Margins Outperform: Cadila's revenues increased by 29.3% on a YoY basis to Rs 32.5 bn (our estimate of Rs 32.0 bn) during the quarter. Key outperformer was US. Operating margins increased to 27.6% (higher than our estimates of 23.3%) compared to 18.9% in Q4FY17 due to higher revenue, better gross margin and lower R & D.