See 20-25% profit growth this year: KPIT Cummins

In an exclusive interview with CNBC-TV18, Kishore Patil, Managing Director and Chief Executive Officer, KPIT Cummins Infosystem, speaks about the company’s growth drivers.

Here is a verbatim transcript of an exclusive interview with Kishore Patil on CNBC-TV18. Also watch the accompanying video.

Q: How much has this got to do with the development of your buying Sparta consulting, does that add to your revenues in any significant fashion?

A: Sparta Consulting is certainly a driver for the market price today. But if you really look at it over the last 12-18 months, there were 2-3 things and we were at the peak at the beginning of the last year about, Rs 130-140 was the price and there were doubts about the foreign currency exposure. The second thing was with the meltdown and KPIT being largely focused on automotive and semi-conductors, there were doubts about especially the growth. So, that was the second major part and now with the Q2 results out, one thing people have realized is that since last 6-8 quarters there has not been any impact or exposure due to the foreign currency transactions, so certainly that fear is no more. The company has demonstrated more profits, so we will be 20-25% more than the last year and that demonstrates the company’s ability to provide excellent profit growth from last year. The third which was very important was the meltdown in the automotive sector, we have shown growth in Q3 and that along with the accelerated growth which we expect from the Sparta acquisition, I guess that is what is driving the growth.

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