KPIT Q3 PAT at Rs 73.58 cr

IT firm KPIT today said its net profit increased 2.12 per cent to Rs 73.58 crore for the quarter ended December, 2016, compared to Rs 72.05 crore in the same period of previous year.

Its sales grew 2.14 per cent to Rs 830.67 crore in the reported quarter from Rs 813.27 crore in the year-ago period.

"In the current quarter, despite lower working days, we had marginal growth on a comparable constant currency basis. We will continue to focus on growth with effective account management and new technology solutions for our focus verticals," KPIT co-founder CEO and MD Kishor Patil said.
 

The cash flow during the quarter was encouraging and KPIT will continue to build further on the same, he added.

KPIT provides IT consulting and product engineering solutions and services to automotive, manufacturing, energy and utilities companies.

"We have built solid traction in digital technologies, especially in IoT, analytics, sensors and cloud, across focus verticals. We expect digital and product engineering to be good growth drivers going ahead, as depicted by a healthy increase in pipeline and deal closures," KPIT President and Board Member Sachin Tikekar said.

On an average, the billing days were less by about 1.5 days, which translates into a loss of billing days of around 2.5 per cent.

The company also divested its functional safety product business during the quarter and the resultant revenues that went out were around USD 0.5 million for two months. There was also a negative impact of cross-currency during the quarter.

"As a result of these three primary reasons, the reported dollar revenues for Q3FY17 were 0.44 per cent lower than last quarter. In constant currency terms, there was a marginal growth of 0.2 per cent," the statement said.

On a comparable basis (excluding functional safety revenues), there was a sequential growth of 0.65 per cent in constant currency terms despite the loss of billing days.

The company added 215 people during the quarter.