KPIT Tech Maintains 2019-20 Revenue Growth Guidance Despite Flat Q1 Results
KPIT Technologies Ltd. maintained its revenue growth guidance between 16 percent and 18 percent for 2019-20, even as the IT services firm reported fairly flat June quarter results.
The company is expected to gain largely from the wave of electrification of cars, with high demand from Europe, KPIT Tech President Sachin Tikekar told BloombergQuint in an interview, adding that growth would be evenly distributed in the next three quarters of 2019-20.
He also maintained the FY20 Ebitda target of 14 percent to 15 percent, on the back of “good growth” across geographies such as the U.S., Europe and Asia. The company had said in March its European and Asian businesses would aid growth in the new year.
KPIT Technologies listed its information technology business in January, excluding its engineering division, as part of a three-step deal involving a merger and then a demerger with CK Birla Group’s Birlasoft.
KPTI Tech Q1 Results 2019-20: Highlights (QoQ)
- Revenue rises 1 percent to Rs 505.8 crore.
- Net profit remains flat at Rs 31 crore.
- Ebitda climbs 7.3 percent to Rs 40.9 crore.
- Margin expands 50 basis points to 8.1 percent.
- Base quarter had an exceptional loss of Rs 24.2 crore.
Watch the full interview here: