• EBITDA margin guidance: KPIT missed its FY26 margin guidance of 21% by delivering 20.8% due to acquisition costs and scaling R&D investments to 5–6%, guiding FY27 EBITDA margins between 20.5% and 21.2% amid currency volatility.
• Revenue and deal pipeline: While the conclusion of two major SDV programs will cause a softer H1 FY27, quarterly deal wins of $349 million are projected to offset the roll-offs, which otherwise would have yielded 4% to 5% sequential growth.
• Cymotive acquisition impact: The initial $10 million investment in Cymotive will have no impact on EPS for the next two years due to milestone-linked structuring, while strengthening AI-led cybersecurity capabilities for key clients like Volkswagen's Cariad.
• Automotive spending trends: Management expects medium-term passenger vehicle spending to increase, driven by a shift in OEM budget allocations toward autonomy and digital cockpit solutions.