At CMP, valuations remain unsupportive (29x FY19E and 23x FY20E EPS). Maintain NEUTRAL with a TP of Rs 595 (22x FY20E). Ciplas top line at Rs 39.4bn grew 11.7%YoY and 6.5%QoQ with India and the US business growing 21.5% and 3.7% YoY respectively. EBITDA was Rs 7.3bn, up 12.4% YoY. The margin was 18.4%, flat YoY/up 338bpsQoQ, led by favourable business mix. However, it was 200bps below our estimates as 1Q has always been a good quarter for Cipla owing to its domestic acute portfolio.