KPITTECH
Mid CapKPIT Technologies Limited
IT
KPIT Technologies is a global mobility technology partner specializing in automotive software and innovation. The company provides engineering services for software-defined vehicles, focusing on complex integration challenges for OEMs and Tier 1s, with a workforce of over 13,000 engineers.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is acceptable, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
medium confidence · 4/16 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Bad · 0/100PAT -33% YoY · margin compression · Rev +12% YoY · +6% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,711 Cr | +12.0% | +5.8% |
| EBITDA | ₹317 Cr | -1.9% | +1.9% |
| Operating margin | 18.0% | -300 bps | -100 bps |
| PAT | ₹163 Cr | -33.5% | +22.6% |
| PAT margin | 9.5% | -650 bps | +130 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
KPIT reported muted Q4 FY26 growth at 1.9% QoQ USD, but secured $349M in new deals. Full-year EBITDA margin was 20.8%, with Q4 at 20.6%. Strong cash generation with 9.6B cash at quarter-end and 47 days DSO. Trucks & Off-highway and cloud-based connected services led Q4 growth.
Near-term growth is challenged by program delays, cancellations, and AI-led cannibalization in some areas. However, management is proactively investing in AI, solutions/products, new geographies (China, India, Micromobility), and expanding client base beyond T25, which could strengthen the long-term foundation.
Solutions and Products
The solution and products. That's our next pivot. ... 21% of the total pipeline is already into products and solutions.
Trucks & Off-highway Segment
18% year-on-year growth in trucks and oƯ-highway... Q4 growth was also led by trucks and oƯ-highway 11.6%.
Connected Vehicle & After-sales
Growth is driven by connected vehicle... after sales. This is one of the fast-growing areas for KPIT.
AI-infused Solutions
Accelerated pipe generation in AI-infused solutions and products. ... Beacon for AI first development, integration validation.
Strong Automotive Software Spend
Automotive software spend remains strong. ... 2x growth by 2030 into the R&D spend.
Growth in AD/ADAS & Infotainment
AD/ADAS, which is becoming three times the spend from now till 2030. ... The second area... is the infotainment and digital services.
OEM Focus on Cost Reduction
We wanted to make sure that we are in a position to address one of the key point of pain for our OEMs, which is cost reduction.
Off-highway Market Strength
Some of the oƯ-highway players are doing reasonably well. So, you know, they understand, they have the money, they want to invest proactively.
AI-led Cannibalization
AI-led transformation led to near-term cannibalization in some areas.
Program Delays and Cancellations
Many New architecture programs have been delayed. ... In few accounts, there was a program cancellation and delays in few accounts.
Trucking Industry Slump
The trucks, they've been going through a slump, just the trucking industry. Mostly in North America and Europe has been going through a slum for the last nine months.
Geopolitical and Macro Factors
TariƯ and geopolitical conflicts EV policy changes in US and Europe supply chain disruption.
Program Delays and Cancellations
Many New architecture programs have been delayed. ... In few accounts, there was a program cancellation and delays in few accounts.
Integration Complexity
Automotive is a very complex machine ... you get into integration issues.
AI Impact on Software Development
AI is a fantastic way for generating a lot of software... the problem increases tenfold, probably multifold.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Both YoY and QoQ comparisons are relevant. QoQ reflects sequential momentum and project execution in IT services, while YoY provides insight into underlying business growth trends and segment performance, especially for the newly focused Trucks & Off-highway segment.
New Deal Increments
349 million worth increments closed during the quarter.
Pipeline into Products & Solutions
21% of the total pipeline is already into products and solutions.
Cash at Quarter End
9.6 billion cash at the quarter end.
Days Sales Outstanding (DSO)
DSO stood at 47 days.
Robust Mid-term Outlook
Mid-term outlook remains strong. ... Near-term revenue moderation, but robust outlook in medium term.
Strategic Investments
We have made strategic external investment of$ 400 million in M&AS. ... Continued investment in R&D, 5%.
Focus on Solutions & Products
Faster growth with solution products. We believe this growth, we expect to be 30% on this.
Geographic & Adjacency Expansion
Expand into adjacencies and new geographies... oƯ-highway Commercial... micromobility... India, Middle East and other market... China.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Solutions & Products Growth Rate | 21% of the total pipeline is already into products and solutions. | 30% plus growth rate in these solutions and products. |
| Wallet Share Expansion | Overall wallet share of KPIT among our top 25 clients is about 10% as of last year. | Push that up to more than 15 to 20%. |
| Fixed Price/Outcome-based Contracts | More than 80% of our new contracts are fixed price in nature. ... Converting four of our largest clients in that model in this quarter. | North of 75% overall, in terms of having outcome-based and fixed price. |
| Trucking Industry Recovery | Trucking industry... has been going through a slum for the last nine months. | Pre-buying that will happen in the second half of 2026 and the truck business will pick up a little bit. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
Q4FY26 will also have wage hikes.
"Q4FY26 will also have hikes"
KPIT will focus on China and India markets for expansion.
"Focus on China and India markets."
KPIT is positioned to fortify its leadership and enable steady high-quality growth in medium term.
"enable steady high-quality growth in medium term"
New vehicle programs in existing partnerships, addition of new logos, expanding into new geographic markets, mobility adjacencies like off-highway, solutions on cost reduction and cybersecurity will propel medium-term growth.
"will propel medium-term growth"
Transformative engagements won will contribute to high-quality revenue growth in the medium term.
"Transformative engagements won will contribute to high-quality revenue growth in the medium term"
Steady deal wins will result in better growth in FY27 as compared to FY26.
"Steady deal wins will result in better growth in FY27 as compared to FY26."
Trend score and candlestick chart
50NeutralSMA20 +1.5% / mo
Technical chart
KPITTECHweekly · 5Y+219.2%Technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 46. Wait for confirmation.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 rising (~1.5% over last month) — short-term momentum positive.
- RSI(14) at 46 — falling, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 47% off 52W high · 21% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Growth contributes 18/25 to the score.
- Balance sheet contributes 10/15 to the score.
Main drags
- Valuation is weaker at 5/30; verify the latest quarterly trend.
- Quality is weaker at 8/20; verify the latest quarterly trend.
- Cash flow is weaker at 4/10; verify the latest quarterly trend.
IT valuation: PE and EV/EBITDA against growth and margins
Asset-light IT companies deserve valuation support only when growth, margins, and cash conversion hold up.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +2 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Management has 75% delivered/partly-delivered outcomes on 4 checked claims, with 1 adverse claim outcome. It ranks around the 57th percentile of the scored universe and 50th percentile within IT. Main check: results consistency is weak at 47/100.
Healthy Trust: 4/16 extracted management claims have outcome checks; 75% were fully delivered and 0 were partially delivered. 1 claim(s) were contradicted or failed. Key concern: 2 latest quarters had PAT decline worse than 25% YoY.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · IT: 50th pctile, median 68 · Mid: 34th pctile, median 76
4/16 claims checked. Use as directional, not final.
4/16 claims checked · 1 contradicted/failed claim
How to read this Trust Score
Mixed Trust · medium confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 0%.
- ▸8 years of positive FCF.
- ▸ROCE is 26.3%.
Trust risks
- ▸2 latest quarters had PAT decline worse than 25% YoY.
- ▸ROCE trend is -8.4%.
- ▸0/4 latest quarters had positive YoY PAT growth.
Intrinsic value
Fundamentals
Valuation
- P/E
- 30.60
- P/B
- 5.85
- EV/EBITDA
- 14.18
- Market Cap
- 20726.00Cr
Profitability
- ROE
- 21.00%
- ROCE
- 26.30%
- ROA
- 8.78%
- Dividend Y
- 1.13%
Growth (CAGR)
- Revenue 5Y
- 26.00%
- EPS 5Y
- 37.00%
- Revenue 3Y
- 24.00%
- EPS 3Y
- 21.00%
Balance Sheet
- Debt/Equity
- 0.24
- Interest Coverage
- 16.49×
- Altman Z
- 5.60
- Book Value
- 129.00
Cash Flow
- FCF Yield
- 0.04%
- FCF Positive Y
- 8/5
- OCF
- 1195.00 Cr
- EPS TTM
- 23.25
Shareholding
- Promoter Hold
- 39.41%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 16%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in IT — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.