KPIT has been able to cut engineering cycle times by as much as 25-30 percent by deploying AI in validation and testing environments.
Earlier, analysts expected the sector to recover by the first quarter of FY26, as and when the macroeconomic situation were to improve.
Third quarter dollar revenue of the Pune based IT consulting and product engineering firm KPIT Technologies declined 0.5 percent.
IT firm KPIT today said its net profit increased 2.12 percent to Rs 73.58 crore for the quarter ended December, 2016, compared to Rs 72.05 crore in the same period of previous year.
Kishor Patil, MD & CEO, KPIT Technologies said the partnership would be funded through internal accruals. The cash balance with the company currently stands at Rs 400 crore.
In an interview to CNBC-TV18, Kishor Patil of KPIT Technologies spoke about the results and his outlook for the company.
The first half of FY17 may be muted but the company expects to see industry-level growth in the second half, says Kishor Patil, CEO and MD of KPIT.
The company is well on its track to get back to the industry growth rate
"Focus on profitability improvement over last 6 months is showing good results, as we improved Q2FY16 EBITDA to 14 percent, despite wage hikes during the quarter," Ravi Pandit, co-founder, chairman & group CEO, KPIT said.
The company has reported a net profit of Rs 70.6 crore in Q2, marking a rise of 5.7% year on year.
For FY14, the company sees its dollar revenue rising by 13.3-15.7 percent at USD 465-475 million.
Kishor Patil of KPIT Technologies expects the margins of the IT services provider to improve in the second half of the year due to completion of a few large deals and expenses coming down.
Information Technology services provider KPIT Cummins expects that the robust deal pipeline in US and Asia Pacific regions and increased spending by clients to drive growth in the coming quarters.
Kishor Patil, MD and CEO, KPIT Cummins, in an interview on CNBC-TV18, spoke about the company's fourth quarter results. He also spoke about the outlook of the company going forward.