KPIT Technologies has announced its audited financial results for the quarter and year ended March 31, 2026. The Board of Directors, meeting on May 6, 2026, approved the standalone and consolidated financial statements. Additionally, the company recommended a final dividend and approved a strategic acquisition to bolster its automotive cybersecurity capabilities.

Q4 Quarterly Performance

For the fourth quarter, KPIT Technologies reported consolidated revenue of ₹17.1 billion, reflecting a growth of 12.0% year-on-year and 5.8% quarter-on-quarter compared to ₹16.17 billion in the previous quarter. The company also reported a constant currency (CC) growth of 1.8% on a quarter-on-quarter basis. Consolidated net profit for Q4 came in at ₹1.63 billion, up from ₹1.3 billion in the preceding quarter. The following table presents the key Q4 metrics on a quarter-on-quarter basis:

While revenue and absolute profit figures improved sequentially, the EBIT margin contracted to 14.04% from 14.48% in the prior quarter, indicating a modest compression in operating profitability. The company reported a Q4 EBITDA margin of 20.6% and a forex loss of ₹312 million during the quarter.

Full-Year Financial Performance

For the fiscal year 2025-26, the company reported a consolidated revenue from operations of ₹64,549.31 million, compared to ₹58,423.45 million in the previous year. Profit for the year stood at ₹6,373.70 million. On a standalone basis, revenue from operations was ₹26,078.62 million, with a profit of ₹5,457.25 million for the year ended March 31, 2026. The Statutory Auditors issued an audit report with an unmodified opinion on the financial statements.

The company's FY26 EBITDA margin stood at 20.8%, with EBITDA growing 9.4% over FY25. The following table summarizes the key full-year financial metrics:

Operational Highlights and Wins

KPIT closed new engagements worth $349 million during the quarter, including two large deals. Growth was led by the Off-Highway and Connected segments. The company reported 23 consecutive quarters of steady revenue and EBITDA growth. Days Sales Outstanding (DSO) stood at 47 days for Q4FY26.

FY27 Outlook and Growth Strategy

KPIT Technologies anticipates better revenue growth in FY27 compared to FY26, citing improved market opportunities. The company expects strong growth from commercial sectors in the USA, India, and China, with a focus on Connected Vehicles, Autonomous Driving, and After-Sales. Growth is expected to accelerate in the second half of the year, driven by Products and Solutions. For FY27, the company has guided an EBITDA margin in the range of 20.5% to 21.2%, reflecting increased investments in AI, Products & Solutions, competency development, and new market development.

Dividend Declaration

The Board has recommended a final dividend of ₹5.25 per share (52.5%) for the fiscal year 2025-26. This distribution is subject to approval by shareholders at the ensuing Annual General Meeting. If approved, the dividend will be paid within the statutory timelines as per the Companies Act, 2013.

Strategic Acquisition of Cymotive Technologies

In a significant move to expand its portfolio, KPIT Technologies approved the acquisition of a strategic stake in Cymotive Technologies LTD, an automotive cybersecurity specialist headquartered in Israel. The total consideration for the acquisition is estimated at USD 60 million to USD 120 million, with an initial upfront investment of USD 10 million in Preference Capital. The transaction is expected to close by mid-June 2026.

Cymotive specializes in end-to-end vehicle lifecycle cybersecurity, offering services such as threat modeling, intrusion detection, and regulatory compliance. The acquisition aligns with KPIT's strategy to enhance its solutions and products strategy, specifically in the automotive cybersecurity domain.

Acquisition Timeline and Structure

The transaction is structured in tranches. The initial investment of USD 10 million will convert to 26% of the equity capital upon the achievement of performance milestones. Subsequently, KPIT plans to acquire the remaining stake to reach 100% ownership by mid-2029. The deal requires merger control filings in Germany and Austria.

KPIT Technologies has received regulatory approval from both the National Stock Exchange of India Limited (NSE) and BSE Limited for the reclassification of two promoters under SEBI regulations. The approval, granted on April 29, 2026, allows the reclassification of Mr. Ajay Shridhar Bhagwat and Ms. Ashwini Ajay Bhagwat from the 'Promoter' category to 'Public' category.

Regulatory Approval Details

The company submitted its reclassification application to both NSE and BSE on February 02, 2026, seeking approval under Regulation 31A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The exchanges granted their no-objection letters on April 29, 2026, with KPIT Technologies formally disclosing the approval on April 30, 2026.

Both exchanges have emphasized the company's requirement to ensure compliance with subsequent relevant disclosures of material events related to this reclassification, in accordance with the applicable provisions of Regulation 31A of SEBI (LODR) Regulations, 2015.

Shareholding Impact

The reclassification involves the transfer of shareholding from the promoter category to public shareholders. The outgoing promoters' shareholding details are structured as follows:

This reclassification will result in a reduction of promoter holding by 0.82% of the company's total share capital, with these shares now being classified under the public category.

Exchange Communications

NSE's approval letter, referenced as NSE/LIST/COMP/KPITTECH/560/2026-2027 and dated April 29, 2026, was signed by Apeksha Raichura, Senior Manager – Listing Compliance. Similarly, BSE's approval letter, referenced as LIST/COMP/KR/052/2026-27, was signed by Jayshree Soni, Deputy Vice President, Listing Compliance, and Krishna Rathi, Deputy Manager, Listing Compliance.

Both depositories, National Securities Depository Limited (NSDL) and Central Depository Services Limited (CDSL), have been copied on the exchange communications to ensure proper record maintenance across all regulatory bodies.

Corporate Governance Compliance

The reclassification process demonstrates KPIT Technologies' adherence to corporate governance standards and regulatory compliance requirements. The company's disclosure was signed by Ashish Malhotra, General Counsel & Company Secretary, ensuring proper authorization and documentation of the corporate action.

This regulatory approval completes the formal process for promoter reclassification, allowing the designated shareholders to transition from promoter status to public shareholders while maintaining transparency and regulatory compliance throughout the process.