Pune, India, October 21, 2014: KPIT, a vertical focused IT consulting and product engineering solutions and services provider to automotive & transportation, manufacturing and energy & utilities corporations, today reported its consolidated financial results for the second quarter and half year ended September 30, 2014.
Highlights for the quarter ended September 30, 2014
- Q2 FY15 USD Revenue stood at USD 125 Million, a Y-o-Y growth of 11.4%
- In rupees terms revenue grew by 9.8% Q-o-Q and 7.8% Y-o-Y to Rs. 7,574.10 Million.
- EBITDA Margins expanded by 128 bps to 13.34%.
- Strong growth in Automotive followed by SAP
Commenting on the performance of Q2 FY15, Ravi Pandit, Chairman & Group CEO of KPIT, said, “We are happy with our revenue performance during Q2 FY15. Our EBIDTA levels improved by 128 bps during the period though we believe we could improve it further during the rest of the year. Spending has returned well in the automotive and manufacturing industries, and through our timely investments in key technologies and in developing right products for these industries, we continue to be the most preferred partners for our customers.” He further added, “Asia continues to be the leader, with good growth in North America as well, during the quarter.”
Kishor Patil, Managing Director & CEO of KPIT, said, “We strengthened our pipeline further during the quarter and believe that the growth momentum will continue in H2, though Q3 will be a seasonally weak quarter. We expect to clock revenues of $ 500+ Million for the full year, though profitability in H1 has been lower than expected”. Adding further he said, “We are proud of the inroads and initial success of our Intelligent Transportation Management (ITS) Solution. We have many such solutions which would give us a solid momentum in our transformation to a global technology company. The organizational changes, and addition of senior executives that we did over the last 4-5 quarters, has started delivering results.”
Over the last few quarters we have increased our rigor in sales, execution and operations across the organization. We are sharply focused on closure of orders, readiness for delivering new projects and achieving delivery and operational excellence. These efforts have helped in registering a strong growth during this quarter. We have made some strategic progress in terms of adding more domain people to our team, bringing One KPIT offerings to our customers and taking some integrated offerings to our focused verticals. We have recently become a part of Industry Liaison Program of MIT USA. This will enable us to understand the latest in the relevant technology trends for our customers. Overall we see good growth prospects in our relevant verticals and we are also partnering with our customers in jointly developing solutions that are futuristic and in line with customers’ technology needs. We will continue to bring more expertise and focus in our verticals, building industry specific solutions and winning large cross BU deals in our strategic accounts.