Company Name: Symphony Ltd

Company Ticker: SYML IN

Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Q3 2015 Earnings Call

Company Participants
Renu Baid, Analyst
Nrupesh Shah, Executive Director, Executive Director
Bhadresh Mehta, Chief Financial Officer

Other Participants

Unidentified Participant
Pritesh Chheda, Analyst
Atul Mehra, Analyst
Gaurav Sanghavi, Analyst
Jaya Rathi, Analyst
Ankit Jain, Analyst
Ganesh Radhakrishnan, Analyst
Ravi Naredi, Analyst
R Pattabiraman, Analyst
Viraj Mehta, Analyst
Kamlesh Kotak, Analyst
Rabindranath Nayak, Analyst
Anuj Jain, Analyst
Apurva Kumar, Analyst
Saurabh Ginodia, Analyst

Presentation
Operator
Ladies and gentlemen, good day, and welcome to Symphony 3Q FY15 Post Results Conference Call, hosted by
Batlivala & Karani Securities. As a reminder, all participant lines will be in the listen only mode. There will be an
opportunity for you ask questions after the presentation concludes. (Operator Instructions) Please note that this
conference is being recorded.
I now hand the conference over to Ms. Renu Baid from Batlivala & Karani Securities. Thank you and over to you, Ms.
Baid.

Renu Baid, Analyst

Thank you, Seth. Good evening everyone. On behalf of B&K Securities, I would like to welcome the management of
Symphony Ltd with us today to discuss the post 3Q FY15 results. Today, we have with us from the management Mr.
Nrupesh Shah, Executive Director; Mr. Bhadresh Mehta, CFO; Mr. C.V. Gandhi, Company Secretary; and Mr. Girish
Thakkar, General Manager, Accounts and Finance.
I would like to welcome Mr. Nrupesh Shah to kindly discuss and share a brief about the current quarter and thereafter,
we can start with the Q&A session. Over to you, sir. Mr. Nrupesh Shah.

Page 1 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

Thank you, and welcome all of you in Q3 analyst conference call. My colleagues Bhadresh Mehta, CFO and Mr. Girish
Thakkar, General Manager, Accounts are also joined me. I thank B&K Securities for organizing Q3 analyst conference
call.
In my discussions, review, as well as in the report of data sheets or other workings which we would have shared, there
may be forward-looking statements based on management's plans and assumptions, however the achievements of
results and such forward-looking statements are subject to risks, uncertainties whether external factors and even
inaccurate assumptions. We undertake no obligations to update any such forward-looking statements or estimates.
Let me start with segment-wise brief overview of major developments during the quarter and first nine-months. In
residential air cooler in domestic market, distribution enrollment has exceeded the target and it is up by 7% over last
year. Window Range, which we launched last year and added new models have succeeded and received good response
and same time [ph] meeting with the expectations.
About Modern Trade, the billing so far is up by 51% over last year. Not only that, we could start the placement quite
early, that is by January-end compared to February-end in last year. We have also launched some exclusive models for
e-commerce as announced earlier.
e-Sampark, an app to monitor the sales staff has been launched successfully. This app relate to improvement in
deleveraging, town visits [ph] and also improvement in business quality. Current year, we have launched new
advertisement campaigns and the entire focus of that residential air cooler ad campaign is on low power consumption,
basically to attract the consumers who are using only fans and no other cooling devices.
In the country, there are 164 million households who are using fans and we expect to convert some of them into air
coolers. Again, the focus of advertisement campaign is electricity consumption equivalent to fans. In the current year as
announced earlier, we have substantially enhanced our advertisement budget, expecting long term fruits of the same.
Coming to Centralized Air Cooling Enterprise Customer segment, we launched packaged air coolers. Packaged air
coolers have been launched for the first time in the country. They are compact, easy to install, having no maintenance,
they are metal coolers and their cooling capacity for the first time in air cooling segment has been measured in terms of
the tonnage. The huge advantage lies in the fact that these coolers have extremely low payback periods ranging from 6
months to 12 months, just from savings in electricity consumption vis-a-vis electricity consumption of air conditioners.
There are four models of packaged air coolers; 4 tons to 12 tons and in terms of CFM, which is starting from 3,500
CFM to 10,000 CFMs. For packaged air coolers, we have decided to market through a network of dealers and hence,
this range has been offered to HVAC dealers and there has been excellent response, mainly dealers have been
(inaudible) and there is also good initial response from the customers too. Starting current quarter, they are also being
manufactured locally, which will lead to after response time, economical (inaudible) due to saving in custom duty and
we have started procuring from OEMs specialized in sheet metal components.
Centralized air cooling enterprise customers during the quarter and in the first nine-months, we have executed the
orders across the segments, these are factory establishments, educational institutes, restaurants, religious segment,
cinema halls, laboratories, railways et etcetera. We have also succeeded in signing rates [ph] contracts with HDFC
Bank and ICICI Bank for their rural and semi-rural low cost branches.
(inaudible) we have tied up with Benz to cool their showrooms. We have healthy pipeline of enterprise customers
across the segments. During the quarter and first nine-months, we have further strengthened the theme of centralized air
cooling fill people. In centralized air cooling for the first time, we have come out with TV advertisement campaigns,
which has received encouraging response.
We have also launched several promotional activities over and above, participated in the trade fairs and exhibitions, but
as conveyed earlier, we expect centralized air cooling segment to show long-term growth, but having a huge long-term
potential.

Page 2 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Coming to international business, rest of the world during the quarter, we restarted the operations in exports in
Vietnam, new market, that is Cambodia has been opened-up. However in some of the Middle East countries like Egypt
and Syria, on account of qualitative turmoils, the exports have been partially affected there. During the quarter and in
first nine-months, supplies to import have stabilized.
In today's Board meeting, I am pleased to inform that Board of Directors of the company has considered a proposal for
an international synergistic convergence. The Board has empowered Chairman and Managing Director and Executive
Director to explore the potentiality of synergy of convergence with the affairs of the Company to accomplish its
broader vision to tap the export market. Considering the Non-disclosure Undertaking and international practice, it is
desirable to maintain complete confidentiality at this primitive stage and therefore any further information thereon will
be revealed at appropriate time, if there is any further developments are required.
Just few weeks before, we have shifted our registered office and corporate office. And earlier Symphony was
functioning in four different offices. Now, all the functions and departments are working under one roof, which we
expect will lead to better co-ordination and efficiency. We fiercely protect our intellectual property rights including the
rights, including design registration trademark et cetera. Very recently, about a month before, we could get stay order
against Cello brand belonging to Wim Plast Limited who have copied our four models. Over and above, we also got the
stay order and also restrained (inaudible) industries as well as about eight other small-to-mid size suppliers, functioning
out of value and near-by value.
Coming to Q3 and first nine-months financial performance, for the first nine-months, our net sales stood at 137 crores.

Operator
Sir, sorry to interrupt you, sir. Maybe request you to speak a bit louder sir because your voice is coming a bit low, sir.

Nrupesh Shah, Executive Director, Executive Director

Sure. In first nine-months, our sales -- in first three months, our net sales has been 137 crores versus 113 crores and in
first nine-months, sales has been 391 crores versus 300 crores, while gross revenue including treasury income stood at
146 crores in January to March '15 quarter versus 116 crores, registering growth of about 27% while in first
nine-months, gross revenue stood at 412 crores versus 313 crores, registering revenue growth of 32%.
In terms of total volume of air coolers, in first three months, we have sold about 213,000 air coolers, registering the
volume growth of 14%, while in the first nine-months, we have sold 615,000 air coolers versus 494,000, registering
volume growth of 24.5%. This is the volume growth from domestic as well as international business.
Coming to EBITDA numbers. EBITDA stood at 51 crores versus 35 crores in March quarter, showing growth of 43%
in absolute numbers, while EBITDA percentage to sales stood at 37% versus 31%. While EBITDA in first nine-months
stood at 135 crores versus 91 crores, showing growth of 48% and EBITDA percentage to sales grew from 30% in July
through March '14 quarter to 34.4% that is more than 400 bps in nine months of the current year.
About income tax, effective rate of income tax in last quarter stood at 28% versus 23.8% of the previous year, while in
nine months, it stood at 29.1% versus 26.4% that is increase of almost 2.7%. Coming to profit after tax, PAT, it stood at
36.5 crores versus 27 crores that is increase of 35%, while PAT percentage to gross revenue jumped from 23.4% to
25%, while in nine months, it stands at 94 crores versus 56 crores that is PAT growth of 42% and PAT percentage to
gross revenue, it is 22.80% [ph] versus 21.1%.
Coming to capital employed, as you know we have two segments, one is the air cooling segment, that is our home
appliances. The capital employed in home appliances as on March 31, '15 stood at 121 crores, that is down from 132
crores year before, despite increase in gross revenue, while remaining amount, that is 188 crores versus 112 crores, that
is the trade value. And this splits into EBIT percentage on capital employed 156% on annualized basis in last quarter
versus 117%, while in nine-months, EBIT percentage on home appliances segment stood at 194% versus 145%. While

Page 3 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

EBIT percentage on corporate funds stood at 16.3% versus 5.5%, mainly on account of one-time gains on some of the
treasury investments. While in nine-months, the treasury EBIT percentage stood at 10.30% versus 7.2%.
So with this, I'll open it for Q&A.

Questions And Answers

Operator
Thank you very much. Ladies and gentlemen, we will now begin the question-and-answer session. (Operator
Instructions) Our first question is from the line of Pritesh Chheda from ENAM Asset Management. Please go ahead.

Pritesh Chheda, Analyst

Sorry, this is Pritesh from Emkay. Sir, my question is on the volume growth side, if you see, there is a reduction in
growth momentum from let's say about 37% in FY14.

Nrupesh Shah, Executive Director, Executive Director

Can you please speak loudly? Your voice is broken.

Pritesh Chheda, Analyst

Can you hear now?

Nrupesh Shah, Executive Director, Executive Director

It's better.

Pritesh Chheda, Analyst

Okay. Right sir, my question is on volume growth side. If you just check -- last year, it was about 37%, in the first
nine-months it is 24% growth and in the quarter three, it's about 13% growth. So any thoughts there for this change in
growth and if you could dissect this growth both into domestic and export-related growth?

Nrupesh Shah, Executive Director, Executive Director

Yeah, in March quarter, volume growth has been about 14%, which is lower than March '14. But till beginning of
March, volume growth was excellent. However on account of unseasonal rains and hailstorm in two to three weeks of
March in many parts of the country, it is lower.
However having said that in nine months, the overall volume growth is about 24%. And at the same time, as per of our
strategy, we are continuously moving from low value product to high value products. So there is also increase in per
unit realization.

Pritesh Chheda, Analyst

Page 4 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Okay. And what's your assessment in April and how do you see the volume growth panning out for this financial year?

Nrupesh Shah, Executive Director, Executive Director

Still it is too early and as we have conveyed in the past, overall we maintain that in medium-to-long term, we expect to
reduce the CAGR value growth on a consolidated basis, 20% to 25%. And having said that, in some quarters in some
years, there may be high growth in some quarters some year, there may be low growth, but in medium-to-long term, we
are confident to maintain 20%, 25% CAGR growth.

Pritesh Chheda, Analyst

Okay. And my two other questions is, what explains the rise in taxation in the first nine months and this quarter. And
the second --

Nrupesh Shah, Executive Director, Executive Director

Your question is not clear.

Pritesh Chheda, Analyst

Sir, what explains the rise in taxation in the quarter and the nine months?

Nrupesh Shah, Executive Director, Executive Director

Rise in taxation is number one. Some of the treasury income is -- in fact, most of the treasury income during the quarter
was taxable, which was not the case earlier. This is on account of changing budgetary provision of -- very recent
budgetary provision, that is number one. And number two, domestic earning was higher, which is subject to full
taxation.

Pritesh Chheda, Analyst

Okay and my last question is, in the opening remark, you mentioned that the sales and marketing expense, you have
increased, but when I see the numbers, I don't see a proportionate increase in sales and marketing expenditure
proportionate to the revenue growth. So how should we see this expense line? Should for Symphony, this expense
should grow proportionately or there is every reason to believe looking at the first nine months also that it might not
grow proportionately?

Nrupesh Shah, Executive Director, Executive Director

In our case, sales and marketing expenses absolute amount wise as well as percentage of sales includes distribution
costs, it includes logistic costs, it also includes VAT and advertisement and sales promotions. Normally our most of the
advertisement and sales promotion expenses are in June quarter.

Pritesh Chheda, Analyst

Okay and your call on the advertising and promotion, what kind of spends have you budgeted?

Page 5 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

No. Again, your voice is broken. I am not clear.

Pritesh Chheda, Analyst

I said what kind of budget do we have on the advertising and sales promotion cost?

Nrupesh Shah, Executive Director, Executive Director

Are you referring to amount of advertising?

Pritesh Chheda, Analyst

Amount.

Nrupesh Shah, Executive Director, Executive Director

No, so it's going to be substantial jump compared to last year. Once we complete the year, end the quarter, we will
come up with that exact number.

Pritesh Chheda, Analyst

Okay. Thank you and all the best. Thank you.

Nrupesh Shah, Executive Director, Executive Director

Thank you.

Operator
Thank you very much. Our next question is from the line of Atul Mehra from Motilal Oswal Securities. Please go
ahead.

Atul Mehra, Analyst

Yes, thank you. Yeah, good evening, sir. Just one question on the international market front, where you spoke about
new development that has taken place. So if you can just broadly elaborate on that?

Nrupesh Shah, Executive Director, Executive Director

Can you please come closer? I can't hear you.

Atul Mehra, Analyst

Page 6 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Am I audible now?

Nrupesh Shah, Executive Director, Executive Director

Better.

Atul Mehra, Analyst

Sir, you spoke about international market where you're actually looking at new developments in some kinds, so can you
just elaborate more on that?

Nrupesh Shah, Executive Director, Executive Director

I can't hear you.

Atul Mehra, Analyst

Just one second.

Renu Baid, Analyst

Sir, he's probably asking you to elaborate on the international markets, by [ph] you're seeing more developments
coming through?

Nrupesh Shah, Executive Director, Executive Director

Yeah, about international market, our focus is on North America, Middle East and Southeast Asia and of course in the
first two quarters, we have also received some major orders from the African countries and they continue to be our
priority markets.

Atul Mehra, Analyst

Right. But you also spoke about in your opening remarks about some particular development that you're looking at the
distribution or something of that sorts. So I actually missed on that. So if you can just repeat that once?

Nrupesh Shah, Executive Director, Executive Director

That I was referring about domestic markets. In domestic market whatever internal target we had decided in terms of
appointment of number of distributors, we have met with that. In fact it has exceeded and in terms of number of
distributors as of now, it is up by 7% over last year.

Atul Mehra, Analyst

Right. And sir, second was a more bookkeeping kind of question, I just wanted to arrive at this. So in terms of, if you
just look at the realization into the number of units that you reported. So for this quarter that will be about 134.6 crores,
while the total revenues will be about 137.5 crores. So this 3 crore difference will be -- which will -- what exactly

Page 7 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

would this constitute?

Nrupesh Shah, Executive Director, Executive Director

Are you referring to breakup between domestic sales and export sales?

Atul Mehra, Analyst

No, you reported two numbers in terms of realization and the number of volumes in terms of number of units sold. So if
we'll just look at --

Nrupesh Shah, Executive Director, Executive Director

As far as per unit realization is concerned, it stood at about 6,328 average realization; domestic and export put together.
It is (inaudible) on 5,986 of previous years.

Atul Mehra, Analyst

Yeah, that is right, sir.

Nrupesh Shah, Executive Director, Executive Director

In the last -- said the whole -- our per unit realization was 6,299. During the first nine months, it is slightly better than
that.

Atul Mehra, Analyst

No, what I'm saying is, if we just multiply the number of units into the realization per unit, so we get about 134.6 crores
in terms of sales, whereas the reported sales is about 137.5 crores. So the 3 crores, which is balanced, should we infer
that to be industrial business or what exactly would that 3 crores be?

Nrupesh Shah, Executive Director, Executive Director

On account of sale of spares.

Atul Mehra, Analyst

Sale of fans?

Nrupesh Shah, Executive Director, Executive Director

Spares. Spare parts.

Atul Mehra, Analyst

Page 8 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Spare parts? Okay.

Nrupesh Shah, Executive Director, Executive Director

Yes. So this domestic sales is inclusive of residential air coolers as well as spare parts.

Atul Mehra, Analyst

Right, right. Sure sir and just -- and some update if you could highlighting in terms of how e-commerce as a channel
could be doing for you, because now you've launched the exclusive set of products for e-commerce and more if you can
elaborate on whether you've been tying up with a select set of e-commerce players or you've been tying up with
multiple players and generally a strategy towards that?

Nrupesh Shah, Executive Director, Executive Director

We are selling through almost all available alternatives of e-commerce and we are doing reasonably well and we have
direct tie-up with e-commerce sites, but having said that, this e-commerce, there is also a marketplace model. In the
sense, some of the distributors or dealers also sell directly through e-commerce platforms, on which we don't have any
control, neither we, nor any of the companies can have any control in terms of the pricing thereon, but as per our
experience so far, it doesn't affect much.

Atul Mehra, Analyst

Right. And right now, what percentage of our sales could be on e-commerce channel?

Nrupesh Shah, Executive Director, Executive Director

It's too pre-mature. I think we need to wait till year-end, because most of the e-commerce or for that matter, modern
retail sales happens in March quarter and June quarter.

Atul Mehra, Analyst

Right. But, in terms of early --

Nrupesh Shah, Executive Director, Executive Director

(inaudible) As of now, Modern Trade, which is inclusive of e-commerce as well as TV channels, it's up by 51% over
last year.

Atul Mehra, Analyst

Right and in terms of early indicators for the exclusive products that we have launched on e-commerce, so that has
been doing well or?

Nrupesh Shah, Executive Director, Executive Director

Page 9 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

It is receiving a reasonably good response.

Atul Mehra, Analyst

All right. Sure sir. That's it from my side. Wish you all the best.

Nrupesh Shah, Executive Director, Executive Director

Thank you.

Operator
Thank you very much. Our next question is from the line of Gaurav Sanghavi from Bajaj Allianz. Please go ahead.

Gaurav Sanghavi, Analyst

Good evening, sir. My question is related to gross margin. We have seen substantial improvement in the gross margin
for this quarter. Sir, are we --

Nrupesh Shah, Executive Director, Executive Director

Can you speak loudly?

Gaurav Sanghavi, Analyst

Hello? Is it audible now?

Nrupesh Shah, Executive Director, Executive Director

Better.

Gaurav Sanghavi, Analyst

Yeah. Sir, my question is related to gross margin improvement. We think this gross margin improvement is sustainable
because of the decline in the commodity prices?

Nrupesh Shah, Executive Director, Executive Director

So, at current commodity prices, it is sustainable and gross margin improvement is on account of number one,
reduction in commodity prices, secondly, improvement in sales mix and third is also better economy of scale.

Gaurav Sanghavi, Analyst

Okay sir, okay. And the second question is on the --

Page 10 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

Higher core unit sales realization.

Gaurav Sanghavi, Analyst

Okay, sir. The second question is on the -- our plan of acquisition, which we have put forward. So is it more of related
to expanding our reach and it would be more of a distribution based acquisition or it's a planning of entering into kind
of industrial cooling business in a particular country or it would be technology-based?

Nrupesh Shah, Executive Director, Executive Director

Your question is not clear.

Gaurav Sanghavi, Analyst

Hello? Is it audible now?

Nrupesh Shah, Executive Director, Executive Director

Yes.

Gaurav Sanghavi, Analyst

Sir, my question is on, our plan of acquiring a company overseas, basically acquisition plan. So are we planning to
acquire the company mainly to get the distribution reach in a different country or it would be sort of any technology or
any other related acquisition?

Nrupesh Shah, Executive Director, Executive Director

About acquisitions, whatever we have announced, I can't say anything more than that.

Gaurav Sanghavi, Analyst

Okay, sir. Okay, thank you.

Operator
Thank you very much. Our next question is from the line of Jaya Rathi from Capital Metrics. Please go ahead.

Jaya Rathi, Analyst

Hello?

Nrupesh Shah, Executive Director, Executive Director

Page 11 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Yeah.

Jaya Rathi, Analyst

Good evening, sir. I wanted to know the differential between industrial and residential air cooling business, in terms of
how it's done in this quarter, breakup?

Nrupesh Shah, Executive Director, Executive Director

Still in domestic market, our bulk of the business. In fact, more than 90% is from residential air coolers and rest is
centralized air cooling. As we have conveyed earlier and as I conveyed even in my opening remarks, still centralized
air cooling enterprise customer business is growing, having a long-term potential. And we have initiated, but still in
terms of the value and size, it is small.

Jaya Rathi, Analyst

Sir in 2014, we have made above 48 crores for centralized air cooling, right?

Nrupesh Shah, Executive Director, Executive Director

No, we haven't conveyed that.

Jaya Rathi, Analyst

Hello?

Nrupesh Shah, Executive Director, Executive Director

Yeah.

Jaya Rathi, Analyst

In 2014, IMPCO has made sales of 48 crores for centralized air cooling, is that right?

Nrupesh Shah, Executive Director, Executive Director

On a consolidated basis, in centralized air cooling, all-in-all last year, our sales was about 65 crores, out of which, bulk
of it was from imports.

Jaya Rathi, Analyst

And you have given the guidance of 1 billion revenue for a span of five years to 10 years? Is that right?

Nrupesh Shah, Executive Director, Executive Director

Page 12 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

That is not right.

Jaya Rathi, Analyst

Then what is the guidance for centralized air cooling?

Nrupesh Shah, Executive Director, Executive Director

Centralized air cooling, the guidance is medium-to-long term, that is over a period of five years to 15 years should do
well, considering in India, there is not a single investment for international company and for that matter, even
internationally, there is not a single company having this kind of the product and technology, that is number one.
Number two, across the segments including almost all the factories, godowns, many religious segments, education
institutes, they are the potential customers, but it is more at a concept stage. So we have to educate the customers, we
have to educate the trades. And hence in India, we are very bullish on that in medium-to-long term.
As far as North America is concerned or some other markets are concerned, that product is well-accepted and doing
well. But having said that, in the last three years or four years in India, we have already succeeded in executing
centralized air cooling enterprise customer projects across the segments including some of these very reputed marquee
customers.

Jaya Rathi, Analyst

Okay, thank you, sir.

Nrupesh Shah, Executive Director, Executive Director

Thank you.

Operator
Thank you. Our next question is from the line of Ganesh Radhakrishnan from Pristine Portfolio. Please go ahead.

Ganesh Radhakrishnan, Analyst

Hello, congratulations on the good set of numbers.

Nrupesh Shah, Executive Director, Executive Director

Thanks.

Ganesh Radhakrishnan, Analyst

You mentioned to an earlier question that in the month of March, your sales are affected because of the hailstorms in
North India. So I want to know even in April, I understand, there have been some widespread rains in India and also,
there is a prediction that this year, the monsoon may set in couple of weeks in advance. So I just want to know, is it
going to have a bearing on your sales for this quarter?

Page 13 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

It's too early to predict anything for June quarter. But having said that, in June quarter, our sales is closely linked with
the weather. But at the same time in domestic market, we sell across the country, across the territory and across the
channels. So normally it doesn't happen that there will be a bad season early rain across all the states. But having said,
of course, it is closely linked with the weather in June quarter.

Ganesh Radhakrishnan, Analyst

Okay. But you surely -- your Q4 used to be significantly higher than the rest of the quarters. So now that you have a
strategy of kind of spreading your sales across all the quarters, so I want to know this Q4, is it going to be significantly
higher or is it just going to be marginally higher than the rest of the quarters?

Nrupesh Shah, Executive Director, Executive Director

You'll need to wait till we come up with June performance, sometime in July or August.

Ganesh Radhakrishnan, Analyst

Okay and coming back to the EBITDA margins, sir, you mentioned -- it's currently running at 35%. I mean, is it that -I know, it is a sustainable level or you still see there is a room for growth there?

Nrupesh Shah, Executive Director, Executive Director

I would talk about operating margin. Operating margin we feel at current commodity prices, not only that considering
the pricing power of our products and branding. At operating level, it is sustainable. At EBITDA level, it is net of
overhead sales and advertisements. So at EBITDA level, it may, it may not match the number.

Ganesh Radhakrishnan, Analyst

Okay. Thank you very much.

Nrupesh Shah, Executive Director, Executive Director

Thanks.

Operator
Thank you very much. Our next question is from the line of Ankit Jain from Equirus Securities. Please go ahead.

Ankit Jain, Analyst

Thanks for the opportunity and congrats sir on shifting to new corporate office.

Nrupesh Shah, Executive Director, Executive Director

Page 14 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Thank you.

Ankit Jain, Analyst

So sir, I mean, what could be the total amount be invested in case of this new corporate office?

Nrupesh Shah, Executive Director, Executive Director

Still we have shifted very recently, so still like that numbers are being complied, but broadly speaking, as we have built
on our own by surging [ph] the raw material and other -- materials directly and also (inaudible) the contractors directly.
And as it was done on our own, I think vis-a-vis market rate cost to a fees [ph], 50% to 60% of the market rate. But we
will come up with the cost at the end of the year, once all the figures and details are fully complied. But in our case, all
the costs including land, construction and furniture fixture is almost now fully paid off.

Ankit Jain, Analyst

Okay. Sir for the first nine months, what could be our A&P spend?

Nrupesh Shah, Executive Director, Executive Director

Which cost?

Ankit Jain, Analyst

Sir for first nine months, what could be our advertisement and promotion spend?

Nrupesh Shah, Executive Director, Executive Director

In nine months, advertisement and sales promotion will be close to INR70 million, 7 crores.

Ankit Jain, Analyst

Okay so sir, that is versus, I mean roughly 22 crore odd is what we have done in fiscal year '14?

Nrupesh Shah, Executive Director, Executive Director

Yeah.

Ankit Jain, Analyst

Okay, got it. Sir, coming on to I mean next -- sir, how do you see mean this employee expenses have gone up
substantially sequentially QonQ basis. So sir, is this is going to be the run rate going ahead?

Nrupesh Shah, Executive Director, Executive Director

Page 15 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Our most of the advertisement and sales promotion expenses are incurred in June quarter. So the --

Ankit Jain, Analyst

No, sir, I'm talking about employee expenses. Sir, employee expenses have gone up sequentially QonQ, substantially
almost 25% QonQ. So sir, is this is going to be run rate?

Nrupesh Shah, Executive Director, Executive Director

No, so about employee expenses, the better comparison would be to see nine months, because sometimes it will not
happen. There might be increments in the first quarter or it might be in the second quarter. And similarly, the effect of
some of the incentives may be in first quarter, second quarter or third quarter. So relevant comparison would be
employee costs stands at about 23 crores versus 19.5 crores, that is increase of less than 20%. And on the -- at this
annualized average, that is slightly less than 3 crores a month should continue.

Ankit Jain, Analyst

Sir, how do you see dealer inventory as on end of March quarter because of the hailstorm and all I mean, there might be
some channel placement is being done and second, the off take might not up to the mark. So do you see as our March
ending, there would be substantial higher dealer inventory?

Nrupesh Shah, Executive Director, Executive Director

Especially in Southern India, where summer sets in early, there will be substantial lower inventory, while in other parts
of the country normally summer sets in middle of March or early April. So in those parts in the current year as well as
in the earlier years, as on March-end, dealers and distributors do feed on inventory.

Ankit Jain, Analyst

Okay. And sir, lastly sir, how is that this new launch at Siesta has done? How is the response?

Nrupesh Shah, Executive Director, Executive Director

New launch of?

Ankit Jain, Analyst

Siesta? New model sir in the residential air coolers, Siesta?

Nrupesh Shah, Executive Director, Executive Director

Yeah, it has received good response.

Ankit Jain, Analyst

Got it. Okay, thank you, sir and all the best.

Page 16 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

Thanks.

Operator
Thank you very much. Our next question is from the line of Ravi Naredi from Arihant Capital. Please go ahead.

Ravi Naredi, Analyst

First of all, congratulations for 100 billion company. We wish it should be 1,000 billion soon.

Nrupesh Shah, Executive Director, Executive Director

Thanks.

Ravi Naredi, Analyst

Company has a policy to declare 50% profit as a dividend?

Nrupesh Shah, Executive Director, Executive Director

Can you speak loudly?

Ravi Naredi, Analyst

Company has policy to declare 50% profit as the dividend.

Nrupesh Shah, Executive Director, Executive Director

Yes, right.

Ravi Naredi, Analyst

But every quarter, we are not getting interim dividends. So any plans for them?

Nrupesh Shah, Executive Director, Executive Director

For the last two years, that is starting accounting year '13-'14 we started the practice of interim dividend, that is half
yearly. So year '14-'15 is the second year where we continued the practice. As far as dividend policy is concerned, we
are committed to it, that is 50% of the profit will be distributed by way of dividend. So at the end of the year, whatever
is the remaining amount will be distributed.

Page 17 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Ravi Naredi, Analyst

Okay.

Nrupesh Shah, Executive Director, Executive Director

And down the line, Board will take appropriate decision, whether is there any possibility to having quarterly payout or
not.

Ravi Naredi, Analyst

Okay. Sir second, this treasury fund is for acquisition, you have mentioned in last con call, so any development in three
months for acquisitions?

Nrupesh Shah, Executive Director, Executive Director

I'm not clear about the question.

Ravi Naredi, Analyst

You have mentioned the treasury fund will be used for some acquisitions in last con call. So any new development in
three months for acquisitions?

Nrupesh Shah, Executive Director, Executive Director

We just announced today.

Ravi Naredi, Analyst

Okay. No more detail will you give us?

Nrupesh Shah, Executive Director, Executive Director

As we have announced today, that is the detail available as of now. This is because on accounts of the non-disclose are
undertaking, which we have signed, it's decided and that is how the practice is to maintain the confidentiality and feel it
is at a very premature state. So as and when there will be any further development and if required, we will share
additional details.

Ravi Naredi, Analyst

Sir, can you give the breakup of domestic sale and export sale in this quarter?

Nrupesh Shah, Executive Director, Executive Director

In this quarter, domestic sales stands at about 112 crores.

Page 18 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Ravi Naredi, Analyst

Okay.

Nrupesh Shah, Executive Director, Executive Director

And exports, that is the rest of the world stands at about 26 crores.

Ravi Naredi, Analyst

Okay. Thank you very much, sir. Okay, thank you.

Operator
Thank you. Our next question is from the line of Pattabiraman from Metro Investments. Please go ahead.

R Pattabiraman, Analyst
Sir, I wish to congratulate you for the fabulous numbers.

Nrupesh Shah, Executive Director, Executive Director

Thanks.

R Pattabiraman, Analyst
My question is regarding the competition mainly, besides this Cello brand, what you have talked about that you've got
an injection, there is -- I read that Voltas also is coming out to this -- the air cooler segment, what is our policy to
combat that competition or will it affect us or will that competition expand in the market, do you have any idea about
that?

Nrupesh Shah, Executive Director, Executive Director

Did you refer Voltas?

R Pattabiraman, Analyst
(inaudible). Voltas I read now, the Voltas is also planning to enter the air cooler segment.

Nrupesh Shah, Executive Director, Executive Director

Sure. So over a period of time, many players have entered air cooler segment. Currently also in organized players, in
organized market, there are more than 7 players, 8 players and we always welcome the competition. According to us, as
more organized players enter, it will increase the size of the cake. There will be more and more awareness and there is
such a huge unorganized market, so there can also be a shift from unorganized to organized.

Page 19 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

We initiate the legal action only in cases where there is a ramped [ph] copy of our designs or violation of our trade
mark. Otherwise, we are perfectly fine.

R Pattabiraman, Analyst
Fine. My second question is regarding IMPCO in Mexico. Last quarter, you said that you are planning to sell out the
oversized fund that you have this policy of outsourcing (inaudible). How far it has gone now or the selling of the
assets?

Nrupesh Shah, Executive Director, Executive Director

As we announced last quarter, that process can take about two to three years. And it is progressing satisfactorily as we
have desired. But that outsourcing will happen in stages over a period of time. So at the moment, first phase of
outsourcing is happening and that is taking place.

R Pattabiraman, Analyst
Fine. Now, thirdly one more question, one final question. You said for the centralized air conditioning, you've signed
an agreement with HDFC Bank and ICICI Bank. How is the sale policy now? For the domestic air coolers right now, it
is a cash and carry, how is -- sundry charges will go up or working capital will then drop because of servicing --

Nrupesh Shah, Executive Director, Executive Director

Repeat your question.

R Pattabiraman, Analyst
Hello? You have signed an agreement with the HDFC Bank and the ICICI Bank for -- in selling centralized air
conditioners in their branches.

Nrupesh Shah, Executive Director, Executive Director

Yeah.

R Pattabiraman, Analyst
Now, how is the sales policy now? Do we extend any credit or is it also a cash and delivery basis?

Nrupesh Shah, Executive Director, Executive Director

Actually Symphony as a company doesn't give any credit. So the sales will always basically routed through our dealers
and they are the ones who will implement the project. They will buy from us in cash and they will -- they may or may
not give credit to HDFC Bank or the banks to the customers, that's between them and the customers. As far as the
Company is concerned, all the sales is entirely by cash.

Page 20 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Renu Baid, Analyst

In the past also and even currently, we have executed several orders for government institutes and other organizations.
So whenever they need the credit, it is being routed through the trade channel and trade is more than happy to exchange
the credit to them and to give an advance to it.

R Pattabiraman, Analyst
Okay, sir. Thank you very much. My best wishes to you for the future years.

Operator
Thank you. Our next question is from the line of Viraj Mehta from Valuequest Capital. Please go ahead.

Viraj Mehta, Analyst

Yeah, hello sir and congrats for a great set of numbers. As you said in one of the earlier calls, the market is -- the
organized market is close to 3,000 crores -- sorry, the total market. Can you give some updated numbers in terms of
where the market is and how much is organized and unorganized according to you as of now?

Nrupesh Shah, Executive Director, Executive Director

Of course, updated number we can share and even we will have a good idea at the end of the year. But as it stands
currently, total domestic market size of residential air cooler is close to 6 million units, out of which, organized market
is close to 1.2 million units and three years, four years before organized market was about 0.5 million units. And we
expect overall air cooler industry will grow on an average at about 10% to 15% and organized market should register
even better growth. And down the line, if GSPs including in the right form and shape, we expect that there will be
bigger shift from unorganized to organized market.

Viraj Mehta, Analyst

Sure. My second question and the last question is regarding the court case that you are fighting with Cello. The court, if
I know correctly has even without hearing the other side, has given a stay on five models of Cello. Is that correct?

Nrupesh Shah, Executive Director, Executive Director

Yes, that is correct, which is on account of the strength of the design registration and (inaudible) has been very clearly
establishing that there was ramped case of copy of our design. And not only in case of Cello, as I mentioned like and in
case of some other companies also, we have succeeded that.

Viraj Mehta, Analyst

And was it because Wim Plast was one of the earlier vendors that you had. Was it the case because of that?

Bhadresh Mehta, Chief Financial Officer

Page 21 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

That is true. They were our earlier OEM many years ago, maybe five, six years ago.

Viraj Mehta, Analyst

Okay and so that is till what time do you expect an outcome of this and would this mean an end of story for the other
company as far as air coolers is concerned?

Nrupesh Shah, Executive Director, Executive Director

As you know as of a court function, outcome can be in one day to couple of years, it is not in our control.

Viraj Mehta, Analyst

Correct. No, I just asked for your best guess about it.

Nrupesh Shah, Executive Director, Executive Director

Difficult to say, because it's possible that at the moment it is at the level of high court, who favors loses may appeal to
the larger bench and there is also -- against that also to approach to Supreme Court.

Viraj Mehta, Analyst

Sure. Has the other company approached or challenged the stay order in the Supreme Court?

Nrupesh Shah, Executive Director, Executive Director

No. Now why should challenge? At the moment --

Viraj Mehta, Analyst

No. I asked has the other company challenged the stay order that you have got in the High Court in Supreme Court?

Nrupesh Shah, Executive Director, Executive Director

No, now about Cello, they have taken up with the High Court to establish their device and the matter is running on
merit basis and High Court will decide appropriately by knowing the views of both the sides.

Viraj Mehta, Analyst

Okay. Thanks a lot sir and best of luck for the future.

Operator
Thank you. Our next question is from the line of Kamlesh Kotak from Asian markets. Please go ahead.

Page 22 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Kamlesh Kotak, Analyst

Hello, good evening sir.

Nrupesh Shah, Executive Director, Executive Director

Yeah, good evening.

Kamlesh Kotak, Analyst

And congratulations for a great set of numbers.

Nrupesh Shah, Executive Director, Executive Director

Thanks.

Kamlesh Kotak, Analyst

Sir, firstly as you mentioned that the difference between the self supported 138 crores versus the calculated number is
because of spare parts, right?

Nrupesh Shah, Executive Director, Executive Director

Yeah. So 138 crore is including all.

Kamlesh Kotak, Analyst

So my question is sir, where do we report the industrial clauses, is it also included in the realized that we report?

Nrupesh Shah, Executive Director, Executive Director

See, if you go to our primary segment in form of the home appliances.

Kamlesh Kotak, Analyst

Right.

Nrupesh Shah, Executive Director, Executive Director

In secondary segment, we do have domestic sale than international sale. So as far as primary segments is concerned it is
recorded in our home appliances. As far as secondary segment is concerned, it is recorded for fields of centralized air
cooling in India. In domestic market and as far as export, which is negligible as of now is registered in export.

Kamlesh Kotak, Analyst

Page 23 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Okay. So the realized also is including that industrial cooling right, is matter right?

Nrupesh Shah, Executive Director, Executive Director

When we talk about per unit realization, it is inclusive of centralized air cooling.

Kamlesh Kotak, Analyst

Okay. Right. Great. Secondly, sir how much is your -- there're some extraordinary treasury gains, how much was that
in quantification of the same?

Nrupesh Shah, Executive Director, Executive Director

Roughly it was about 4.7 crores, about 5 crores.

Kamlesh Kotak, Analyst

5 crores, okay.

Nrupesh Shah, Executive Director, Executive Director

That was mostly taxable.

Kamlesh Kotak, Analyst

Okay. And thirdly sir, what is the status for proposed (inaudible) which was to be set-up, how much progress has been
made there?

Nrupesh Shah, Executive Director, Executive Director

No. It is really do start the operations in the current quarter we will commence the operations.

Kamlesh Kotak, Analyst

Okay. So and what would be the utilization at our old plants sir? What would be the utilization at our Surat basis?

Nrupesh Shah, Executive Director, Executive Director

Surat, as we said, as we lower the capacity is about 200,000 units and capacity utilization in the year '14-'15 should be
in excess of 60%.

Kamlesh Kotak, Analyst

Okay, great sir. Thank you very much.

Page 24 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Operator
Thank you. Our next question is from the line of Apurva Kumar from Jefferies. Please go ahead.

Apurva Kumar, Analyst

Hi, sir. I have two questions, and pardon me if I'm repeating these. I joined the call little late. Firstly, I wanted to
understand on the demand outlook going into the summer season, what kind of demand have you seen until now?
And secondly on the impact of GST, I heard that you did mention that you will see some benefits, but can you talk a
little bit more about that?

Nrupesh Shah, Executive Director, Executive Director

About demand so far it is just three weeks of the current quarter, so too premature and normally on a week-to-week
basis or month to months basis. So we need to wait till the June end. Having said that in June quarter, demand in our
performance is closely linked with the weather -- but or otherwise, trade sentiment, customer sentiment, everything is
quite positive.

Apurva Kumar, Analyst

And sir, has there been any impact of the unseasonal rainfalls that we saw last month?

Nrupesh Shah, Executive Director, Executive Director

No, as I explained for couple of weeks in March, there was some impact on account of unseasonal rain and hailstorm.

Apurva Kumar, Analyst

But at the moment, you do not see any major difference?

Nrupesh Shah, Executive Director, Executive Director

As of now, it is not there, but even in current month also in some parts of the country, we being such a large country
and geographically so wide-spread, something here and there also, it's still something happening.

Apurva Kumar, Analyst

Okay, I understood. And sir, on the impact of GST, would you be able to like give us some sense on how much benefit
you see coming through in next couple of years once GST is implemented?

Nrupesh Shah, Executive Director, Executive Director

We feel that GST should be highly beneficial to us, because currently unorganized sector, which is contributing close to
80% of the total sales by and large is prevailing all short of taxes and broadly speaking, about 30%, 35% is the total
impact of VAT and excise duty and other taxes. So to that extent, there is a possibility of narrowing that gap. But
having said that, if we need to really see in what form and in what shape GST is being introduced, because still there is

Page 25 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

no clarity about it.

Apurva Kumar, Analyst

Right. And sir, just one last question if I can squeeze in. What proportion of your sales would be coming through
e-commerce route and is it significant at this stage?

Nrupesh Shah, Executive Director, Executive Director

No, of course I answered it earlier. But still it is too early, because most of the e-commerce sales starts end-February,
beginning of March. You will need to wait till June-end and as far as total organized retail is concerned, which is
inclusive of modern retails, e-commerce as well as TV channels. As of now, sales is up by 51%.

Apurva Kumar, Analyst

Okay, that's great. Thanks a lot, sir. Thank you.

Operator
Thank you. Our next question is a follow-up question from the line of Jaya Rathi from Capital Metrics. Please go
ahead.

Jaya Rathi, Analyst

Hello sir, I just wanted to understand you know like you said year after the proposed SC comes in, so what will be the
guidance on the tax rate?

Nrupesh Shah, Executive Director, Executive Director

I don't think tax rate would be say a year is about 28%. See, maximum marginal rate is 33.45% broadly it should be
around 20% year as a whole.

Jaya Rathi, Analyst

Okay. And sir, with IMPCO like you said you know the Modern is going to be outsourced going forward. So can we
expect a certain working capital fee up there in terms of inventory rates?

Nrupesh Shah, Executive Director, Executive Director

(inaudible) we expect that as and when it is fully implemented, which is likely to happen over the years, we expect this
asset, mainly real estate to be monetized. So whatever working capital support is being provided by Symphony India
that should be completely de-block and not over than about that we expect that it should also help some surplus, which
can take care of its working capital and also future growth and more importantly on account of outsource business
model, it will be in a position to improve operational efficiency and also it will be in a position to focus on sales and
likely be in the sales development et cetera.

Page 26 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Jaya Rathi, Analyst

Sir, it's too early to ask this question, but in outsourcing model, is it like we are going to get certain advance payment to
the other party for manufacturing goods?

Nrupesh Shah, Executive Director, Executive Director

Normally, it doesn't involve any advance payment, normally these are credit. But having said that in India, we do have
nine outsource facilities and some suppliers will be advance and if the spending about the credibility and their financial
and as we get decent cash discount, which is substantially higher than the treasury income, then we don't mind giving
limited advances then.

Jaya Rathi, Analyst

So sir, going forward this is for modeling purposes and as looking at the working capital days and in the last two years,
it has been coming down. So can I expect that it will go down further or the same cycle should continue for next two
years?

Nrupesh Shah, Executive Director, Executive Director

It will be the same amount.

Jaya Rathi, Analyst

So it should be around the same. Okay. And sir just last question on rural and urban breakup in terms of volumes, so
are we concentrating more in urban India or rural and what is the strategy going forward?

Nrupesh Shah, Executive Director, Executive Director

We believe our growth is coming across the geography, across the segment whether it is urban, semi-urban or rural. But
at the same time, we are continuously enhancing our (inaudible) and distribution network. It's a robust growth across
the geographies and even among urban as well as rural.

Bhadresh Mehta, Chief Financial Officer

But when we say, rural, it doesn't mean rural (Technical Difficulty)

Jaya Rathi, Analyst

Probably I would put it as a urban in Tier 2, Tier 1, Tier 2 cities?

Nrupesh Shah, Executive Director, Executive Director

That's right.

Page 27 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Jaya Rathi, Analyst

So sir, if you could just give me breakup in sales -- even in the value terms for the domestic products, how much is
coming from urban India, if you can share that number?

Nrupesh Shah, Executive Director, Executive Director

Urban was contributing about 30% and 70% was rural, whereas semi-urban for current year, once we announce our
June-end results, we maybe in a position to come up with that number.

Jaya Rathi, Analyst

Okay sir. Thank you so much.

Operator
Thank you. Our next question is from the line of Saurabh Ginodia from Stewart & Mackertich. Please go ahead.

Saurabh Ginodia, Analyst

Hello?

Nrupesh Shah, Executive Director, Executive Director

Yeah, I'm there.

Saurabh Ginodia, Analyst

Yeah, good evening, sir. Sir, I would like to know what kind of margin profile is there in your --

Nrupesh Shah, Executive Director, Executive Director

Please speak loudly.

Saurabh Ginodia, Analyst

Hello, sir I would like to know that what kind of margin profile do you enjoy in your central air cooling business?

Nrupesh Shah, Executive Director, Executive Director

Which business?

Saurabh Ginodia, Analyst

Your central air cooling business.

Page 28 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

No, in central air cooling it's almost comparable margin.

Saurabh Ginodia, Analyst

Almost comparable. Okay.

Nrupesh Shah, Executive Director, Executive Director

In comparable business models.

Saurabh Ginodia, Analyst

Okay. Okay, that's it. Thank you.

Operator
Thank you. Next question is from the line of Rabindranath Nayak from SBICAP Securities, please go ahead.

Rabindranath Nayak, Analyst

Thank you for giving the opportunity, sir. Sir I want to know, how much revenue we have booked in this quarter in the
packaged air cooler segment?

Nrupesh Shah, Executive Director, Executive Director

Which segment?

Rabindranath Nayak, Analyst

Packaged air coolers.

Nrupesh Shah, Executive Director, Executive Director

Packaged air coolers. So I don't have exact numbers. But as far as I know (Technical Difficulty) we are selling it off,
meanwhile and we received good responds. But I don't have exact figures.

Rabindranath Nayak, Analyst

Okay. Now, because you know, what is the typical execution period for setting up this system in a client side?

Nrupesh Shah, Executive Director, Executive Director

Air coolers will be in number of ways, depending upon the size and kind of the installations.

Page 29 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Rabindranath Nayak, Analyst

Okay.

Nrupesh Shah, Executive Director, Executive Director

Executions period, depending upon the size and depending upon the installation, maybe two days.

Rabindranath Nayak, Analyst

The brochures that have been given in your site, that says that it is INR1,50000. So typically how -- maybe big -- the
clients side would be to take this cost in to account?

Nrupesh Shah, Executive Director, Executive Director

About installation time, it will be readily distributed, but we are not concerned with it, the reason being Symphony just
supplies the product. It is about the trade partner who installed it.

Bhadresh Mehta, Chief Financial Officer

Symphony doesn't execute orders or anything like that. That is being done by the dealers. And Symphony is only
concerned with supplying the air coolers.

Rabindranath Nayak, Analyst

Okay. That cost is INR1,50,000 is -- client will bear, and what is the portion you will bear?

Nrupesh Shah, Executive Director, Executive Director

1,00,000 to 2,00,000.

Rabindranath Nayak, Analyst

Okay. The installation cost is client's installation cost?

Nrupesh Shah, Executive Director, Executive Director

That's right. This is the basic air cooler. Over and above that, there might be INR2,000, several thousand rupees of no
side work as it is called, which is ducting, installation, plumbing whatever.

Rabindranath Nayak, Analyst

Okay.

Bhadresh Mehta, Chief Financial Officer

Page 30 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Installation cost as well as running in (inaudible) cost too on client account.

Rabindranath Nayak, Analyst

Okay. So it is a normal building you can install this air coolers right, the air coolers?

Nrupesh Shah, Executive Director, Executive Director

Very much, very much.

Rabindranath Nayak, Analyst

So there is no further customization required from the client side to implement this right?

Nrupesh Shah, Executive Director, Executive Director

No, no. None whatsoever.

Rabindranath Nayak, Analyst

Okay, fine. Thank you, sir. And all the best.

Operator
Thank you. Our next question is from the line of Pratik Chaudhari who's an individual investor. Please go ahead.

Unidentified Participant
Hello?

Nrupesh Shah, Executive Director, Executive Director

Yeah.

Unidentified Participant
Am I audible, sir.

Nrupesh Shah, Executive Director, Executive Director

Yes.

Unidentified Participant

Page 31 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Sir, it's great to see Symphony post such extraordinariness results and the market cap is almost 11,000 crores now. So
congratulations for the spectacular run Symphony has had. I have two questions.
The first one is that I want to understand how your Window range of air coolers are doing in the markets, because I
believe the window range seeks to target a very large part of the unorganized air cooler market. So I would basically
want to understand how the two new models that were launched recently, which were fitted with a very powerful motor
and exhaust fans, how have they done? And out of your total domestic air cooler sales in the current quarter
approximately what percentage of sales come from the Window range of air coolers?
And if you could give me some idea on how do you see the Window range of air coolers growing and what sort of
revenue potential do you see in the next two, three years from the Window range?

Nrupesh Shah, Executive Director, Executive Director

So window range of the air coolers we launched in 1840 [ph] and expanded their range in the current year. And all the
models are doing very well and by launching Window Range we created one more category of air coolers just like
packaged air coolers. And it is also in competition with the unorganized. So it's doing well, I mean, good margin. As
far as that numbers are concerned, we don't give the break up model-to-model or (Technical Difficulty) range and we
don't have the details about them and we expect this range to continue to do well.

Unidentified Participant
And my second question is on the competitive intensity. Basically a lot of your competitors have been quite aggressive
in launching products in the current summer season. And the few stores that I've visited in the Delhi region, I see less
and less store space being taken up by Symphony's products, which is not the case last year. So just wanted to get some
idea from you as to how the competitive scenario in the industry is changing and whether any steps are being taken as
far as channel strategy or trade margins are concerned?

Nrupesh Shah, Executive Director, Executive Director

Well, it is true that more and more players have entered and are entering in air cooler industry, just like any other
industry. Having said that, we have maintained and we are confident of maintaining our market share. In fact last three,
four years, many new players have entered and despite getting organized markets, we have not only maintained our
markets, we've slightly increased the market share, not only that we are considering the per unit realization, once it
clearly shows that we do have a pricing power too. In fact even in off season, even though competitors try a lot, they
are in a position to sell hardly anything during the off-season.

Unidentified Participant
So you basically, you don't see any threat from the competitive intensity side? You don't see any threats from the new
products that have been launched by Usha or Maharaja Whiteline or companies like that?

Bhadresh Mehta, Chief Financial Officer

This is not new products like competition is not some new phenomenon. This has been happening for many years, that
we introduced more products than our competitors do, so that hardly an issue.

Unidentified Participant

Page 32 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Okay. Thank you, sir. Thanks a lot.

Nrupesh Shah, Executive Director, Executive Director

Thanks.

Operator
Thank you. Our next question is from the line of Anuj Jain from Value Quest Capital. Please go ahead.

Anuj Jain, Analyst

Hello, sir, am I audible?

Nrupesh Shah, Executive Director, Executive Director

You are.

Anuj Jain, Analyst

Congratulations for the good set of numbers. Sir, I have one question regarding the industrial solutions, the Industrial
coolers. So like when we are touching to the customers, so do we pitch ourselves or it is the trade partner who pictures
to the customers for the coolers?

Nrupesh Shah, Executive Director, Executive Director

It is both. We do have trade partners and are being generated and this too happens to trade partner, but at the same time,
some of the large project orders are also sometime (Technical Difficulty) by our sales team. But as I conveyed earlier,
even if we receive the orders directly, but if it involves some credit, we prefer to route it through dealer or trade partner.
So that is required being an extended candidate to the customer.

Anuj Jain, Analyst

Okay, so the relationship with the customer is maintained by the trade partner, not Symphony?

Nrupesh Shah, Executive Director, Executive Director

It depends, it varies. Since it's just a large corporate like a bank or something like that (Technical Difficulty) is that two
levels both for as Symphony and as a trade partner. At corporate level by Symphony, at the local level and the branch
level by the trade partner.

Anuj Jain, Analyst

Okay, then it clarifies because for the large banks or the large clients it make more sense for the company to have direct
contact, because then only like we can scale-up. Otherwise the dealers might have these smaller ambitions to scale up
like that?

Page 33 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Nrupesh Shah, Executive Director, Executive Director

At the corporate level and that is always it can be, because dealers are very localized, they cannot have Pan-India [ph]
relationship.

Anuj Jain, Analyst

Okay, thanks, thanks for the clarification sir.

Operator
Thank you. Ladies and gentlemen we will take our last question now, which is a follow-up question from the line of
Apurva Kumar from Jefferies. Please go ahead.

Apurva Kumar, Analyst

Hi, sir. Just a clarification on the rural and urban breakup, if I heard you correctly you said that 70% of your sales come
from the rural areas.

Nrupesh Shah, Executive Director, Executive Director

Rural is year two and year three towns and that was the case last year. It may not be rural or such.

Apurva Kumar, Analyst

Okay. So this sales is basically not impacted by any slowdown that we are currently seeing in the rural areas in terms of
the wages or in terms of income levels over there? So this is basically urban phenomenon only, right?

Nrupesh Shah, Executive Director, Executive Director

At least in our categories we are seeing the growth across the territory including urban as well as semi-urban and rural.

Apurva Kumar, Analyst

Okay. Okay, sir thanks, thanks.

Operator
Thank you. Ladies and gentlemen, as there are no further questions. I hand over the conference to Ms. Baid for closing
comments. Over to you.

Renu Baid, Analyst

Page 34 of 35

Company Name: Symphony Ltd

Company Ticker: SYML IN
Date: 2015-04-21
Event Description: Q3 2015 Earnings Call

Market Cap: 110,220.75

Current PX: 3151.1
YTD Change($): +1206.55
YTD Change(%): +62.048

Bloomberg Estimates - EPS

Current Quarter: N.A.
Current Year: 41.478
Bloomberg Estimates - Sales
Current Quarter: N.A.
Current Year: 6985.625

Thank you, Seth. Thank you everyone for participating in the call. On behalf of B&K Securities, I would like the
management of Symphony for giving us the opportunity to host this call. And once again, many thanks to Mr. Achal
Bakeri, Mr. Nrupesh Shah, Mr. Bhadresh for being a part of the call and answering all the queries of investors.
Sir, any closing comments from your side?

Nrupesh Shah, Executive Director, Executive Director

Thanks. Thanks for participating and thanks for encouraging the remarks and questions.

Renu Baid, Analyst

Thank you so much, sir.

Operator
Thank you, ladies and gentlemen. On behalf of Batlivala & Karani Securities, that concludes this conference call.
Thank you for joining us. You may now disconnect your lines.
This transcript may not be 100 percent accurate and may contain misspellings and other inaccuracies. This transcript
is provided "as is", without express or implied warranties of any kind. Bloomberg retains all rights to this transcript
and provides it solely for your personal, non-commercial use. Bloomberg, its suppliers and third-party agents shall
have no liability for errors in this transcript or for lost profits, losses, or direct, indirect, incidental, consequential,
special or punitive damages in connection with the furnishing, performance or use of such transcript. Neither the
information nor any opinion expressed in this transcript constitutes a solicitation of the purchase or sale of securities
or commodities. Any opinion expressed in the transcript does not necessarily reflect the views of Bloomberg LP.
COPYRIGHT 2015, BLOOMBERG LP. All rights reserved. Any reproduction, redistribution or retransmission is
expressly prohibited.

Page 35 of 35