KPIT Technologies flags weak June-quarter performance; margins under pressure

KPIT Technologies has flagged weak Q1FY27 performance, expecting reported USD revenue to decline by around 1% year-on-year due to sudden actions by some European OEMs following their profit warnings. EBITDA and net profit margins are expected to contract sequentially, with the contraction proportionately higher than the revenue decline due to limited scope for cost optimisation over such a short period. Despite the soft start, the company remains optimistic about FY27, citing strong traction in Products and Solutions, Trucks and Off-Highway, and growth opportunities in autonomous driving and connected vehicles.