2QFY2016 Result Update | IT
November 24, 2015
Tech Mahindra
BUY
CMP
`534
Performance Highlights
Target Price
`646
(` cr)
2QFY16
1QFY16
% chg (qoq)
2QFY15
% chg (yoy)
Investment Period
12 Months
Net revenue
6,616
6,294
5.1
5,488
20.5
EBITDA
1,101
936
17.7
1,108
(0.7)
Stock Info
EBITDA margin (%)
16.6
14.9
178bp
20.2
(355)bp
Adj. PAT
786
676
16.2
720
9.2
Sector
IT
Source: Company, Angel Research;
Market Cap (` cr)
51,619
Net Debt (` cr)
(3,833)
Tech Mahindra posted better than expected results for 2QFY2016. The company
Beta
0.5
posted a
2.2% qoq growth in revenue to US$1,011mn V/s an expected
52 Week High / Low
750/459
US$1,004mn and V/s US$989mn in 1QFY2016. On the EBIDTA front, the
Avg. Daily Volume
229,545
EBITDA margin came in at 16.6% V/s 15.9% expected and V/s 14.9% in
Face Value (`)
5
1QFY2016. The company posted an EBIT margin of 13.7% V/s 13.1% expected
BSE Sensex
25,842
and V/s 12.1% in 1QFY2016. Thus, the Net Profit came in at `786cr V/s `725cr
Nifty
7,941
expected and V/s `676cr in 1QFY2016, a qoq growth of 16.2%. We currently
Reuters Code
TEML.BO
have a Buy rating on the stock with a price target of `646.
Bloomberg Code
[email protected]
Result highlights: Tech Mahindra posted a 2.2% qoq growth in revenue to
US$1,011mn V/s an expected US$1,004mn and V/s US$989mn in 1QFY2016.
Shareholding Pattern (%)
In rupee terms, the company posted a 5.1% qoq revenue growth to `6,616cr V/s
Promoters
36.7
`6,577cr expected and V/s `6,294cr in 1QFY2016. The growth was primarily
MF / Banks / Indian Fls
13.9
driven by USA, which contributed ~48.9% of sales in 2QFY2016 V/s ~47.7% in
1QFY2016. The EBIDTA margin came in at 16.6% V/s 15.9% expected and V/s
FII / NRIs / OCBs
38.0
14.9% in 1QFY2016. The margin expansion was driven by improved capacity
Indian Public / Others
11.4
utilization, which moved up from 74% in 1QFY2016 to 77% in 2QFY2016.
Excluding trainees, utilization inched up to 79% V/s 75% in 1QFY2016. The
Abs.(%)
3m 1yr
3yr
attrition rate during the quarter was 20% V/s 19% in 1QFY2016. Thus, the Net
Profit came in at `786cr V/s `725cr expected and V/s `676cr in 1QFY2016, a
Sensex
(7.5)
(7.8)
40.9
qoq growth of 16.2%. During the quarter, the company added 18 clients, with
Tech Mahindra
(4.6)
(18.6)
141.7
1 client added in the US$50mn+ bracket and 2 added in the US$10mn+bracket.
3-year price chart
Outlook and valuation: The Management remains confident of reverting back to
800
the original profitability by FY2017-18. We expect a CAGR of 13.0% and 8.0% in USD
700
and INR revenue respectively over FY2015-17E, driven by acquisitions. The PAT is
600
expected to grow at a CAGR of 8.0% over FY2015-17. We maintain our Buy on the stock.
500
400
300
Key financials (Consolidated, Indian GAAP)
200
Y/E March (` cr)
FY2014
FY2015
FY2016E
FY2017E
100
Net sales
18,831
22,621
25,566
28,890
0
% chg
31.4
20.1
13.0
13.0
Net profit
2,932
2,628
2,528
3,066
% chg
38.6
(10.4)
(3.8)
21.3
Source: Company, Angel Research
EBITDA margin (%)
54.5
18.4
16.0
17.0
EPS (`)
30.5
27.4
26.3
31.9
P/E (x)
17.5
19.5
20.3
16.7
P/BV (x)
5.6
4.2
3.6
3.1
RoE (%)
31.9
21.5
17.9
18.6
RoCE (%)
83.2
24.0
20.5
21.7
Sarabjit kour Nangra
EV/Sales (x)
2.5
2.2
1.9
1.6
+91 22 3935 7800 Ext: 6806
EV/EBITDA (x)
4.6
12.1
11.7
9.4
[email protected]
Source: Company, Angel Research; Note: CMP as of November 19, 2015
Please refer to important disclosures at the end of this report
1
Tech Mahindra | 2QFY2016 Result Update
Exhibit 1: 2QFY2016 performance (Consolidated, Indian GAAP)
(` cr)
2QFY16
1QFY16
% chg (qoq)
1QFY15
% chg (yoy)
1HFY16
1HFY15
% chg (yoy)
Net revenue
6,616
6,294
5.1
5,488
20.5
12,909
10,609
21.7
Cost of revenue
4,496
4,451
1.0
3,605
24.7
8,946
7,034
27.2
Gross profit
2,120
1,843
15.0
1,883
12.6
3,963
3,575
10.8
SG&A expense
1,019
908
12.2
775
31.5
1,927
1,528
26.0
EBITDA
1,101
936
17.7
1,108
(0.7)
2,037
2,047
(0.5)
Dep. and amortization
197
173
13.9
142
38.6
371
292
27.1
EBIT
904
762
18.6
966
(6.4)
1,666
1,755
(5.1)
Interest
17
12
15
30
29
Other income
166
137
58
302
147
PBT
1,052
886
18.7
1,008
4.3
1,939
1,873
3.5
Income taxes
260
210
24.1
281
(7.2)
470
511
(8.1)
PAT
792
677
17.0
728
8.8
1,468
1,361
7.9
Minority interest
7
2
8
8
11
PAT after minority interest
786
675
16.4
720
9.2
1,460
1,350
8.1
Profit from associates
0
1
-
1
-
Exceptional item
-
-
-
-
-
Reported PAT
786
676
16.2
720
9.2
1,462
1,350
8.2
Adj. PAT
786
676
16.2
720
9.2
1,462
1,350
8.2
Diluted EPS
8.2
7.0
16.2
7.5
9.2
15.2
14.1
8.2
Gross margin (%)
32.0
29.3
276bp
34.3
(227)bp
30.7
33.7
(300)bp
EBITDA margin (%)
16.6
14.9
178bp
20.2
(355)bp
15.8
19.3
(352)bp
EBIT margin (%)
13.7
12.1
155bp
17.6
(394)bp
12.9
16.5
(364)bp
PAT margin (%)
11.9
10.7
113bp
13.1
(124)bp
11.3
12.7
(141)bp
Source: Company, Angel Research
Exhibit 2: 2QFY2016 - Actual vs Angel estimates
(` cr)
Actual
Estimate
Var. (%)
Net revenue
6,616
6,577
0.6
EBIT margin (%)
16.6
15.9
74bps
PAT
786
725
8.4
Source: Company, Angel Research
Revenue growth led by acquisitions
Tech Mahindra posted better than expected results in
2QFY2016. It posted a
2.2% qoq growth in revenue to US$1,011mn V/s an expected US$1,004mn and
V/s US$989mn in 1QFY2016. In rupee terms, the company posted a 5.1% qoq
revenue growth to
`6,616cr V/s
`6,577cr expected and V/s
`6,294cr in
1QFY2016
The growth was primarily driven by USA, which contributed ~48.9% of sales in
2QFY2016 V/s
47.7% of sales in 1QFY2016. Amongst verticals, the
Telecom/Communication and the Technology, Media and Entertainment industries
drove growth, contributing 52.9% of sales (V/s 52.7% of sales in 1QFY2016) and
8.2% of sales (7.3% of sales in 1QFY2016), respectively.
November 24, 2015
2
Tech Mahindra | 2QFY2016 Result Update
Exhibit 3: Trend in revenue growth
1,020.0
6.5%
2.2%
9.0%
1,000.0
8.0%
980.0
7.0%
960.0
6.0%
5.2%
940.0
5.0%
920.0
4.0%
2.7%
900.0
3.0%
0.5%
880.0
2.0%
860.0
1.0%
840.0
0.0%
2QFY15
3QFY15
4QFY15
1QFY16
2QFY16
Sales ( in US $mn)
qoq (%)
Source: Company, Angel Research
Exhibit 4: Growth in industry segments
Particulars
% to revenue
% growth (qoq)
% growth (yoy)
Telecom
53
2.6
14.3
Manufacturing
17
(0.2)
4.2
TME
8
14.8
15.2
BFSI
10
(1.9)
7.9
RTL
6
(5.6)
12.3
Others
7
3.8
23.6
Source: Company, Angel Research
In terms of geographies, ROW posted a qoq decline of 2.2%. Europe posted a
1.9% qoq growth, while the US posted a 4.8% qoq growth.
Exhibit 5: Growth trend in geographies
Particulars
% to revenue
% growth (qoq)
% growth (yoy)
Americas
49
4.8
12.1
Europe
29
1.9
6.2
RoW
22
(2.2)
23.0
Source: Company, Angel Research
Hiring and client metrics
During the quarter, the company reported a net addition of 1,576 employees,
taking its overall headcount to 1,05,235. The BPO headcount currently stands at
26,513 and was the only division to witness additions . Attrition (on LTM basis) was
at 20%.
November 24, 2015
3
Tech Mahindra | 2QFY2016 Result Update
Exhibit 6: Employee metrics
Particulars
2QFY15
3QFY15
4QFY15
1QFY16
2QFY16
Software professionals
66,175
67,592
72,952
71,997
71,657
BPO professionals
22,433
23,566
22,693
24,394
26,513
Sales & support
6,701
6,851
7,636
7,232
7,065
Total employees
95,309
98,009
1,03,281
1,03,673
1,05,235
Attritions (%)
18
19
19
19
20
Source: Company, Angel Research
Exhibit 7: Trend in utilization rate
78
77
77
76
75
74
74
74
73
72
73
71
70
71
69
68
2QFY15
3QFY15
4QFY15
1QFY16
2QFY16
Utilization (%)
Source: Company, Angel Research
The company added 18 new clients during the quarter, taking the active client
base to 788 V/s 770 in 1QFY2016, with 1 client added in US$50mn+ bracket
and 2 in the US$10mn+ bracket.
Exhibit 8: Client metrics
Particulars
2QFY15
3QFY15
4QFY14
1QFY16
2QFY16
Total active clients
649
674
767
770
788
US$1mn-5mn
159
166
195
195
196
US$5mn-10mn
36
37
40
41
40
US$10mn-20mn
20
19
21
24
26
US$20mn-50mn
18
19
22
23
22
US$50mn+
12
13
13
13
14
Source: Company, Angel Research
Operating margin expands
The EBIDTA margin came in at 16.6% V/s 15.9% expected and V/s 14.9% in
1QFY2016. The company posted a 13.7% EBIT margin V/s 13.1% expected and
V/s 12.1% in 1QFY2016. The margin expansion was driven by improved capacity
utilization, which moved up from 74% in 1QFY2016 to 77% in 2QFY2016.
Excluding trainees, utilization inched up to 79% V/s 75% in 1QFY2016. The
attrition rate during the quarter was 20% V/s 19% in 1QFY2016.
November 24, 2015
4
Tech Mahindra | 2QFY2016 Result Update
Exhibit 9: Margin trend (%)
40
35
34.1
34.5
30
32.0
30.5
29.3
25
20.0
20.2
20
16.6
15.2
14.9
15
17.7
17.4
13.7
10
12.4
2QFY15
3QFY15
4QFY15
1QFY167
2QFY16
Gross margin
EBITDA margin
EBIT margin
Source: Company, Angel Research
Investment arguments
Growth prospects robust: The Management indicated that the company remains
confident of growth in the non-BT business with it continuing to see a robust deal
pipeline across geographies. Also, the company, in the recent past, has been
looking at inorganic mode to enhance its presence in the non-telecom segment.
Tech Mahindra has been able to scale up well across verticals through its focused
approach on large deals. We expect a CAGR of 12.0% and 13.0% in USD and
INR revenue, respectively, over FY2015-17E.
Deal pipeline healthy: Tech Mahindra remains confident of improving revenue
growth, citing healthy deal pipeline along with pick up in discretionary spending,
primarily in the US. The Management sounded confident of demand from BFSI,
Healthcare, Manufacturing and Retail. Tech Mahindra is following a two-pronged
strategy to expand its enterprise business; ie providing end-to-end offerings in
leadership areas like Manufacturing, and following a niche offerings-led entry
strategy in areas like BFSI where it is a challenger. Better cross-sell of services can
help grow marquee accounts post-merger. We expect the enterprise segment
growth to be led by broader revival in the markets and deepening of existing
relationships. During 2QFY2016 the company won deals worth TCV of US$300mn
and of the total wins, 60% were from the enterprise vertical and 40% were from
the communication vertical.
Inorganic growth initiatives to augment well for company: The company has been
active in the M&A space, with it having acquired Satyam a few years back, to
acquiring LCC and Softgen recently. Softgen’s and LCC’s acquisition has been
consolidated in 4QFY2015. LCC is one of the world’s largest independent global
providers of network engineering services to the telecommunications industry. LCC
is estimated to have annual revenues of more than US$400mn (estimated for
CY2014), with workforce of over
5,700 network professionals across five
continents and more than 50 countries. With this acquisition, Tech Mahindra will
also be addressing a rapidly growing market opportunity as telecommunications
companies and enterprises accelerate the network upgrade cycle.
November 24, 2015
5
Tech Mahindra | 2QFY2016 Result Update
Outlook and valuation
Given the recent acquisitions and healthy order pipeline, the company is expected
to post a healthy US$ and INR CAGR of 12.0% and 13.0% respectively. However,
the acquisition of LCC will be margin dilutive in the near term, leading the
FY2016E EBDIT margins to drop to 16.0% in FY2016 from 22.2% in FY2014. The
company, given its success in turnaround of its earlier acquisition - Satyam,
believes it would be able to do the same with the recent acquisitions and would be
able to get close to achieving the 20.0% EBIT levels in future. The company is one
of the fastest growing IT companies. Given the conducive valuations on EV/sales
front, where it trades at a significant discount to its peers, we believe the stock
should witness uptrend once the profitability returns to its mean average. We
recommend a Buy rating on the stock.
Exhibit 10: Key assumptions
FY2016E
FY2017E
Revenue growth (US$)
11.0
13.0
USD-INR rate (realized)
62.5
62.5
Revenue growth (`)
13.0
13.0
EBITDA margin (%)
16.0
17.0
Tax rate (%)
26.4
26.4
EPS growth (%)
(3.8)
21.3
Source: Company, Angel Research
Exhibit 11: One-year forward PE (x)
800
600
400
200
0
Nov-08
Jan-10
Mar-11
May-12
Jul-13
Sep-14
Nov-15
Price
20
17
14
11
8
Source: Company, Angel Research. Note: P/E includes profits of Mahindra Satyam from FY2012
November 24, 2015
6
Tech Mahindra | 2QFY2016 Result Update
Exhibit 12: Recommendation summary
Company
Reco
CMP Tgt Price Upside
FY2017E FY2017E
FY2015-17E
FY2017E FY2017E
(`)
(`)
(%)
EBITDA (%)
P/E (x)
EPS CAGR (%)
EV/Sales (x)
RoE (%)
HCL Tech
Buy
874
1,132
29.6
23.5
13.9
10.6
2.0
19.8
Infosys
Buy
1,047
1,306
24.7
28.0
16.4
8.9
2.8
19.7
TCS
Buy
2,363
3,165
33.9
28.7
16.4
13.9
3.3
42.2
Tech Mahindra
Buy
534
646
20.9
17.0
16.7
8.0
1.5
18.6
Wipro
Buy
557
719
29.0
23.8
13.2
9.7
1.8
18.0
Source: Company, Angel Research.
Company Background
Tech Mahindra was founded in 1986 as a joint venture between Mahindra Group
and British Telecom (BT) to service the latter. Later on, the company started
servicing other external clients as well (solely in the telecom industry).In June 2009,
Tech Mahindra acquired a 42.7% stake in erstwhile Satyam Computers (now
Mahindra Satyam) and now the latter is entirely merged with the company.
The company has recently acquired the companies - LCC and Softgen. These two
acquisitions have been consolidated in 4QFY2015. LCC is one of the world’s
largest independent global providers of network engineering services to the
telecommunications industry. LCC is estimated to have annual revenues of more
than US$400mn (estimated for CY2014), with workforce of over 5,700 network
professionals across five continents and more than 50 countries.
November 24, 2015
7
Tech Mahindra | 2QFY2016 Result Update
Profit and loss statement (Consolidated, Indian GAAP)
Y/E March (` cr)
FY2013 FY2014E FY2015 FY2016E FY2017E
Net sales
14,332
18,831
22,621
25,566
28,890
Cost of revenues
9,001
7,034
11,914
17,385
19,356
Gross profit
5,331
11,797
10,708
8,181
9,534
% of net sales
37.2
62.6
47.3
32.0
33.0
SG&A expenses
2,268
1,528
6,555
4,091
4,622
% of net sales
15.8
8.1
29.0
16.0
16.0
EBITDA
3,063
10,269
4,153
4,091
4,911
% of net sales
21.4
54.5
18.4
16.0
17.0
Depreciation and amortization
390
522
611
690
780
% of net sales
2.7
2.8
2.7
2.7
2.7
EBIT
2,674
9,747
3,541
3,400
4,131
% of net sales
18.7
51.8
15.7
13.3
14.3
Interest expense
92
29
30
30
30
Other income, net of forex gain/(loss)
212
113
106
106
106
Profit before tax
2,793
9,830
3,618
3,477
4,208
Provision for tax
648
511
960
918
1,111
% of PBT
23.2
5.2
26.5
26.4
26.4
PAT
2,146
9,319
2,659
2,559
3,097
Exceptional item
160
120
-
-
-
Minority interest
30
11
31
31
31
Reported PAT
1,955
9,428
2,628
2,528
3,066
Adjusted PAT
2,115
2,932
2,628
2,528
3,066
Fully diluted EPS (`)
22.0
30.5
27.4
26.3
31.9
November 24, 2015
8
Tech Mahindra | 2QFY2016 Result Update
Balance sheet (Consolidated, Indian GAAP)
Y/E March (` cr)
FY2013
FY2014
FY2015
FY2016E
FY2017E
Equity capital
232
234
480
480
480
Preference capital
-
-
-
-
-
Share premium
-
-
-
-
-
Profit and loss
6,621
8,947
11,768
13,622
16,014
Other reserves
-
2
0
0
0
Net worth
6,854
9,182
12,249
14,103
16,494
Secured loans
322
309
621
621
621
Unsecured loans
531
54
54
54
55
Total debt
853
363
675
675
676
Other long term liability
224
376
376
376
377
Long-term provisions
393
414
414
414
415
Minority interest
134
144
160
144
145
Amount pending investigation
1,230
1,230
895
895
895
Total capital employed
9,689
11,709
14,768
16,606
19,001
Gross block
3,611
5,460
7,811
8,811
9,811
Accumulated dep.
(1,379)
(2,866)
(3,477)
(4,167)
(4,947)
Net block
2,232
2,594
4,334
4,644
4,864
Capital WIP
260
266
266
266
267
Total fixed assets
2,491
2,861
4,601
4,910
5,131
Investments
36
36
2,103
2,103
2,103
Long term loans and adv.
743
914
1,306
1,502
1,727
Interest in TML benefit trust
1,207
-
-
-
-
Deferred tax asset, net
348
383
390
390
390
Other non-current assets
120
16
-
-
-
Inventories
11
10
24
11
11
Sundry debtors
3,369
4,349
5,206
5,987
6,885
Cash and cash equv.
3,463
4,756
2,405
4,547
6,473
Loans and advances
1,293
2,616
3,813
2,998
2,999
Current investments
175
-
-
-
-
Unbilled revenue
556
-
-
-
-
Sundry creditors
(858)
(1,549)
(1,654)
(1,903)
(2,188)
Other liabilities
(2,037)
(1,415)
(1,627)
(1,871)
(2,152)
Provision
(1,227)
(1,267)
(1,799)
(2,068)
(2,379)
Working capital
4,744
7,500
6,368
7,700
9,650
Total capital deployed
9,689
11,709
14,768
16,606
19,001
November 24, 2015
9
Tech Mahindra | 2QFY2016 Result Update
Cash flow statement (Consolidated, Indian GAAP)
Y/E March (` cr)
FY2013
FY2014
FY2015
FY2016E
FY2017E
Pre tax profit from operations
2,581
9,319
2,659
2,559
3,097
Depreciation
390
522
611
690
780
Exp. (deffered)/written off/others
-
-
-
-
-
Pre tax cash from operations
2,971
9,841
3,270
3,249
3,877
Other income/prior period ad
182
113
106
106
106
Net cash from operations
3,153
9,954
3,376
3,356
3,984
Tax
(648)
(511)
(960)
(918)
(1,111)
Cash profits
2,505
9,442
2,417
2,438
2,873
(Inc)/dec in
Sundry Debtors
(647)
(980)
(857)
(781)
(898)
Inventories
4
1
(15)
13
-
Loans and advances
(235)
(1,324)
(1,197)
815
(1)
Sundry creditors
167
692
105
248
285
Others
673
(623)
212
244
281
Net trade working capital
(39)
(2,233)
(1,752)
540
(333)
Cashflow from operating activities
2,466
7,209
665
2,978
2,540
(Inc)/dec in fixed assets
(1,025)
(369)
(1,740)
(310)
(221)
(Inc)/dec in investments
(1)
-
(2,067)
-
-
(Inc)/dec in other non current assets
(611)
104
16
-
-
Cashflow from investing activities
(1,636)
(265)
(3,791)
(310)
(221)
Inc/(dec) in debt
(297)
490
(311)
-
(1)
Inc/(dec) in deferred revenue
(207)
-
-
-
1
Inc/(dec) in equity/premium
1
(2)
1
-
-
Inc/(dec) in minority interest
119
(9)
(16)
16
(1)
Addition to reser. on amalgamation
70
-
-
-
1
Dividends
(149)
(231)
(674)
(674)
(674)
Others
(5,898)
1,776
131
282
Cashflow from financing activities
(463)
(5,651)
775
(527)
(392)
Cash generated/(utilised)
367
1,293
(2,351)
2,141
1,926
Cash at start of the year
3,096
3,463
4,756
2,405
4,547
Cash at end of the year
3,463
4,756
2,405
4,547
6,473
November 24, 2015
10
Tech Mahindra | 2QFY2016 Result Update
Key Ratios
Y/E March
FY2013
FY2014
FY2015
FY2016E
FY2017E
Valuation ratio (x)
P/E (on FDEPS)
24.3
17.5
19.5
20.3
16.7
P/CEPS
21.9
5.2
15.8
15.9
13.3
P/BVPS
7.5
5.6
4.2
3.6
3.1
Dividend yield (%)
0.9
0.9
0.9
0.9
1.1
EV/Sales
3.4
2.5
2.2
1.9
1.6
EV/EBITDA
16.0
4.6
12.1
11.7
9.4
EV/Total assets
19.7
16.6
10.9
9.8
9.0
Per share data (`)
EPS
22.0
30.5
27.4
26.3
31.9
Cash EPS
24.4
37.0
33.7
33.5
40.0
Dividend
5.0
5.0
5.0
5.0
6.0
Book value
71.3
95.6
127.5
146.8
171.7
Dupont analysis
Tax retention ratio (PAT/PBT)
0.7
0.8
0.7
0.7
0.7
Cost of debt (PBT/EBIT)
1.0
1.0
1.0
1.0
1.0
EBIT margin (EBIT/Sales)
0.2
0.2
0.2
0.1
0.1
Asset turnover ratio (Sales/Assets)
5.8
6.6
4.9
5.2
5.6
Leverage ratio (Assets/Equity)
0.4
0.3
0.4
0.3
0.3
Operating ROE (%)
28.5
33.0
21.5
17.9
18.6
Return ratios (%)
RoCE (pre-tax)
27.6
31.3
24.0
20.5
21.7
Angel RoIC
46.2
54.8
29.3
28.8
33.7
RoE
30.9
31.9
21.5
17.9
18.6
Turnover ratios( x)
Asset turnover (fixed assets)
5.8
6.6
4.9
5.2
5.6
Receivables days
78
78
92
91
92
Payable days
25
26
29
29
29
November 24, 2015
11
Tech Mahindra | 2QFY2016 Result Update
Research Team Tel: 022 - 39357800
E-mail: [email protected]
Website: www.angelbroking.com
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/dealing in securities Market. Angel or its associates including its relatives/analyst do not hold any financial interest/beneficial
ownership of more than 1% in the company covered by Analyst. Angel or its associates/analyst has not received any compensation /
managed or co-managed public offering of securities of the company covered by Analyst during the past twelve months. Angel/analyst
has not served as an officer, director or employee of company covered by Analyst and has not been engaged in market making activity
of the company covered by Analyst.
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Disclosure of Interest Statement
Tech Mahindra
1. Analyst ownership of the stock
No
2. Angel and its Group companies ownership of the stock
No
3. Angel and its Group companies' Directors ownership of the stock
Yes
4. Broking relationship with company covered
No
Note: We have not considered any Exposure below ` 1 lakh for Angel, its Group companies and Directors
Ratings (Based on expected returns
Buy (> 15%)
Accumulate (5% to 15%)
Neutral (-5 to 5%)
over 12 months investment period):
Reduce (-5% to -15%)
Sell (< -15%)
November 24, 2015
12