Valuation Continues to Remain Pricey; Maintain HOLD Cipla's revenue rose by 7.3% YoY to Rs39.1bn in 3QFY18 vs. our estimates of Rs41.6bn. While its US business declined by 1.8% YoY to US$100mn, domestic business grew by 14.5% YoY (+22% YoY adjusted for GST-related accounting). Its South African business grew by 6.1% YoY to Rs8.7bn, while Emerging Market sales dipped by 11.7% YoY to Rs3.7bn. In-line with our estimates, EBITDA rose by 20.8% YoY led by lower operating expenses. Gross margin rose by 281bps QoQ due to better product-mix. EBITDA margin improved by 234bps YoY to 20.9%. We believe Cipla's valuation continues to remain expensive. Rolling over our estimates to FY20E, we maintain...