We maintain BUY with a TP to Rs 670, implying 14x Dec-19 earnings. Cyient delivered good revenue growth and margin performance in 3QFY18. Revenue at USD 152.0mn was up 1.3% QoQ (in-line with our est. of USD 152.5mn). This was led by strong growth in core IT services (92% of revenue, +4.2% QoQ, +4.4% CC) offset by drag in Design Led Manufacturing (DLM) business (8.0% of revenue, -23.3% QoQ). Margin remained flat at 14.5% (in-line with our est. of 14.4%) despite a seasonally weak quarter, led by higher utilization (+270bps) and off-shoring (+8.2% QoQ).