KPIT clocks Q1 FY25 CC revenue growth of 24.8% YoY and PAT growth of 52.4% YoY marking 16th consecutive growth quarter

KPIT Q1FY2025 Performance Overview

Q1FY25 CC Revenue grows 24.8% Y-o-Y
Q1FY25 Profit (PAT) grows 42.2%* Y-o-Y
(*Excluding one-time gain in Q1FY25)

Revenue

Reported $ Revenue growth of 23.1% Y-o-Y
Growth led by Middleware, Powertrain and Asia

Net Profit

Q1FY25 Net Profit at ₹ 2,042 M
52.4% (incl one-time gain) growth in profit Y-o-Y

EBITDA

Q1FY25 EBITDA at 21.1%
Y-o-Y EBITDA growth of 31.0%

Wins and Pipeline

$ 202M worth engagements closed in the quarter
Healthy Pipeline level across practices

Performance Highlights

Q-o-Q CC growth of 4.7% and reported $ growth of 3.7%. Growth led by passenger cars.

EBITDA margins improved to 21.1% post two months of ESOP cost and quarterly promotions, mainly due to fixed cost leverage. Sequential EBITDA growth of 5.6%

Other income was lower as compared to last quarter due to conversion losses Yen denominated assets. ETR was in-line with our annual outlook.

Net Cash Balance at the end of the quarter stood at ₹ 10.01 billion, depicting a net cash addition of ₹ 1.50 billion. DSO at the end of the quarter stood at 46 Days.

Management Quotes

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 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.

Kishor Patil

Co-founder, CEO and MD, KPIT

Our attention remains on making Software Defined Vehicles (SDV) a reality for our clients, so that they realize 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. Sustainability, in line with our Vision of ‘a cleaner, safer and smarter world’ is one of the prime key result areas for us. We are anchoring our goals on Science Based Targets (SBTs) towards carbon neutral footprint of our own.

Sachin Tikekar

President and Joint MD, KPIT

New Engagements

Strong Wins - TCV of new engagements won during Q1FY25 : $ 202 million

1

A Leading European Car Manufacturer selected KPIT for a significant engagement in the connected vehicle domain.

2

Strategic engagements in the autonomous, connected and powertrain domains for a leading European Car Manufacturer.

3

Crucial engagements in the middleware and architecture domains with a leading American Car Manufacturer.

4

Strategic engagements in the connected, middleware and architecture domains with a leading Asian Car Manufacturer.

5

Key Engagements in powertrain and connected domains for a leading American Commercial Vehicle OEM.

Financial and operational Data

Profit & Loss Account Snapshot

INR MN

DETAILS Q1FY25 Q4FY24 Q1FY24
Revenue from Operations 13,646.30 13,178.00 10,976.22
Other Income 543.07 158.95 78.16
Gain on account of Business Combinations – – 134.13
Total Income 14,189.37 13,336.95 11,188.51
Operating Expenses 10,764.70 10,449.26 8,837.42
EBITDA 2,881.60 2,728.74 2,200.12
Depreciation 525.14 526.97 450.44
EBIT 2,356.46 2,201.77 1,749.68
Finance Costs 127.31 117.94 137.10
Change in FMV of Investments 1.37 7.39 2.79
Profit Before Exceptional Items 2,773.59 2,250.17 1,766.34
Profit/(loss) of equity accounted investee (6.62) (5.37) –
PBT 2,766.97 2,244.80 1,766.34
Tax 725.37 585.62 421.95
PAT 2,041.60 1,659.18 1,344.39
Profit Attributable to owners of company 2,041.60 1,643.49 1,339.98
Profit Attributable to non-controlling interest – 15.69 4.41

Balance Sheet Snapshot

INR MN

ASSETS Q1FY25 Q4FY24
NON-CURRENT ASSETS
Property, Plant & Equipment 2,354.23 2,395.27
Right-of-use Assets 3,173.80 3,033.45
Other Tangible Assets 3.48 5.16
Goodwill & Other Intangibles 13,659.10 14,300.35
Other Non-Current Assets 2,815.08 1,373.37
TOTAL NON-CURRENT 22,005.69 21,107.60
CURRENT ASSETS
Inventories 973.29 902.49
Cash and Cash Equivalents 10,460.05 8,958.73
Trade Receivables 6,753.69 7,489.47
Other Current Assets 3,908.58 3,220.67
TOTAL CURRENT 22,095.61 20,571.36
TOTAL ASSETS 44,101.30 41,678.96
EQUITY & LIABILITIES Q1FY25 Q4FY24
Equity Share Capital 2,713.54 2,712.17
Other Equity 21,008.53 18,746.41
Equity attributable to owners 23,722.07 21,458.58
Non-controlling interests – 171.09
TOTAL EQUITY 23,722.07 21,629.67
NON-CURRENT LIABILITIES
Borrowings NIL NIL
Lease Liabilities 2,305.87 2,167.48
Other Non-Current Liabilities 1,187.73 2,755.92
TOTAL NON-CURRENT 3,493.60 4,923.40
CURRENT LIABILITIES
Borrowings 446.94 445.10
Trade Payables 3,066.13 2,397.69
Lease Liabilities 683.67 672.68
Other Current Liabilities 12,688.89 11,610.42
TOTAL CURRENT 16,885.63 15,125.89
TOTAL EQUITY AND LIABILITIES 44,101.30 41,678.96

Revenue Break-up

USD MN

Verticals* Q1FY25 Q4FY24 Q1FY24 Q-o-Q Y-o-Y
Passenger Cars 132.02 125.55 100.53 5.2% 31.3%
Commercial Vehicles 27.86 27.76 28.78 0.4% (3.2)%
Business Units** Q1FY25 Q4FY24 Q1FY24 Q-o-Q Y-o-Y
Feature Development & Integration 100.59 98.64 82.14 2.0% 22.5%
Architecture & Middleware Consulting 33.78 29.70 28.03 13.7% 20.5%
Cloud Based Connected Services 30.50 30.68 23.77 (0.6)% 28.3%
Geography Q1FY25 Q4FY24 Q1FY24 Q-o-Q Y-o-Y
US 46.47 47.24 44.91 (1.6)% (3.5)%
Europe 84.97 82.25 68.08 3.3% 24.8%
Asia 33.42 29.53 20.96 13.2% 59.4%

* The balance revenues come from others, which is not a big area as of now

**Feature Development & Integration – Electrification, AD-ADAS, Body Electronics and VED Architecture & Middleware Consulting – Middleware, AUTOSAR
Cloud Based Connected Services – Intelligent Cockpit, Digital Connected Solutions and Diagnostics

P&L Metrics

Q1FY25 Q4FY24 Q1FY24 Q-o-Q Y-o-Y
Revenue by Contract Type
Time & Material Basis 46.5% 49.2% 55.0% (2.0)% 4.1%
Fixed Price Basis 53.5% 50.8% 45.0% 9.2% 46.3%
Clients
Strategic Client Revenue 86.5% 86.4% 82.6% 3.8% 28.9%
Active Clients (Period End) 60 60 60
Revenue per Devp. Employee USD 53,018 52,725 49,439
R&D Expenditure (USD MN) 3.29 3.70 3.01
EBITDA Margin 21.1% 20.7% 20.0%
EBIT Margin 17.3% 16.7% 15.9%
PAT Margin 15.0% 12.5% 12.2%
Effective Tax Rate 26.2% 26.1% 23.9%
EPS (Basic) 7.53 6.06 4.95
EPS (Diluted) 7.47 6.02 4.91

Connect with us

KPIT Technologies is a global partner to the automotive and Mobility ecosystem for making software-defined vehicles a reality. It is a leading independent software development and integration partner helping mobility leapfrog towards a clean, smart, and safe future. With 11000+ automobelievers across the globe specializing in embedded software, AI, and digital solutions, KPIT accelerates its clients’ implementation of next-generation technologies for the future mobility roadmap. With engineering centers in Europe, the USA, Japan, China, Thailand, and India, KPIT works with leaders in automotive and Mobility and is present where the ecosystem is transforming.

Solutions

Careers

Newsroom

Insights

Contact Us

KPIT Technologies Ltd

Plot Number-17,
Rajiv Gandhi Infotech Park,
MIDC-SEZ, Phase-III,
Hinjawadi, Pune – 411057
Phone: +91 20 6770 6000

KPIT Technologies GmbH

Frankfurter Ring 105b,80807
Munich, GERMANY
Phone: +49 89 3229 9660
Fax: +49 89 3229 9669 99

Smart ODR Portal

KPIT and KPIT logo are registered trademarks | © Copyright KPIT for 2018-2024

CIN: 67354536738904