Result Update September 9, 2016

Rating matrix Rating : Hold (EROINT) | 226 Target : | 225 Target Period : 12 months Strong content pipeline ahead… Potential Upside : 0%

 Revenues came in at | 408.2 crore higher than expectations of What’s changed? | 363.8 crore aided by the successful box-office run of some of the Target Unchanged Eros banner films such as Housefull 3’, Ki and Ka, Sardaar Gabbar EPS FY17E Changed from | 21.4 to | 23.4 Singh’ (Telugu), 24’ (Tamil), and Nil Battey Sannata’ among a host of EPS FY18E Unchanged other films. The revenues were also aided by satellites sales of some Rating Unchanged of the movies released in the quarter Quarterly performance  EBITDA came in at | 81.0 crore vs. our expectation of | 71.8 crore Q1FY17 Q1FY16 YoY (%) Q4FY16 QoQ (%) while margins came in at 19.8%. Though the costs were higher than Revenue 408.2 472.5 -13.6 269.9 51.2 expectations, increased contribution from the higher margin earning EBITDA 81.0 89.5 (9.5) 32.1 152.2 satellite revenues helped Eros in clocking in-line margins. EBITDA (%) 19.8 18.9 91 bps 11.9 794 bps  PAT came in at | 58.9 crore, higher than our estimate of | 39.7 crore PAT 58.9 53.4 10.3 32.7 79.9 owing to the beat at the operating performance level and lower than expected tax expenses Key financials | Crore FY15 FY16 FY17E FY18E Leading producer/distributor with one of the largest film libraries Net Sales 1,421 1,583 1,747 2,158 Eros, a producer/distributor, has a large film library of over 2000 films. EBITDA 349 324 375 497 The company has also launched Trinity Pictures to focus on franchise Net Profit 247 214 219 263 films. The first movie from the arm is likely to get released by FY18E. The EPS (|) 26.7 22.9 23.4 28.2 company released 63 movies in FY16 across , Tamil/Telugu and other languages, of which six were high budget movies. Eros continues to Valuation summary get its movie selection right and boasts of blockbusters such as Bajrangi FY15 FY16 FY17E FY18E P/E 8.5 9.9 9.6 8.0 Bhaijaan, Bajirao Mastani, Tanu Weds Manu Returns from its stable. Target P/E 8.4 9.8 9.6 8.0 Hence, FY16 saw 28.0% YoY growth in domestic theatrical revenues to EV / EBITDA 6.8 6.6 7.0 5.8 | 693.2 crore. With a strong movie slate with movies like Baar Baar P/BV 1.4 1.2 1.1 1.0 Dekho, Banjo, in the pipeline, we expect domestic theatrical RoNW 16.7 12.1 11.6 12.2 revenues of | 683.8 crore & | 684.6 crore in FY17E & FY18E, respectively. RoCE 16.7 14.0 13.2 14.9 Catalogue sales to rise further as receivables come under control

Stock data Catalogue revenues have longer payment cycles associated with them. Particular Amount Eros was indeed able to bring down receivables from | 525.7 crore (FY15) Market Capitalization (| Crore) 2,115.4 to | 428.2 crore (FY16) by deferring the catalogue revenues for a couple Total Debt (FY15) (| Crore) 425.0 of quarters. Hence, the number of days has come down from 135 to 98 Cash (FY15) (| Crore) 169.7 over the same period. Eros indicated there were renewed deals with EV 2,370.7 shorter payment cycles while catalogue revenues would again rebound to 52 week H/L 546 / 128 20% and 25% of revenues in FY17E and FY18, respectively, from 15.0% Equity capital 92.5 in FY16. We have re-aligned our estimates in line with the guidance. Face value 10 Delivering on clearer transfer pricing terms…

There have been certain changes in the transfer pricing agreement with

Eros International PLC. As per changes, the overseas rights including

global digital media rights to Eros International Plc, is to be now

transferred at 40% of the production cost of each film with an additional

mark-up of 20% vs. 30% of the production cost with a mark-up of 30.0%

earlier. The amortisation of a new film produced is increased to 76% of content cost in the first year from 72%. Eros will hold an equity

stake of 10-15% in the global digital business structure at a marginal cost.

Hence, it can participate in the long term value creation of the ErosNow

business. We have, however, not assigned any value to Eros Now

currently as revenues remain marginal/unclear as of now. Eros Now potential still remains unclear; maintain HOLD Research Analyst The company has done its best to come clear of the recent allegations. Bhupendra Tiwary The new transfer pricing mechanism is an added positive. However, [email protected] clarity on the Eros Now potential and rationale for 10-15% stake would Sneha Agarwal have been better. We value Eros at 8x FY18E EPS arriving at a target price [email protected] of | 225. We maintain HOLD.

ICICI Securities Ltd | Retail Equity Research

Variance analysis esl Q1FY17 Q1FY17E Q1FY16 Q4FY16 YoY (%) QoQ (%) Comments Revenue 408.2 363.8 472.5 269.9 -13.6 51.2 Revenues were aided by the successful box-office run of some of the Eros banner films such as ‘Housefull 3’, ‘Ki and Ka’, ‘Sardaar ’ (Telugu), ‘24’ (Tamil), and ‘Nil Battey Sannata’. The revenues were also boosted by satellites sales of some of the movies released in the quarter.

Other Income 2.2 2.5 8.1 4.8 -73.0 -54.7

Raw Material Expenses 0.0 0.0 0.0 0.0 NA NA Employee Expenses 17.5 10.9 10.9 16.5 61.3 6.4 Administrative Expenses 21.8 9.1 10.1 9.9 116.9 120.0 Operating Expenses 317.1 272.0 230.2 208.3 37.7 52.2 The content costs of the movies was slightly higher than expectations given the mix of movie slate released during the quarter Changes in inventories of finished goods -29.2 0.0 131.9 3.1 -122.1 -1,040.6

EBITDA 81.0 71.8 89.5 32.1 -9.5 152.2 EBITDA Margin (%) 19.8 19.7 18.9 11.9 91 bps 794 bps Margins were largely in line with our estimates Depreciation 2.2 1.6 1.3 2.4 69.0 -9.5 Interest 9.4 9.6 8.5 7.0 11.1 34.1

Total Tax 18.1 21.4 24.5 -5.0 -25.9 -465.5 PAT 58.9 39.7 53.4 32.7 10.3 79.9 The earnings beat was driven by superior topline and higher than anticipated operating profits

Source: Company, ICICIdirect.com Research

Change in estimates FY17E FY18E (| Crore) Old New % Change Old New % Change Comments Revenue 1,698.1 1,747.1 2.9 2,157.5 2,157.5 0.0 We have incoporated Q1FY17 topline beat, which has led to upward revision in topline for FY17E

EBITDA 366.1 375.4 2.5 498.5 497.4 -0.2 EBITDA Margin (%) 21.6 21.5 -11 bps 23.1 23.1 -5 bps PAT 200.0 219.4 9.7 263.6 263.5 0.0 The earnings upward revision is largely owing to higher topline estimates EPS (|) 21.4 23.4 9.5 28.2 28.2 -0.2

Source: Company, ICICIdirect.com Research

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Company Analysis Content pipeline The company released 63 movies in FY16 across Hindi, Tamil/Telugu and other languages, of which six were high budget, 16 were medium budget and 41 low budget movies. The company continues to get its movie selection right, evident from its presence in three out of top four box office releases. Bajrangi Bhaijaan, Bajirao Mastani, Tanu Weds Manu Returns and Welcome Back were superhits in FY16. In addition, Eros is rapidly increasing its footprint in the regional domain with movies that have fared quite well such as (Telugu), Lingaa (multi- lingual), (Telugu), Kaththi (Tamil), etc.

Hence, FY16 saw 28.0% YoY growth in domestic theatrical revenues to | 693.2 crore. With the strong movie slate with movies such as , Banjo, Rock On 2 in the pipeline, we expect domestic theatrical revenues of | 683.8 crore & | 684.6 crore in FY17E & FY18E, respectively

Exhibit 1: Content pipeline till FY17E Movie name Starcast / (Director) Expected Housefull 3 Akshay Kumar, Riteish Deshmukh, Abhishek / (Nadiadwala / Sajid Farhad) Q1FY17 Ganvesh Kishore Kadam, Mukta Barve, Dilip, Smita / (Atu Jagdale) Q1FY17 & Jara Hatke Indraneil Sengupta & Mrinal Kulkarni / (Ravi Jadhav) Q1FY17 White Mammootty, Huma Qureshi, Shankar Ramakrishnan / (Uday Amanthan) Q1FY17 Saat Kadam Amit Sadh, Deeksha Seth, Ronit Roy / (Mohit Jha) Q1FY17 Naale Fahad Fazil, Malavika S Mohan, Isha Talwar, Mukesh (Shiju S Bawa) Q2FY17 Happy Bhaag Jayegi Abhay Deol & Diana Penty / (Colour Yellow / Mudassar Aziz) Q2FY17 Dishoom John Abraham, Varun Dhawan, Jackie Fernandez / (Nadiadwala / Rohit Dhawan Q2 FY17 Banjo Riteish Deshmukh & Nargis Fakhri / (Ravi Jadhav) Q2 FY17 Baar Baar Dekho Siddharth Malhotra & / (Dharma / Nitya Mehra) Q2 FY17 Ticket to Bollywood Amyra Dastoor, Diganth Manchale / (Eros) Q2 FY17

Source: Company, ICICIdirect.com Research

Reduced receivables, B/S improves, Catalogue sales to rise Catalogue revenues have longer payment cycles associated with them. In FY16, the company had deferred sales for a couple of quarters to enable the receivables position to normalise. Eros was indeed able to bring down receivables from | 525.7 crore (FY15) to | 428.2 crore (FY16). Hence, the number of days has come down from 135 to 98 over the same period. Eros indicated that there were renewed deals with shorter payment cycles and catalogue revenues would again rebound to 20% and 25% of revenues in FY17E and FY18, respectively, from 15.0% in FY16. There could be some addition from lost revenues in the coming year. We have re-aligned our estimates in-line with the guidance.

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Transfer pricing arrangement with parent improves, de-risks 48% of revenues Based on a detailed transfer pricing study by a Big 4 Accounting firm, the company has made certain changes in its existing relationship agreement with its parent Eros International Plc. Consequently, the company will transfer the overseas rights including global digital media rights to Eros International Plc, or its subsidiaries at an amount equal to 40% of production cost of each film with an additional mark-up of 20% vs. 30% of production cost at an additional 30% mark-up earlier.

If a movie costs | 100 crore, the parent will be billed for | 48 crore (| 100 crore*40%*1.2), henceforth, vs. | 39 crore (| 100 crore*30%*1.3) initially. The arrangement leads to additional revenues from overseas rights (~23% higher than the earlier arrangement). The deal also leads to certain changes in the amortisation schedule. The cost of movie production will be amortised to the extent of 76% in the first year in this arrangement vs. 72% earlier. The absolute EBITDA impact from the change in arrangement is | 5.0 crore.

Additionally, the Eros India group will hold an equity stake of 10-15% of the global digital business structure to participate in the long term value creation of the ErosNow business, any future value enhancement, stake divestment, IPO, etc. Foraying into Chinese market Eros has entered into partnerships with three Chinese film companies to explore joint opportunities such as promotion, co-production, distribution and unlocking value in respective intellectual properties for Sino-Indian films across all platforms in both countries.

Foreign films, mainly from Hollywood, accounted for about 45% of total Chinese box office on a strict quota of 34 movies, with the rest coming from over 600 local Chinese films and displayed in China, which has about 23600 screens. The company recently announced its first ever Sino-Indian film project, Da Tang Xuan Zang (Monk Xuan Zang) in collaboration with Chinese state owned production company, Chinese Film Corporation. The company is currently seeing visibility of two projects cumulatively amounting to $35 mn half of which will be financed by Eros and the other half by the Chinese counterpart. The company is looking forward to the release of Bajirao Mastani in Chinese markets. Since the revenue potential from the Chinese markets remain unclear as of now we have not included the same in our estimates.

Balance sheet improvement on track… The company saw a sharp correction in its stock led by rising concerns over accounting practices followed by the parent company, the stark increase in receivables owing to increased business exposure to UAE, validation of the Eros Now user base and the future cash flow viability. The company had then guided about marked improvement in its receivables situation and better free cash flow generation.

The total receivables were at | 428.2 crore in FY16 compared to | 525.7 crore in FY15. In terms of debtor days, receivables improved to 97.5 days as on March 31, 2016 vs. 133 days on March 31, 2015. Hence, Eros has been able to generate healthy free cash flow of | 300 crore compared to negative | 5.0 crore in FY2015. This demonstrates the working capital efficiencies the company was able to effect. The net debt/equity ratio also saw an improvement to 0.06 in FY16 compared to 0.21 as on FY15.

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Valuation The company has done its best to come clear of the recent allegations. The new transfer pricing mechanism is an added positive. However, clarity on the Eros Now potential and rationale for 10-15% stake would have been better. We value Eros at 8x FY18E EPS arriving at a target price of | 225. We maintain HOLD recommendation.

Exhibit 2: Valuations Sales Growth EPS Growth PE EV/EBITDA RoNW RoCE (| cr) (%) (|) (%) (x) (x) (%) (%) FY15 1421.2 25.2 26.7 23.0 8.5 6.8 16.7 16.7 FY16 1582.7 11.4 22.9 -14.3 9.9 6.6 12.1 14.0 FY17E 1747.1 10.4 23.4 2.4 9.6 7.0 11.6 13.2 FY18E 2157.5 23.5 28.2 20.1 8.0 5.8 12.2 14.9

Source: Company, ICICIdirect.com Research

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Recommendation History versus Consensus estimates

700 100.0 90.0 600 80.0 500 70.0 60.0 (|) 400 50.0 (%) 40.0 300 30.0 200 20.0 10.0 100 0.0 Aug-14 Nov-14 Jan-15 Apr-15 Jun-15 Sep-15 Nov-15 Feb-16 Apr-16 Jun-16 Sep-16

Price Idirect target Consensus Target Mean % Consensus with BUY

Source: Bloomberg, Company, ICICIdirect.com Research

Key events Date Event Oct-10 Company converted into public limited company. Name changed to Eros International Media Ltd Nov-11 Eros International's Rockstar records hugely successful opening weekend collection of | 64 crore gross worldwide May-12 Launches online entertainment service, ‘Eros Now’ to offer digitised Bollywood film content Sep-13 Eros gains as parent Eros International PLc files update for IPO listing with the SEC Nov-13 Temasek's Fullerton buys stake in Indian film distributor through Eros International Plc ganing a foothold in the local movie industry, Bollywood Dec-13 Movies like Yeh Jawani Hai Deewani , Ram Leela and R Rajkumar fare exceedingly well at the box office Dec-13 Eros International Media (Eros International) forays into the Telugu market by co-producing 's '1 ' Nenokkadine . Produced by 14 Reels Entertainment and Eros, the upcoming action thriller releases on January 10, 2014 Aug-14 Acquires mobile VAS player Techzone to manage billing and marketing of its digital offerings through Eros Now across mobile platforms May-15 Signs deals with three major Chinese state owned film and entertainment companies to promote, co-produce, distribute and unlock value in respective intellectual properties for Sino-Indian films across all platforms in both the countries through co-productions, dubbed releases and remakes Oct-15 The stock of the parent company faces several downgrades by some renowned investment banks on concerns relating to the increase in recievables, cash flows and increasing exposure to the UAE. In addition, some of the investment blogs highlight several accounting related inconsistencies in the financials of the company leading to such a massive slump in the stock price

Source: Company, ICICIdirect.com Research

Top 10 Shareholders Shareholding Pattern Rank Name Latest Filing Date % O/S Position (m) Change (m) (in %) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 1 Eros Worldwide FZ, L.L.C. 30-Jun-16 50.4 47.13M 0.0 Promoter 74.37 73.66 73.57 73.55 73.54 2 Eros Digital Pvt. Ltd. 30-Jun-16 23.2 21.70M 0.0 FII 18.26 20.48 13.21 13.68 12.80 3 Norges Bank Investment Management (NBIM) 30-Jun-16 2.38 2.23M +0.07M DII 2.39 0.08 0.14 0.08 0.10 4 Jupiter Asset Management Ltd. 31-May-16 1.4 1.31M 0.0 Others 4.98 5.78 13.08 12.69 13.56 5 Grandeur Peak Global Advisors, LLC 30-Apr-16 1.2 1.16M +0.01M 6 Dimensional Fund Advisors, L.P. 30-Jun-16 1.2 1.09M 0.0 7 Manulife Asset Management (Asia) 31-Mar-15 1.1 1.03M +0.42M 8 Octopus Investments Limited 30-Apr-15 0.5 0.44M +0.24M 9 Van Eck Associates Corporation 31-Aug-16 0.2 0.22M -0.00M 10 Firth Investment Management Pte. Ltd. 30-Sep-15 0.2 0.14M +0.14M

Source: Reuters, ICICIdirect.com Research

Recent Activity Buys Sells Investor name Value Shares Investor name Value Shares Norges Bank Investment Management (NBIM) +0.22M +0.07M Russell Investments Limited -0.33M -0.12M Grandeur Peak Global Advisors, LLC +0.02M +0.01M RAM Active Investments S.A. -0.22M -0.07M Acadian Asset Management LLC -0.17M -0.06M Fidelity Management & Research Company -0.13M -0.05M Daiwa Asset Management Co., Ltd. -0.13M -0.05M t ekle Source: Reuters, ICICIdirect.com Research

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Financial summary

Profit and loss statement | Crore Cash flow statement | Crore (Year-end March) FY15 FY16 FY17E FY18E (Year-end March) FY15 FY16 FY17E FY18E Total operating Income 1,421.2 1,582.7 1,747.1 2,157.5 Profit after Tax 247.1 214.2 219.4 263.5 Growth (%) 25.2 11.4 10.4 23.5 Add: Depreciation & Amortization 6.9 7.5 7.9 10.8 Operating Expenses 1,072.9 1,011.3 1,234.3 1,487.5 Add: Interest Paid 38.4 33.9 50.7 77.4 Employee Expenses 35.9 55.7 77.8 86.3 (Inc)/dec in Current Assets -502.3 168.9 -72.1 -179.4 Administrative Expenses 96.7 58.1 88.7 86.3 Inc/(dec) in CL and Provisions 709.2 112.0 126.1 314.9 Change in inventory& Other exp. (132.9) 133.5 (29.2) - CF from operating activities 499.3 536.4 332.0 487.2 Total Operating Expenditure 1,072.6 1,258.6 1,371.7 1,660.1 (Inc)/dec in Fixed Asset -619.4 -392.6 -650.0 -700.0 EBITDA 348.6 324.1 375.4 497.4 Others 105.5 41.7 2.3 2.4 Growth (%) 16.3 -7.0 15.8 32.5 CF from investing activities -513.9 -350.8 -647.7 -697.6

Depreciation 6.9 7.5 7.9 10.8 Issue/(Buy back) of Equity 0.5 1.1 0.0 0.0 Interest 38.4 33.9 50.7 77.4 Inc/(dec) in loan funds 41.8 -88.7 325.0 225.0 Other Income 19.9 20.9 9.7 11.0 Dividend & dividend tax - - - -

PBT 323.2 303.6 326.6 420.3 Interest Paid 38.4 33.9 50.7 77.4 Total Tax 76.2 79.1 104.8 142.9 Others -12.4 36.5 -147.0 -77.4 Minority Interest (0.1) 10.4 2.3 13.9 CF from financing activities 29.9 -51.1 178.0 147.6 PAT 247.1 214.2 219.4 263.5 Net Cash flow 15.3 134.5 -137.7 -62.8 Growth (%) 23.7 -13.3 2.5 20.1 Opening Cash 154.4 169.7 304.2 166.4 EPS (|) 26.7 22.9 23.4 28.2 Closing Cash 169.7 304.2 166.4 103.7

Source: Company, ICICIdirect.com Research Source: Company, ICICIdirect.com Research

Balance sheet | Crore Key ratios (Year-end March) FY15 FY16 FY17E FY18E (Year-end March) FY15 FY16 FY17E FY18E Liabilities Per share data (|) Equity Capital 92.5 93.6 93.6 93.6 EPS 26.7 22.9 23.4 28.2 ESOP's - - - - Cash EPS 27.5 23.7 24.3 29.3 Reserve and Surplus 1,389.7 1,674.2 1,797.3 2,060.8 BV 160.2 188.9 202.0 230.2 Total Shareholders funds 1,482.2 1,767.8 1,890.9 2,154.3 DPS 0.0 0.0 0.0 0.0

Total Debt 425.0 336.3 661.3 886.3 Cash Per Share 18.3 32.5 17.8 11.1 Other Non Current Liabilities 259.2 302.9 305.2 307.6 Operating Ratios (%) Total Liabilities 2,166.4 2,407.0 2,857.4 3,348.3 EBITDA Margin 24.5 20.5 21.5 23.1 EBIT / Total Operating income 24.0 20.0 21.0 22.6 Assets PAT Margin 17.4 13.5 12.6 12.2 Gross Block 4,116.4 4,153.6 4,803.6 5,503.6 Inventory days 35.2 0.8 0.8 0.7 Less: Acc Depreciation 2,902.3 2,909.8 2,917.6 2,928.4 Debtor days 135.0 98.8 98.8 98.8 Net Block 1,214.1 1,243.8 1,886.0 2,575.2 Creditor days 277.7 269.1 269.1 269.1 Capital WIP 1,018.1 1,373.5 1,373.5 1,373.5 Return Ratios (%) Total Fixed Assets 2,232.2 2,617.3 3,259.5 3,948.7 RoE 16.7 12.1 11.6 12.2 Investments 0.0 0.0 0.0 0.0 RoCE 16.7 14.0 13.2 14.9 Inventory 136.9 3.4 3.8 4.1 RoIC 35.1 43.8 28.0 26.1 Debtors 525.7 428.2 472.7 583.8 Valuation Ratios (x) Loans and Advances 184.0 232.6 256.7 317.1 P/E 8.5 9.9 9.6 8.0 Other Current Assets 16.3 29.8 32.9 40.6 EV / EBITDA 6.8 6.6 7.0 5.8

Cash 169.7 304.2 166.4 103.7 EV / Net Sales 1.7 1.4 1.5 1.3 Total Current Assets 1,032.6 998.2 932.5 1,049.1 Market Cap / Sales 1.5 1.3 1.2 1.0 Creditors 1,081.1 1,166.8 1,288.0 1,590.6 Price to Book Value 1.4 1.2 1.1 1.0 Provisions 21.1 47.5 52.4 64.7 Solvency Ratios Total Current Liabilities 1,102.2 1,214.3 1,340.4 1,655.3 Debt/EBITDA 1.2 1.0 1.8 1.8 Net Current Assets -69.6 -216.1 -407.9 -606.1 Debt / Equity 0.3 0.2 0.3 0.4 Other Non Current Assets 3.8 5.7 5.7 5.7 Current Ratio 0.8 0.6 0.6 0.6 Application of Funds 2,166.4 2,407.0 2,857.4 3,348.3 Quick Ratio 0.7 0.6 0.6 0.6

Source: Company, ICICIdirect.com Research Source: Company, ICICIdirect.com Research

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ICICIdirect.com coverage universe (Media)

CMP M Cap EPS (|) P/E (x) EV/EBITDA (x) RoCE (%) RoE (%) Sector / Company (|) TP(|) Rating (| Cr) FY16E FY17E FY18E FY16E FY17E FY18E FY16E FY17E FY18E FY16E FY17E FY18E FY16E FY17E FY18E DB Corp (DBCORP) 404 455 Buy 7,424 16.1 21.8 25.2 25.0 18.6 16.0 13.9 10.1 8.6 29.9 32.6 32.4 22.0 24.1 23.8 DISH TV (DISHTV) 96 87 Hold 10,233 6.5 2.3 3.6 14.8 42.3 26.7 10.7 9.5 7.6 31.1 36.2 43.7 181.9 38.951 38.198 ENIL (ENTNET) 808 800 Buy 3,852 21.0 17.8 23.4 38.5 45.3 34.6 24.7 22.9 17.4 14.5 13.9 17.3 13.0 10.0 11.7 Eros (EROINT) 226 225 Hold 2,117 22.9 23.4 28.2 9.9 9.6 8.0 6.6 7.0 5.8 14.0 13.2 14.9 12.1 11.6 12.2 Hathway Cables 27 NA NA 2,276 -2.0 -2.0 -1.8 NM NM NM 10.8 9.8 9.2 0.9 2.8 3.3 NM NM NM HT Media (HTMED) 85 86 Hold 1,974 7.2 6.6 7.8 11.8 12.9 10.9 7.4 5.0 4.0 10.7 11.8 12.8 8.2 7.0 7.6 Inox Leisure (INOX) 274 290 Buy 2,516 8.4 8.5 10.4 32.5 32.1 26.2 14.2 12.6 10.4 11.1 12.0 13.8 10.9 9.4 10.3 Jagran Prakashan 191 220 Buy 6,247 13.6 12.8 14.8 14.0 14.9 12.9 10.9 8.8 7.2 23.9 27.128 28.32 22.5 22.5 21.8 PVR (PVRLIM) 1,219 1,300 Buy 5,695 25.4 22.9 30.2 47.9 53.3 40.4 17.9 16.2 13.2 15.6 14.5 16.9 14.3 11.1 12.8 Sun TV (SUNTV) 475 480 Hold 18,731 23.2 27.4 32.0 20.5 17.3 14.9 9.8 8.6 7.4 36.1 39.9 43.0 24.9 27.8 29.8 TV Today (TVTNET) 305 363 Buy 1,819 15.8 18.7 24.2 19.3 16.3 12.6 11.3 9.0 6.8 27.6 27.2 29.6 17.7 17.9 19.6 ZEE Ent. (ZEETEL) 533 583 Hold 51,151 10.7 13.1 17.5 49.8 40.8 30.5 32.8 26.2 20.2 25.9 26.5 28.8 16.8 17.0 19.1 Source: Company, ICICIdirect.com Research

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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 [email protected]

ICICIdirect.com Research Desk, ICICI Securities Limited, 1st Floor, Akruti Trade Centre, Road No 7, MIDC, Andheri (East) – 400 093 [email protected]

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ICICI Securities or its associates might have received any compensation from the companies mentioned in the report during the period preceding twelve months from the date of this report for services in respect of managing or co-managing public offerings, corporate finance, investment banking or merchant banking, brokerage services or other advisory service in a merger or specific transaction.

ICICI Securities or its associates might have received any compensation for products or services other than investment banking or merchant banking or brokerage services from the companies mentioned in the report in the past twelve months.

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It is confirmed that Bhupendra Tiwary MBA, Sneha Agarwal, MBA, Research Analysts of this report have not received any compensation from the companies mentioned in the report in the preceding twelve months.

Compensation of our Research Analysts is not based on any specific merchant banking, investment banking or brokerage service transactions.

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It is confirmed that Bhupendra Tiwary MBA, MBA Sneha Agarwal, MBA, Research Analysts do not serve as an officer, director or employee of the companies mentioned in the report.

ICICI Securities may have issued other reports that are inconsistent with and reach different conclusion from the information presented in this report.

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