castrol india ltd - Myiris.com

Economy News 

� The finance ministry will pencil in fiscal deficit at 5.3% of GDP for this 

year, improving to 3% by 2016-17, in its soon-to-be-unveiled fiscal 

reforms blueprint, numbers it hopes will stave off a threatened ratings 

downgrade and shore up its fiscal credibility. (ET) 

� The inter-ministerial panel looking into telecom related issue has cleared 

the proposal to relax spectrum sharing rules for mobile phone companies. 

In its last meeting, EGoM on spectrum headed by finance minister P 

Chidambaram decided that telcos will be allowed to share airwaves after 

they pay the one-time spectrum charge prospectively for all airwaves 

beyond the 4.4 MHz mark. There would also be no spectrum transfer 

charge for telecom M&As. (ET) 

� Both the private and cooperative sugar mills unanimously oppose import 

of raw and white sugar during the current crushing season. However, 

they differ on the extent of the import duty with the former having 

appealed to the Centre to increase import duty from 10% to 25%, the 

latter (cooperative) has asked the government not to scrap the 10% 

import duty. (BS) 

Corporate News 

� IndianOil (IOC) is considering expansion of Panipat refinery by 6mt. 

Located in Uttar Pradesh, the refinery currently distils 15mt of crude oil. 

The plan which is currently under preparation will also explore the 

possibilities of expanding petrochemicals capacities at Panipat from 18 

mt or 21 mt. (BL) 

� The face-off between the government and Reliance Industries Ltd 

(RIL) is nearing an end, with the petroleum ministry agreeing to exempt 

the company from a performance audit. Simultaneously, the pending 

approvals for RIL's KG-D6 block have also been granted. (BS) 

� India Cements has started the paper work on a brownfield expansion to 

add over 3mt at two of its cement plants in Tamil Nadu. The brownfield 

expansions are at Dalavoi (for 2.55mt), where a 40 MW coal-based 

captive power plant is also planned, and at Sankaridurg (for 0.7mt). (BL) 

� Cairn India, along with its partners Ravva Oil, ONGC and Videocon 

Industries, plans to invest about Rs5.3bn in new wells, which would help 

boost production from its Ravva field. Plan is to drill these wells and begin 

production by the end of 2013. (BS) 

� Bajaj Auto will come out with the most expensive and technologically 

advanced bike in the 100 cc segment in January, a top company official 

has said yesterday. (BL) 

� LIC Housing Finance is targeting to raise up to Rs 12bn through an 

institutional placement offer by December. It has already appointed five 

merchant bankers and will be completing the QIP (qualified institutional 

placement) in a month or two. (BL) 

� Syndicate Bank has raised $ 500mn (about Rs 26bn) through bonds to 

fund its overseas business growth. The bond with maturity period of 

5.5yrs carries a coupon rate of 4.125% payable semi-annually in arrear. 

(BL) 

� The government is likely to revive the ailing state-run telecommunications 

equipment maker ITI because some of its plants are 

located in Congress bastions such as Rae Bareli and Allahabad, a senior 

official said. The defence ministry has evinced interest in taking under its 

fold the firm. (ET) 

Source: ET = Economic Times, BS = Business Standard, FE = Financial Express, 

BL = Business Line, ToI: Times of India, BSE = Bombay Stock Exchange 

Equity 

OCTOBER 25, 2012 

% Chg 

23 Oct 12 1 Day 1 Mth 3 Mths 

Indian Indices 

SENSEX Index 18,710 (0.4) 0.2 10.6 

NIFTY Index 5,691 (0.5) 0.4 11.0 

BANKEX Index 13,294 (0.2) 1.5 12.4 

BSET Index 5,698 (0.9) (4.5) 9.1 

BSETCG INDEX 11,314 0.9 4.2 17.4 

BSEOIL INDEX 8,456 (0.5) (3.1) 5.4 

CNXMcap Index 7,874 (0.4) 2.7 8.4 

BSESMCAP INDEX 

World Indices 

7,173 (0.3) 4.5 8.6 

Dow Jones 13,077 (0.2) (2.8) 3.2 

Nasdaq 2,982 (0.3) (4.4) 4.5 

FTSE 5,805 0.1 (0.9) 5.6 

NIKKEI 8,954 (0.7) (1.0) 7.6 

HANGSENG 21,764 0.3 5.4 15.5 

Value traded (Rs cr) 

23 Oct 12 % Chg - Day 

Cash BSE 2,062 16.7 

Cash NSE 8,284 (10.9) 

Derivatives 160,633 (7.10) 

Net inflows (Rs cr) 

22 Oct 12 % Chg MTD YTD 

FII 332 148.2 10,218 93,998 

Mutual Fund (198) 32.7 (1,878) (14,534) 

FII open interest (Rs cr) 

22 Oct 12 % Chg 

FII Index Futures 18,473 2.7 

FII Index Options 52,437 (0.5) 

FII Stock Futures 33,490 3.4 

FII Stock Options 2,595 (5.0) 

Advances / Declines (BSE) 

23 Oct 12 A B T Total % total 

Advances 61 955 282 1,298 44 

Declines 139 1,082 259 1,480 51 

Unchanged 1 105 38 144 5 

Commodity % Chg 


Crude (NYMEX) (US$/BBL) 85.9 0.2 (6.0) (3.4) 

Gold (US$/OZ) 1,703.0 (0.4) (3.2) 6.4 

Silver (US$/OZ) 31.7 (0.4) (5.9) 16.8 

Debt / forex market 


10 yr G-Sec yield % 8.2 8.2 8.3 8.2 

Re/US$ 53.8 53.5 53.5 56.0 

Sensex 

19,750 

18,800 

17,850 

16,900 

15,950 

15,000 

Oct-11 Jan-12 Apr-12 Jul-12 Oct-12

INITIATING COVERAGE 

MORNING INSIGHT October 25, 2012 

Arun Agarwal 

arun.agarwal@kotak.com 

+91 22 6621 6143 

Stock details 

BSE code : 500570 

NSE code : TATAMOTORS 

Market cap (Rs mn) : 844,163 

Free float (%) : 35 

52 wk Hi/Lo (Rs) : 321/142 

Avg daily volume (mn) : 15 

Shares (o/s) (mn) : 3,174 

Summary table 

(Rs mn) FY12 FY13 FY14E 

Sales 1,656,545 1,946,462 2,255,291 

Growth (%) 36 18 16 

EBITDA 223,112 253,463 305,298 

EBITDA margin (%) 13.5 13.0 13.5 

PBT 135,588 163,611 198,846 

Net profit 135,165 120,700 150,563 

EPS (Rs) 43 38 48 

Growth (%) 46 (11) 25 

CEPS (Rs) 60 60 75 

Book value (Rs/share) 103 136 179 

Dividend per share (Rs) 4 4 4 

ROE (%) 52 32 30 

ROCE (%) 31 29 29 

Net cash (debt) (213,807) (230,548) (213,875) 

NW Capital (Days) (27) (25) (26) 

P/E (x) 6.2 7.0 5.6 

P/BV (x) 2.6 1.9 1.5 

EV/Sales (x) 0.6 0.6 0.5 

EV/EBITDA (x) 4.7 4.2 3.5 

Sales 

Q2FY12 Q3FY12 Q4FY12 Q1FY13 

361,975 452,603 509,079 433,236 

EPS (Rs) 5.9 10.7 19.6 7.0 

Source: Company, 

Kotak Securities - Private Client Research 

TATA MOTORS LTD 

PRICE: RS.265 RECOMMENDATION: ACCUMULATE 

TARGET PRICE: RS.296 FY14E P/E: 5.6X 

With almost 70% sales coming in from JLR, Tata Motors’ success hinges over 

the performance of JLR. We expect JLR to continue the growth momentum 

over the next few years. Strong demand from developing countries coupled 

with new launches should aid JLR's volume growth over the medium term. 

We expect JLR's geography mix and product mix to improve going ahead. 

On standalone operations, we expect FY13 to be a difficult year but expect 

recovery in FY14 and that will be critical for expected strong earnings 

growth in FY14. We initiate coverage on Tata Motors (TAMO) with an 

ACCUMULATE rating and SOTP based price target of Rs296. 

Key investment argument 

� JLR's growth momentum to continue; will remain key for TAMO. Global 

demand for luxury cars has been on an uptrend for the past couple of years. 

Growth has come in from strong demand from both the developed and the 

developing markets. Rising income levels coupled with low penetration levels 

have led to strong demand for premium cars in developing economies. China 

will likely remain the key market for JLR. Volumes ahead are expected to gain 

momentum from the new launches that are planned over the next few quarters. 

� Product mix and geography mix expected to improve. JLR sells its products 

across geographies with no single market accounting for more than 25% of the 

volumes. With strong demand from China and other developing nations and 

relatively weak European scenario, we expect JLR's exposure to get further tilted 

in favor of growing markets. JLR's FY13 sales are expected to be largely driven 

by the success of Evoque. Being a relatively lower margin product, Evoque's 

increased share in the overall business will likely deteriorate the company's 

product mix in FY13. However, we expect the trend to change as company 

launches new models/refreshes/variants. We expect contribution from other 

models to increase which will strengthen the product portfolio. 

� Currently under pressure, domestic sales expected to recover in FY14. 

Volumes in the domestic auto segment are under pressure. Current scenario 

does not provide a lot of comfort in terms of quick volume recovery. However 

we remain optimistic about demand recovery over the medium to long term. 

Reasons for our positive view over the medium term include possible cut in 

interest rates, pent-up demand and expected economic recovery. Interest rate 

cycle is at its peak and any attempts from the RBI to lower rates will only be 

positive for the domestic auto sector. We expect the volumes from Indian 

operations to grow at 13% CAGR over FY12-FY14E. 

Valuations 

� We value TAMO on SOTP methodology and arrive at a fair value of Rs296. We 

have valued the company's standalone business at an EV/EBITDA of 7.5x which 

is similar to the multiple at which Ashok Leyland (M&HCV) and Maruti Suzuki 

(Passenger car) trades. Accordingly, we have arrived at a value of Rs82 per 

share. For the JLR business, we have valued it at EV/EBITDA of 3.5x to arrive at 

a value of Rs194 per share. We have valued TAMO's other subsidiaries at Rs20 

per share. We assume coverage on Tata Motors with an ACCUMULATE rating 

and price target of Rs296. 

Kotak Securities - Private Client Research Please see the disclaimer on the last page For Private Circulation 2


Risk and Concerns 

� Lower than expected volume growth at JLR - JLR derives volumes from 

various geographies that include US and Europe. Recession in these geographies 

will have a negative impact on demand for luxury cars. Lower than expected 

volume growth will negatively impact sales and profitability of Tata Motors. 

� Delay in recovery in domestic demand - Currently the domestic macro factors 

are weak but we are expecting recovery going into FY14. We expect the 

volumes for TAMO to de-grow in FY13 but based on expected demand recovery, 

we have forecasted volumes to grow by 21% in FY14 on a subdued FY13 base. 

Any delay in domestic demand recovery will impact the company's revenues and 

profitability negatively. 

� Rise in raw material prices - Raw material cost forms the single largest cost for 

the company. Any steep increase in key raw material like steel, aluminum, 

rubber will have negative impact on the operating margins and subsequently on 

the net profits of Tata Motors. 

� Unfavorable currency movement - TAMO operates across various geographies 

and accordingly the company has exposure to different currencies. Significant 

unfavorable movement in related currencies can negatively impact the 

company's margins and profits. 


RESULT UPDATE 


Arun Agarwal 


+91 22 6621 6143 

Summary table 

(Rs mn) FY12 FY13E FY14E 

Sales 235,790 229,253 253,014 

Growth (%) 21.5 (2.8) 10.4 

EBITDA 36,188 34,142 37,859 

EBITDA margin (%) 15.3 14.9 15.0 

PBT 28,647 27,052 30,730 

Net profit 23,781 22,751 23,816 

EPS (Rs) 119.1 113.9 119.3 

Growth (%) 23.4 (4.3) 4.7 

CEPS (Rs) 132.7 129.3 136.7 

BV (Rs/share) 214.8 237.3 298.1 

Dividend / share (Rs) 45.0 50.0 50.0 

ROE (%) 65.6 50.4 44.5 

ROCE (%) 78.9 59.8 57.3 

Net cash (debt) 35,263 44,749 57,583 

NW Capital (Days) (14.7) (10.1) (11.3) 

P/E (x) 15.1 15.8 15.1 

P/BV (x) 8.4 7.6 6.0 

EV/Sales (x) 1.4 1.4 1.2 

EV/EBITDA (x) 8.9 9.2 8.0 

Source: Company, Kotak Securities - Private 

Client Research 

HERO MOTOCORP (HMC) 

PRICE: RS.1798 RECOMMENDATION: REDUCE 


Hero MotoCorp reported 2QFY13 numbers slightly ahead of our 

expectations. Revenues in 2QFY13 stood at Rs51,875, lower by 11% YoY due 

to 14% YoY dip in volumes. Decline in volumes impacted operating leverage 

leading to 110 bps dip in EBITDA margin. Net profit came in at Rs4,406mn, 

27% lower than 2QFY12 net profit of Rs6,036mn. HMC's volumes in 2QFY13 

were impacted on account of weak demand and inventory correction. While 

the company has indicated a good start to the festive season, we remain 

worried about demand sustainability post festive season as macro factors 

continue to remain weak. Further, HMC is also facing the heat of increase in 

competition. We continue with our cautious approach on the company over 

the medium term. We maintain our REDUCE rating with a revised price 

target of Rs1,789 based on FY14 estimates. 

Quarterly performance 

(Rsmn) 2QFY13 2QFY12 YoY (%) 1QFY13 QoQ (%) 

Revenues 51,875 58,262 (11.0) 62,473 (17.0) 

Total expenditure 44,683 49,091 (9.0) 53,104 (15.9) 

RM consumed 37,702 42,237 (10.7) 46,026 (18.1) 

Employee cost 1,922 1,794 7.1 2,046 (6.1) 

Other expenses 5,059 5,060 (0.0) 5,032 0.5 

EBITDA 7,192 9,171 (21.6) 9,369 (23.2) 

EBITDA margin (%) 13.9 15.7 - 15.0 - 

Depreciation 2,895 2,785 4.0 3,035 (4.6) 

Interest cost 30 29 1.4 29 0.7 

Other Income 993 888 11.9 1,044 (4.9) 

PBT 5,261 7,245 (27.4) 7,349 (28.4) 

PBT margins (%) 10.1 12.4 11.8 

Tax 855 1,208 (29.3) 1,194 (28.4) 

Tax rate (%) 16.3 16.7 - 16.3 - 

Reported PAT 4,406 6,036 (27.0) 6,155 (28.4) 

PAT margins (%) 8.5 10.4 - 9.9 - 

Reported EPS (Rs) 22.1 30.2 (27.0) 30.8 (28.4) 

Volumes (nos) 1,332,805 1,544,315 (13.7) 1,642,292 (18.8) 

Net Realization (Rs) 38,649 37,456 3.2 37,799 2.2 

RM cost per vehicle (Rs) 28,288 27,350 3.4 28,025 0.9 

Source: Company 

Result Highlight 

� Revenues during 2QFY13 came in at Rs51,875mn, a decline of 11% over 

2QFY12 revenues of Rs58,262mn.Volumes during the same period were down by 

14% on account of slowdown and inventory correction. 

� Blended realization increased in 2QFY13 by 3.2% YoY and 2.2% QoQ and was 

higher than our expectation. Sequential jump in realization came on account of 

1.Increased share of 125cc motorcycles 2.Increased share of scooter sales in the 

overall mix and 3.Spare parts revenue getting allocated over lower volume base. 

� In 1HFY13 gross revenues from spare parts segment stood at ~Rs8bn representing 

15% YoY growth. 

� Due to lower 2W volumes, share of high margin spare part business increased 

during the quarter leading to 100bps improvement in gross margins. 



� Employee cost increased 7% YoY but declined 6% QoQ. Other expenses remained 

flat QoQ despite 19% lower volumes. 

� Depreciation charge declined 5% QoQ due to lower royalty amortization expense 

during the quarter. In 2QFY13 the company benefitted to the tune of 

Rs140mn in royalty amortization over 1QFY13 on account of currency fluctuation. 

� HMC reported net profit of Rs4,406mn which was higher than our expectation of 

Rs4,087mn. However YoY net profits were down by 27% and QoQ was lower by 

28%. 

Conference Call Highlights 

� HMC expects the domestic 2W industry in FY13 to grow by ~5% and HMC's 

volumes to also grow in similar range. 

� During the 1st 15 days of October 2012 (Shradh period) the company was selling 

close to ~10,000 units per day which increased to 26,000 units per day during 

Navratra period, which is similar to volumes clocked during last year's Navrtra 

period. 

� Inventory level for the company is around 6 weeks (4weeks with dealer and 

2weeks in transit). In absolute terms the inventory is close to 600,000 units. 

� Currently the company is not offering any discounts. HMC has tied up with 

HDFC Bank where the bank is offering loan at 6.99%. Company has stated that 

they are not incurring any cost on the scheme. 

� HMC took a small price increase of Rs300 across models effective 1st October 

2012. 

� Company has incurred capex of Rs2.5bn in 1HFY13 and expects to incur Rs3- 

3.5bn in 2HFY13. 

� Company currently derives 46% of its sales from the rural areas. 

Outlook 

� Given the current macro factors, 2W demand is expected to remain subdued in 

the near term. While volumes could pick up during the festive season, we remain 

concerned over demand post festive season.Overall we expect the demand 

for 2W's to largely remain under pressure in 2HFY13. 

� HMC's domestic volumes in FY13 YTD have de-grown by 3% as against domestic 

industry volume growth of 3%. Accordingly the company's market share has 

dropped by 260bps from 45.3% in 1HFY12 to 42.7% in 1HFY13. 

� Scooter segment continues to grow at a healthy pace but HMC derives only 7% 

of sales from the scooter segment and thereby the positive impact of strong 

scooter demand will be limited. 

� HMC's market share in the domestic motorcycle segment has slipped from 

55.6% in 1HFY12 to 53.5% in 1HFY13 and that is major concern for the 

company.We note that the motorcycle demand growth is largely coming from 

>110cc to 125cc segment which is not favorable for HMC.Competition in the 

100-125cc segment is on the rise for HMC and we expectthat will continue to 

put pressure on the market share, going ahead. 

� We expect export volumes for the company to grow in coming years (on lower 

base). However meaningful contribution to the overall volumes will happen over 

the longer run as volume ramp-up in different geographies will take some time. 

So in the near to medium term, we do not expect any major contribution from 

exports flowing to HMC. 

� HMC's EBITDA margin has been under pressure over the past few quarters and 

we expect the trend to continue over the near to medium term as we do not see 

any positive trigger. 



We recommend REDUCE on 

Hero MotoCorp with a price 

target of Rs.1789 

� Further slowdown in domestic volumes, rise in competition and cost related to 

scaling of exports will only add to pressure. 

� Tax rate in FY14 is expected to increase to 23-25% from expected 16% in FY13 

post completion of 5 year 100% tax holiday at the Haridwar facility. This will to 

a certain extent restrict earnings growth in FY14. 

� Given weak 2W demand scenario, we are lowering our FY13 estimates. We are 

lowering our volume estimates by 5%. Accordingly our revised revenue and 

profit estimates stand lower by 6% and 5% respectively over earlier estimates. 

Change in estimates (FY13) 

(Rsmn) Old New % change 

Volumes (mn units) 6.3 6.0 -4.8 

Revenues 243,418 229,253 -5.8 

EBITDA margin (%) 15.2 14.9 

PAT 24,000 22,751 -5.2 

Source: Kotak Securities - Private Client Research 

� We are introducing FY14 numbers. For FY14, we have assumed 8% volume 

growth and stable EBITDA margin. 

� We maintain our REDUCE rating on the stock with a revised price target of 

Rs1,789 (earlier Rs1,803) based on FY14 estimates. We have valued the stock at 

15x expected FY14 EPS of Rs.119.3. 


RESULT UPDATE 


Teena Virmani 

teena.virmani@kotak.com 

+91 22 6621 6302 

Summary table 

(Rs mn) FY12 FY13E FY14E 

Sales 3,666 5,177 6,490 

Growth (%) 74% 41% 25% 

EBITDA 2,114 3,111 4,018 

EBITDA margin (%) 57.7 60.1 61.9 

PBT 1,053 1,547 2,531 

Net profit 1,056 1,367 2,199 

EPS (Rs) 7.3 9.4 15.2 

Growth % 25% 29% 61% 

CEPS (Rs) 11.2 14.7 20.5 

BV per share (Rs) 118.1 125.2 138.0 

DPS (Rs) 2.0 2.0 2.0 

ROE (%) 6.2 7.8 11.5 

ROCE (%) 6.8 9.1 12.1 

Net debt 14,173 12,182 10,208 

NW Capital (Days) 133 93 93 

EV/Sales (x) 11.4 7.7 5.8 

EV/EBITDA (x) 19.8 12.8 9.4 

P/E (x) 26.2 20.2 12.6 

P/BV (x) 1.6 1.5 1.4 



PHOENIX MILLS LTD 

PRICE: RS.191 RECOMMENDATION: BUY 


Result highlights: Revenues of the company were better than our estimates 

led by improvement in rentals. Strong operating margins and higher other 

income boosted net profit growth. Pune, Kurla and Bangalore market cities 

are slowly witnessing increased trading densities while Chennai market city 

is expected to commence operations by Q3FY13. We maintain BUY on the 

stock. 

� Phoenix mills had reported a growth of 23.4% in revenues for Q2FY13 primarily 

led by improvement in rentals in high street phoenix. 

� Operating margins stood strong at 66% for Q2FY13 but adjusted with reclassification 

of electricity charges in revenues and expenses, margins stood at 76.7%. 

� Net profit growth was boosted by strong operating margins and higher other income. 

� We tweak our estimates to factor in improved rentals as well as reclassification 

of expenses related to electricity charges and expect revenues to grow at a 

CAGR of 33% between FY12-FY14. We also reduce valuations from Shangri-La 

project on account of continued delays seen in getting required clearances. We 

arrive at a revised price target of Rs230 on FY14 estimates (Rs 237 earlier) and 

continue to maintain BUY on the stock. 

Standalone financial highlights 

(Rs mn) Q2FY13 Q2FY12 YoY (%) 

Net Sales 664.5 538.5 23.4 

Total Expenditure 226.2 205.0 10.3 

EBITDA 438.3 333.5 31.4 

EBITDA % 66.0% 61.9% 

Depreciation 68.7 68.9 

EBIT 369.6 264.6 39.7 

Interest 71.8 30.5 

EBT(exc other income) 297.8 234.1 27.2 

Other Income 155.7 88.8 

PBT 453.5 322.8 

Tax 123.2 83.9 

Tax (%) 27.2% 26.0% 

PAT 330.3 239.0 38.2 

Equity Capital 289.7 289.7 

Face Value (In Rs) 2.00 2.00 

EPS (Rs) 2.28 1.65 38.2 


Revenue growth led by strong rentals 

� Phoenix mills has reported a growth of 23.4% in revenues for Q2FY13 primarily 

led by improvement in rentals in high street phoenix. 

� High Street Phoenix: Average rentals have improved to Rs.185 per sqft per 

month during Q2FY13 vsRs 171 in Q2FY12. Average sales per sqft(trading density) 

increased from Rs 1627 in Q2FY12 to Rs 1985 in Q2FY13, though footfalls 

have come down to 4.2mn during Q2FY13 vs 5 mn in Q22FY12. PML also added 

Brands like Royal Selangor (Palladium), Daniel Hechter (Palladium), Mad Over 

Donuts (Courtyard), Audelade (Skyzone) and The Coffee Bean & Tea Leaf 

(Skyzone) which became operational during Q2FY13. A newly refurbished Big 

Bazaar also got re-opened during first week of Aug, 2012. 



� We tweak our estimates for High Street Phoenix to factor in improved rentals as 

well as reclassification of expenses related to electricity charges and expect revenues 

to grow at a CAGR of 33% between FY12-FY14 on a consolidated basis. 

Status of key market cities and hotel Shangri-La 

� Pune market city is 85 % leased with average rentals of nearly Rs65 per sqft 

per month. Occupancy levels have improved sequentially to 76% during Q2FY13 

as against 70% during Q1FY13 with opening of PVR Cinemas in Sep, 2012. Entertainment 

zone Blu O is expected to open in Q3FY13. Company has also sold 

nearly 85% of phase 1 commercial area of nearly 0.26 mnsqft at Rs 6100 per sq 

ft. Footfalls in Pune market city are witnessing an increasing trend and have 

moved up to 2.69 mn during Q2FY13 as against 1.71 mn during Q1FY13. Overall 

revenues are expected to improve going forward due to improvement in occupancies 

as well as rentals. Pune market city reported revenues of Rs 284 mn and 

operating margins of 48% during Q2FY13 and has a current debt of Rs 4.56 bn. 

� Bangalore market city was opened in Oct, 2011 and is currently 88% leased 

with average rentals of nearly Rs 65-70 per sqft per month. No. of opened stores 

have now increased to 204 as against 189 in Jun, 2012. Occupancy levels have 

also improved to 66% versus 62% during June, 2012. During the quarter, Pure, 

Bombay High, Splash, Simba, OOD Life and Amoeba were opened and Copper 

Chimney, Noodle Bar and Blu O are expected to open in Q3FY13. Bangalore 

market city reported revenues of Rs 289mn and operating margins of 55% during 

Q2FY13 and has a current debt of Rs6.1 bn. Footfalls in Bangalore market 

city are also witnessing an increasing trend and have moved up to 1.26mn during 

Q2FY13 as against 1.11mn during Q1FY13. 

� Kurla market city is currently 84% leasedand has an occupancy of 70% (improved 

from 59% in Q1FY13) with average rentals of nearly Rs85-90 per sqft per 

month. Currently 209 stores have opened as against 189 stores during Jun, 2012. 

During the quarter, Zara, Lacoste, Nyasa, Funzone and Freezing Rains @ Snow 

World have become operational. PVR is expected to open from Oct, 2012. Along 

with this, Amoeba has partially opened with four Bowling Alleys which would 

ramp up to 14 lanes going forward.Kurla market city reported revenues of Rs 

288mn and operating margins of 68% during Q2FY13 and has a current debt of 

Rs6.67 bn. Footfalls in Bangalore market city are also witnessing an increasing 

trend and have moved up to 5.3mn during Q2FY13 as against 4.1mn during 

Q1FY13 

� Launch of Chennai market city is delayed and is now expected to be launched 

by Q3FY13. Key Brands viz. Big Bazaar,Croma, Lifestyle, Pantaloons, Satyam 

Cinemas, Man U, OOD life, etc. are undergoing fit-outs. Construction of residential 

space above mall structure is progressed up to 8th roof slab and out of total 

0.25 mnsqft (105 apartments), company has already sold nearly 0.2 mnsqft at an 

average sale price of Rs 7000 per sq ft. PML would have now have a stake of 

50% in Chennai market city. Company would have to pay only Rs 620 mn for increasing 

its stake to 50%. 

� Phoenix mills has launched Phase 1 of Bangalore(W) residential project - 

"One Bangalore West" and has sold nearly 7 lakh sqft across 5 towers (over 275 

apartments) at an average sale price of Rs 7200 per sq ft. It has booked sales of 

nearly Rs 5.3 bn.Project comprises of high-rise towers and one luxury tower. It is 

expected to be developed over four and a half years. Excavation work for 3 towers 

is nearly complete and is in-progress for remaining two towers. Construction 

work of Phase1 is expected to begin during Q3FY13. 

� Phase wise handover of Shangri-La has commenced but PML had faced environmental 

clearance related issues which have delayed the commencement. 

PML has already given presentations to committee reviewing its clearance and 

expects hotel to opensoon. 



We recommend BUY on 

Phoenix Mills with a price 

target of Rs.230 

Operating margins stood strong 

� Operating margins stood strong at 66% for Q2FY13 on standalone basis but adjusted 

with reclassification of electricity charges in revenues and expenses, margins 

stood at 76.7%. 

� We tweak our estimates and expect operating margins to be 60.1% and 61.9% 

for FY13 and FY14 respectively on consolidated basis. Margins on consolidated 

basis are expected to improve going forward with improvement in occupancies, 

leasing as well as rentals in key market cities. 

Net profit growth marginally better than our estimates 

� Net profit growth was boosted by strong operating margins and higher other income. 

� Borrowings are likely to come down once operations stabilize in different market 

cities. 

� We tweak our estimates and expect net profits to grow at a CAGR of 44.3% on 

consolidated basis between FY12-14. 

Valuation and recommendation 

� At current price of Rs191, stock is trading at 20.2x and 12.6x P/E and 12.8x and 

9.4x EV/EBITDA. 

� We value the company on sum of the parts valuation and roll forward our valuation 

to FY14. We arrive at a target price of Rs 230 on FY14 estimates. (Rs 237 

earlier) 

� We remain positive on the company due to its robust business model, excellent 

operating cash flows from HSP and expertise to capitalize on the upcoming opportunities 

in the retail sector in various cities. However, we reduce our valuations 

from Shangri-La hotel to take into account delays in commencement of the 

project. 

� Wemaintain BUY recommendation on the stock. 

� Key risks for the stock would be further delays in launch of Shangri-La and lower 

than expected ramp up in occupancies in key market cities. 

Sum of the parts valuation 

Phnx Avg rent Avg Rate Value Per share 

Stake (Rs/sqft/m) (Rs/sqft) (Rsmn) (Rs) 

High Street Phoenix 100% 180 18632 129 

Phase IV @ HSP 100% 12000 3000 21 

Market cities 

Pune 58.60% 60 6200 1219 8 

Kurla 24.30% 95 9000 2411 17 

Bangalore(E) 46.6% 65 3000 1021 7 

Chennai* 31.00% 80 6500 1611 11 

Bangalore(W)-Residential 70% 7200 2086 14 

EWDL 40% 45-60 2278 16 

Big Apple 70% 35-40 662 5 

Shangri-La 53% 12000 446 3 

Total 230 

CMP 191.00 

% UPSIDE 20.6% 

* Stake in Chennai market city is likely to be enhanced to 50%; Source: Kotak Securities - Private 



RESULT UPDATE 


Sumit Pokharna 

sumit.pokharna@kotak.com 

+91 22 6621 6313 

Summary table 

(Rs mn) CY11 CY12E CY13E 

Sales 29,818 31,383 33,423 

Growth (%) 9.0 5.3 6.5 

EBITDA 6,747 6,025 6,681 

EBITDA Margin 22.6 19.2 20.0 

PBT 7,160 6,393 7,068 

Net Profit 4,810 4,309 4,813 

EPS (Rs.) 9.4 8.7 9.7 

Growth (%) (52.3) -7.2 11.7 

CEPS 9.9 9.2 10.3 

Book Value (Rs/Share) 24.4 13.3 14.5 

DPS (Rs.) 15.0 6.5 7.3 

ROE (%) 58.5 52.6 53.4 

ROCE (%) 58.6 52.7 53.4 

Net Debt / (Cash) (5,490) (5,703) (6,522) 

NW Capital (Days) 12.6 11.3 11.5 

P/E (X) 34.4 37.1 33.2 

P/BV (X) 13.2 24.2 22.2 

EV/Sales (X) 2.4 2.3 2.2 

EV/EBITDA (X) 11.2 12.6 11.3 



CASTROL INDIA LTD (CIL) 

PRICE: RS.323 RECOMMENDATION: REDUCE 

TARGET PRICE: RS.302 CY13E P/E: 33.2X 

� Castrol India Ltd. has shown lower than expected performance in 

Q3CY12. CIL has reported a PAT de-growth of 9.9% YoY to Rs.8.57 Bn 

mainly on account of 1). Flat volume growth, 2). Higher total expenditure, 

3). Higher depreciation cost and 4). Lower other income. 

� Despite softening of base oil prices, cost of raw material increased significantly 

due to continuing rupee depreciation, putting margin under 

pressure. The adverse impact of the Rupee depreciation was Rs. 580 Mn, 

in Q3CY12. 

� Total volumes were flat versus the same quarter last year. Automotive 

volumes grew by 3%, faster than the market, enabled by strong marketing 

programs targeted towards consumers, trade and influencers. However, 

the increase was offset by decline in the industrial and marine volume 

which was impacted by the overall industrial slowdown. 

Outlook and valuation: 

� Our revised earnings estimate with EPS of Rs.8.7 CY12E and Rs.9.7 CY13E and 

cash EPS of Rs.9.2 CY12E and Rs.10.3 CY13E 

� On the basis of our estimates, the stock at current market price of Rs.323 is expensively 

valued at 11.3x EV/EBIDTA, 33.2x P/E and 22.2x P/BV on the basis of 

CY13E earnings. 

� Based on our DCF valuation model, the 12-month target price of Castrol is 

Rs.302. We believe the current price discounts most of the positives and hence 

we maintain REDUCE. Castrol's management has also guided that the next few 

quarters are likely to be challenging. 

Key developments: 

� In Q3CY12, Castrol re-launched its leading brand in the motorcycle segment - 

Castrol Activ, with new Actibond technology. Supported by a 360 degree campaign, 

the brand continues to grow well ahead of the market and has further 

strengthened its position as the leading motorcycle engine oil in India. 

� Management has guided that the next few quarters are likely to be challenging. 

The Indian Rupee remains volatile and crude prices have strengthened recently. 

This will continue to put Castrol's margins under pressure. Additionally, the sluggish 

economy, and slow automotive and industrial growth will continue to 

dampen lubricant demand growth. 

� In Q3CY12, automotive segment has shown growth but Industrial and Building & 

Construction lubricant segments have been adversely impacted due to reduced 

activity in these sectors and delays in a number of important projects. This has 

been further compounded by cost cutting and down stocking in these sectors. 

� The company is focusing on driving volume growth through increasing distribution 

reach and strengthening advocacy amongst key stakeholders. Wider distribution 

network will improve the sales volume of the Company, going forward. 

Key risk remains in terms of: 

� The Company's management has indicated the lubricant market growth has 

been slower due to the economic slowdown and inflationary pressures. This has 

been compounded by continuing input cost pressure and rupee depreciation 

which have impacted margins. 

� Any significant fall in the crude oil price will lower the base-oil price (with a lag 

of six months) which can improve its margins. 

� Any significant rupee appreciation will impact the raw material cost. 



Quarterly Result Analysis - Q3CY12 

(Rs mn) Sep-12 Sep-11 YoY (%) QoQ (%) 

No. of months 3 3 

Domestic Revenues 8,325 7,738 7.6 (15.4) 

Excise Duty 1,130 1,022 10.6 (15.2) 

Net Sales/Income from ops 7,195 6,716 7.1 (15.5) 

Incr/(Decr) in stock (70) 212 (133.0) 204.3 

Total Expenditure 5,928 5,625 5.4 (12.8) 

EBIDTA 1,197 1,303 (8.1) (29.3) 

Depreciation 66 62 6.5 10.0 

EBIT 1,131 1,241 (8.9) (30.8) 

Other income 148 170 (12.9) (8.6) 

Interest-net 1.0 9.0 (88.9) (66.7) 

PBT 1,278 1,402 (8.8) (28.7) 

Extra ordinary Exp/(Inc) 

Tax 421 451 (6.7) (27.9) 

Current Tax 421 451 (6.7) 

PAT 857 951 (9.9) (29.1) 

Equity Capital 4,946 4,946 - 

Basic EPS 1.73 1.92 (9.9) (29.1) 


Profitability Analysis 

(%) Sep-12 Sep-11 YoY (%) QoQ (%) 

EBITDA Margin 16.6 19.4 (2.8) (3.3) 

EBIT Margin 15.7 18.5 (2.8) (3.5) 

Adj. PAT Margin 11.9 14.2 (2.2) (2.3) 

Other Income/PBT 11.6 12.1 (0.5) 2.5 

Tax/PBT 32.9 32.2 0.8 0.4 

Excise/net dom sales 13.6 13.2 0.4 0.0 

Excise/VoP 15.9 14.8 1.1 0.2 

Depreciation/ Avrg. Capital employed (%) 0.96 0.94 0.0 0.1 


NOTE: The lubricant business is a seasonal business and volume gets affected due to 

various seasonal factors. Hence, quarter-on-quarter result comparison will not give 

the correct picture. We have observed that for Castrol Quarter 2 (April- June) and 

Quarter 4 (Oct-Dec) of the calendar year are generally the best quarters. 

Operational Parameters 

Sep-12 Sep-11 YoY (%) QoQ (%) 

Raw Materials 3,892 3,805 2.3 (14.7) 

Staff costs 310 318 (2.5) (8.6) 

Purchase of Finished Goods 372 355 4.8 (3.9) 

Advertisement Exp. 610 433 40.9 (7.4) 

Carriage, Freight & Insurance (CIF) 221 193 14.5 (10.9) 

Other Expenses 523 521 0.4 (12.7) 

Total 5,928 5,625 5.4 (12.8) 




Cost Ratio Analysis (% of (Net sales + Inventory) 


RM & Service cost 54.6 54.9 (0.3) 0.9 

Staff cost 4.4 4.6 (0.2) 0.4 

Purchase of FG 5.2 5.1 0.1 0.7 

Advertisement Exp. (Net Sales) 8.5 6.4 2.0 0.7 

Carriage, Freight & Insurance 3.1 2.8 0.3 0.2 

Other Expenses 7.3 7.5 (0.2) 0.3 


Quarterly Result Analysis - 

� In Q3CY12, the net revenue has fallen by 15.5% QoQ but up by 7.1% YoY to 

Rs. 7.2 Bn mainly on account improved sales mix and pricing actions taken by 

the Company. 

� Raw material cost: In Q3CY12, raw material cost has decreased by 14.7% 

QoQ but was up by 2.3% YoY to Rs.3.89 Bn. Lube oil is a derivative of crude oil 

and Brent crude prices has decreased in Q3CY12 however the benefit was partly 

offset by weak rupee. Raw material cost to sales ratio has increased by 0.9% 

QoQ to 54.6%. 

� Trading activity - purchase of finished goods: In Q3CY12, finished goods 

purchased by the Company has fallen by 3.9% QoQ but up by 4.8% YoY to 

Rs.372 Mn. 

� Carriage, Freight & Insurance (CIF): CIF is dependent on imports of raw material. 

The Company has increased its volumes and as a result its CIF cost has also 

increased. In Q3CY12, carriage, freight & insurance cost has fallen by 10.9% 

QoQ but was up by 14.5% YoY to Rs.221 Mn. 

� Advertisement Expenses: In Q3CY12, advertisement expense has increased by 

40.9% YoY but down by 7.4% QoQ to Rs.610 Mn. In Q2CY12, the Company in 

order to promote new products has carried extensive and intensive marketing 

campaigns, resulting in higher advertisement expenses. 

� Employee Cost: Staff cost has fallen by 8.6% QoQ and 2.5% to Rs.310 Mn 

partly due to base effect. 

� Other Expenses: In Q3CY12, other expense has fallen by 12.7% QoQ but marginally 

up by 0.4% YoY to Rs.523 Mn. 

� Operating margin: Overall operating margin fell by 280bps YoY and 330bps 

QoQ to 16.6% in Q3CY12. Its margin was down sequentially basis due to rise in 

raw material cost to sales ratio. (Lube oil prices). 

� Depreciation: In Q3CY12, depreciation cost has increased by 6.5% YoY and 

10% QoQ to Rs. 66 Mn. Total capital employed by Castrol has increased by 

13.3% QoQ and by 0.7% to Rs. 7.33 Bn. 

� Other Income: In Q3CY12, other income has fallen by 12.9% YoY and by 8.6% 

QoQ to Rs.148 Mn. 

� Finance/Bank charges has fallen to Rs.1.0 Mn from Rs. 9 Mn on YoY. As on 30th 

Sep'12, Castrol is a zero debt company. 

� Castrol's PAT margin has fallen by 220bps YoY and by 230bps to 11.9% in 

Q3CY12. 

� The Company's profit after tax (PAT) was fallen by 29.1% QoQ and 9.9% YoY 

to Rs. 857 Mn mainly on account of 1). Lower sales volume, 2). Lower realization, 

and 3). Higher depreciation. 



Operating margin performance 

Source: Kotak Securities - Private Client Research 

Segment-wise performance 

Segment Revenue (Net Sales) 


Automotive 6,248 5,652 10.5 (16.9) 

Non-Automotive/Industrial and 

Building & Construction 947 1,064 (11.0) (4.9) 

Total 7,195 6,716 7.1 (15.5) 

Segment Revenue Contribution (%) 

Automotive 86.8 84.2 2.68 (1.5) 


Building & Construction 13.2 15.8 (2.68) 1.5 

Segment EBIT (Adj for exceptional) 

Automotive 1,036 1,042 (0.6) (30.9) 


Building & Construction 149 257 (42.0) (19.9) 

Total 1,185 1,299 (8.8) (29.7) 

Unallocated Exp/Corporate Exp. 54 58 (6.9) 5.9 

% of VoP 0.8% 0.8% (0.0) (0.6) 

EBIT Margin (%) 

Automotive 16.6 18.4 (1.85) (3.4) 


Building & Construction 15.7 24.2 (8.42) (2.9) 

Segment EBIT Contribution (%) 

Automotive 87.4 80.2 7.2 (1.5) 


Building & Construction 12.6 19.8 (7.2) 1.5 

Capital Employed (Rs. Mn) 

Automotive 2,046 2,445 (16.3) (3.6) 


Building & Construction 1,042 1,174 (11.2) 2.1 

Unallocable 4,238 3,653 16.0 27.5 

Total 7,326 7,272 0.7 13.3 

EBIT/CE (%) 

Automotive 203 170 18.8 (80.0) 


Building & Construction 57.2 87.6 -34.7 (15.7) 

Total 64.7 71.5 -9.4 (39.5) 




We recommend REDUCE on 

Castrol India with a price target 

of Rs.302 

Automotive Segment - YoY improved performance 

In Q3CY12, Castrol India shown net revenue de-growth of 16.9% QoQ but has 

shown growth of 10.5% YoY to Rs.6.25 Bn, partly due to base effect. Automotive 

segment had contributed ~86.8% of the revenue, up by 2.7% YoY but down by 

1.5% QoQ. Further, operating profit was flat YoY basis but down by 30.9% on sequential 

basis. EBIDTA margin has fallen by 190bps YoY and by 340bps QoQ to 

16.6%, EBIDTA for the quarter stand at Rs.1.04 Bn, down by 30.9% QoQ. 

Industrial and Building & Construction Segment 

In Q3CY12, Castrol India booked a revenue de-growth of 11% YoY and 4.9% QoQ 

to Rs.947 Mn. Industrial segment contributed ~13.2% of the total revenue down by 

2.7% YoY but up by 1.5% QoQ. It terms of operating profit, this segment has contributed 

12.6% of the total operating profit. EBIDTA margin has fallen by 840bps 

YoY and by 290bps QoQ to 15.7%, EBIDTA for the quarter stand at Rs.149 Mn. 

Industrial growth led to increase in lubricant consumption in 

manufacturing units 

Organisation for Economic Co-operation and Development (OECD) composite leading 

indicators (CLIs) is pointing slowdown in economy OECD composite leading indicators 

(CLIs) is designed to anticipate turning points in economic activity relative to 

trend, which point to an increasing pace of economic activity. Based on this, we 

believe India is a slowdown phase as the OECD (India) is at 97.5. We believe this 

will impact the industrial demand of lubricants in CY12. 

OECD Composite leading Indicators 

102 

101 

100 

99 

98 

97 

99.0 

100 

Source: Bloomberg 

100, long-term trend 

in industrial 

production 

INDIA CHINA OECD Reference series 

Slowdown 

Growth cycle phases of the CLI are defined as follows: expansion (increase above 

100), downturn (decrease above 100), slowdown (decrease below 100), recovery 

(increase below 100). CLI data is of 29 OECD member countries and 6 OECD nonmember 

economies. 

Comments: The horizontal line 100 shows the long-term trend in industrial production 

(the reference series). Expansion denotes a CLI increasing above 100. Downturn 

a CLI decreasing but still above 100 Slowdown a CLI decreasing below 100; recovery 

a CLI increasing but below 100 

Outlook and valuation: 

� Our revised earnings estimate with EPS of Rs.8.7 CY12E and Rs.9.7 CY13E and 

cash EPS of Rs.9.2 CY12E and Rs.10.3 CY13E 

� On the basis of our estimates, the stock at current market price of Rs.323 is expensively 

valued at 11.3x EV/EBIDTA, 33.2x P/E and 22.2x P/BV on the basis of 

CY13E earnings. 

� Based on our DCF valuation model, the 12-month target price of Castrol is 

Rs.302. We believe the current price discounts most of the positives and hence 

we maintain REDUCE. Castrol's management has also guided that the next few 

quarters are likely to be challenging. 



Bulk deals 

Trade details of bulk deals 

Date Scrip name Name of client Buy/ Quantity Avg. 

Sell of shares price 

23-Oct Aishwarya Tele G Rama Manohar Reddy S 147,486 12.23 

23-Oct Aishwarya Tele Hari Krishna Reddy Kallam B 116,000 12.22 

23-Oct Associated Fin Tidal Securities Pvt Ltd B 27,240 37.55 

23-Oct Boston Bio Payalben Purvin Patel S 50,000 4.24 

23-Oct Boston Bio Yadav Chhatrasinh Cheeranjilal S 44,025 4.43 

23-Oct Boston Bio Brijesh Parekh HUF B 50,000 4.22 

23-Oct Boston Bio Brijesh Jitendra Parekh B 100,000 4.33 

23-Oct Croitre Inds Rakesh Dua S 40,000 31.25 

23-Oct Croitre Inds Atul Mittal S 40,000 31.01 

23-Oct Croitre Inds Jehil Kalpesh Jhaveri B 40,000 31.25 

23-Oct Diamonpower-$ The Royal Bank Of Scotland 

Asia Merchant Bank Singapore Lt B 550,000 113.40 

23-Oct Diamonpower-$ Abn Amro Bank NV S 550,000 113.40 

23-Oct Eastern Sugar Nnp Trading & Investments Pvt Ltd S 85,000 9.35 

23-Oct Farry Inds Suresh Indravadan Jain B 24,870 18.75 

23-Oct Farry Inds Sheela Ashok Soni S 21,874 18.75 

23-Oct Gemstone Invest Ashirwad Investments Pvt Ltd B 400,839 18.00 

23-Oct Indergiri Fin Bridgeway Fiduciary Advisors Pvt Ltd S 30,000 9.40 

23-Oct Indergiri Fin Pritam Dutt B 61,570 9.40 

23-Oct Jaihind Proj Jagdish Amritlal Shah B 77,250 69.35 

23-Oct Jaihind Proj Anupam Narain Gupta S 50,475 69.50 

23-Oct KGN Inds The Royal Bank Of Scotland 

Asia Merchant Bank Singapore Ltd B 1,520,000 18.00 

23-Oct KGN Inds Abn Amro Bank NV S 1,520,000 18.00 

23-Oct Liberty Phos Grebal Capital Services Pvt Ltd B 72,813 173.05 

23-Oct Menon Pistons Savita Satish Gopi S 150,000 95.00 

23-Oct Menon Pistons Sachin Ram Menon B 150,000 95.00 

23-Oct Panchsheel Org Kishore Abhaychand Turakhia B 149,039 17.75 

23-Oct Panchsheel Org Arti Kishore Turakhia S 149,039 17.75 

23-Oct Panchsheel Org Paresha Rajesh Turakhia S 87,300 17.75 

23-Oct Panchsheel Org Rajesh Abhaychand Turakhia B 86,400 17.75 

23-Oct Pasupati Fin Orion Investmart Pvt Ltd B 170,266 28.62 

23-Oct Pasupati Fin Charishma Engineering Limited S 94,592 28.65 

23-Oct PFL Infotech The Royal Bank Of Scotland 

Asia Merchant Bank Singapore Lt B 342,726 26.25 

23-Oct PFL Infotech Abn Amro Bank NV S 347,250 26.25 

23-Oct Poly Medicure Vision Millenium Exports Pvt Ltd S 106,487 325.22 

23-Oct RCL Retail Golden Enterprises B 70,000 9.42 

23-Oct Shalibhadra Fin Shah Dhiren Anilbhai B 30,000 54.80 

23-Oct Shalibhadra Fin Dave Rakin Shivprasad S 30,000 54.80 

23-Oct Shreychem Kishor Valji Gohil S 35,000 74.07 

23-Oct Shreychem Vasani Tarunkumar Dalichand B 75,000 73.87 

23-Oct Tatia Global Battle Vyapaar Pvt Ltd S 1,347,725 3.50 

23-Oct Venus Power Ven Srikrishna Vadlamudi B 94,000 15.99 

23-Oct Visagar Fin Ser Chintpurni Distributors Pvt Ltd S 90,000 22.65 

23-Oct Visagar Fin Ser Santokhi Merchandise Pvt Ltd S 119,300 22.65 

23-Oct Visagar Fin Ser Chamunda Vinimay Pvt Ltd S 85,500 22.65 

Source: BSE 

Kotak Securities - Private Client Research Please see the disclaimer on the last page For Private Circulation 15 

(Rs)


Gainers & Losers Nifty Gainers & Losers 

Fundamental Research Team 

Dipen Shah 

IT, Media 

dipen.shah@kotak.com 

+91 22 6621 6301 

Sanjeev Zarbade 

Capital Goods, Engineering 

sanjeev.zarbade@kotak.com 

+91 22 6621 6305 

Teena Virmani 

Construction, Cement, Mid Cap 

teena.virmani@kotak.com 

+91 22 6621 6302 

Technical Research Team 

Shrikant Chouhan 

shrikant.chouhan@kotak.com 

+91 22 6621 6360 

Derivatives Research Team 

Sahaj Agrawal 

sahaj.agrawal@kotak.com 

+91 22 6621 6343 

Disclaimer 

Gainers 

Price (Rs) chg (%) Index points Volume (mn) 

L&T 1,701 1.8 5.2 3.0 

ICICI Bank 1,079 0.4 1.4 2.3 

BPCL 349 1.8 0.5 0.8 

Losers 

ITC 290 (1.4) (6.9) 3.5 

Infosys 2,353 (1.4) (5.0) 0.6 

Reliance Ind 810 (0.7) (3.0) 2.2 

Source: Bloomberg 

Saurabh Agrawal 

Metals, Mining 

agrawal.saurabh@kotak.com 

+91 22 6621 6309 

Saday Sinha 

Banking, NBFC, Economy 

saday.sinha@kotak.com 

+91 22 6621 6312 

Arun Agarwal 

Auto & Auto Ancillary 


+91 22 6621 6143 

Amol Athawale 

amol.athawale@kotak.com 

+91 20 6620 3350 

Rahul Sharma 

sharma.rahul@kotak.com 

+91 22 6621 6198 

Ruchir Khare 

Capital Goods, Engineering 

ruchir.khare@kotak.com 

+91 22 6621 6448 

Ritwik Rai 

FMCG, Media 

ritwik.rai@kotak.com 

+91 22 6621 6310 

Sumit Pokharna 

Oil and Gas 

sumit.pokharna@kotak.com 

+91 22 6621 6313 

Premshankar Ladha 

premshankar.ladha@kotak.com 

+91 22 6621 6261 

Malay Gandhi 

malay.gandhi@kotak.com 

+91 22 6621 6350 

Amit Agarwal 

Logistics, Transportation 

agarwal.amit@kotak.com 

+91 22 6621 6222 

Jayesh Kumar 

Economy 

kumar.jayesh@kotak.com 

+91 22 6652 9172 

K. Kathirvelu 

Production 

k.kathirvelu@kotak.com 

+91 22 6621 6311 

Prashanth Lalu 

prashanth.lalu@kotak.com 

+91 22 6621 6110 

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