The decline in earnings came despite a 12% rise in revenue to Rs 1,711 crore in Q4FY26, compared with Rs 1,528 crore in the same period last year.
The company’s board recommended a final dividend of Rs 5.25 per equity share for FY26.
The PAT jumped 22% on a sequential basis versus Rs 133 crore in Q3FY26, while the topline recorded a 6% quarter-on-quarter growth compared to Rs 1,617 crore in the January-March quarter of FY26.
The company’s expenses grew to Rs 1,493 crore in the quarter under review versus Rs 1,407 crore in Q3FY26 and Rs 1,272 crore in Q4FY25. This implies a 6% QoQ and 17% YoY growth. The expenses were incurred under heads including ‘Cost of materials consumed’, ’employee benefits expense’, and finance costs.
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The earnings were announced during market hours, and KPIT shares fell 6% to the day’s low of Rs 722.50 on the NSE.
Management commentary
Company’s co-founder, CEO & MD Kishor Patil said that trade and geopolitical uncertainties impacted the mobility industry last year, hindering investment in new platforms.
Though the situation has improved as we begin FY27 with enough growth headroom available in automotive software, evidenced by the decent wins this quarter.
“AI is now core to Automotive Engineering and favors domain-focused players since Automotive AI must meet safety and regulatory standards. KPIT Mobility Intelligence Product (Beacon) is in pole position, corroborated by enhanced interest from major OEMs. KPIT’s pivot towards domain and AI-led Products & Solutions is layered on delivery to improve long term value capture for our clients, as demonstrated by recent wins. KPIT’s transformation is exciting, and we are confident of improved performance in the years to come,” Patil said.