You are on page 1of 11

4QFY2013 Result Update | Infrastructure

May 23, 2013

NCC
Performance Highlights
Quarterly Highlights Standalone
Y/E March (` cr) Net sales Operating profit Net profit 4QFY13 1,741 157 27 4QFY12 1,755 102 11 3QFY13 1,184 86 11 % chg (yoy) (0.8) 53.9 151.9 % chg (qoq) 47.1 82.9 151.2

BUY
CMP Target Price
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 Infrastructure 802 5,145 1.8 61/28 287,581 2 19,674 5,967 NGCN.BO NJCC@IN

`31 `42
12 Months

Source: Company, Angel Research

NCC posted poor set of numbers for 4QFY2013 which were below our and street expectations. The current outstanding order book of NCC stands at `18,553cr (3.2x trailing revenues) in 4QFY2013, indicating a decline of 8% yoy. During the year, the company secured orders worth `4,813cr (excluding slowing moving order worth `853cr in the power segment).
Deleveraging balance sheet through monetization of assets: On the top line front, NCC reported revenues of `1,741cr in 4QFY2013, indicating a decline of 0.8% yoy, which was lower than our estimate of `1,879cr respectively. This is mainly due to (a) slower-than-expected execution in some projects particularly in power segment (delay at clients side) and (b) depleting order book. On the EBITDAM front, owing to profit from sale of real estate asset, the companys EBITDA margins grew by 320bp yoy to 9.0% (our estimate was 8.5%) in 4QFY2013. Interest cost came in at `113cr a growth of 14.9% yoy. On the bottom line level, NCC reported a yoy growth of 151.9% to `27cr, lower than our and consensus estimate owing to lower-than-expected revenue performance and higher tax rate (45%). Outlook and valuation: During the quarter, NCC has reduced its debt by `297cr to `2,225cr as on 4QFY2013 and is in process of reducing its debt to below `2,000cr through stake sale in two of its road BOT projects (Western UP tollways and Bangalore Elavated expressway), continued monetization of its land bank and completion of stake sale in the Himachal Sorang project. The stock currently trades at a PE of 3.0x and 2.2x (excluding subsidiaries valuation) our FY2014 and FY2015 EPS estimates. Further, on account of the stake sale initiated by the company in some of its projects and decline in its stock price, we upgrade our recommendation on the stock to Buy with a target price of `42.

Shareholding Pattern (%) Promoters MF / Banks / Indian Fls FII / NRIs / OCBs Indian Public / Others 20.3 10.4 39.7 29.7

Abs. (%) Sensex NCC

3m 0.2 (27.2)

1yr 23.4 (0.3)

3yr 19.5 (80.3)

Key financials (Standalone)


Y/E March (` cr) Net Sales % chg Adj.Net Profit % chg EBITDA (%) FDEPS (`) P/E (x) P/BV (x) RoE (%) RoCE (%) EV/Sales (x) EV/EBITDA (x) OB/sales(x) Order inflows %chg
Source: Company, Angel Research

FY2012 5,250 3.5 36.0 (78.0) 7.6 1.4 22.3 0.3 1.5 6.6 0.6 7.4 3.3 10,118 48.2

FY2013E 5,725 9.0 62.7 74.2 8.2 2.4 12.8 0.3 2.6 8.2 0.5 5.9 2.5 4,813 (52.4)

FY2014E 6,167 7.7 68.6 9.4 8.0 2.7 11.7 0.3 2.7 8.4 0.5 6.0 3.0 9,918 106.1

FY2015E 6,945 12.6 93.3 36.1 8.2 3.6 8.6 0.3 3.6 9.2 0.5 5.5 3.2 11,902 20.0

Viral Shah
022-39357800 Ext: 6842 viralk.shah@angelbroking.com

Please refer to important disclosures at the end of this report

NCC | 4QFY2013 Result Update

Exhibit 1: Quarterly performance (Standalone)


Y/E March (` cr) Net sales Total expenditure Operating profit OPM (%) Interest Depreciation Non operating income Nonrecurring items Profit before tax Tax Reported net profit PAT (%) FDEPS
Source: Company, Angel Research

4QFY13 1741 1584 157 9.0 113 23 29 0 50 22.5 27 1.6 1.1

4QFY12 1755 1653 102 5.8 98.4 21.7 33.6 0 15 4.7 11 0.6 0.4

3QFY13 1184 1098 86 7.2 99 23 48 0 12 1.0 11 0.9 0.4

% Chg (yoy) (0.8) (4.1) 53.9 320bp 14.9 5.8 (14.1) 0 221.1 380.3 151.9 95bp -

% Chg (qoq) 47.1 44.3 82.9 177bp 14.3 (2.1) (40.4) 0 320.4 2145.8 151.2 65bp 151.2

FY2013 5725 5254 471 8.2 407 92 126 0 98 35.1 63 1.1 2.4

FY2012 5250 4851 399 7.6 384 83 121 0 53 16.9 36 0.7 1.4

% Chg 9.0 8.3 18.0 62bp 6.0 10.9 4.4 85.5 107.0 75.4 41bp 75.4

Exhibit 2: 4QFY2013 Actual vs Estimates


( ` cr) Net Sales EBITDA Interest Tax PAT
Source: Company, Angel Research

Estimates 1,879 160 103 23 45

Actual 1,741 157 113 23 27

Variation (%) (7.3) (1.8) 9.8 (3.0) (39.7)

Top-line came in below estimates


On the top line front, NCC reported revenues of `1,741cr in 4QFY2013, indicating a decline of 0.8% yoy, which was lower than our estimate of `1,879cr respectively. This is mainly due to (a) due to slower-than-expected execution in some projects particularly power segment (delay at clients side) and (b) depleting order book.
During the quarter, NCC has reduced its debt by `297cr to `2,225cr as on 4QFY2013 and is in process of reducing its debt to below `2,000cr through stake sale in two of its road BOT projects (Western UP tollways and Bangalore Elavated expressway), continued monetization of its land bank and completion of stake sale in the Himachal Sorang project.

May 23, 2013

NCC | 4QFY2013 Result Update

Exhibit 3: Execution continues to disappoint


2,000 1,800 1,600 1,400 1,200 1,000 21.0 29.0 21.8 35.0 30.0 25.0 20.0 15.0 10.0

Exhibit 4: Muted order inflows for FY2013


25,000 20,000 15,000 3.1 10,000 (8.1)

27.3

24.8

26.8
18.5

30.0 25.0 20.0 15.0 10.0 5.0 0.0 (5.0) (10.0) (15.0) (20.0)

800 600 1090


1264 1755 1472 1328 1184 400 200 (9.2) 0 2QFY12 3QFY12 4QFY12 1QFY13 2QFY13 3QFY13 4QFY13 (5.4) (6.3) (0.8) 1741

5.0 (5.0) (10.0) (15.0)

18,799

16,570

21,990

20,196

20,520

19,639

5,000 -

(14.5)

2QFY12 3QFY12 4QFY12 1QFY13 2QFY13 3QFY13 4QFY13 Order Booking (` cr, LHS) Growth (yoy %, RHS)

Sales (` cr, LHS)

Growth (yoy %, RHS)

Source: Company, Angel Research

Source: Company, Angel Research

Projects update
Pondicherry-Tindivanam: Toll collection for the project decline by 12.5% qoq to `3.5lakhs/day, much lower than the breakeven level of `7-8lakhs/day. However, the company believes that toll revenue will pick up going ahead.
Western UP: Due to mining ban in the state imposed by the government, toll collection is currently at `18-20lakh/day. Going ahead, with lifting of the mining ban, the Management expects toll collection to increase to `24lakh/day.

Bangalore Elevated Toll Way (BETL): During the quarter, the toll collection has increased to `25lakh/day against `20-22lakh/day in 3QFY2013. Himachal Sorang: As per the Management, the company is in an advanced stage of negotiation with some investors for part/full stake sale in the Himachal Sorang project. The Management expects the deal to be completed within a period of 910 months. Further, the company is also in talks with some regulatory authorities for signing short term power purchase agreement (PPA). Nelcast Power Project (1,320MW): The construction activity for the 1,320MW (660MW x 2) Krishnapatnam power project is going as per schedule and the company has already placed orders for BTG. However, the company has not signed any power purchase agreement (PPA) till date and is hopeful of tying up for one within the next few quarters. The company has participated in case- I bidding in UP and also would participate for case- I in Tamil Nadu and Karnataka.

Real estate asset sale boost EBITDAM


Company reported an EBITDA of `157cr, a growth of 53.9% yoy; EBITDA margins grew by 320bp yoy at 9.0% were above our estimate of 8.5%. The EBIDTA margin includes profit from sale of real estate asset and non recurring expense of `40cr. Adjusting to this, EBITDAM came in at 8.4% in 4QFY2013. Interest cost came in at `113cr in 4QFY2013 a growth of 14.9% yoy. On the bottom line level, NCC reported a yoy growth of 151.9% to `27cr, however was lower than our and consensus estimate owing to lower-than-expected revenue performance and higher effective tax rate (45%).

May 23, 2013

18,553

NCC | 4QFY2013 Result Update

Exhibit 5: EBITDA margins trend


180
160 140 120 100 80 60 7.9 7.2 5.8 77 9.5 9.0 8.4

Exhibit 6: Low NPMs a cause of worry


12.0
11.0 10.0 9.0 8.0 7.0 30 1.6 1.1 0.9 2.0 1.5 1.0 0.5 11 11 17 11 8 27 0.0 (9) 2QFY12 3QFY12 4QFY12 1QFY13 2QFY13 3QFY13 4QFY13 (0.5) (0.8) (1.0) PAT (` cr, LHS) PATM (%, RHS)

25
20 15 10 5 0 (5) (10) (15) 1.0

0.6

0.6

40
103 20 0

157

102

117

112

86

6.1

6.0 5.0

2QFY12 3QFY12 4QFY12 1QFY13 2QFY13 3QFY13 4QFY13 EBITDA (` cr, LHS) EBITDAM (%, RHS)

Source: Company, Angel Research

Source: Company, Angel Research

Order book analysis


NCC secured net orders worth `4,813cr (excluding slow moving power order of `853cr) in FY2013, thus taking the order book to `18,553cr indicating a decline of 8% yoy. The order backlog converts into an order book to sales of 3.2x trailing revenues. Going forward, we estimate order inflows of `9,918cr and `11,902cr in FY2014 and FY2015 respectively.

Exhibit 7: Order backlog of `18,553cr (as of 4QFY2013, %)


1%
26%

2%

10%

31%

Buildings, Roads & Oil & Gas Water, Env. & Railways Irrigation Electricals Power

Mining Metals

5% 9%
Source: Company, Angel Research

16%

International

Change in estimates
Due to slower execution and depleting order book in FY2013, we have revised our estimate for FY2014 and also introduced our FY2015 estimate.

Exhibit 8: Change in estimates to factor in lower top-line growth and higher interest cost
Earlier estimates Revenue EBITDA margin (%) PAT
Source: Company, Angel Research

FY2014E Revised estimates 6,167 8.0 69

Variation (%) (6.2) (2.6) (34.7)

Earlier estimates 6,945 8.2 93

FY2015E Revised estimates 6,945 8.2 93

Variation (%) 0.0 0.0 0.0

6,576 8.2 105

May 23, 2013

NCC | 4QFY2013 Result Update

Outlook and valuation


During the quarter, NCC has reduced its debt by `297cr to `2,225cr as on 4QFY2013 and is in process of reducing its debt to below `2,000cr through stake sale in two of its road BOT projects (Western UP tollways and Bangalore Elavated expressway), continued monetization of its land bank and completion of stake sale in the Himachal Sorang project. The company has already signed a term sheet with an investor for one of its road BOT project (Western UP tollways) during the quarter. The stock currently trades at a PE of 3.0x and 2.2x (excluding subsidiaries valuation) our FY2013 and FY2014 EPS estimates. Further, on account of the stake sale initiated by the company in some of its projects and decline in its stock price, we upgrade our recommendation on the stock to Buy with a target price of `42.

Exhibit 9: Derivation of SOTP-based target price for NCC (FY2015E)


Particulars NCC Standalone NCC - International business Total Road BOT Brindavan Infra Bangalore Elevated OB Infra Western UP Pondicherry Tindivanam Total Power BOT Himachal Sorang NCC Power Total NCC Urban Infra + others Grand Total Merchant PPA / Merchant Real Estate 115 200 315 0 1,066 4 8 12 0 42 No value ascribed on account of uncertainity relating to Dubai Harmony project P/BV multiple of 1x on FY12 end investment P/BV multiple of 0.5x on FY12 end investment Annuity Toll Annuity Toll Toll 37 55 52 16 16 175 1 2 2 1 1 7 NPV at CoE of 16% NPV at CoE of 16% NPV at CoE of 16% NPV at CoE of 16% NPV at CoE of 16% Segment Construction Construction Value ( ` cr) 466 109 576 Value per share (`) 18 4 22 Basis P/E of 5x FY15 earnings P/E of 3x FY15 earnings

Source: Company, Angel Research

Exhibit 10: Key assumptions


(` cr) Order Inflow Revenue Order Backlog (Y/E) OB to Sales ratio (x)
Source: Company, Angel Research

FY2010 8,914 4,754 15,370 3.2

FY2011 6,828 4,872 16,180 3.3

FY2012 10,118 5,236 20,197 3.9

FY2013 4,813 6,556 18,553 2.8

FY2014E 9,918 6,154 21,832 3.5

FY2015E 11,902 6,931 26,173 3.8

May 23, 2013

NCC | 4QFY2013 Result Update

Exhibit 11: Recommendation summary


Company ABL CCCL IRB Infra ITNL IVRCL JP Assoc. L&T NCC Punj Lloyd Sadbhav Simplex In. Unity Infra ABL CMP 202 12 122 171 19 67 31 47 107 106 31 202 TP Rating FY12 255 Buy - Neutral 157 Buy 230 Buy 35 Buy 90 Buy 42 Buy - Neutral 153 Buy 164 Buy 45 Buy 255 Buy 1,853 1,931 3,687 6,645 3,773 Top line (` cr) FY13E 1,928 2,281 3,997 7,444 6,287 EPS (`) 9.8 13.6 8.1 10.0 34.6 8.2 13.2 10.1 12.2 32.2 12.0 12.0 9.8 16.0 (3.3) 16.7 26.8 (3.9) 2.2 67.5 2.4 (0.2) 1.5 14.1 12.7 16.0 18.0 0.7 15.7 29.8 2.3 2.5 77.9 2.7 0.5 7.3 18.0 14.6 18.0 22.2 2.0 16.6 32.1 3.0 2.9 88.3 3.6 0.9 7.8 23.4 14.9 22.2 17.7 (0.3) 9.4 13.8 14.4 22.0 131.3 28.8 8.0 17.7 12.6 (3.6) 7.3 6.4 30.6 21.0 12.8 73.6 7.5 2.4 12.6 P/E 11.2 17.6 7.8 5.7 8.2 26.6 18.2 11.7 93.2 14.8 5.9 2.1 11.2 9.1 6.0 7.3 5.3 6.3 23.6 16.1 8.6 50.8 13.7 4.5 2.1 9.1 OB/ 2.3 2.2 2.4 2.2 4.9 2.5 3.2 1.9 3.3 2.5 2.0 2.3 FY14E CAGR (%) FY12 FY13E FY14E CAGR (%) FY12 FY13E FY14E Sales(x) 2,234 2,492 4,312 8,041 6,836

13,358 14,850 15,631 60,873 68,946 78,040 5,725 1,565 6,026 2,180 1,853 6,167 2,511 6,824 2,455 1,928 6,945 2,736 7,563 2,734 2,234 11,717 12,954 14,740

1,419 1,761 Buy

Source: Company, Angel Research

Exhibit 12: SOTP break-up


Company ` ABL CCCL IRB Infra ITNL IVRCL JP Assoc. L&T NCC Punj Lloyd Sadbhav Simplex In. Unity Infra 87 16 45 80 15 24 1,318 23 64 54 164 45 Core Const. % to TP 34 100 29 35 43 27 75 55 100 35 100 100 ` 23 Real Estate % to TP 25 ` 168 112 120 7 99 Road BOT % to TP 66 71 52 17 65 Invst. In Subsidiaries ` 20 443 % to TP 57 25 ` 30 43 12 Others % to TP 13 48 29 Total ` 255 16 157 230 35 90 1,761 42 64 153 164 45

Source: Company, Angel Research

Company background
NCC, having started off as a building/industrial construction company, has emerged as an EPC contractor with a diversified product portfolio. NCCs presence across all the key infrastructure verticals: 1) roads; 2) buildings; 3) water; 4) irrigation; 5) electrical; 6) power; 7) oil and gas; and 8) metals endows it with a relatively de-risked business model. NCC has also ventured in international geographies such as Oman and UAE, which further diversifies its business.

May 23, 2013

NCC | 4QFY2013 Result Update

Profit & loss statement (Standalone)


Y/E March (` cr) Net Sales Other operating income Total operating income % chg Total Expenditure R.M. consumed Construction expenses Employee expenses SG&A EBITDA % chg (% of Net Sales) Depreciation & Amortisation EBIT % chg (% of Net Sales) Interest & other Charges Other Income (% of PBT) Share in profit of Associates Recurring PBT % chg Extraordinary Expense/(Inc.) PBT (reported) Tax (% of PBT) PAT (reported) Add: Share of earnings of asso. Less: Minority interest (MI) Prior period items PAT after MI (reported) ADJ. PAT % chg (% of Net Sales) Basic EPS (`) Fully Diluted EPS (`) % chg FY2010 FY2011 FY2012 FY2013E FY2014E FY2015E 4,764 14.1 4,778 15.1 4,294 1,766 1,797 184 547 483 29.4 10.1 53 431 34.5 9.0 196 69 22.6 303 33.0 49.6 353 120.4 34.1 233 233 183 19.0 3.8 9.5 9.5 41.4 5,065 8.6 5,074 6.2 4,588 1,756 1,866 244 722 485 0.4 9.6 69 417 (3.3) 8.2 257 106 39.8 266 (12.5) 266 102.1 38.5 163 163 163 (10.7) 3.2 6.4 6.4 (32.9) 5,248 2.0 5,250 3.5 4,851 1,961 1,856 240 794 399 (17.7) 7.6 83 316 (24.1) 6.0 384 121 227.8 53 (80.1) 53 16.9 32.0 36 36 36 (78.0) 0.7 1.4 1.4 (78.0) 5,659 65.5 5,725 9.0 5,254 2,080 2,234 243 697 471 17.9 8.2 92 379 19.8 6.7 407 126 128.8 98 84.7 98 35.1 35.9 63 63 63 74.2 1.1 2.4 2.4 74.5 6,154 12.3 6,167 7.7 5,673 2,232 2,399 286 756 493 4.8 8.0 102 391 3.3 6.4 423 135 130.4 104 6.3 104 35.3 34.0 69 69 69 9.4 1.1 2.7 2.7 9.4 6,931 13.9 6,945 12.6 6,375 2,507 2,702 329 837 570 15.6 8.2 116 454 16.0 6.5 465 152 107.9 141 36.1 141 48.1 34.0 93 93 93 36.1 1.3 3.6 3.6 36.1

May 23, 2013

NCC | 4QFY2013 Result Update

Balance sheet (Standalone)


Y/E March (` cr) SOURCES OF FUNDS Equity Share Capital Share App Money Reserves & Surplus Shareholders Funds Minority Interest Total Loans Deferred Tax Liability Total Liabilities APPLICATION OF FUNDS Gross Block Less: Acc. Depreciation Net Block Capital Work-in-Progress Goodwill Investments Current Assets Inventories Sundry Debtors Cash Loans & Advances Other Current liabilities Net Current Assets Mis. Exp. not written off Total Assets 756 202 554 43 941 4,108 754 1,299 200 1,852 3 1,845 2,263 3,801 923 249 675 46 1,201 4,947 896 1,454 121 2,466 9 1,974 2,972 4,894 1,039 313 726 35 1,240 6,052 1,234 1,307 65 3,432 15 3,382 2,669 4,671 1,094 405 690 35 1,254 6,149 1,426 1,143 80 2,583 916 3,580 2,569 4,547 1,274 507 768 35 1,254 6,514 1,539 1,216 82 2,716 961 3,764 2,750 4,807 1,455 623 831 35 1,254 7,046 1,712 1,351 96 2,869 1,018 4,075 2,971 5,091 51 2,194 2,246 1,530 25 3,801 51 2,327 2,379 2,484 31 4,894 51 2,360 2,411 2,234 25 4,671 51 2,417 2,468 2,056 23 4,547 51 2,476 2,528 2,256 23 4,807 51 2,561 2,612 2,456 23 5,091 FY2010 FY2011 FY2012 FY2013E FY2014E FY2015E

May 23, 2013

NCC | 4QFY2013 Result Update

Cash flow statement (Standalone)


Y/E March (` cr) Profit before tax Depreciation Change in Working Capital Less: Other income Direct taxes paid Cash Flow from Operations (Inc.)/ Dec. in Fixed Assets (Inc.)/ Dec. in Investments Other income Cash Flow from Investing Issue of Equity Inc./(Dec.) in loans Dividend Paid (Incl. Tax) Others Cash Flow from Financing Inc./(Dec.) in Cash Opening Cash balances Closing Cash balances FY2010 FY2011 FY2012 FY2013E FY2014E FY2015E 353 38 (477) (69) (120) (275) (148) (201) 69 (280) 6 286 (39) 368 620 65 135 200 266 46 (788) (106) (102) (684) (169) (260) 106 (323) 954 (30) 5 929 (78) 200 121 53 64 246 (121) (17) 226 (105) (39) 121 (24) (250) (9) 0 (259) (57) 121 65 98 92 116 (126) (35) 145 (56) (13) 126 57 (0) (178) (9) 1 (186) 15 65 80 104 102 (180) (135) (35) (145) (180) 135 (45) 200 (9) 0 191 2 80 82 141 116 (206) (152) (48) (149) (180) 152 (28) 200 (9) (0) 191 15 82 96

May 23, 2013

NCC | 4QFY2013 Result Update

Key ratios
Y/E March Valuation Ratio (x) P/E (on FDEPS) P/CEPS P/BV Dividend yield (%) EV/Sales EV/EBITDA EV / Total Assets Per Share Data (`) EPS (Basic) EPS (fully diluted) Cash EPS DPS Book Value Dupont Analysis EBIT margin Tax retention ratio Asset turnover (x) ROIC (Post-tax) Cost of Debt (Post Tax) Leverage (x) Operating ROE Returns (%) ROCE (Pre-tax) Angel ROIC (Pre-tax) ROE Turnover ratios (x) Asset Turnover (Gross Block) Inventory / Sales (days) Receivables (days) Payables (days) Wcap cycle (ex-cash) (days) Solvency ratios (x) Net debt to equity Net debt to EBITDA Interest Coverage 0.6 2.8 2.2 1.0 4.9 1.6 0.9 5.4 0.8 0.8 4.2 0.9 0.9 4.4 0.9 0.9 4.1 1.0 6.9 57 89 141 139 6.0 59 99 145 177 5.4 74 96 200 190 5.4 85 78 248 162 5.2 88 70 231 153 5.1 85 67 219 146 12.8 13.6 9.3 9.6 10.1 7.1 6.6 6.8 1.5 8.2 8.4 2.6 8.4 8.6 2.7 9.2 9.4 3.6 9.0 65.9 1.5 8.9 9.3 0.6 8.6 8.2 61.5 1.2 6.1 7.9 0.8 4.7 6.0 68.0 1.1 4.6 11.1 0.9 (1.5) 6.7 64.1 1.2 5.4 12.2 0.9 (0.4) 6.4 66.0 1.3 5.6 12.9 0.8 (0.5) 6.5 66.0 1.4 6.2 13.0 0.9 0.1 9.5 9.5 10.0 1.3 87.5 6.4 6.4 9.0 1.0 92.7 1.4 1.4 4.6 0.3 94.0 2.4 2.4 6.0 0.3 96.2 2.7 2.7 6.6 0.3 98.5 3.6 3.6 8.2 0.3 101.8 3.3 3.1 0.4 4.2 0.4 4.4 0.6 4.9 3.5 0.3 3.2 0.6 6.5 0.6 22.3 6.7 0.3 1.0 0.6 7.4 0.6 12.8 5.2 0.3 1.0 0.5 5.9 0.6 11.7 4.7 0.3 1.0 0.5 6.0 0.6 8.6 3.8 0.3 1.0 0.5 5.5 0.6 FY2010 FY2011 FY2012E FY2013E FY2014E FY2015E

May 23, 2013

10

NCC | 4QFY2013 Result Update

Research Team Tel: 022 - 39357800

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

NCC 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%)

May 23, 2013

11

You might also like