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KPITTECH KPIT Technologies News Story

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India's KPIT Technologies drops after weak outlook

BUZZ-India's KPIT Technologies drops after weak outlook

** Shares of KPIT Technologies KPIE.NS drop 15.7% to 566.30 rupees

** Automotive software co expects ~1% Y/Y decline in USD revenues for Q1, due to sudden actions by some European OEMs triggered by their recent profit warnings, adverse business outlook

** Adds, Q1 EBITDA margin and net profit margin would decline sequentially

** KPIE says performance in H1 of FY27 would be unsatisfactory; confident of ability to demonstrate profitable growth during the second half with sequential quarterly growth in Q4

** Brokerage JM Financial downgrades KPIE rating to 'Reduce' from 'buy', cuts PT to 620 rupees from 860 rupees

** JP Morgan downgrades to 'Underweight' from 'Neutral', cuts PT to 550 rupees from 700 rupees

** Investec says weakness is driven by a partial halt in billing from two large European accounts

** YTD, KPIE down ~52%


(Reporting by Vijay Malkar)

((VijayDattaram.Malkar@thomsonreuters.com;))

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