KPIT Technologies Reports 28% Drop in Q2 Net Profit to ₹120.61 Crore

KPIT Technologies has announced its financial results for the quarter ending September 2026, reporting a 28 per cent decline in net profit to ₹120.61 crore compared to the same period previously. The company stated that the decrease in net profit was largely owing to a change in the fair market value of investment.

Despite the dip in net profit, the company's revenue grew 6.5 per cent annually, reaching ₹1,690.96 crore. On a sequential basis, the company reported nearly 3 per cent growth in profit attributable to company owners, while revenue grew by 1 per cent compared to the previous quarter. Total Contract Value (TCV) for the period stood at $213 million.

The company noted that growth was driven by the Trucks and Off-Highway segments, the US and India geographies, and Connected and Aftersales domains. These areas helped offset a roughly 13 per cent year-on-year revenue decline in the company's top two accounts.

Kishor Patil, Co-founder, CEO and Managing Director of KPIT, commented on the broader industry environment, stating that the mobility industry continues to navigate major shifts in technology priorities, investment cycles, and business models. He added that the performance for the quarter is in line with expectations and reflects the early impact of the company's renewed strategy, with broadening opportunities seen across Passenger Vehicles, Off-Highway, and Trucks segments.

Sachin Tikekar, President and Joint MD of KPIT, addressed the impact of the top accounts, noting that despite a sharp reduction in business from two of the largest clients, growth across several other existing and new clients enabled the firm to largely offset the impact and maintain a broadly stable revenue base. Tikekar also highlighted that the Caresoft integration is strengthening capabilities in Vehicle Engineering and Manufacturing Consulting.

During the quarter, the company's total headcount grew marginally to 12,347 employees, with Europe remaining the best-performing region.

"KPIT Technologies' Q2 results highlight a common challenge in the enterprise technology and mobility sectors: managing client concentration risks. While a 28 per cent drop in net profit due to fair market value changes is notable, the company's ability to offset a 13 per cent revenue decline in its top two accounts through growth in other segments demonstrates operational resilience. For expanding businesses, diversifying client portfolios and scaling emerging accounts are crucial strategies for maintaining stable revenue bases during market shifts." — Dr. Shishir Gupta, Founder & CEO, StartupLanes