InCred Equities - Tata Elxsi Ltd

	Mar-24A	Mar-25F	Mar-26F	Mar-27F
Revenue (Rsm)	35,521	39,561	45,576	53,121
Operating EBITDA (Rsm)	10,464	11,771	13,752	16,100
Net Profit (Rsm)	7,923	8,621	10,097	11,806
Core EPS (Rs)	127.2	138.4	162.1	189.6
Core EPS Growth	4.9%	8.8%	17.1%	16.9%
FD Core P/E (x)	40.83	37.52	32.04	27.40
DPS (Rs)	70.0	80.0	95.0	115.0
Dividend Yield	1.35%	1.54%	1.83%	2.21%
EV/EBITDA (x)	29.56	25.98	21.99	18.56
P/FCFE (x)	52.32	42.29	39.15	33.49
Net Gearing	(56.4%)	(61.7%)	(64.2%)	(65.9%)
P/BV (x)	12.91	11.27	9.84	8.62
ROE	34.5%	32.1%	32.8%	33.5%
% Change In Core EPS Estimates
InCred Research/Consensus EPS (x)

(Rs mn)	Mar-24A	Mar-25F	Mar-26F	Mar-27F
Total Net Revenues	35,521	39,561	45,576	53,121
Gross Profit	14,492	16,032	18,629	21,730
Operating EBITDA	10,464	11,771	13,752	16,100
Depreciation And Amortisation	(994)	(1,108)	(1,231)	(1,381)
Operating EBIT	9,470	10,663	12,522	14,718
Financial Income/(Expense)	1,017	909	1,032	1,129
Pretax Income/(Loss) from Assoc.
Non-Operating Income/(Expense)
Profit Before Tax (pre-EI)	10,487	11,572	13,553	15,848
Exceptional Items
Pre-tax Profit	10,487	11,572	13,553	15,848
Taxation	(2,564)	(2,951)	(3,456)	(4,041)
Exceptional Income - post-tax
Profit After Tax	7,923	8,621	10,097	11,806
Minority Interests
Preferred Dividends
FX Gain/(Loss) - post tax
Other Adjustments - post-tax
Net Profit	7,923	8,621	10,097	11,806
Recurring Net Profit	7,923	8,621	10,097	11,806
Fully Diluted Recurring Net Profit	7,923	8,621	10,097	11,806

(Rs mn)	Mar-24A	Mar-25F	Mar-26F	Mar-27F
EBITDA	10,464	11,771	13,752	16,100
Cash Flow from Invt. & Assoc.
Change In Working Capital	(1,351)	(570)	(1,434)	(1,798)
(Incr)/Decr in Total Provisions
Other Non-Cash (Income)/Expense	193
Other Operating Cashflow	(445)
Net Interest (Paid)/Received	731
Tax Paid	(2,580)	(2,951)	(3,456)	(4,041)
Cashflow From Operations	7,012	8,250	8,862	10,260
Capex	(830)	(600)	(600)	(600)
Disposals Of FAs/subsidiaries
Acq. Of Subsidiaries/investments
Other Investing Cashflow	(1,871)	1,108	1,231	1,328
Cash Flow From Investing	(2,701)	508	631	728
Debt Raised/(repaid)
Proceeds From Issue Of Shares
Shares Repurchased
Dividends Paid	(3,774)	(4,983)	(5,917)	(7,162)
Preferred Dividends
Other Financing Cashflow	(504)	(199)	(199)	(199)
Cash Flow From Financing	(4,278)	(5,181)	(6,116)	(7,361)
Total Cash Generated	33	3,576	3,377	3,627
Free Cashflow To Equity	6,182	7,650	8,262	9,660
Free Cashflow To Firm	4,513	8,758	9,493	10,988

(Rs mn)	Mar-24A	Mar-25F	Mar-26F	Mar-27F
Total Cash And Equivalents	14,139	17,715	21,092	24,719
Total Debtors	9,716	10,730	12,362	14,408
Inventories	11	11	11	11
Total Other Current Assets	1,502	1,502	1,502	1,502
Total Current Assets	25,367	29,957	34,966	40,640
Fixed Assets	3,847	3,339	2,709	1,927
Total Investments	1,943	1,943	1,943	1,943
Intangible Assets	134	134	134	134
Total Other Non-Current Assets	578	578	578	578
Total Non-current Assets	6,503	5,995	5,364	4,583
Short-term Debt
Current Portion of Long-Term Debt
Total Creditors	856	1,301	1,498	1,746
Other Current Liabilities	3,603	3,603	3,603	3,603
Total Current Liabilities	4,459	4,904	5,101	5,349
Total Long-term Debt
Hybrid Debt - Debt Component
Total Other Non-Current Liabilities	1,812	1,812	1,812	1,812
Total Non-current Liabilities	1,812	1,812	1,812	1,812
Total Provisions	542	542	542	542
Total Liabilities	6,813	7,257	7,455	7,703
Shareholders Equity	25,057	28,695	32,876	37,520
Minority Interests
Total Equity	25,057	28,695	32,876	37,520

	Mar-24A	Mar-25F	Mar-26F	Mar-27F
Revenue Growth	13.0%	11.4%	15.2%	16.6%
Operating EBITDA Growth	8.9%	12.5%	16.8%	17.1%
Operating EBITDA Margin	29.5%	29.8%	30.2%	30.3%
Net Cash Per Share (Rs)	227.03	284.45	338.68	396.92
BVPS (Rs)	402.34	460.77	527.90	602.47
Gross Interest Cover	46.78	53.61	62.95	74.00
Effective Tax Rate	24.5%	25.5%	25.5%	25.5%
Net Dividend Payout Ratio	55.0%	57.8%	58.6%	60.7%
Accounts Receivables Days	100.08	94.32	92.47	91.97
Inventory Days	0.13	0.17	0.15	0.13
Accounts Payables Days	16.39	16.73	18.96	18.86
ROIC (%)	73.2%	70.1%	81.9%	89.9%
ROCE (%)	31.2%	29.6%	30.3%	31.2%
Return On Average Assets	24.0%	23.4%	24.5%	25.6%

(91) 22 4161 1543 abhishek.shindadkr@incredresearch.com