We reiterate BUY with a revised TP of Rs 174/sh (25x FY19E core EPS + cash). Engineers Indias (ENGR) 1QFY18 revenues came in line with our estimates at Rs 3.8bn. Revenue growth was driven by the PMC segment (+21%), while the LSTK segment declined 30% on the back of slower execution. With no major provision write backs, PMC/LSTK EBIT margins stood at 28.0/7.6%. Overall EBITDA margins stood at 21.8% (+40bps YoY). Wage hike provisions increased to Rs 380mn (vs ~Rs 200mn provided in 4QFY17). Consequently, APAT stood at Rs 814mn. The order book stood robust at Rs 77bn (5.2x TTM revenues).