Bharat Forges (BHFC) 3QFY17 APAT at Rs 1.4bn (-17% YoY, 10% QoQ) was above expectations. Net revenue at Rs 9.4bn (-11% YoY) was in line with estimates owing to a decline in exports (-26% YoY). EBITDA margins improved by 100bps QoQ, driven by lower employee costs and expansion of gross margins ( 180bps QoQ).