17 October 2018 Revenue growth of 5.1 % QoQ was better than our estimate, primarily due to the beat in the Design-Led Manufacturing (DLM) business. In Services, revenue growth of 3.5 % QoQ CC was in line with our estimate of 3.8 %. EBITDA margin expanded 150bp QoQ to 13.7 % (50bp beat), as the impact of wage hike was more than offset by currency tailwinds and efficiencies. PAT grew 54 % QoQ to INR1.27b (largely in-line). In Services, CYL clocked 10.2 % YoY CC growth in 2Q. However, this included revenue from AnSem, excluding which, growth would have been lower by 2pp, marking deceleration from 11.7 % YoY CC growth in FY18. Achievement of double-digit growth in FY19 is contingent on continued momentum in 2H, but would still reflect a slowdown on an organic basis. Earlier in the year, CYL alluded to 100bp investments in the New Business Accelerator (NBA) program, which would keep margins flat in FY19.