7 June 2020
4QFY20 Results Update | Sector: Capital Goods
Larsen & Toubro
Estimate change
TP change
Rating change
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CMP: INR955
TP: INR1,120 (+17%)
Buy
Weak E&C performance; order inflows surprise
No easy escape, but trust L&T to navigate these turbulent times
Bloomberg
Equity Shares (m)
M.Cap.(INRb)/(USDb)
52-Week Range (INR)
1, 6, 12 Rel. Per (%)
12M Avg Val (INR M)
LT IN
1,402
1340.9 / 17.3
1592 / 661
5/-11/-25
4821
Financials & Valuations (INR b)
Y/E Mar
2020 2021E
Sales
1,455 1,481
EBITDA
163
161
PAT
89
71
EBITDA (%)
11.2
10.9
EPS (INR)
63.4
50.4
EPS Gr. (%)
10.5
-20.5
BV/Sh. (INR)
475
508
Ratios
Net D/E
1.9
2.0
RoE (%)
13.8
10.2
RoCE (%)
6.0
5.1
Payout (%)
26.5
30.0
Valuations
P/E (x)
15.1
19.0
P/BV (x)
2.0
1.9
EV/EBITDA (x)
18.9
20.1
Div Yield (%)
1.4
1.3
FCF Yield (%)
0.8
-7.2
2022E
1,723
198
95
11.5
67.8
34.5
561
1.9
12.7
5.6
30.0
14.1
1.7
16.9
1.7
-3.5
4QFY20 core operating performance was below expectation as E&C EBITDA
missed our expectation by 16%. Higher other income and lower taxation
cushioned the impact, limiting consolidated adj. PAT decline to 5% in 4QFY20.
As expected, management highlighted various challenges, including working
capital, risk related to labor availability, execution challenges, and
contractual obligations and potential funding requirements in the non-core
business. While macro variables may not be controllable for management,
the focus on working capital over execution is a key positive.
L&T has
navigated these challenges multiple times in the past, and the core E&C
business remains cash generating.
Factoring the macro risks, we cut our core E&C EPS by 16–18% over FY21–
22E. The consolidated EPS cut is limited to 11%/13% in FY21/FY22E as the IT
businesses (LTI, LTTS, and Mindtree) provide some support. We forecast
core E&C revenue/EBITDA/adj. PAT CAGR at 7%/7%/2% as tax rates
normalize once again. Our new TP stands at INR1,120 (prior: INR1,200).
While the near-term outlook may look hazy, L&T remains the best proxy of
the Indian capex story and is likely to further consolidate its market share in
the post-COVID-19 era. Maintain Buy.
4QFY20 consolidated adj. PAT declines 5%:
Consol. revenue was up 2% YoY
to INR442b (in-line). EBITDA de-grew 3% YoY to INR51b (15% miss), with the
margin at 11.6% (-60bp YoY). A disappointing operating performance was
offset by higher other income (+8% on high base), a lower tax rate (22.7%
v/s 24.9% in 4QFY19), and a higher share of JV/associate profits. Thus, adj.
PAT declined 5% to INR30.6b,
broadly in line with our estimates.
For FY20,
consolidated revenue/EBITDA/adj. PAT growth stood at 8%/7%/11%.
FY20 core E&C earnings come in strong at 25% YoY:
4QFY20 core E&C
revenue declined 5%to INR335b as COVID-19-related lockdown impacted
execution, and milestones in many projects were not achieved. On account of
negative operating leverage, EBITDA declined 12% YoY and core E&C margins
came in at 9.8% (-80bps YoY). Adj. PAT for core E&C was down 14% to
INR24b.
For FY20, revenue/EBITDA/adj. PAT for core E&C grew 2%/0%/25%.
Order inflows better than expected:
Order inflows surprised positively,
mitigating concerns related to the ordering environment and slowing
economic growth. For FY20, order inflows grew 9% to INR1.86t, marginally
below the management guidance range of 10–12%, but better than our
estimate of flat growth. International orders grew 33% YoY to INR601b and
formed 32% of the total order inflows. Domestic orders were flat at INR1.3t
and formed 68% of the order book. Core E&C order inflows stood at
INR1.45t (+5% YoY).
Operating leverage missing as COVID-19 impacts milestones
Shareholding pattern (%)
As On
Promoter
DII
FII
Others
Mar-20 Dec-19 Mar-19
0.0
0.0
0.0
37.9
37.2
38.2
17.9
19.9
20.3
44.2
42.9
41.5
FII Includes depository receipts
Nilesh Bhaiya – Research Analyst
(Nilesh.Bhaiya@MotilalOswal.com); +91 22 6129 1556
Pratik Singh – Research Analyst
(Pratik.Singh@MotilalOswal.com); +91 22 6129 1543
Investors are advised to refer through important disclosures made at the last page of the Research Report.
Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.
 Motilal Oswal Financial Services
Larsen & Toubro
Order book growth limited to 4% due to cleaning up:
At the end of FY20, the
order book stood at >INR3.0t (+4% YoY). L&T has removed slow-moving orders
worth INR290b (~10% of the OB), making the current order book totally
executable. International business has inched up to 25% of the order book
(FY19: 21%). In terms of clientele, the private sector forms 20% of the order
book, while the remaining 80% is from central, state, and PSUs.
Working capital inches up to 23.7% of sales:
Working capital as a percentage of
sales stood at 23.7%, higher than 18% in FY19. The company was unable to
collect INR15b worth of receivables due to lockdown. Adj. for the same, working
capital would have been lower at 22.3%. We note that on a full-year basis, the
worsening of working capital is largely on account of vendor support. With
working capital at a five-year high, the company has decided to focus more on
collections, rather than execution growth.
Concerns of working capital escalation:
Management was forthcoming about
challenges in working capital in the core E&C business. L&T would focus on
collections, and if payments do not come in, execution could take a backseat.
Thus,
it sees current working capital at peak levels, at least on an absolute
level.
Many clients (Middle Eastern as well as a few Eastern states in India) are
looking to ramp up project execution as well. The philosophy would be to
‘collect and spend’,
and not the other way around. On the payables side, the
company has decided to support vendors in these troubled times as the
ecosystem needs to be supported. Over the past few years, the company has
demonstrated superior working capital management, led by payables. Hence,
once the situation normalizes, working capital could see some improvement.
Issue of migrant laborers:
L&T had 160k migrant workers during the COVID-19
lockdown v/s the total requirement of 220k. As soon as restrictions were eased,
many laborers chose to return to their native villages, with the ones that stayed
back limited to just 70k. The key challenge would be to get them to return from
the rural areas to ramp up execution once again. However, as per management,
even on a regular basis, workers usually travel to their villages for various
reasons, such as monsoons, festivals, and weddings, and soon return. The
company is already witnessing the workforce returning after having met the
family members.
The current strength is back at 120k; in another 40–45 days,
the company expects the situation to normalize to the 220k requirement (pre-
COVID-19 levels).
Contractual obligations:
COVID-19 has thrown challenges in contractual
obligations for the industry with regard to execution timelines. As soon as the
crisis began, the company went back to each contract and touched base with
each customer to address the imminent risks. While it has witnessed multiple
positive responses from various clients, it has also invoked force majeure at
some places. While it is difficult to ascertain the outcome as of now, the
company has been positively surprised by the support of the public sector as
well as many private clients in this scenario.
Factoring the risks, we cut our core E&C EPS by 16–18% over FY21–22E. The
consolidated EPS cut is limited to 11%/13% in FY21/FY22E as the IT businesses
(LTI, LTTS, and Mindtree) provide some support.
Management forthcoming with responses to various concerns
Valuation and view
7 Jun 2020
2
 Motilal Oswal Financial Services
Larsen & Toubro
We forecast consol. revenue/EBITDA/PAT CAGR of 9%/10%/3% over FY20–22E.
For the core business, we forecast revenue/EBITDA/PAT CAGR of 7%/7%/2%
over the same period.
Despite a weak outlook on revenue and margins in FY21, we do not see FCF for
the core E&C turning negative from hereon as we expect the company to choose
working capital management above revenue growth. However, there may be
funding risk for non-core businesses such as L&T Finance Holdings or Hyderabad
Metro.
L&T’s results suggest a tough macro environment for the construction industry
and likely survival challenges for debt-ridden companies. We expect L&T to
emerge stronger in the post-COVID-19 era and further consolidate its market
share in the Indian Construction industry.
On account of our earnings cut, we cut our TP to INR1,120 (prior: INR1,200).
While the near-term outlook may look hazy, L&T remains the best proxy of the
Indian capex story. Maintain Buy.
(INR b)
Quarterly Performance
Y/E March
Sales
Change (%)
EBITDA
Change (%)
Margin (%)
Depreciation
Interest
Other Income
PBT
Tax
Effective Tax Rate (%)
Adjusted PAT (Before MI & AI)
Reported PAT
Change (%)
Extraordinary Inc/(Exp) - incl.
discontinued operations
Adjusted PAT
Change (%)
1Q
270.0
13.4
27.6
32.9
10.2
6.0
3.6
2.3
20.2
8.9
44.1
11.3
12.1
36.1
0.9
11.3
26.5
FY19
2Q
3Q
306.8 342.3
16.0
19.1
35.4
37.5
19.6
19.4
11.5
11.0
4.8
4.1
4.0
5.3
4.1
5.9
30.7
34.0
8.2
11.3
26.6
33.1
22.6
22.8
22.3
20.4
22.6
37.0
4.3
18.0
6.8
1.4
19.0
26.2
4Q
433.0
6.5
52.8
-2.1
12.2
4.4
5.1
6.1
49.5
12.3
24.9
37.1
34.2
7.9
2.0
32.2
1.5
1Q
296.4
9.7
33.2
20.4
11.2
4.6
5.9
3.8
26.6
7.9
29.9
18.6
14.7
21.2
1.1
13.6
20.5
FY20
2Q
3Q
353.3
362.4
15.2
5.9
37.7
41.2
6.5
9.8
10.7
11.4
6.3
6.6
6.9
7.0
8.5
4.7
33.0
32.2
7.9
7.1
24.0
22.1
25.1
25.1
25.3
23.5
13.3
15.2
2.2
23.1
28.4
1.9
21.6
13.8
FY19
FY20
4Q
442.5 1,352.2 1,454.5
2.2
13.0
7.6
51.2
153.3
163.3
-3.0
13.0
6.5
11.6
11.3
11.2
7.1
19.2
24.6
8.2
18.0
28.0
6.6
18.4
23.6
42.5
134.4
134.3
9.7
40.7
32.6
22.7
30.3
24.3
32.8
93.7
101.7
32.0
89.1
95.5
-6.5
20.8
7.2
1.3
30.6
-4.7
8.6
80.4
-99.9
6.5
88.9
10.6
MOSL
4QE
459.2
6.0
59.9
13.5
13.1
6.6
6.8
3.0
49.5
13.0
26.3
36.5
35.3
3.2
2.7
32.5
1.2
% Var
-3.6%
-14.6%
7.6%
20.5%
121.6%
-14.1%
-10.0%
-9.4%
-5.8%
7 June 2020
3
 Motilal Oswal Financial Services
Larsen & Toubro
Exhibit 1: Results snapshot – Core E&C and services segment
In INR m
Core E&C
Order book
Order inflow
Net revenues
EBITDA
EBITDA margin
Adj. PAT
Services
Order inflow
Net revenues
EBITDA
EBITDA margin
Adj. PAT
4QFY19
29,34,270
4,71,194
3,52,734
37,274
10.6
28,017
79,408
80,300
15,517
19.3
4,141
3QFY20
30,63,000
2,98,760
2,53,597
18,707
7.4
11,550
1,17,240
1,08,830
22,470
20.6
10,058
4QFY20
30,38,570
4,83,977
3,35,533
32,740
9.8
24,015
94,023
1,06,920
18,470
17.3
6,632
YoY
4%
3%
-5%
-12%
-80 bps
-14%
18%
33%
19%
-200 bps
60%
QoQ
-1%
62%
32%
75%
240 bps
108%
-20%
-2%
-18%
-340 bps
-34%
FY19
29,07,800
13,87,400
10,46,404
83,710
8.1
48,248
3,20,770
3,20,800
69,587
21.7
32,187
FY20
30,38,570
14,53,540
10,31,286
83,980
8.0
60,095
4,10,079
4,08,120
79,310
19.4
28,850
YoY
4%
5%
-1%
0%
-10 bps
25%
28%
27%
14%
-230 bps
-10%
Source: MOFSL, Company
Exhibit 2: FY20 order book break-up (INR3t; +4% YoY)
Defence,
3.0%
Hydrocarbo
n, 15.0%
Heavy
Engineering
, 1.0%
Power,
5.0%
Others,
2.0%
Exhibit 3: FY20 order inflow (INR1.86t; +9% YoY)
Others, 3%
Services,
19%
Defence,
1%
Hydrocarbo
n, 11%
Heavy
Engineering
, 1%
Power, 7%
Development
projects, 3%
Infrastructu
re, 74.0%
Infrastructu
re, 55%
Source: MOFSL, Company
Source: MOFSL, Company
7 June 2020
4
 Motilal Oswal Financial Services
Larsen & Toubro
Exhibit 4: Segmental performance snapshot
Segmental analysis (INR m)
Infrastructure
Order book
OB/Rev
Order inflow
Net revenues
EBITDA
EBITDA margin
Power
Order book
OB/Rev
Order inflow
Net revenues
EBITDA
EBITDA margin
Heavy Engineering
Order book
OB/Rev
Order inflow
Net revenues
EBITDA
EBITDA margin
Hydrocarbon
Order book
OB/Rev
Order inflow
Net revenues
EBITDA
EBITDA margin
Defence
Order book
OB/Rev
Order inflow
Net revenues
EBITDA
EBITDA margin
Others
Order book
Order inflow
Net revenues
EBITDA
EBITDA margin
IT & Tech Services
Order inflow
Net revenues
EBITDA
EBITDA margin
Financial Services
Order inflow
Net revenues
EBITDA
EBITDA margin
Developmental Projects
Order inflow
Net revenues
EBITDA
EBITDA margin
4QFY19
22,18,500
3.0
3,09,274
2,68,500
33,026
12.3
70,780
1.8
3,590
9,300
437
4.7
47,600
1.9
8,183
7,700
1,756
22.8
3,97,170
2.6
1,26,563
43,200
4,234
9.8
1,15,320
3.0
12,011
10,900
2,027
18.6
58,430
11,573
13,100
1,821
13.9
36,755
37,700
8,265
21.9
31,823
31,800
7,637
24.0
10,829
10,800
-385
-3.6
3QFY20
22,35,990
3.0
2,86,680
1,72,500
10,523
6.1
1,83,780
6.8
2,640
6,900
235
3.4
30,630
0.9
4,160
7,200
1,692
23.5
4,59,450
2.7
-2,660
43,900
5,312
12.1
91,890
2.2
4,160
10,600
2,173
20.5
61,260
3,780
12,500
2,738
21.9
69,357
60,900
12,780
21.0
35,501
35,530
7,550
21.2
12,382
12,400
2,140
17.3
4QFY20
22,48,542
3.0
4,07,920
2,53,300
28,116
11.1
1,51,929
6.6
14,740
5,600
2,145
38.3
30,386
0.9
5,780
6,400
1,184
18.5
4,55,786
2.6
25,000
49,700
5,467
11.0
91,157
2.3
5,780
9,300
1,628
17.5
60,771
73,260
11,300
1,763
15.6
2,049
63,500
13,210
20.8
33,657
33,620
4,660
13.9
9,815
9,800
600
6.1
YoY
1%
32%
-6%
-15%
-120 bps
115%
311%
-40%
391%
3360 bps
-36%
-29%
-17%
-33%
-430 bps
15%
-80%
15%
29%
120 bps
-21%
-52%
-15%
-20%
-110 bps
4%
533%
-14%
-3%
170 bps
-94%
68%
60%
-112 bps
6%
6%
-39%
-1015 bps
-9%
-9%
-256%
969 bps
QoQ
1%
42%
47%
167%
500 bps
-17%
458%
-19%
814%
3490 bps
-1%
39%
-11%
-30%
-500 bps
-1%
-1040%
13%
3%
-110 bps
-1%
39%
-12%
-25%
-300 bps
-1%
1838%
-10%
-36%
-630 bps
-97%
4%
3%
-18 bps
-5%
-5%
-38%
-739 bps
-21%
-21%
-72%
-1114 bps
Source: MOFSL, Company
7 June 2020
5
 Motilal Oswal Financial Services
Larsen & Toubro
Exhibit 5: Middle East forms 14% of the order book
ROW, 10%
USA &
Europe, 1%
Middle
East, 14%
Exhibit 6: Share of international orders is inching up since
3QFY19 and now stands at 25%
28%
28%
29% 29%
29%
27% 26%
International as % of
total OB
25%
25%
24%
24%
23%
22% 22% 22%
21% 21%
27%
26%
Domestic,
75%
Source: MOFSL, Company
Source: MOFSL, Company
Exhibit 7: Core E&C domestic revenues form 75% of overall
core E&C revenue and have declined at 3% in 4QFY20
Core E&C (domestic) growth (%)
Exhibit 8: Declining growth in international E&C is on
account of lower share of international orders
Core E&C (overseas) growth (%)
Source: MOFSL, Company
Source: MOFSL, Company
Exhibit 9: Working capital as % of sales stood at 23.7% at 4QFY20 end
Working capital cycle as a % of sales
24.0%
22.0%
21.0%
22.0%
20.0%
20.0% 20.0%
18.0%
20.0%
20.0%
23.5% 23.7%
23.0%
23.0%
19.6%
18.0%
Source: MOFSL, Company
7 June 2020
6
 Motilal Oswal Financial Services
Larsen & Toubro
Key takeaways from concall
Strong international order inflow in FY20:
L&T recorded INR578b worth of
order inflows (+5% YoY in 4QFY20), supported by strong ordering in the
Infrastructure segment. Order inflow increased 9% YoY to INR1.8t in FY20. This
was led by strong order growth in the International segment at 33% YoY to
INR601b. Domestic order inflow was flat YoY at INR1.3t in FY20.
Order book dominated by Infrastructure and Hydrocarbons:
The order book in
FY20 stood at INR3.04t, up 4% YoY. The share of international orders stood
higher at 25% of the total order book (v/s 21% in FY19). Orders from the Middle
East stood at 14% of the total order book. The Infrastructure and Hydrocarbons
segment share in the order book stands at 89% cumulatively.
L&T has removed
slow-moving/non-moving orders worth INR290b.
These orders are primarily
Andhra Pradesh-related orders, projects subjected to the green tribunal across
states, and few buildings orders where viability remains a challenge. The current
order book consists of executable orders only.
Execution:
L&T has slowed execution in some cases to control working capital.
~5% of the order book has not been moving for the most part of the year,
coupled with the COVID-19 impact in the last quarter. The company lost
~INR17.5b in revenue and INR4bn in PAT due to the COVID-19 crisis in 4QFY20.
April and May’20 were challenging for operations due to the strict lockdown
implemented.
On labor situation:
Currently, L&T has an around 120k strong labor workforce.
As soon as restrictions were eased, most of the laborers turned back to their
homes. Pre-COVID-19, the company had an around 220k strong labor workforce,
which fell to 70k when the lockdown was eased. Management believes the
situation would normalize over the next 30–45 days if a second wave of COVID-
19 does not hit the country. L&T endeavors to raise its labor force to 220k
workers to hit higher activity levels.
E&A sales update:
This transaction was supposed to be completed by the end
of March’20, but things were delayed due to lockdown. Management believes
once international travel resumes, the transaction would get fast-tracked. L&T
does not foresee any risk to the consideration amount as all agreements have
been signed off.
Proceeds from the E&A sale would be used to finance other
projects such as the Hyderabad Metro, if the debt level becomes
unsustainable.
Key segmental comments
Infrastructure:
Strong order inflows were seen in 4Q, driven by domestic
orders. Coupled with the COVID-19 impact, many projects could not cross the
margin threshold, which led to muted margins.
Power:
Strong order inflows have led to the order book getting replenished.
Decline in FY20 revenues was owing to a lower opening order book. L&T
received favorable claims in 4QFY20.
Heavy Engineering:
Order inflow was impacted due to deferments. 4QFY20
revenues were affected due to COVID-19-led shutdown. L&T took cost
provisions in 4Q.
Defence:
Large order inflows are still missing.
7 June 2020
7
 Motilal Oswal Financial Services
Larsen & Toubro
Hydrocarbons:
The unexecuted order book stands at three years of revenue,
thus providing strong visibility. Despite a strong base, revenue growth stood at
15% YoY in 4QFY20 and FY20.
Others:
Delayed handovers in the Realty business impacted revenues in
4QFY20. The Valve business witnessed good growth in 4QFY20. FY19 margins
were higher owing to the lumpy sale of commercial properties.
Developmental Projects:
The Hyderabad Metro was fully commissioned, but
lockdown in March impacted ridership and revenues. The planned InvIT
structure for the Hyderabad Metro is currently on hold as the company waits
for the Metro to restart.
IT & TS:
Mindtree’s consolidation led to higher revenue growth.
L&T Finance Holdings:
PAT de-growth of 25% was witnessed due to the DTA
restatement. 4QFY20 profitability was impacted by higher provisions.
E&A business:
Revenue declined 10% YoY. Margin improvement would come in
via operational efficiencies.
Working capital as a percentage of sales came in at 23.5%, similar to 2QFY20
levels.
Other highlights
Borrowing cost at the parent level stood at 7.5%, among the best in the current
environment.
Working capital:
Around INR15b worth of collections were lost in 4QFY20 due
to COVID-19-led shutdown. No deterioration has been witnessed in the quality
of receivables. Collections were encouraging in April and May’20. The
government has been proactive in such times with timely payments.
The management view is that larger orders, such as High-Speed Rail, may get
further delayed due to funding constraints in such times.
Defense sector reforms
– Although FDI has been increased to 74% from 49%,
the management does not believe foreign companies would bring technology to
India. The collaboration could happen at the fabrication/assembly stage.
We forecast consol. revenue/EBITDA CAGR of 9%/10% over FY20–22
Exhibit 1: Expect core E&C revenue CAGR of 7.4% over
FY20–22
Core E&C Growth (%)
17.0
11.3
8.2
1.4
7.3
9.3
9.6
1.5
-1.4
9.0
9.5
Exhibit 2: EBITDA margin to normalize at 8% in FY22E
Core E&C EBITDA margin (%)
10.5
8.1
8.0
7.3
8.0
Source: MOFSL, Company
Source: MOFSL, Company
7 June 2020
8
 Motilal Oswal Financial Services
Larsen & Toubro
Exhibit 3: Expect Services revenue CAGR of 12.5% over next
two years
Services Growth (%)
25.6
27.2
Exhibit 4: Services business EBITDA margin to expand
further as Hyderabad Metro is now fully operational
Services EBITDA margin (%)
21.7
19.4
19.2
19.7
14.6
9.2
10.2
14.9
15.0
12.3
14.4
6.7
Source: MOFSL, Company
Source: MOFSL, Company
Exhibit 5: Expect consol. revenue CAGR of 9% over next two
years
Consolidated sales Growth (%)
Exhibit 6: Consol. EBITDA to expand by 30bp over FY20–22E
Consolidated EBITDA margin
16.3
13.0
10.8
8.1
7.9
8.8
7.6
1.8
12.3
10.3
10.1
11.3
11.3
11.2
10.9
11.5
Source: MOFSL, Company
Source: MOFSL, Company
Valuation and view
Valuation remains comfortable:
Factoring the various risks, we cut our core
E&C EPS by 16–18% over FY21–22E. The consolidated EPS cut is limited to
11%/13% in FY21/FY22 as the IT businesses (LTI, LTTS, and Mindtree) provide
some support. We forecast consol. revenue/EBITDA/PAT CAGR of 9%/10%/3%
over FY20–22E. For the core business, we forecast revenue/EBITDA/PAT CAGR
of 7%/7%/2% over the same period. Maintain Buy, with reduced TP of INR1,120
(prior: INR1,200).
Exhibit 7: Our SOTP-based TP stands at INR1,120
Business segment
Core E&C
E&A sale
IT & TS + MindTree
Finance Holdings
IDPL
Total
FY’22E
710
80
249
45
35
1,120
Remarks
16x core E&C EPS
E&A sale proceeds of INR112b
20% discount to current mkt cap
20% discount to current mkt cap
P/Inv based approach
Source: MOFSL, Company
7 June 2020
9
 Motilal Oswal Financial Services
Larsen & Toubro
Exhibit 8: We
cut our core E&C adj. EPS by 16–18% over FY21–22E. Consolidated adj. EPS cut is limited to 11%/13%
Old
(In INR m)
CONSOLIDATED FINANCIALS
Order book
Growth (%)
OB/Rev (x)
Order inflow
Growth (%)
Total Revenues
Growth (%)
EBITDA
Growth (%)
EBITDA Margin (%)
Adjusted PAT
Growth (%)
E/O items
Reported PAT
Growth (%)
Reported EPS
Adjusted EPS
EX-SERVICES
Total Revenues
Growth (%)
EBITDA
Growth (%)
EBITDA %
Adjusted PAT
Growth (%)
E/O items
Reported PAT
Growth (%)
Reported EPS
Adjusted EPS
FY21E
34,71,471
7.3
3.3
17,33,940
-3.6
14,97,794
1.8
1,74,066
-0.3
11.6
79,233
-13.7
7,174
86,406
-12.6
61.6
56.5
10,60,221
-0.1
87,594
-5.6
8.3
54,530
-15.7
7,174
61,703
-14.0
44.0
38.9
FY21E
36,60,427
5.4
2.9
19,79,417
14.2
17,90,461
19.5
2,16,263
24.2
12.1
1,09,688
38.4
8,967
1,18,655
37.3
84.6
78.2
12,71,516
19.9
1,11,675
27.5
8.8
75,543
38.5
8,967
84,510
37.0
60.2
53.9
New
FY21E
33,46,804
10.1
3.2
17,89,191
-4.0
14,80,957
1.8
1,61,480
-1.1
10.9
70,745
-20.5
5,564
76,309
-20.1
54.4
50.4
10,31,286
-1.4
75,107
-10.6
7.3
45,981
-23.5
5,564
51,545
-22.7
36.7
32.8
FY21E
36,52,880
9.1
3.0
20,29,049
13.4
17,22,973
16.3
1,98,112
22.7
11.5
95,159
34.5
7,217
1,02,375
34.2
72.9
67.8
12,06,092
17.0
96,245
28.1
8.0
62,317
35.5
7,217
69,534
34.9
49.5
44.4
Change
FY21E
-3.6%
FY21E
-0.2%
3.2%
-1.1%
-7.2%
2.5%
-3.8%
-8.4%
-10.7%
-22.4%
-11.7%
-11.8%
-10.8%
-2.7%
-14.3%
-13.2%
-19.5%
-13.7%
-13.8%
-13.3%
-5.1%
-13.8%
-15.7%
-22.4%
-16.5%
-17.5%
-19.5%
-17.7%
-16.5%
-17.8%
-15.7%
-17.6%
Source: MOFSL, Company
Exhibit 9: One-year forward P/E
45.0
35.0
28.5
P/E (x)
Min (x)
Avg (x)
+1SD
Max (x)
-1SD
39.7
Exhibit 10: One-year forward P/B
P/B (x)
Min (x)
5.0
4.0
3.0
17.1 13.1
16.2
2.0
1.0
2.9
2.3
1.6
1.8
3.5
Avg (x)
+1SD
Max (x)
-1SD
4.8
25.0
15.0
5.0
22.8
Source: MOFSL
Source: MOFSL
7 June 2020
10
 Motilal Oswal Financial Services
Larsen & Toubro
Financials and valuations
Income Statement
Y/E March
Net Sales
Change (%)
EBITDA
Change (%)
Margin (%)
Depreciation
EBIT
Net Interest
Other Income
PBT
Tax
Rate (%)
Reported Profit (Before MI & AI)
Less: Minority Interest
Add: Profits of Associates
EO Adjustments
Adjusted PAT
Change (%)
Cons. Profit (Reported)
Balance Sheet
Y/E March
Share Capital
Reserves
Net Worth
Loans
Deferred Tax Liability
Minority Interest
Capital Employed
Gross Fixed Assets
Less: Depreciation
Add: Capital WIP
Net Fixed Assets
Investments
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other Current Assets
Current Assets
Current Liab. & Prov.
Net Current Assets
Capital Deployed
2017
10,93,118
7.2
1,11,305
6.4
10.2
23,699
87,606
13,387
13,441
87,659
20,066
22.9
68,808
4,443
-3,953
1,214
59,198
43.0
60,412
2018
11,96,832
9.5
1,35,714
21.9
11.3
19,287
1,16,427
15,385
14,120
1,15,162
31,989
27.8
84,403
6,346
-4,359
1,230
72,469
22.4
73,699
2019
13,52,203
13.0
1,53,296
13.0
11.3
19,230
1,34,066
18,026
18,365
1,34,406
40,671
30.3
1,02,376
13,115
-210
8,641
80,411
11.0
89,051
2020
14,54,524
7.6
1,63,290
6.5
11.2
24,623
1,38,667
27,967
23,609
1,34,310
32,632
24.3
1,08,223
13,453
720
6,546
88,945
10.6
95,490
2021E
14,80,957
1.8
1,61,480
-1.1
10.9
25,579
1,35,902
38,847
22,429
1,19,483
33,233
27.8
91,814
16,306
800
5,564
70,745
-20.5
76,309
(INR m)
2022E
17,22,973
16.3
1,98,112
22.7
11.5
26,679
1,71,433
38,847
22,429
1,55,015
41,736
26.9
1,20,495
19,120
1,000
7,217
95,159
34.5
1,02,375
(INR m)
2022E
2,808
7,85,313
7,88,121
17,56,571
-23,935
1,30,633
26,51,390
5,75,180
1,50,904
33,111
4,57,387
2,00,475
68,073
4,65,203
2,44,369
26,514
8,14,592
29,64,914
9,71,386
19,93,528
26,51,390
2017
1,866
5,00,299
5,02,165
9,39,761
-11,252
35,636
14,66,310
1,71,779
38,375
1,67,374
3,00,778
1,97,530
41,397
2,79,696
55,725
19,547
4,88,977
16,05,954
6,37,950
9,68,004
14,66,312
2018
2,803
5,46,232
5,49,035
10,75,241
-21,170
52,014
16,55,120
2,19,694
57,939
1,58,481
3,20,236
1,53,113
48,478
3,31,170
80,327
23,536
5,74,595
19,23,256
7,41,486
11,81,771
16,55,120
2019
2,806
6,20,943
6,23,748
12,55,552
-31,078
68,261
19,16,483
2,62,141
74,024
1,63,017
3,51,134
2,11,203
64,139
3,70,382
1,17,262
24,890
6,14,870
21,94,782
8,40,637
13,54,146
19,16,483
2020
2,808
6,64,424
6,67,232
14,10,071
-23,935
95,208
21,48,576
5,35,180
98,646
33,111
4,69,645
2,00,475
57,467
4,07,315
1,51,178
22,383
6,87,673
23,52,974
8,74,518
14,78,457
21,48,576
2021E
2,808
7,10,409
7,13,217
15,75,071
-23,935
1,11,514
23,75,866
5,55,180
1,24,225
33,111
4,64,066
2,00,475
58,511
4,44,287
1,54,030
22,790
7,00,171
25,46,266
8,34,941
17,11,325
23,75,866
7 June 2020
11
 Motilal Oswal Financial Services
Larsen & Toubro
Financials and valuations
Ratios
Y/E March
Adjusted EPS
Growth (%)
Cons. EPS (Fully Diluted)
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.)
Valuation (x)
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
Turnover Ratios
Debtors (Days)
Inventory (Days)
Asset Turnover (x)
Leverage Ratio
Current Ratio (x)
Net Debt/Equity (x)
Cash Flow Statement
Y/E March
PBT before EO Items
Add : Depreciation
Others
Less : Direct Taxes Paid
(Inc)/Dec in WC
CF from Operations
(Inc)/Dec in FA
Free Cash Flow
(Pur)/Sale of Investments
CF from Investments
(Inc)/Dec in Net Worth
(Inc)/Dec in Debt
Others
Dividend Paid
CF from Fin. Activity
Inc/Dec of Cash
Add: Beginning Balance
Closing Balance
2017
42.2
43.0
42.2
43.0
59.1
358.3
8.9
21.0
22.6
16.2
20.0
2.1
3.0
0.9
12.5
5.5
93.4
13.8
0.8
2.5
1.8
2018
51.7
22.4
51.7
22.4
65.5
391.7
15.9
30.8
18.5
14.6
17.2
2.0
2.7
1.7
13.8
6.0
101.0
14.8
0.7
2.6
1.8
2019
57.3
10.9
63.5
22.8
77.2
444.7
18.0
28.4
16.7
16.9
19.3
2.2
2.1
1.4
13.7
6.0
100.0
17.3
0.7
2.6
1.8
2020
63.4
10.5
68.0
7.1
85.6
475.3
18.0
26.5
15.1
15.2
18.9
2.1
2.0
1.4
13.8
6.0
102.2
14.4
0.7
2.7
1.9
2021E
50.4
-20.5
54.4
-20.1
72.6
508.0
16.3
30.0
19.0
18.0
20.1
2.2
1.9
1.3
10.2
5.1
109.5
14.4
0.6
3.0
2.0
2022E
67.8
34.5
72.9
34.2
91.9
561.4
21.9
30.0
14.1
14.2
16.9
1.9
1.7
1.7
12.7
5.6
98.6
14.4
0.6
3.1
1.9
(INR m)
2022E
1,55,015
26,679
8,217
-41,736
-12,178
1,35,996
-1,99,685
-63,689
0
0
0
1,81,500
0
-27,471
1,54,029
90,340
1,54,030
2,44,369
2017
87,659
23,699
-7,971
-32,017
43,459
1,14,830
-85,646
29,184
-66,536
-66,536
533
50,509
9,066
-20,931
39,178
1,826
53,899
55,725
2018
1,15,162
19,287
-10,696
-34,034
-34,165
55,554
-1,84,743
-1,29,189
54,449
54,449
495
1,27,683
-4,940
-23,898
99,341
24,600
55,725
80,325
2019
1,42,862
20,840
-11,636
-45,816
-23,921
82,329
-1,73,298
-90,969
-35,366
-35,366
113
1,78,653
10,978
-26,471
1,63,273
36,937
80,325
1,17,262
2020
1,43,142
24,623
-1,176
-40,465
-77,914
48,210
-32,925
15,285
-63,967
-63,967
176
1,41,259
-13,324
-45,513
82,597
33,915
1,17,262
1,51,178
2021E
1,19,483
25,579
6,364
-33,233
-66,667
51,526
-1,83,350
-1,31,824
0
0
0
1,65,000
0
-30,324
1,34,676
2,852
1,51,178
1,54,030
7 June 2020
12
 Motilal Oswal Financial Services
Larsen & Toubro
Explanation of Investment Rating
Investment Rating
Expected return (over 12-month)
BUY
>=15%
SELL
< - 10%
NEUTRAL
< - 10 % to 15%
UNDER REVIEW
Rating may undergo a change
NOT RATED
We have forward looking estimates for the stock but we refrain from assigning recommendation
*In case the recommendation given by the Research Analyst is inconsistent with the investment rating legend for a continuous period of 30 days, the Research Analyst shall within
following 30 days take appropriate measures to make the recommendation consistent with the investment rating legend.
Disclosures
The following Disclosures are being made in compliance with the SEBI Research Analyst Regulations 2014 (herein after referred to as the Regulations).
Motilal Oswal Financial Services Ltd. (MOFSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOFSL, the Research Entity (RE) as defined in the
Regulations, is engaged in the business of providing Stock broking services, Investment Advisory Services, Depository participant services & distribution of various financial
products. MOFSL is a subsidiary company of Passionate Investment Management Pvt. Ltd.. (PIMPL). MOFSL is a listed public company, the details in respect of which are
available on www.motilaloswal.com. MOFSL (erstwhile Motilal Oswal Securities Limited - MOSL) is registered with the Securities & Exchange Board of India (SEBI) and is a
registered Trading Member with National Stock Exchange of India Ltd. (NSE) and Bombay Stock Exchange Limited (BSE), Multi Commodity Exchange of India Limited (MCX) and
National Commodity & Derivatives Exchange Limited (NCDEX) for its stock broking activities & is Depository participant with Central Depository Services Limited (CDSL) National
Securities Depository Limited (NSDL),NERL, COMRIS and CCRL and is member of Association of Mutual Funds of India (AMFI) for distribution of financial products and Insurance
Regulatory & Development Authority of India (IRDA) as Corporate Agent for insurance products.
Details of associate entities of Motilal Oswal Financial Services Limited are
available on the website at
http://onlinereports.motilaloswal.com/Dormant/documents/List%20of%20Associate%20companies.pdf
MOFSL and its associate company(ies), their directors and Research Analyst and their relatives may; (a) from time to time, have a long or short position in, act as principal in, and
buy or sell the securities or derivatives thereof of companies mentioned herein. (b) be engaged in any other transaction involving such securities and earn brokerage or other
compensation or act as a market maker in the financial instruments of the company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies) or may have
any other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the
specific recommendations made by the analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even
though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report
MOFSL and / or its affiliates do and seek to do business including investment banking with companies covered in its research reports. As a result, the recipients of this report
should be aware that MOFSL may have a potential conflict of interest that may affect the objectivity of this report. Compensation of Research Analysts is not based on any specific
merchant banking, investment banking or brokerage service transactions. Details of pending Enquiry Proceedings of Motilal Oswal Financial Services Limited are available on the
website at
https://galaxy.motilaloswal.com/ResearchAnalyst/PublishViewLitigation.aspx
A graph of daily closing prices of securities is available at
www.nseindia.com, www.bseindia.com.
Research Analyst views on Subject Company may vary based on Fundamental
research and Technical Research. Proprietary trading desk of MOFSL or its associates maintains arm’s length distance with Research Team as all the activities are segregated
from MOFSL research activity and therefore it can have an independent view with regards to Subject Company for which Research Team have expressed their views.
Regional Disclosures (outside India)
This report is not directed or intended for distribution to or use by any person or entity resident in a state, country or any jurisdiction, where such distribution, publication, availability
or use would be contrary to law, regulation or which would subject MOFSL & its group companies to registration or licensing requirements within such jurisdictions.
For Hong Kong:
This report is distributed in Hong Kong by Motilal Oswal capital Markets (Hong Kong) Private Limited, a licensed corporation (CE AYY-301) licensed and regulated by the Hong
Kong Securities and Futures Commission (SFC) pursuant to the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) “SFO”. As per SEBI (Research Analyst
Regulations) 2014 Motilal Oswal Securities (SEBI Reg No. INH000000412) has an agreement with Motilal Oswal capital Markets (Hong Kong) Private Limited for distribution of
research report in Hong Kong. This report is intended for distribution only to “Professional Investors” as defined in Part I of Schedule 1 to SFO. Any investment or investment activity
to which this document relates is only available to professional investor and will be engaged only with professional investors.” Nothing here is an offer or solicitation of these
securities, products and services in any jurisdiction where their offer or sale is not qualified or exempt from registration. The Indian Analyst(s) who compile this report is/are not
located in Hong Kong & are not conducting Research Analysis in Hong Kong.
For U.S.
Motilal Oswal Financial Services Limited (MOFSL) is not a registered broker - dealer under the U.S. Securities Exchange Act of 1934, as amended (the"1934 act") and under
applicable state laws in the United States. In addition MOFSL is not a registered investment adviser under the U.S. Investment Advisers Act of 1940, as amended (the "Advisers
Act" and together with the 1934 Act, the "Acts), and under applicable state laws in the United States. Accordingly, in the absence of specific exemption under the Acts, any
brokerage and investment services provided by MOFSL , including the products and services described herein are not available to or intended for U.S. persons. This report is
intended for distribution only to "Major Institutional Investors" as defined by Rule 15a-6(b)(4) of the Exchange Act and interpretations thereof by SEC (henceforth referred to as
"major institutional investors"). This document must not be acted on or relied on by persons who are not major institutional investors. Any investment or investment activity to which
this document relates is only available to major institutional investors and will be engaged in only with major institutional investors. In reliance on the exemption from registration
provided by Rule 15a-6 of the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act") and interpretations thereof by the U.S. Securities and Exchange
Commission ("SEC") in order to conduct business with Institutional Investors based in the U.S., MOFSL has entered into a chaperoning agreement with a U.S. registered broker-
dealer, Motilal Oswal Securities International Private Limited. ("MOSIPL"). Any business interaction pursuant to this report will have to be executed within the provisions of this
chaperoning agreement.
The Research Analysts contributing to the report may not be registered /qualified as research analyst with FINRA. Such research analyst may not be associated persons of the U.S.
registered broker-dealer, MOSIPL, and therefore, may not be subject to NASD rule 2711 and NYSE Rule 472 restrictions on communication with a subject company, public
appearances and trading securities held by a research analyst account.
For Singapore
In Singapore, this report is being distributed by Motilal Oswal Capital Markets Singapore Pte Ltd (“MOCMSPL”) (Co.Reg. NO. 201129401Z) which is a holder of a capital markets
services license and an exempt financial adviser in Singapore.As per the approved agreement under Paragraph 9 of Third Schedule of Securities and Futures Act (CAP 289) and
Paragraph 11 of First Schedule of Financial Advisors Act (CAP 110) provided to MOCMSPL by Monetary Authority of Singapore. Persons in Singapore should contact MOCMSPL
in respect of any matter arising from, or in connection with this report/publication/communication. This report is distributed solely to persons who qualify as “Institutional Investors”,
of which some of whom may consist of "accredited" institutional investors as defined in section 4A(1) of the Securities and Futures Act, Chapter 289 of Singapore (“the
SFA”). Accordingly, if a Singapore person is not or ceases to be such an institutional investor, such Singapore Person must immediately discontinue any use of this Report and
inform MOCMSPL.
Specific Disclosures
1 MOFSL, Research Analyst and/or his relatives does not have financial interest in the subject company, as they do not have equity holdings in the subject company.
2 MOFSL, Research Analyst and/or his relatives do not have actual/beneficial ownership of 1% or more securities in the subject company
3 MOFSL, Research Analyst and/or his relatives have not received compensation/other benefits from the subject company in the past 12 months
4 MOFSL, Research Analyst and/or his relatives do not have material conflict of interest in the subject company at the time of publication of research report
5 Research Analyst has not served as director/officer/employee in the subject company
6 MOFSL has not acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
7 MOFSL has not received compensation for investment banking/ merchant banking/brokerage services from the subject company in the past 12 months
8 MOFSL has not received compensation for other than investment banking/merchant banking/brokerage services from the subject company in the past 12 months
9 MOFSL has not received any compensation or other benefits from third party in connection with the research report
10 MOFSL has not engaged in market making activity for the subject company
7 June 2020
13
 Motilal Oswal Financial Services
Larsen & Toubro
********************************************************************************************************************************
The associates of MOFSL may have:
- financial interest in the subject company
- actual/beneficial ownership of 1% or more securities in the subject company
- received compensation/other benefits from the subject company in the past 12 months
- other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the
specific recommendations made by the analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even
though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report.
- acted as a manager or co-manager of public offering of securities of the subject company in past 12 months
- be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instruments of the
company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies)
- received compensation from the subject company in the past 12 months for investment banking / merchant banking / brokerage services or from other than said services.
The associates of MOFSL has not received any compensation or other benefits from third party in connection with the research report
Above disclosures include beneficial holdings lying in demat account of MOFSL which are opened for proprietary investments only. While calculating beneficial holdings, It does not
consider demat accounts which are opened in name of MOFSL for other purposes (i.e holding client securities, collaterals, error trades etc.). MOFSL also earns DP income from
clients which are not considered in above disclosures.
Analyst Certification
The views expressed in this research report accurately reflect the personal views of the analyst(s) about the subject securities or issues, and no part of the compensation of the
research analyst(s) was, is, or will be directly or indirectly related to the specific recommendations and views expressed by research analyst(s) in this report.
Terms & Conditions:
This report has been prepared by MOFSL and is meant for sole use by the recipient and not for circulation. The report and information contained herein is strictly confidential and
may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent
of MOFSL. The report is based on the facts, figures and information that are considered true, correct, reliable and accurate. The intent of this report is not recommendatory in
nature. The information is obtained from publicly available media or other sources believed to be reliable. Such information has not been independently verified and no guaranty,
representation of warranty, express or implied, is made as to its accuracy, completeness or correctness. All such information and opinions are subject to change without notice. The
report is prepared solely for informational purpose and does not constitute an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial
instruments for the clients. Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. MOFSL will not treat recipients as
customers by virtue of their receiving this report.
Disclaimer:
The report and information contained herein is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or
distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent. This report and information herein is solely for
informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments. Nothing
in this report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances.
The securities discussed and opinions expressed in this report may not be suitable for all investors, who must make their own investment decisions, based on their own investment
objectives, financial positions and needs of specific recipient. This may not be taken in substitution for the exercise of independent judgment by any recipient. Each recipient of this
document should make such investigations as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this
document (including the merits and risks involved), and should consult its own advisors to determine the merits and risks of such an investment. The investment discussed or views
expressed may not be suitable for all investors. Certain transactions -including those involving futures, options, another derivative products as well as non-investment grade
securities - involve substantial risk and are not suitable for all investors. No representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of
the information and opinions contained in this document. The Disclosures of Interest Statement incorporated in this document is provided solely to enhance the transparency and
should not be treated as endorsement of the views expressed in the report. This information is subject to change without any prior notice. The Company reserves the right to make
modifications and alternations to this statement as may be required from time to time without any prior approval. MOFSL, its associates, their directors and the employees may from
time to time, effect or have effected an own account transaction in, or deal as principal or agent in or for the securities mentioned in this document. They may perform or seek to
perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities functions as a
separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of
information that is already available in publicly accessible media or developed through analysis of MOFSL. The views expressed are those of the analyst, and the Company may or
may not subscribe to all the views expressed therein. This document is being supplied to you solely for your information and may not be reproduced, redistributed or passed on,
directly or indirectly, to any other person or published, copied, in whole or in part, for any purpose. This report is not directed or intended for distribution to, or use by, any person or
entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction, where such distribution, publication, availability or use would be contrary to law,
regulation or which would subject MOFSL to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in
all jurisdictions or to certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction.
Neither the Firm, not its directors, employees, agents or representatives shall be liable for any damages whether direct or indirect, incidental, special or consequential including lost
revenue or lost profits that may arise from or in connection with the use of the information.
The person accessing this information specifically agrees to exempt MOFSL or any of its
affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOFSL or any of its affiliates or employees responsible for any such
misuse and further agrees to hold MOFSL or any of its affiliates or employees free and harmless from all losses, costs, damages,
expenses that may be suffered by the person
accessing this information due to any errors and delays.
Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022 71934200/ 022-71934263;
Website
www.motilaloswal.com.CIN
no.: L67190MH2005PLC153397.Correspondence Office Address: Palm Spring Centre, 2nd Floor, Palm Court Complex, New Link Road,
Malad(West), Mumbai- 400 064. Tel No: 022 7188 1000.
Registration Nos.: Motilal Oswal Financial Services Limited (MOFSL)*: INZ000158836(BSE/NSE/MCX/NCDEX); CDSL and NSDL: IN-DP-16-2015; Research Analyst:
INH000000412. AMFI: ARN - 146822; Investment Adviser: INA000007100; Insurance Corporate Agent: CA0579;PMS:INP000006712. Motilal Oswal Asset Management Company
Ltd. (MOAMC): PMS (Registration No.: INP000000670); PMS and Mutual Funds are offered through MOAMC which is group company of MOFSL. Motilal Oswal Wealth
Management Ltd. (MOWML): PMS (Registration No.: INP000004409) is offered through MOWML, which is a group company of MOFSL. Motilal Oswal Financial Services Limited is
a distributor of Mutual Funds, PMS, Fixed Deposit, Bond, NCDs,Insurance Products and IPOs.Real Estate is offered through Motilal Oswal Real Estate Investment Advisors II Pvt.
Ltd. which is a group company of MOFSL. Private Equity is offered through Motilal Oswal Private Equity Investment Advisors Pvt. Ltd which is a group company of MOFSL.
Research & Advisory services is backed by proper research. Please read the Risk Disclosure Document prescribed by the Stock Exchanges carefully before investing. There is no
assurance or guarantee of the returns. Investment in securities market is subject to market risk, read all the related documents carefully before investing. Details of Compliance
Officer: Name: Neeraj Agarwal, Email ID: na@motilaloswal.com, Contact No.:022-71881085.
* MOSL has been amalgamated with Motilal Oswal Financial Services Limited (MOFSL) w.e.f August 21, 2018 pursuant to order dated July 30, 2018 issued by Hon'ble National
Company Law Tribunal, Mumbai Bench.
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