DBT Bureau
Bengaluru, 24 October 2024
Automobile-industry focused ER&D firm, KPIT Technologies has recorded a 44% rise in its consolidated net profit to Rs 203.7 crore in the September quarter. Revenue was at Rs 1,471.4 crore, up 22.71% from Rs 1,199 crore reported a year ago.
Total contract value (TCV) of the engineering services firm stood at $207 million.
“The Mobility Industry, specifically the Automotive sub vertical, has been under pressure to keep up with the changing regulations, reduce cost of vehicles and meet demands of the ever-changing consumer preferences in recent times. We continue to prioritize investments in technology and markets ahead of demand to help our T25 clients stay on the cutting edge of technology and competitiveness, basis which, we reiterate our revenue growth and profitability outlook for the full year,” Kishor Patil, Co-founder, CEO & MD, KPIT said.
The board of KPIT Technologies has approved raising up to Rs 2,880 crore through a qualified institutions placement (QIP) or any other permissible method, the company also said. The funds could be raised by the company in one or more tranches through QIP.
Despite the headwinds seen in some segments, the company maintained its annual revenue growth guidance in the range of 18-22% and EBITDA margin at 20.5% for FY25.
Stock performance:
- The share price of KPIT Technologies lost 2.96% to settle at Rs 1,639.85 on Wednesday.
- It has fallen close to 8.7% in the last five trading sessions.
- With market facing selling pressure, IT stocks are expected to be range bound or to fall in the near-term.
