Review

KPIT TECHNOLOGIES LTD.

Ticker : 542651
FV : ₹10
52-Week H/L : ₹ 800.00/294.95 

We recommended KPIT Technologies in volume no. 38, issue no. 21 (dated March 14, 2022) when the scrip was trading at Rs 588.45. On a consolidated basis, in Q1FY23, the company recorded net sales and other operating income of Rs 685.72 crore, higher by 20.86 per cent than Rs 567.38 crore reported in Q1FY22. The operating profit was recorded at Rs 149.08 crore in Q1FY23, a robust rise of 35.21 per cent as compared to an operating profit of Rs 110.25 crore in Q1FY22. Q1FY23 registered a net profit of Rs 87.28 crore in comparison with a net profit of Rs 60.25 crore in Q1FY22, giving a significant rise of 44.88 per cent. In the first quarter of FY23, operating efficiency, net realisation improvement, and revenue growth led to the consistent expansion of margins. The healthy growth in net profit was aided by improvement in operating margins and higher other income. The company has optimistic expansion plans for the coming quarters on the employees and projects front. Hence, we recommend HOLD.