Backed by 11.5% volume growth, Jyothy Laboratories (JYL) has reported revenues, EBITDA and net profit of Rs4.3bn, 693mn and 329mn, respectively in 3QFY18. Adjusted for GST-related accounting impact, revenues for the quarter rose by 15.9% YoY. We expect JYL to report revenue and adjusted earnings CAGR of 9.8% and 21%, respectively through FY17-20E. We remain positive on the stock considering strong earnings growth and reasonable valuations at 27.5x FY20E earnings (20% discount to sector multiples ex-ITC). Hence, we maintain our BUY recommendation on the...