KPIT Technologies Reports Strong Q2 FY26 Performance with Margin Expansion

KPIT Technologies announced a strong Q2 FY26 performance, showcasing a 7.9% year-over-year revenue growth and a notable EBITDA margin expansion to 21.1%. The company reported a closing net cash of ₹10,364 million. With new deals closed worth $232M during the quarter, KPIT anticipates a promising second half of the fiscal year.

Financial Highlights

KPIT Technologies reported a 7.9% year-over-year (YoY) growth in revenue for Q2 FY26, alongside a dollar-denominated YoY growth of 4.4%. The company’s EBITDA margin expanded to 21.1%.

  • Reported Profit: ₹1,691 million

  • EBITDA YoY growth: 9.4%; QoQ growth 3.5% (16.4% EBITDA)

  • Net Cash: ₹10,364 million

  • DSO: Stood at 49 days

  • New deal wins: Engagements worth $232M closed in the quarter

Operational Performance

KPIT witnessed a CC growth of 0.4% YoY and 0.3% QoQ in Q2 FY26. The numbers also include the consolidation of Caresoft for two months, which contributed approximately 2.5% QoQ growth. Aided by operational efficiency and the depreciation of INR, the EBITDA margins reached 21.1%.

Strategic Engagements

KPIT secured a long-term, Multi-Million-Dollar partnership aimed at driving scale, speed, and efficiency in rolling out next-generation mobility technologies for European OEM groups SDV transformation. New vehicle programs, mobility adjacencies and focus on cost reduction and cybersecurity are expected to propel medium-term growth with a focus on China and India markets. The company is emphasizing productivity improvement with AI and moving towards fixed-price and solution-led business models.

Revenue Breakdown

Here’s the revenue breakdown by geography:

  • US: $49.57 million

  • Europe: $89.02 million

  • Asia: $42.28 million

Leadership Commentary

Kishor Patil, Co-founder, CEO and MD, KPIT, stated that despite ongoing global uncertainties, the company is seeing signs of renewed optimism in the mobility ecosystem. He highlighted strategic investments, focus on next-generation technologies, AI-driven solutions, and deep client partnerships that will lead KPIT in this transformation.

Guidance

Robust pipeline and healthy deal wins are expected to contribute to revenue growth in H2 of FY26.

Source: BSE

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