Maintain BUY with a TP of Rs 2,027 (21x Sept-20E EPS). Swaraj Engines Ltd (SEL) delivered strong performance in 2Q. Revenue jumped by 18.4% at Rs 2.47bn led by 14.3% increase in Engine volumes (28.56k units )and 3.6% at net ASP. EBITDA rose by 14.4% YoY to Rs 401mn with margin at 16.2% (-56bps YoY/+63bps), hit by 40bps drop in gross margin, partially offset by operating leverage. APAT grew by 8% YoY to Rs 254mn impacted by lower other income (-24% YoY).