External broker reports(aggregated public sources), HDFC Securities

HDFC Securities

External broker reports(aggregated public sources)

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Thematic (Sector/Industry)

<ul><li>Bajaj Auto: Driven by a better mix, Bajaj Auto’s Q1 PAT at INR19.9bn was ahead of our estimate</li><li>There has been an uptick in prices of aluminum, copper, rubber, and metals like rhodium and platinum, which has been offset by steady prices of steel, nickel, lead, and palladium and the company’s cost reduction initiatives</li><li>Price increases taken in the ICE portfolio offset the price reduction taken in the electric portfolio</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Bajaj Auto: Driven by a better mix, Bajaj Auto’s Q1 PAT at INR19.9bn was ahead of our estimateThere has been an uptick in prices of aluminum, copper, rubber, and metals like rhodium and platinum, which has been offset by steady prices of steel, nickel, lead, and palladium and the company’s cost reduction initiativesPrice increases taken in the ICE portfolio offset the price reduction taken in the electric portfolioContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

HSIE Results Daily: Bajaj Auto, LTIMindtree, L&T Technology Services, Karur Vysya Bank, Mastek

Equity Bottom-Up

Havells India Limited manufactures electrical products. The Company's products include building circuit protection equipment, industrial switchgears, energy meters, cables & wires, modular switches, fans and lighting products.

<ul><li>Havells’ Q1 revenue print was largely in line with our estimates with the growth (+20% YoY) being led by the summer portfolio (ECD: +20%, Lloyd: + 47%)</li><li>Barring some election-related impact, there is sustenance of momentum in the B2B portfolio while the B2C portfolio continues to see gradual improvement in consumer sentiment</li><li>However, EBITDAM expansion of 160bps YoY to 9.9% was below our expectations (10.5%), largely due to weak switchgear performance (delay in passing on cost increase and shifting of export orders)</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Havells’ Q1 revenue print was largely in line with our estimates with the growth (+20% YoY) being led by the summer portfolio (ECD: +20%, Lloyd: + 47%)Barring some election-related impact, there is sustenance of momentum in the B2B portfolio while the B2C portfolio continues to see gradual improvement in consumer sentimentHowever, EBITDAM expansion of 160bps YoY to 9.9% was below our expectations (10.5%), largely due to weak switchgear performance (delay in passing on cost increase and shifting of export orders)Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Havells India - Margin Improvement a Tad Below Expectation.

Infosys Limited provides IT consulting and software services, including e-business, program management and supply chain solutions. The Group's services include application development, product co-development, and system implementation and system engineering. Infosys targets businesses specializing in the insurance, banking, telecommunication and manufacturing sectors.

<ul><li>Infosys’ (INFO) Q1 sprung a positive surprise on the growth front, led by a revival in the BFSI vertical and an improvement in deal conversion to revenue (similar to TCS)</li><li>INFO’s revenue growth of 3.6% QoQ CC was driven largely by BFSI recovery contributing 2% QoQ to overall growth</li><li>In addition, 0.5% QoQ was on a one-time project basis</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Infosys’ (INFO) Q1 sprung a positive surprise on the growth front, led by a revival in the BFSI vertical and an improvement in deal conversion to revenue (similar to TCS)INFO’s revenue growth of 3.6% QoQ CC was driven largely by BFSI recovery contributing 2% QoQ to overall growthIn addition, 0.5% QoQ was on a one-time project basisContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Cholamandalam Investment and Finance / Equity Bottom-Up

Cholamandalam Investment and Finance Company Limited operates as a financial services provider. The Company offers vehicle finance, home equity loans, investment advisory, stock broking, and other financial services to customers.

Cholamandalam Investment and Finance (CIFC IN)

<ul><li>CIFC’s portfolio diversification beyond vehicle finance (VF) has yielded results with the share of vehicle finance at ~58% as of Mar-24 (FY18: 73%), which is poised to fall further to ~50% over the next three years</li><li>With the new engines gradually approaching their maturity curves, we expect CIFC to sustain its profitability at current levels</li><li>With increased investments (increased branch penetration of these products, scale-up of channel partners, tie-ups with corporates, etc.), we expect strong efficiency gains to kick in over the next couple of years, offsetting the uptick in credit costs, given the likely normalisation of the benign credit environment</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CIFC’s portfolio diversification beyond vehicle finance (VF) has yielded results with the share of vehicle finance at ~58% as of Mar-24 (FY18: 73%), which is poised to fall further to ~50% over the next three yearsWith the new engines gradually approaching their maturity curves, we expect CIFC to sustain its profitability at current levelsWith increased investments (increased branch penetration of these products, scale-up of channel partners, tie-ups with corporates, etc.), we expect strong efficiency gains to kick in over the next couple of years, offsetting the uptick in credit costs, given the likely normalisation of the benign credit environmentContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CIFC IN: Loan Growth Moderation to Test Sector Leadership. Maintain ADD

<ul><li>Asian Paints: APNT’s revenue declined 2.3% YoY in Q1 to INR 89.7bn (HSIE: INR 91.5bn)</li><li>Decorative clocked 7/-3% volume/value growth in Q1 and industrial business grew 5.8% YoY in Q1</li><li>Distemper, Neo Bharat (new product) and premium waterproofing performed well while economy emulsions struggled</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Asian Paints: APNT’s revenue declined 2.3% YoY in Q1 to INR 89.7bn (HSIE: INR 91.5bn)Decorative clocked 7/-3% volume/value growth in Q1 and industrial business grew 5.8% YoY in Q1Distemper, Neo Bharat (new product) and premium waterproofing performed well while economy emulsions struggledContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

HSIE Results Daily: Asian Paints, Angel One