KPIT Technologies, an auto industry-focussed software and engineering firm, reported a 52.4 percent year-on-year increase in net profit to Rs 204.16 crore for the first quarter ended June 30, as compared to Rs 134.43 crore reported in the previous year.
This robust growth comes at a time when the overall IT services sector too recorded marginally better growth sequentially amid macroeconomic uncertainties.
The company's net profit grew by 24.3 percent over the last quarter, while its consolidated revenue jumped by 24.3 percent over the last year and by 3.5 percent over the last quarter to Rs 1,364.63 crore in the June quarter of FY24, according to BSE filings.
The company's EBIT margin expanded to 17.3 percent, up from 16.7 percent in Q4FY24.
The company's order book for the period stood at $202 million for the quarter, significantly down from $261 million reported in Q4. Deal wins have come from across practices.
Kishor Patil, Co-founder, CEO and MD, KPIT said,” We have started the year on a positive note with an all-round robust performance. While the mobility industry is going through certain pressures on the demand and profitability fronts, we are proactively investing in creating relevant large, differentiated offerings to support our clients reduce their costs and time-to-market.”
“We are also investing in adjacencies and newer geographical markets. We expect the creation of meaningful growth opportunities via both these investments and continue with the growth momentum, paving way for a fair demand visibility in the medium term,” he added.
Sachin Tikekar, Co-founder and Joint MD, KPIT said, "Our attention remains on making Software Defined Vehicles (SDV) a reality for our clients, so that they realise its benefits. We are working on productivity and competency improvement aided by AI, to improve our competitiveness and offer differentiated offerings to clients. The attrition numbers continue to drop further, justifying our continual investments in overall people development".
KPIT added 397 employees in Q1, taking the total headcount to 13,253.
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