Sanghvi Movers: Maintaining Faith

RESULTS REVIEW 1QFY17
13 AUG 2016
Sanghvi Movers
BUY
INDUSTRY
INFRASTRUCTURE
CMP (as on 12 Aug 2016)
Rs 262
Target Price
Rs 422
Nifty
8,672
Sensex
28,152
KEY STOCK DATA

Bloomberg
SGM IN
No. of Shares (mn)
43
MCap (Rs bn) / ($ mn)
11/169
6m avg traded value (Rs mn)
16
STOCK PERFORMANCE (%)

52 Week high / low
Rs 408/254
3M
6M
12M
Absolute (%)
(9.7)
(12.1)
(30.6)
Relative (%)
(18.8)
(34.6)
(32.9)
SHAREHOLDING PATTERN (%)

Promoters
46.88
DIIs & Local MFs
23.13
FIIs
Public & Others
1.85
28.14
Source : BSE
Prabhat Anantharaman
prabhat.anantharaman@hdfcsec.com
+91-22-6171-7319
Maintaining Faith
Sanghvi Movers (SGM) 1QFY17 revenues/EBITDA
were ~8.2/11.5% below estimates on account of a
seasonal fall in crane utilisation to ~79% (~84% in
4QFY16) and yield to ~2.8% (~3.15% in 4QFY16).
While management has guided for a weak 2QFY17, it
expects 2HFY17 to be better as they have already
received order enquiries for their 600+ MT cranes.
Even so, with the medium term outlook for wind
capex in India looking capped, we expect tepid
revenue CAGR of ~9.5% over FY16-18E, with ~108
bps contraction in FY17E EBITDA margins. We retain
our faith on SGMs strong cash flows with FY18-end
FCF yield of ~16.5%.
Focus on optimum utilisation, strong receivables
management and management acumen position
SGM to withstand cyclical slowdowns. We rate SGM
as a BUY with a revised TP of Rs 422/sh (based on
12x FY18E EPS).
Highlights of the quarter
Update on capex plans: SGM plans to incur a net

capex ~Rs 1.59bn in FY17E by trading part of its
400 MT fleet for 650+ MT cranes, which will cater
to 3-5MW windmills (140+ metres tall).
Optimum cash utilisation: We expect SGM to

report FCF of Rs 1.7/2.4bn in FY17/18E. With no
major capex plans, cash can be used to either
retire debt or reward shareholders in the form of
higher dividends or share buybacks. While we
await clarity, we expect SGM to repay Rs
1.0/1.6bn of debt in FY17/18E.
Near-term outlook: With the medium-term

outlook on wind capex looking capped, we expect
SGMs utilisations and yields to remain under
pressure. We expect stock performance to remain
subdued in the near term, advise BUY on dips.
Financial Summary (Standalone)

(Rs mn)
Net Sales
EBITDA
APAT
Diluted EPS (Rs)
P/E (x)
EV / EBITDA (x)
RoE (%)
1QFY17
1,378
878
252
5.83
1QFY16
1,079
670
178
4.10
YoY (%)
27.7%
30.9%
42.1%
42.1%
4QFY16
1,635
1,081
433
10.00
QoQ (%)
-15.7%
-18.8%
-41.7%
-41.7%
FY15
3,060
1,785
23
0.54
488.4
8.1
1.2
FY16
5,296
3,544
1,100
25.41
10.3
4.9
16.7
FY17E
5,827
3,814
1,231
28.44
9.2
4.3
15.3
FY18E
6,352
4,181
1,521
35.14
7.5
3.5
16.4
Source: Company, HDFC sec Inst Research
HDFC securities Institutional Research is also available on Bloomberg HSLB <GO>& Thomson Reuters
SANGHVI MOVERS: RESULTS REVIEW 1QFY17
SGMs 4QFY16 net

revenues/EBIDTA was ~8.2%
and ~11.5% below our
estimates
EBIDTA margins contracted

~243bps QoQ owing to
~191bps increase in other
operating expenses
Other income of Rs 18mn

included Rs 15.6mn profit
from sale of trade
investments
As on 30-June-16, the gross

debt stood at Rs 5.9bn, with
gross D/E ratio at 0.75x
Quarterly Financial (Standalone)

Particulars (Rs mn)
Net Revenues
Employee Expenses
Freight & Charges
Other Operating Expenses
Operating Profits
Other Operating Income
EBITDA
Depreciation
EBIT
Other Income (Incl EO Items)
Interest Cost
PBT
Tax
RPAT
E/o (Adj For Tax)
APAT
1QFY17
1,378
56
146
306
871
7
878
358
520
18
158
380
128
252
252
1QFY16
1,079
54
80
280
666
4
670
281
390
3
109
284
107
178
178
YoY (%)
27.7%
4.0%
82.0%
9.4%
30.7%
66.0%
30.9%
27.6%
33.4%
425.6%
45.0%
33.7%
19.6%
42.1%
NM
42.1%
4QFY16
1,635
53
171
332
1,079
2
1,081
363
718
55
163
611
232
379
54
433
QoQ (%)
-15.7%
6.2%
-15.1%
-7.8%
-19.3%
244.7%
-18.8%
-1.5%
-27.6%
-67.2%
-2.9%
-37.7%
-44.8%
-33.4%
NM
-41.7%
YoY (bps)
(91.98)
315.48
(370.34)
159.12
(396.25)
186.55
4QFY16
3.21
10.48
20.29
66.14
37.94
23.18
QoQ (bps)
83.69
8.02
191.37
(242.93)
(433.29)
(485.93)
Margin Analysis (Standalone)

Employee Expenses % Net Sales
Freight & Charges % Net Sales
Other Operating Expenses % Net Sales
EBITDA Margin (%)
Tax Rate (%)
APAT Margin (%)
1QFY17
4.05
10.56
22.21
63.71
33.61
18.32
1QFY16
4.97
7.41
25.91
62.12
37.57
16.45
Page | 2
Highlights of the concall
While 1HFY17 could be a disappointment, the
The current debt obligation for FY17 is Rs 1.15bn,
management continues to see good traction in

the wind power space and expects 4,0004,500MW of wind asset creation over FY17-18E.
of which SGM has already paid Rs 600mn, with

Rs 550mn remaining to be paid during the year.
According to the management, the wind sector is

facing shortage of cranes in the +600MT ranges,
which could result into SGMs cranes witnessing
decent order bookings in 2HFY17.
SGM plans to buy 5 cranes of 650MT capacity
The management is optimistic about the thermal

power space and expects orders in the power
space in the next 6-9 months, mostly from
revived projects and UMPPs.
On a conservative basis, the management

expects 10% growth in net revenues for FY17E
with EBITDA margins in 65-66% range.
from Terex for a total outlay of Rs 2.1bn in

FY17E. As part of the deal, SGM would be trading
part of its 400MT fleet for Rs 530mn, thus
incurring a net capex of Rs 1.6bn.
It has trimmed its guidance for utilisation rates to
The idea is to upgrade its fleet and build

capacities to cater to the 3-5MW windmills over
140 metres in height. The management has
already received bookings for most of its new
cranes and expects to deploy them by Dec 2016.
1QFY17 Revenue Distribution
In 1QFY17, SGM added 8 cranes to its fleet,

which was a spillover from FY16 capex. As on 30June-16, the fleet size stood at 490 cranes and
associated gross block was Rs 20.4bn. 90% of its
fleet is in the +100MT category and 32 cranes are
in the +600MT category.
SGM also plans to buy/rent an office space in
BKC (Mumbai) and has set aside Rs 170mn for
the same.
remain 79-80% range and average yields on gross

block to 2.80-3.00% over the medium term.
Infra
7%
Power
15%
Refineries
11%
Cement
1%
Windmill
64%
Metals
2%
The debtor days has improved slightly to ~98

days in 1QFY17-end from ~100 in FY16. The
management expects the metric to remain
within the range of 90-100 days
Page | 3

Revenues, EBITDA And EBITDA Margins (%)
Sales
60.0%
75.0%
4,000
50.0%
70.0%
3,000
40.0%
65.0%
10.0%
Source : Company, HDFC sec Inst Research
4,000
55.0%
50.0%
FY18E
FY17E
FY16
FY15
FY14
FY13
FY12
FY11
0.0%
FY10
2.0%
1.5%
FY18E
1,000
60.0%
FY17E
20.0%
2.5%
FY16
30.0%
3.0%
FY15
5,000
80.0%
FY14
70.0%
85.0%
FY13
80.0%
6,000
3.5%
FY12
90.0%
FY11
Rs mn
Cash Flow From Operations And NWC Cycle
NWC to improve from ~265

days in FY14 to ~111 days in
FY18E, which should aid in
healthy cash flow from
operations of Rs 3.4bn in
FY18E
Average Yield
90.0%
2,000
Utilisation rates and

average yields on gross
block to remain under
pressure at 78/79% and
2.85/2.9% in FY17E/18E
Utilisation
EBITDA Margin (%)
FY10
Expect tepid revenue CAGR

of ~9.5% with ~108bps
contraction in EBITDA
margins over FY16-18E
7,000
EBITDA
Utilisations And Average Yields (%)
Cash flow from Operations - LHS

Rs mn
1.Net Debt And Net D/E Ratio

Net Debt
NWC Cycle
Net D/E Ratio
Rs mn
300
1.4
7,000
3,500
1.2
250
3,000
200
2,500
2,000
150
1,500
6,000
1.0
5,000
0.8
100
4,000
50
3,000
0.6
0.4
1,000
0.2
FY18E
FY17E
FY16
FY15
FY14
FY13
0.0
FY12
2,000
FY11
FY18E
FY17E
FY16
FY15
FY14
FY13
0
FY12
FY10
500
FY11
In the absence of any major

capex plans, we expect SGM
to utilise the cash to retire
its debt by Rs 1.0/1.6bn over
FY17/18E
Page | 4
Change in Estimates
With overall India wind
capex looking capped at
4,000-4,500MW over FY1718E, we expect SGMs
corresponding crane
utilisation rates to remain
pressured at ~78/79% and
gross block yields at
~2.85/2.9%
Particulars
Revenues (Rs mn)
EBITDA (Rs mn)
EBITDA (%)
APAT (Rs mn)
EPS (Rs)
FY17E
New
5,827
3,814
65.5
1,231
28.4
FY18E
Old
6,001
3,966
66.1
1,294
29.9
% Change
(2.9)
(3.8)
(63.1)
(4.8)
(4.8)
New
6,352
4,181
65.8
1,521
35.1
Old
6,635
4,413
66.5
1,647
38.0
% Change
(4.3)
(5.2)
(67.6)
(7.6)
(7.6)
Outlook and valuation

Target price of Rs 422 implies ~60% upside
FY17E/18E revenue estimates

have been cut by 2.9/4.3%, in
line with the managements
conservative stance on
growth outlook
FY17/18E EBITDA estimates

have been cut 3.8/5.2% while
expecting ~63/68bps
contraction in margins over
our previous estimates
We value SGM at Rs
422/share (12x FY18E EPS)
Valuation methodology: We have valued SGM at

12x FY18E EPS of Rs 35.1/sh. This is justified by (1)
A capped capex cycle, mostly in the wind power
space, which would drive SGMs tepid revenue
CAGR of ~9.5% over FY16-18E, (2) Utilisation rates
and average yields (on gross block) to remain at
78/79% and 2.85/2.9% over FY17/18E, (4)
Improving NWC cycle (from ~265 days in FY14 to
~111 in FY18E), (5) Strong FCF generation of Rs
1.7/2.4bn over FY17/18, which will largely be

utilised towards debt repayment of Rs 1.0/1.6bn,
respectively, and (6) FCF yield of ~16.5% in FY18E.
With increasing focus on optimum utilsation,

strong working capital management and ace
promoter acumen, SGM is well positioned to
withstand any cyclical slowdown in the crane hiring
business. We rate SGM as a BUY with a revised TP
of Rs 422/sh (at 12x FY18E EPS).
Valuation
Particulars
Sanghvi Movers
Total
Segments
Crane Rental
Value (Rs mn) Value per share(Rs) Rationale

18,253
422 At 12x FY18E EPS
18,253
422
Source : HDFC sec Inst Research
Page | 5
Key model assumptions and estimates

(Rs mn)
FY15
FY16E
FY17E
Utilisation Rates (%)
66.0
80.5
78.0
2.40
2.92
2.85
3,060
5,296
5,827
Employee Expenses
-164
-229
-263
-286
Freight & Carriage

Expenses
-229
-452
-496
-541 Freight & Carriage expenses are assumed at ~8-8.5% of revenues
Yield (on avg gross block)

(%)
Revenues (Incl. other
operating income)
Other Expenses
FY18E Comments
With the medium term outlook for wind capex in India looking capped, we
79.0
expect utilisation rates to decrease from at current levels.
We also expect yields to yields to decrease in line with the utilisation of
2.90
cranes.
6,352 We estimate tepid CAGR of ~9.5% over FY16-18E
-1090
-1265
-1355
1,785
58.3
-1,200
3,544
66.9
-1,263
3,814
65.5
-1,544
4,181
65.8
-1,631
-427
-542
-489
-378
232
1,818
1,811
2,204
Tax rate (%)
65
36
32
31
PAT
81
1,169
1,231
1,521
Net D/E
0.47
0.81
0.58
0.31
Debtor days
147
107
105
100
Operating Cash Flows
2082
2340
3272
3392
Investing Cash Flows
(343) (4,896) (1,590) (1,000)
EBIDTA
EBIDTA margin (%)
Depreciation
Interest Expense
PBT
Free Cash Flows (FCF)

1,587 (2,567) 1,682 2,392
Financing Cash Flows
(1,506) 2,136 (1,612) (2,048)
Net Cash Inflow/Outflow
233
(420)
70
344
Employee expenses are assumed at ~4.5% of revenues in line with historical

trends
Other expenses have been derived by modeling key subheads. Contract labour
is assumed to be ~6.25% of revenues in line with historical trends. Power &
Fuel costs are likely to contract by ~25 bps over FY15-18E to ~4.75%.
Consumption of stores & spares is assumed to be ~4% over FY15-18E.
FY16-18E EBIDTA CAGR of ~8.6%.
Expect ~108bps contraction in EBITDA margins over FY16-18E
Depreciation rate assumed at ~6.75% pa over FY15-18E
Borrowing costs is assumed at 8.75% over FY16-18E, on account of falling
interest rates and improvement in SML's credit rating.
FY16-18E PBT CAGR of ~10.11%
We have prudently assumed 31% tax for FY18E in line with union budget
direction on reducing corporate taxes by 5% over 4yrs.
FY16-18E PAT CAGR of ~14.06%
We expect SGM to retire Rs 1.0/1.6bn worth of debt over FY17-18E as there
are no major capex needs
To remain at current levels as SML has realized all o/s debtors and current
book is healthy.
Stringent working capital management to result in higher positive cash flow
from operations
SGM intends to spend about ~Rs 1.59bn in FY17E in adding cranes in the +650
MT categories. They will primarily cater to the higher requirements in the
wind sector.
FY18E FCF yield of 16.5%
We expect SGM to use the cash to largely repay its debt
Net cash position is very comfortable
Page | 6
Income Statement
Year ending March (Rs mn)
FY14
Net Revenues
2,417
Growth (%)
(27.2)
Employee Expenses
136
Freight & Carriage Expenses
167
Other Operating Expenses
776
Operating Profits
1,338
Operating Profit Margin (%)
55.4
Other Operating Income
27
EBIDTA
1,365
EBIDTA (%)
56.5
EBIDTA Growth (%)
(41.1)
Depreciation
1,186
EBIT
179
Other Income (Incl EO Items)
54
Interest
462
PBT
(230)
Tax
(85)
RPAT
(145)
EO (Loss) / Profit (Net Of Tax)
(31)
APAT
(176)
APAT Growth (%)
(152.1)
EPS
(4.1)
EPS Growth (%)
(152.1)
Balance Sheet
FY15
3,060
26.6
164
229
904
1,763
57.6
22
1,785
58.3
30.8
1,200
585
74
427
232
151
81
(57)
23
(113.2)
0.5
(113.2)
FY16
5,296
73.1
229
452
1,090
3,524
66.5
19
3,544
66.9
98.5
1,263
2,280
80
542
1,818
649
1,169
(69)
1,100
4,620.0
25.4
4,620.0
FY17E
5,827
10.0
263
496
1,265
3,803
65.3
12
3,814
65.5
7.6
1,544
2,271
29
489
1,811
579
1,231
1,231
11.9
28.4
11.9
FY18E
6,352
9.0
286
541
1,355
4,169
65.6
13
4,181
65.8
9.6
1,631
2,550
32
378
2,204
683
1,521
1,521
23.5
35.1
23.5

SOURCES OF FUNDS
Share Capital - Equity
Reserves
Total Shareholders Funds
Long-term Debt
Short-term Debt
Total Debt
Deferred Taxes
Other Long-term Liabilities &
Provisions
TOTAL SOURCES OF FUNDS
APPLICATION OF FUNDS
Net Block
CWIP
Investments, LT Loans & Advances
LT Loans & Advances
Total Non-current Assets
Inventories
Debtors
Cash & Equivalents
ST Loans & Advances, Others
Total Current Assets
Creditors
Other Current Liabilities & Provns
Total Current Liabilities & Provns
Net Current Assets
TOTAL APPLICATION OF FUNDS
FY14
FY15
FY16E
FY17E
FY18E
87
6,403
6,489
2,629
2,019
4,649
855
87
6,457
6,544
2,711
629
3,340
862
87
7,412
7,498
4,692
1,398
6,090
929
87
8,491
8,577
3,692
1,398
5,090
929
87
9,860
9,946
2,142
1,398
3,540
929
49
49
49
11,993
10,746
14,567
14,646
14,464
10,048
3
0
257
10,307
102
1,488
186
83
1,859
109
64
173
1,686
11,993
8,913
175
70
143
9,300
102
1,235
281
85
1,703
109
149
258
1,445
10,746
12,556
60
292
12,908
106
1,551
41
341
2,038
202
177
380
1,659
14,567
12,602
60
160
12,822
192
1,680
111
160
2,142
222
96
318
1,824
14,646
11,971
60
174
12,205
209
1,744
455
174
2,582
239
83
323
2,260
14,464
Page | 7
Cash Flow
FY14
Reported PBT
(230)
Non-operating & EO items
(22)
PAT from Operations
(252)
Interest expenses
462
Depreciation
1,186
Working Capital Change
779
Tax Paid
(98)
OPERATING CASH FLOW ( a )
2,076
Capex
(86)
Free cash flow (FCF)
1,990
Investments
(92)
INVESTING CASH FLOW ( b )
(178)
Debt Issuance
(1,502)
Interest expenses
(489)
Free cash flow to Equity (FCFE)
0
Dividend
(50)
FINANCING CASH FLOW ( c )
(2,041)
NET CASH FLOW (a+b+c)
(142)
Closing Cash & Equivalents
45
Key Ratios
FY15
232
(25)
207
427
1,200
240
8
2,082
(495)
1,587
152
(343)
(1,069)
(437)
82
(1,506)
233
278
FY16
1,818
(80)
1,739
542
1,263
(555)
(649)
2,340
(4,906)
(2,567)
10
(4,896)
2,750
(462)
(279)
(152)
2,136
(420)
41
FY17E
1,811
(29)
1,781
489
1,544
37
(579)
3,272
(1,590)
1,682
(1,590)
(1,000)
(460)
222
(152)
(1,612)
70
111
FY18E
2,204
(32)
2,173
378
1,631
(106)
(683)
3,392
(1,000)
2,392
(1,000)
(1,550)
(346)
496
(152)
(2,048)
344
455
PROFITABILITY (%)
EBITDA Margin
EBIT Margin
APAT Margin
RoE
Core RoCE
RoCE
EFFICIENCY
Tax Rate (%)
Asset Turnover (x)
Inventory (days)
Debtors (days)
Other Current Assets (days)
Payables (days)
Other Current Liab & Provns (days)
Cash Conversion Cycle (days)
Debt/EBITDA (x)
Net D/E
Interest Coverage
PER SHARE DATA
EPS (Rs/sh)
CEPS (Rs/sh)
DPS (Rs/sh)
BV (Rs/sh)
VALUATION
P/E
P/BV
EV/EBITDA
EV/Revenues
OCF/EV (%)
FCF/EV (%)
FCFE/Market Cap (%)
Dividend Yield (%)
FY14
FY15
FY16
FY17E
FY18E
56.5
7.4
(6.0)
(2.2)
1.0
1.2
58.3
19.1
2.6
1.2
2.0
2.0
66.9
43.1
22.1
16.7
10.3
12.0
65.5
39.0
21.1
15.3
10.8
10.7
65.8
40.2
23.9
16.4
12.8
12.2
36.8
0.2
15.4
224.8
51.3
16.5
9.7
265.3
3.4
0.69
(0.4)
65.3
0.3
12.2
147.3
27.1
13.0
17.8
155.9
1.9
0.47
(1.4)
35.7
0.4
7.3
106.9
43.7
13.9
15.6
128.3
1.7
0.81
(4.2)
32.0
0.5
12.0
105.2
20.0
13.9
9.1
114.3
1.3
0.58
(4.6)
31.0
0.5
12.0
100.2
20.0
13.7
7.6
110.9
0.8
0.31
(6.8)
(4.1)
24.0
149.9
0.5
29.6
0.5
151.2
25.4
56.2
3.0
173.2
28.4
64.1
3.0
198.1
35.1
72.8
3.0
229.8
(64.5)
1.8
11.6
6.6
13.1
12.6
0.0
-
488.4
1.7
8.1
4.7
14.4
11.0
0.7
0.2
10.3
1.5
4.9
3.3
13.4
(14.7)
(2.4)
1.1
9.2
1.3
4.3
2.8
20.0
10.3
2.0
1.1
7.5
1.1
3.5
2.3
23.4
16.5
4.4
1.1
Page | 8
RECOMMENDATION HISTORY
400
Date
10-Nov-15
9-Feb-16
27-May-16
CMP
337
327
285
Reco
BUY
BUY
BUY
Target
434
444
456
350
13-Aug-16
262
BUY
422
Sanghvi Movers
TP
500
450
300
Aug-16
Jul-16
Jun-16
May-16
Apr-16
Mar-16
Feb-16
Jan-16
Dec-15
Nov-15
BUY
Oct-15
200
Sep-15
Rating Definitions
Aug-15
250
: Where the stock is expected to deliver more than 10% returns over the next 12 month period
NEUTRAL : Where the stock is expected to deliver (-)10% to 10% returns over the next 12 month period
SELL
: Where the stock is expected to deliver less than (-)10% returns over the next 12 month period
Page | 9

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Page | 10

Sanghvi Movers: Maintaining Faith

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RESULTS REVIEW 1QFY17

CMP (as on 12 Aug 2016)

KEY STOCK DATA

No. of Shares (mn)

MCap (Rs bn) / ($ mn)

6m avg traded value (Rs mn)

STOCK PERFORMANCE (%)

SHAREHOLDING PATTERN (%)

DIIs & Local MFs

Highlights of the quarter

Update on capex plans: SGM plans to incur a net

Optimum cash utilisation: We expect SGM to

Near-term outlook: With the medium-term

Financial Summary (Standalone)

Source: Company, HDFC sec Inst Research

SANGHVI MOVERS: RESULTS REVIEW 1QFY17

SGMs 4QFY16 net

EBIDTA margins contracted

Other income of Rs 18mn

As on 30-June-16, the gross

Quarterly Financial (Standalone)

Source: Company, HDFC sec Inst Research

Margin Analysis (Standalone)

Source: Company, HDFC sec Inst Research

SANGHVI MOVERS: RESULTS REVIEW 1QFY17

Highlights of the concall

While 1HFY17 could be a disappointment, the

The current debt obligation for FY17 is Rs 1.15bn,

management continues to see good traction in

of which SGM has already paid Rs 600mn, with

According to the management, the wind sector is

SGM plans to buy 5 cranes of 650MT capacity

The management is optimistic about the thermal

On a conservative basis, the management

from Terex for a total outlay of Rs 2.1bn in

It has trimmed its guidance for utilisation rates to

The idea is to upgrade its fleet and build

1QFY17 Revenue Distribution

In 1QFY17, SGM added 8 cranes to its fleet,

remain 79-80% range and average yields on gross

The debtor days has improved slightly to ~98

Source: Company, HDFC sec Inst Research

SANGHVI MOVERS: RESULTS REVIEW 1QFY17

Source : Company, HDFC sec Inst Research

Source : Company, HDFC sec Inst Research

Cash Flow From Operations And NWC Cycle

NWC to improve from ~265

Utilisation rates and

EBITDA Margin (%)

Expect tepid revenue CAGR

Utilisations And Average Yields (%)

Cash flow from Operations - LHS

1.Net Debt And Net D/E Ratio

Net D/E Ratio

Source : Company, HDFC sec Inst Research

In the absence of any major

Source : Company, HDFC sec Inst Research

SANGHVI MOVERS: RESULTS REVIEW 1QFY17

Source: Company, HDFC sec Inst Research

Outlook and valuation

FY17E/18E revenue estimates

FY17/18E EBITDA estimates

Valuation methodology: We have valued SGM at