Considering ALKEM's business model (high % of branded revenues), growth trajectory, and regulatory track record, we upgrade our earnings multiple to 22x from 21x and maintain BUY with a revised TP of Rs 2,100 (22x Sep19E). Channel re-stocking post GST implantation was the key reason behind Alkem Labs (ALKEM) revenue uptick and strong EBITDA margin in 2QFY18. Revenue came in at Rs 18.7bn, up 14% YoY, with the domestic business growing 15% YoY. Operating leverage on channel compensation led to a sharp jump in the EBITDA margin to 24.7%, expanding ~575bps YoY. PAT came in at Rs 3.2bn, up 13% YoY.