Maintain BUY with a revised TP of Rs 480 (12.5x Dec-19E EV/EBITDA). DCAL reported a strong top-line but lower margins in 3QFY18. Revenue grew 27% YoY to Rs 4.6bn (in-line with estimates), and EBITDA came in at Rs 1.2bn, up 22% YoY. However, there was a miss at the margin level, with the EBITDA margin coming in at 26.4%, down ~100bps YoY. This was primarily owing to an unfavourable business mix, which led to a decline at the gross margin level (~460bps YoY). The lower margin Carbogen Amcis pie contributed 62% of the top-line in 3QFY18 (vs 49% in 3QFY17) and the high margin India CRAMs segment contributed 10% (vs 15% YoY), causing the margin decline. PAT came in at Rs 420mn, below estimates, but up ~29% YoY.