On a year on year (YoY) basis, the company's net profit surged 43.5% while revenue increased 47.4% in Q3 FY23.

Profit before tax grew 27.71% quarter on quarter (QoQ) and soared 59.2% YoY to Rs 139.37 crore in the quarter ended 31 December 2022.

EBITDA stood at Rs 169.87 crore in Q3 FY23, registering a growth of 22.95% QoQ and 47.44% YoY. EBITDA margin was consistent at 18.5% in Q3 FY23. The IT company said that the margin was flattish post impact of deal related and integration related expenses during the quarter. Integration expenses will continue over the next 2 quarters.

During the quarter, constant currency (CC) revenue growth was at 24.6% YoY and 4.9% QoQ. In dollar terms, revenue growth was 31.9% YoY and 17.3% QoQ.

With respect to outlook, KPIT Technologies said that it will be on track to beat FY23 growth outlook total contract value (TCV) of $272 million won during the quarter.

Kishor Patil, co-founder, CEO and MD of KPIT said, “Q3 FY23 performance has been better than expectations. Our performance, coupled with healthy pipeline and demand driven by client investments in Software Defined Vehicles, gives us confidence of beating our FY23 growth outlook. We are pleased to have the Technica family on-board KPIT and contemplate scaling greater heights together. These are exciting times, and we look forward to a sustainable profitable growth in the medium term.”

Sachin Tikekar, president and joint MD at KPIT said,” Our engagements with Strategic Clients are progressively becoming more pertinent and partnership oriented. We are committed to investments in new-age technologies, relevant to the Mobility Industry, to further strengthen our solutions for accelerating the transformation journey of our clients. Our attention is on ensuring successful delivery of large complex engagements, that are also critical to the success of our clients. The employee turnover has shown a declining trend over last 2 quarters. We expect this trend to stay, going forward. We continue to focus on attraction, development and retention of relevant talent, across the globe.”

Meanwhile, the company's board has approved the payment of an Interim Dividend of Rs 1.45 per share for the financial year 2022-23. The record date for the same has been fixed on Friday, 10 February 2023

KPIT Technologies is a technological company focused on automobile engineering and mobility solutions. The company offers technology solutions to automobile OEMs under different practices such as power trains (conventional and electrical), connectivity, autonomous (vision and control systems) and diagnostics. Each of its practice areas offer software IP, software integration, feature development, and verification and validation services.

Shares of KPIT Technologies declined 1.43% to Rs 751.45 on the BSE.