The purchase of raw material and finished goods from multiple related parties
stood at INR5,453m, 20.1% of COGS in CY19 (CY18: INR5,542m; 23.8% of COGS).
On the other hand, the sale of goods to related parties stood at INR1,361m,
0.9% of the overall sales in CY19 (CY18: INR729m; 0.5%of sales ).

Exhibit 16: Related party transactions for Technology and Know-how / services (INR m)
Particulars CY15 CY16 CY17 CY18 CY19
Technology and Know-how fees
Holcim Technology Ltd 1128 1080 1284 1445 1523
% of Revenue 1.0% 1.0% 1.0% 1.0% 1.0%
% of PBT 14.5% 12.2% 9.8% 9.6% 7.4%
Receiving of Services
Holcim Services (South Asia) Limited 22 30 9 747 595
Holcim Group Services Ltd 440 482 789 4 3
Lafarge SA - - - - 28
Holcim Technology Ltd 10 24 0 - 21
Asian Concretes and Cements 602 504 916 1,179 1,076
One India BSC Private Limited - 247 265 290 272
Total 1,073 1,286 1,980 2,220 1,995
% of Total expenses 1.0% 1.3% 1.6% 1.7% 1.4%
Source: Company annual report, MOFSL

Exhibit 17: Summary of purchase and sales from related party entities (INR m)
Particulars CY15 CY16 CY17 CY18 CY19
Purchase of Raw Material and Finished goods
Fellow subsidiary and JV
LafargeHolcim Energy Solutions SAS - 2,031 3,452 2,850 2,378
Counto Microfine Products Private Limited - 44 34 33 11
Dirk India Private Limited - 2 1 1 -
Holcim Trading Pte Ltd 42
Total (A) 42 2,077 3,486 2,884 2,389
Associates
Asian Concretes and Cements Private Limited 298 311 231 208 112
Alcon Cement Company Private Limited 816 693 696 719 685
Total (B) 1,114 1,004 927 927 797
Joint Venture
Aakaash Manufacturing Company Private Limited (C ) 940 924 931 1,187 1,134
Holding Company
Ambuja Cement (D) 589 256 145 545 1133
Total Purchase of goods from Related Parties (A+B+C+D) 2,686 4,261 5,490 5,542 5,453
% of COGS 14.5% 26.5% 27.9% 23.8% 20.1%
Sale of Raw material & Finished/Unfinished goods
Aakaash Manufacturing Company Private Limited 229 197 224 146 125
Alcon Cement Company Private Limited 301 232 273 264 208
Ambuja Cements Limited 42 - 306 319 1,028
Total 573 429 803 729 1,361
% of Total Sales 0.5% 0.4% 0.6% 0.5% 0.9%
Source: Company annual report, MOFSL

19 May 2020 7
 ART | ACC CY19

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 is inconsistent with the investment rating legend for a continuous period of 30 days,the Research Analyst shall within following 30 days take appropriate measures to make the recommendation
consistent with the investment rating legend.

Disclosures:
The following Disclosures are being made in compliance with the SEBI Research Analyst Regulations 2014 (herein after referred to as the Regulations).
Motilal Oswal Financial Services Ltd. (MOFSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOFSL, the Research Entity (RE) as defined in the Regulations, is engaged in the business of providing Stock broking services,
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and Bombay Stock Exchange Limited (BSE), Multi Commodity Exchange of India Limited (MCX) and National Commodity & Derivatives Exchange Limited (NCDEX) for its stock broking activities & is Depository participant with Central Depository Services Limited
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e)

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Disclosure of Interest Statement ACC
Analyst ownership of the stock No
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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
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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
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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
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Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022 71934200/ 022-71934263; Website www.motilaloswal.com.
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Registration Nos.: Motilal Oswal Financial Services Limited (MOFSL)*: INZ000158836(BSE/NSE/MCX/NCDEX); CDSL and NSDL: IN-DP-16-2015; Research Analyst: INH000000412. AMFI: ARN - 146822; Investment Adviser: INA000007100; Insurance
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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.

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