Results: For Q1FY17, Exide Industries (EXID) reported a strong set of numbers, with revenue up 12% YoY to Rs20.1bn vs our estimate of Rs19.3bn. EBITDA margins rose 90bps YoY to 15.7% (20bps higher than our estimate of 15.5%), on the back of an unexpected 178bps expansion in gross margins to 37.6%. The rise in gross margins was a surprise given rising lead prices LME lead (INR) has risen 9% YoY (assuming a 2month lag). PAT rose 26% to Rs1.93 bn (vs est. Rs1.76 bn), as a 341bps fall in tax rates along with higher other income (up 3.6X) offset a 34% increase in...