Slow Compounding

Dr Lal Path Revenue up by 6% Expenses increased by 15% Profit down by 20% (YoY) Quarterly basis: Revenue up by 6% Expenses up by 2% Profit up by 31%

Divis Lab Revenue down by 4% Expenses up by 6% Profit down by 18% (YoY) Quarterly basis: Revenue dropped by 17% Expenses dropped by 12% Profit dipped by 30% Market will always overshoot and undershoot at both directions.

Colorful Picture Revenue Growth YoY Asian Paints 19% Kansai Nerolac 19% Indigo 24% Akzo Nobel 25% Berger paints awaited

Relaxo Ltd. Revenue dropped by 7% Expenses increased by 2.5% Profit dropped by 65% Big shocker indeed!

Motherson Sumi Wiring Harness Revenue jumped by 31% Profit by 2% (Q-o-Q results as yearly comparison is not possible)

Natural Capsules: Investor Presentation

Natural Capsules Ltd. Revenue up by 49% Expenses up by 44% Profit up by 102%

Gland Pharma

Kotak Bank (Ignore the target price)

Non-linear Life Most of the things in life happens in non-linear fashion. Remember your childhood and transition to adulthood. It is difficult to spot that childhood, adolescence and adulthood. Once you are through this journey, looking back you can guess your mental growth. In non-linear fashion. But the strange part is...we can think logically with linear mindset. That creates lot of gap to understand the pace of many important events. Growth of business is also non-linear. But we try to solve this puzzle by linear thinking. So, even though business will grow non-linearly, the analysts will try projecting the number linearly. Let's take an example. Nestle India. Sales growth and profit growth were almost flat last year. Analysts projects flattish earning in future. And reduced the target price. Now, this quarter sales growth has come up and suddenly, analysts will change their projection and revise them accordingly. So, as per last year's number, growth target was lower. This year, sales growth has beaten the expectations because analysts were negative on this business. Now, analysts projected higher sales growth, the target price will go higher. In that line, the projection will again revise. And then, a time will come when the business will not beat the street expectations and they will reduce the price. In that process, you can understand that the stock price will go up suddenly after a stagnation. And the rally will lead to another drop. This, the stock will provide return in non-linear form. If you see, similar story is probably playing out with Asian Paints. The results were good. But it has not beaten street's expectations. And thus the negative sentiment will follow....and the cycle will go on and on and on... If you can appreciate the non-linear growth, you watch the game and enjoy it. With relaxed mind. P.S. This thought is not original. I have learnt it by reading, observing and by experiencing life with my limited knowledge.

Bajaj finance Income up by 29% Expenses up by 9% Profit up by 88% (YoY)

Asian Paints Revenue up by 18% Expenses up by 17% Profit up by 49% (YoY)

Navin Flourine Revenue up by 23% Expenses shoot up by 20% Profit dropped by 9%

Mahindra CIE: Closely tracking