KPIT Technologies Q2 net profit jumps 69% to Rs 141 crore

Auto industry-focused KPIT Technologies on Monday reported a 69.21 per cent jump in its September quarter net profit at Rs 141 crore. The Pune-headquartered company had reported a post-tax profit of Rs 83.5 crore in the same quarter a year ago.

Revenue growth

Its revenues from operations grew to Rs 1,199 crore in the reporting quarter as against Rs 745 crore in the same period a year ago and Rs 1,098 crore in the preceding April-June quarter. The company said it is now aiming to close FY24 with a growth of 37 per cent in revenues on a constant currency basis, as against the earlier target of 27-30 per cent.

Profit margin

It was able to maintain the operating profit margin at 20 per cent in the quarter, which led the company to improve its guidance of keeping the number at over 20 per cent in FY24, from 19-20 per cent projected earlier.

New deal wins

The company reported new deal wins of USD 156 million during the quarter, including a multi-year engagement on autonomous driving with a European car manufacturer and some work for a leading American auto company on the electric powertrain domain.

Employee strength

Its overall headcount increased to 11,971 employees from 11,571 three months ago and 9,916 in the year-ago period. The company's scrip closed 4.89 per cent higher at Rs 1,184.45 a piece on the BSE on Monday as against gains of 0.52 per cent in the benchmark.

The company's strong performance in the September quarter was driven by growth in its core automotive business, as well as its expansion into new areas such as electric vehicles and autonomous driving. KPIT Technologies is well-positioned to continue its growth in the coming quarters, as the demand for automotive technology continues to increase.