Bharti Infratel (BHAINF) 370

Result Update Rating matrix Rating : Buy Target : 500 Target Period : 12 months Potential Upside : 35% What s changed? Target Changed from 530 to 500 EPS FY16E Changed from 12.1 to 12 EPS FY17E Changed from 14.7 to 14 Rating Unchanged Quarterly performance Q3FY16 Q3FY15 YoY (%) Q2FY16 QoQ (%) Revenue 3,093.0 2,948.8 4.9 3,037.8 1.8 EBITDA 1,343.0 1,273.1 5.5 1,301.2 3.2 EBITDA (%) 43.4 43.2 25 bps 42.8 59 bps PAT 565.4 506.9 11.5 579.2-2.4 Key financials Crore FY14 FY15 FY16E FY17E Net Sales 11,668 12,281 12,281 13,084 EBITDA 4,400 5,004 5,322 5,899 Net Profit 1,518 1,992 2,282 2,646 EPS ( ) 8.1 10.5 12.0 14.0 Valuation summary FY14 FY15 FY16E FY17E P/E 46.1 35.2 30.8 26.5 Target P/E 62.3 47.6 41.6 35.9 EV / EBITDA 15.6 13.6 12.8 11.4 P/BV 3.9 4.1 4.3 4.4 RoNW 8.5 11.7 13.8 16.4 RoCE 11.6 15.8 18.2 21.0 Stock data Amount Market Capitalization 70,177.9 Total Debt (FY15) 1,713.1 Cash and Investments 4,056.0 EV 67,835.1 52 week H/L 482 / 354 Equity capital 1,893.8 Face value 10.0 Research Analyst Bhupendra Tiwary bhupendra.tiwary@icicisecurities.com Sneha Agarwal sneha.agarwal@icicisecurities.com Safe bet in telecom space January 28, 2016 Bharti Infratel (BHAINF) 370 Bharti Infratel reported its Q3FY16 numbers with revenues at 3093.0 crore, up 4.9% YoY, slightly higher than our expectation of a topline of 3053.1 crore. Revenues from rentals grew 9.0% YoY to 1966.7 crore as consolidated tenancies grew from 2.08 to 2.17 over the same period. Energy revenues declined 2.0% YoY to 1126.3 crore as input prices declined EBITDA came in at 1343.0 crore, up 5.5% YoY vs. expectations of 1357.1 crore. EBITDA margins came in at 43.4%, up 25 bps YoY, as expenses towards rent (expansion in cities) & other expenses were up 12.4% YoY and 37.5% YoY, respectively. Energy margins remained at 4.8% as it continued to pass on the energy benefits PAT came in at 565.4 crore (vs. expectation of 554.8 crore), owing to higher other income, which came in at 132.9 crore Biggie in tower space with 88055 towers Bharti Infratel (together with Indus) is India s largest tower player. It has 88055 towers across 22 circles on a consolidated basis, which includes 38206 towers (at the standalone level) and 42% stake in the 118687 Indus Towers. The company continues to make its tower portfolio denser in cities to meet various capacity requirements of telcos. The revision in capex guidance by several telcos and strong demand in data would lead to higher tenancies for Infratel. Going ahead, with 3.0% & 8.1% increase in towers & tenancy, respectively, we expect rental revenues to grow at 9.2% CAGR in FY15-17E to 8503.3 crore. Consolidation in telecom space to be beneficial in longer term There has been massive consolidation in the telecom space with players such as Videocon, Reliance Communications, Systema Shyam, Aircel etc. either scaling down its operations or contemplating merging with each other. Infratel did face loss in tenancies owing to such a phenomenon, which also led to ~610 exits in the quarter on a consolidated basis. However, the management reiterated that the loss in tenancies is only temporary and weeding out inefficient players leads to higher room available for efficient telcos. Consolidation trends are also visible in the tower space with ATC emerging as a competition to Infratel post the acquisition of Viom. BIL to bid in government s Smart Cities project... BIL has an annuity led business with a remaining estimated contract life of ~5.9 years, which lends certainty to ~ 47497 crore of future cash flows. The company delivered 2.8% dividend yield by declaring a dividend of 11 in FY15. We expect BIL to pay dividends to the tune of 11.0 and 12.1 per share in FY16E and FY17E, respectively. BIL awaits regulatory clarity about buyback norms, which could will help in optimising the capital structure and, hence, improve return ratios. Hence, the company is targeting investing some resource into the government s Smart Cities project. The contours of the same are unknown to us at this juncture. We would factor in anything on that when there is additional clarity. Maintain BUY; belief in sustainable growth story; target price 500 With ballooning data growth and tremendous opportunity, going ahead, considering the kind of spectrum purchased by telcos and stable annuity based business model, we maintain our BUY recommendation with a target price of 500, based on a SOTP-DCF based methodology. The target price is slightly reduced factoring in the lower EBITDA commentary by the management. ICICI Securities Ltd Retail Equity Research

Variance analysis Q3FY16 Q3FY16E Q3FY15 Q2FY16 YoY (%) QoQ (%) Comments Revenue 3,093.0 3,053.1 2,948.8 3,037.8 4.9 1.8 The energy revenues came in higher than expected at 1126.3 crore Other Income 132.9 110.0 121.6 215.7 9.3-38.4 Employee Expenses 110.1 112.0 100.1 110.3 10.0-0.2 Power and Fuel 1,071.7 1,043.3 1,054.0 1,076.2 1.7-0.4 Rent 268.7 256.8 239.0 253.8 12.4 5.9 The tower expansion has been more skewed towards the cities which led to higher rental expense Other Expenses 72.6 61.0 52.8 75.1 37.5-3.3 Repairs and Maintenance 226.9 223.0 229.8 221.2-1.3 2.6 EBITDA 1,343.0 1,357.1 1,273.1 1,301.2 5.5 3.2 EBITDA Margin (%) 43.4 44.5 43.2 42.8 25 bps 59 bps The margins came in lower than expected on account of higher other expenses. Depreciation 563.9 570.6 556.6 567.5 1.3-0.6 Interest 50.2 55.9 69.6 57.4-27.9-12.5 Exceptional Items 0.0 0.0 0.0 0.0 NA NA Total Tax 296.4 285.8 261.6 312.8 13.3-5.2 PAT 565.4 554.8 506.9 579.2 11.5-2.4 Higher other income led to higher-than-expected PAT Towers (Consolidated) 88,055 87,813 84,303 87,184 4.45 1.00 Tenancy Ratio (x) (Consolidated) 2.17 2.16 2.05 2.15 5.9 1.0 Better-than-expected tenancy addition during the quarter Sharing revenue per tower p.m 74,820 74,694 69,740 73,856 7.28 1.31 Change in estimates FY16E FY17E ( Crore) Old New % Change Old New % Change Comments Revenue 12,206.3 12,281.3 0.6 12,971.5 13,083.7 0.9 EBITDA 5,361.1 5,322.4-0.7 6,087.1 5,898.7-3.1 EBITDA Margin (%) 43.9 43.3-58 bps 46.9 45.1-184 bps We have slightly reduced our EBITDA estimates in line with the management guidance. The other expenses and rent expenses would increase as the new towers come up hence impacting the overall EBITDA PAT 2,293.9 2,281.8-0.5 2,782.4 2,646.1-4.9 EPS ( ) 12.1 12.0-0.5 14.7 14.0-4.9 Assumptions Current Earlier FY14 FY15 FY16E FY17E FY16E FY17E Bharti Infratel Standalone Towers (No.) 35,905 37,196 38,531 40,016 38,370 39,534 Tenancy Ratio (x) 1.87 1.98 2.09 2.21 2.10 2.25 Total Co-locations (No.) 69,137 75,819 82,409 90,830 83,003 91,935 Sharing revenue per tower p.m 69,387 73,193 76,840 81,118 77,145 82,437 Sharing Revenue ( Crore) 2,956.9 3,210.3 3,491.3 3,822.9 3,497.7 3,853.3 Indus Towers Towers (No.) 113,008 115,942 119,221 121,623 118,935 121,331 Tenancy Ratio (x) 2.02 2.13 2.23 2.33 2.24 2.38 Total Co-locations (No.) 233,488 253,513 270,124 291,342 273,634 297,174 Sharing revenue per tower p.m 64,118 68,250 72,429 77,116 72,373 77,481 Sharing Revenue ( Crore) 8,649.3 9,375.4 10,219.5 11,143.8 10,199.2 11,169.7 Bharti Infratel Consolidated Towers (No.) 83,368 85,892 88,604 91,098 88,323 90,493 Tenancy Ratio (x) 1.96 2.06 2.17 2.28 2.18 2.32 The tenancy increase has yet not gained full momentum with the entire 3G coverage still away. In light with the run-rate seen we have slightly revised our tenancy ratio Total Co-locations (No.) 167,202 182,294 195,861 213,193 197,930 216,749 Sharing revenue per tower p.m 66,273 70,169 74,365 78,865 74,432 79,640 Sharing Revenue ( Crore) 6,579.0 7,126.1 7,785.8 8,503.3 7,780.3 8,544.6 ICICI Securities Ltd Retail Equity Research Page 2

Company Analysis Strong data growth to fuel tenancies, revenues to follow With robust growth in data volumes, there are an increasingly higher number of tenants on the company s network. The average tenancy at the consolidated level has grown from 1.90x in FY12 to 2.06x by FY15 leading to 32% CAGR in FY12-15 in sharing revenues from 3099.9 crore in FY12 to 7126.1 crore in FY15. Going ahead, we expect the average sharing factor at the consolidated level to reach 2.28x. Hence, this is expected to lead to 9.2% CAGR in FY15-17E to 8503.3 crore. Exhibit 1: Bharti Infratel consolidated tenancy, sharing revenues ( Crore) 9000 8000 7000 6000 5000 4000 3000 2000 1000 0 7,786 8,503 2.28 6385 6,579 7,126 2.17 2.06 1.96 1.90 FY13 FY14 FY15 FY16E FY17E 2.40 2.30 2.20 2.10 2.00 1.90 1.80 1.70 (x) Sharing Revenue Tenancy ratio (x) As far as energy revenues are concerned, the company intends to pass on the benefits flowing from energy to telecom operators. BIL had, hence, maintained only 3-6% energy margins in the past few years. However, in FY15, with the steep decline in crude prices, we saw margins expanding to 7.6%. In line with margins in the past two quarters and the management commentary with regard to the energy margins, we maintain energy margins of 5.0%, which would aid overall EBITDA. Exhibit 2: Energy revenues, energy costs trend ( Crore) 5000.0 4500.0 4000.0 3500.0 3000.0 2500.0 2000.0 1500.0 1000.0 500.0 0.0 4542.2 4495.5 4580.4 4247.7 3887.3 4060.8 4195.0 4289.1 4351.3 3801.6 FY13 FY14 FY15 FY16E FY17E Energy Revenues Energy Costs ICICI Securities Ltd Retail Equity Research Page 3

Cities to have denser networks, EBITDA margin to grow but at a slower pace, to touch 45.1% by FY17E BIL is a play on the operating benefits that would flow in with increasing tenancies. As a new tenant comes on board, rentals multiply whereas costs do not have a linear increase. Loading revenues are also highly margin accretive and would flow in directly into margins. As tenancies rose from 1.9x to 2.13x in the last few years, margins for the consolidated entity have risen to 43% in the current quarter from 37% in FY13. However, as there is currently higher tower requirement in cities, which command a higher rental expense, the growth in EBITDA margins would be slower than expected earlier. We have hence reduced our EBITDA margin expectations. Going ahead, we expect EBITDA margins to expand to 45.1% by FY17E. Exhibit 3: EBITDA, EBITDA margins trend ( Crore) 50.0 45.0 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 0.0 45.1 40.6 42.9 43.3 37.1 5899 5004 5322 4400 3810 FY13 FY14 FY15 FY16E FY17E 7000 6000 5000 4000 3000 2000 1000 0 (%) EBITDA EBITDA margins BIL to bid in government s Smart Cities project... BIL has an annuity led business with a remaining estimated contract life of ~5.9 years, which lends certainty to ~ 47497 crore of future cash flows. The company delivered 2.8% dividend yield by declaring a dividend of 11 in FY15. We expect BIL to pay dividends to the tune of 11.0 and 12.1 per share in FY16E and FY17E, respectively. BIL awaits regulatory clarity about buyback norms, which could will help optimise the capital structure and, hence, improve return ratios. Hence, the company is targeting investing some resource into the government s Smart Cities project. The contours of the same are unknown to us at this juncture. We would factor in anything on that when there is additional clarity. ICICI Securities Ltd Retail Equity Research Page 4

Valuation With ballooning data growth and tremendous opportunity, going ahead, considering the kind of spectrum purchased by telcos and stable annuity based business model, we maintain our BUY recommendation with a target price of 500, based on a SOTP-DCF based methodology. The target price is slightly reduced factoring in the lower EBITDA commentary by the management. Exhibit 4: DCF assumptions Particulars Value ( crore) EV of standalone business 49,727.0 EV of Indus Towers 128,790.6 Contribution of BIL (42%) 54,092.1 Indus contribution post holding disount (15%) 45,978.2 Total Enterprise valuation 95,705.3 Less net debt 801.1 Target market capitalisation 94,904.1 Number of shares 189.7 Per share value ( ) 500 Upside potential (%) 35% Exhibit 5: Valuations Sales Growth EPS Growth PE EV/EBITDA RoNW RoCE ( cr) (%) ( ) (%) (x) (x) (%) (%) FY14 10826.7 5.4 8.0 51.4 46.1 15.6 8.5 11.6 FY15 11668.3 7.8 10.5 30.9 35.2 13.6 11.7 15.8 FY16E 12281.3 5.3 12.0 14.4 30.8 12.8 13.8 18.2 FY17E 13083.7 6.5 14.0 16.0 26.5 11.4 16.4 21.0 ICICI Securities Ltd Retail Equity Research Page 5

Company snapshot 600 500 Target Price 500 400 300 200 100 0 Dec-12 Apr-13 Aug-13 Dec-13 Apr-14 Aug-14 Dec-14 Apr-15 Aug-15 Dec-15 Apr-16 Aug-16 Dec-16 Source: Bloomberg, Company, ICICIdirect.com Research Key events Date FY13 Mar-14 FY14 Event BIL came out with an IPO and raised about 4118 crore (comprising public issue and subscription by anchor investors). Reaches high tenancy ratio of 1.99x at consolidated level The company declares dividends of about 4.4 per share for the year ended FY14 Jul-14 The parent company Bharti Airtel started the process of selling loss-making African towers, removing the overhang on the stock as there was specualtion on Infratel FY15 The company declares impressive dividend of 11 per share, which amounted to 2477 crore as total dividend payouts Top 10 Shareholders Rank Name Latest Filing Date % O/S Position (m)n Change (m) 1 Bharti Enterprises, Ltd. 30-Sep-15 0.72 1,360.0 0.0 2 Fidelity Management & Research Company 30-Nov-15 0.03 54.2 0.7 3 Comgest S.A. 30-Jun-15 0.02 31.1 11.3 4 The Vanguard Group, Inc. 31-Dec-15 0.01 15.1-0.1 5 William Blair Investment Management, LLC 30-Sep-15 0.01 12.8 12.8 6 BlackRock Institutional Trust Company, N.A. 31-Dec-15 0.01 10.3-0.3 7 Matthews International Capital Management, L.L.C. 30-Sep-15 0.01 10.2 0.3 8 BlackRock Asset Management North Asia Limited 31-Dec-15 0.00 9.0-0.3 9 Capital World Investors 31-Dec-15 0.00 7.6 0.8 10 Aberdeen Asset Management (Asia) Ltd. 30-Nov-15 0.00 7.1 0.0 Source: Reuters, ICICIdirect.com Research Shareholding Pattern (in %) Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Promoter 74.84 71.81 71.72 71.70 71.70 FII 17.82 22.45 24.30 25.27 25.72 DII 1.71 0.85 0.56 0.56 0.61 Others 5.63 4.89 3.42 2.47 1.97 Recent Activity Buys Sells Investor name Value Shares Investor name Value Shares William Blair Investment Management, LLC +69.45M +12.81M William Blair & Company, L.L.C. -38.41M -7.08M Comgest S.A. +79.62M +11.33M Columbia Wanger Asset Management, LLC -21.30M -3.68M Capital World Investors +5.40M +0.84M Jupiter Asset Management Ltd. -13.83M -1.98M Fidelity Management & Research Company +4.28M +0.74M Driehaus Capital Management, LLC -6.06M -1.02M Manning & Napier Advisors, LLC +4.65M +0.72M Thornburg Investment Management, Inc. -3.41M -0.63M Source: Reuters, ICICIdirect.com Research ICICI Securities Ltd Retail Equity Research Page 6

Financial summary Profit and loss statement Crore (Year-end March) FY14 FY15 FY16E FY17E Total operating Income 10,826.7 11,668.3 12,281.3 13,083.7 Growth (%) 5.4 7.8 5.3 6.5 Other Income 448.7 522.3 714.4 720.0 Total Revenue 11,275.4 12,190.6 12,995.7 13,803.7 Rent 888.6 946.0 1,050.4 1,130.6 Employee Expenses 367.0 399.7 434.2 464.0 Power and Fuel 4,062.0 4,195.0 4,289.1 4,351.3 Other Expenses 1,109.0 216.4 278.2 300.9 Repairs & Maintenance - 907.1 907.0 938.1 Total Operating Expenditure 6,426.6 6,664.2 6,958.9 7,184.9 EBITDA 4,400.1 5,004.1 5,322.4 5,898.7 Growth (%) 15.5 13.7 6.4 10.8 Depreciation 2,125.9 2,184.7 2,296.6 2,407.4 Interest 399.7 290.2 228.8 202.1 Other Income 448.7 522.3 714.4 720.0 PBT 2,323.2 3,051.5 3,511.4 4,009.2 MI / Profit from associates 0.0 0.0 0.0 0.0 Total Tax 805.3 1,059.1 1,229.5 1,363.1 PAT 1,517.9 1,992.4 2,281.8 2,646.1 Growth (%) 51.4 31.3 14.5 16.0 EPS ( ) 8.1 10.5 12.0 14.0 Cash flow statement Crore (Year-end March) FY14 FY15 FY16E FY17E Profit after Tax 1,517.9 1,992.4 2,281.8 2,646.1 Add: Depreciation 2,125.9 2,184.7 2,296.6 2,407.4 Add: Interest Paid 399.7 290.2 228.8 202.1 (Inc)/dec in Current Assets 2,719.1 424.3-134.6-97.0 Inc/(dec) in CL and Provisions 236.6 843.2-116.6 762.7 CF from operating activities 6,999.2 5,734.8 4,556.0 5,921.3 (Inc)/dec in Investments -3,589.2 1,598.1 2,072.4 200.0 (Inc)/dec in Fixed Assets -1,102.9-1,749.6-1,991.3-2,023.9 Others -650.4-565.5-95.0-189.8 CF from investing activities -5,342.5-717.1-13.9-2,013.7 Issue/(Buy back) of Equity 0.6 4.5 2.9 0.0 Inc/(dec) in loan funds -546.0-970.5-145.0-50.0 Dividend paid & dividend tax -972.6-2,768.5-2,503.6-2,731.2 Add: Interest Paid 399.7 290.2 228.8 202.1 Others -499.6-827.0-757.6-704.3 CF from financing activities -1,617.9-4,271.3-3,174.6-3,283.4 Net Cash flow 38.9 746.4 1,367.6 624.2 Opening Cash 126.7 165.5 912.0 2,279.5 Closing Cash 165.5 912.0 2,279.5 2,903.7 Balance sheet Crore (Year-end March) FY14 FY15 FY16E FY17E Liabilities Equity Capital 1,889.3 1,893.8 1,896.7 1,896.7 Reserve and Surplus 16,148.9 15,126.2 14,604.3 14,219.1 Total Shareholders funds 18,038.2 17,020.0 16,501.0 16,115.8 Total Debt 2,683.6 1,713.1 1,568.1 1,518.1 Deferred Tax Liability 1,124.9 1,224.7 1,224.7 1,224.7 Others 1,599.4 1,164.2 1,214.2 1,214.2 Total Liabilities 23,446.1 21,122.0 20,508.0 20,072.8 Assets Gross Block 26,624.1 27,281.8 29,249.1 31,273.0 Accumulated Depreciation 11,303.6 12,469.7 14,766.3 17,173.7 Net Block 15,320.5 14,812.1 14,482.8 14,099.3 Capital WIP 152.7 226.0 250.0 250.0 Total Fixed Assets 15,473.2 15,038.1 14,732.8 14,349.3 Investments 7,480.3 5,882.2 3,809.8 3,609.8 Inventory 0.0 0.0 0.0 0.0 Debtors 307.5 353.2 371.8 396.0 Loans and Advances 1,909.8 1,412.1 1,486.3 1,504.2 Other Current Assets 769.2 796.9 838.8 893.6 Cash 165.5 912.0 2,279.5 2,903.7 Total Current Assets 3,152.0 3,474.2 4,976.3 5,697.5 Creditors 189.4 134.2 141.3 150.5 Provisions 2,057.3 2,693.3 2,401.3 2,934.3 Other Current Liabilities 2,942.8 3,205.2 3,373.6 3,594.0 Total Current Liabilities 5,189.5 6,032.7 5,916.1 6,678.8 Net Current Assets -2,037.5-2,558.6-939.8-981.3 Others Assets 2,530.1 2,760.2 2,905.2 3,095.0 Application of Funds 23,446.1 21,122.0 20,508.0 20,072.8. Key ratios (Year-end March) FY14 FY15 FY16E FY17E Per share data ( ) EPS 8.0 10.5 12.0 14.0 Cash EPS 19.3 22.1 24.1 26.6 BV 95.5 89.9 87.0 85.0 DPS 5.1 14.6 13.2 14.4 Cash Per Share 0.9 4.8 12.0 15.3 Operating Ratios EBITDA Margin (%) 40.6 42.9 43.3 45.1 PAT Margin (%) 14.1 17.1 18.6 20.2 Debtor days 10.4 11.0 11.0 11.0 Creditor days 6.4 4.2 4.2 4.2 Return Ratios (%) RoE 8.5 11.7 13.8 16.4 RoCE 11.6 15.8 18.2 21.0 RoIC 13.6 20.0 22.2 28.2 Valuation Ratios (x) P/E 46.1 35.2 30.8 26.5 EV / EBITDA 15.6 13.6 12.8 11.4 Market Cap / Sales 6.5 6.0 5.7 5.4 Price to Book Value 3.9 4.1 4.3 4.4 Solvency Ratios Debt/EBITDA 0.6 0.3 0.3 0.3 Debt / Equity 0.1 0.1 0.1 0.1 Current Ratio 0.6 0.4 0.5 0.4 Quick Ratio 0.6 0.4 0.5 0.4 ICICI Securities Ltd Retail Equity Research Page 7

ICICIdirect.com coverage universe (Telecom) CMP M Cap EPS ( ) P/E (x) EV/EBITDA (x) RoCE (%) RoE (%) Sector / Company ( ) TP( ) Rating ( Cr) FY15 FY16E FY17E FY15 FY16E FY17E FY15 FY16E FY17E FY15 FY16E FY17E FY15 FY16E FY17E Bharti Airtel (BHATE) 294 480 Buy 117,464 13.0 14.6 17.0 22.7 20.2 17.3 5.7 5.9 4.9 11.1 10.0 11.5 9.9 5.8 9.8 Bharti Infratel (BHAINF) 365 500 Buy 69,144 10.5 12.0 14.0 34.7 30.3 26.1 13.3 12.6 11.2 15.8 18.2 21.0 11.7 13.8 16.4 Idea Cellular (IDECEL) 107 130 Buy 38,470 8.9 8.2 5.3 12.0 13.1 20.2 5.9 7.1 6.7 11.3 7.7 6.8 13.9 11.4 6.9 Tata Comm. (VIDSAN) 393 500 Buy 11,201 0.0 2.0 16.4 NA 194.8 24.0 8.5 7.8 6.6 6.9 7.0 9.8 0.7 74.4 136.3 ICICI Securities Ltd Retail Equity Research Page 8

RATING RATIONALE ICICIdirect.com endeavours to provide objective opinions and recommendations. ICICIdirect.com assigns ratings to its stocks according to their notional target price vs. current market price and then categorises them as Strong Buy, Buy, Hold and Sell. The performance horizon is two years unless specified and the notional target price is defined as the analysts' valuation for a stock. Strong Buy: >15%/20% for large caps/midcaps, respectively, with high conviction; Buy: >10%/15% for large caps/midcaps, respectively; Hold: Up to +/-10%; Sell: -10% or more; Pankaj Pandey Head Research pankaj.pandey@icicisecurities.com ICICIdirect.com Research Desk, ICICI Securities Limited, 1st Floor, Akruti Trade Centre, Road No 7, MIDC, Andheri (East) Mumbai 400 093 research@icicidirect.com ICICI Securities Ltd Retail Equity Research Page 9

ANALYST CERTIFICATION We /I, Bhupendra Tiwary MBA, Sneha Agarwal, MBA Research Analysts, authors and the names subscribed to this report, hereby certify that all of the views expressed in this research report accurately reflect our views about the subject issuer(s) or securities. We also certify that no part of our compensation was, is, or will be directly or indirectly related to the specific recommendation(s) or view(s) in this report. Terms & conditions and other disclosures: ICICI Securities Limited is a Sebi registered Research Analyst having registration no. INH000000990. ICICI Securities Limited (ICICI Securities) is a full-service, integrated investment banking and is, inter alia, engaged in the business of stock brokering and distribution of financial products. 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