KPIT Technologies Ltd — Regulatory Filings 2020

Mar 26, 2020

==> picture [562 x 90] intentionally omitted <==

March 26, 2020

BSE Limited National Stock Exchange of India Ltd., Phiroze Jeejeebhoy Towers, Exchange Plaza, C/1, G Block, Dalal Street, Bandra - Kurla Complex, Bandra (E), Mumbai – 400001. Mumbai – 400051. Scrip ID: KPITTECH Symbol: KPITTECH Scrip Code: 542651 Series: EQ Kind Attn: The Manager, Kind Attn: The Manager, Department of Corporate Services Listing Department

Subject: - Company Update - COVID–19

Ref: - Regulation 30 of SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) Regulations 2015.

Dear Sir / Madam,

Please find enclosed Company update-COVID–19.

Request you to please take the same on your records and further dissemination.

Thanking you.

Yours faithfully,

For KPIT Technologies Limited (Formerly KPIT Engineering Limited)

SD/-

Nida Deshpande Company Secretary & Compliance Officer

Contact Details: Request you to refer details given in the presentation

Encl.:- As mentioned above.

(As the CoVID 19 virus has hit populations around the world including India and has resulted in many restrictions like free movement of people, we are submitting announcement with “SD/-” instead of actual sign for the purpose of ease of submission of compliance)

O +91 20 6770 6000 E info@kpit.com W kpit.com

KPIT Technologies Ltd. (Formerly KPIT Engineering Ltd.) Registered & Corporate Office: Plot No.17, Rajiv Gandhi Infotech Park, MIDC-SEZ, Phase-III, Maan, Taluka-Mulshi, Hinjawadi, Pune-411057, India. CIN: L74999PN2018PLC174192

==> picture [131 x 41] intentionally omitted <==

March 26, 2020 Company Update on COVID 19

KPIT Technologies Ltd

CONFIDENTIAL

1

Forward Looking Statements

Some of the statements in this update that are not historical facts are forwardlooking statements. These forward-looking statements include our financial and as well as statements our growth projections concerning plans, strategies, intentions and beliefs our business and the markets in which we concerning operate. These statements are based on information currently available to us, and we assume no obligation to update these statements as circumstances change. There are risks and uncertainties that could cause actual events to differ materially from these forward-looking statements. These risks include, but are not limited to, the level of market demand for our services, the highly-competitive market for the types of services that we offer, market conditions that could cause our customers to reduce Their spending for our services, our ability to create, acquire and build new businesses and to grow our existing businesses, our ability to attract and retain qualified personnel, currency fluctuations and market conditions in India and elsewhere around the world, and other risks not specifically mentioned herein but those that are common to industry

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

2

COVID–19 Current Environment

The whole world is a united Covid-19 putting up fight against pandemic and these are times we all are unprecedented exceptional experiencing. We sincerely hope everybody is taking enough care to ensure the safety of oneself, family and in general, ensuring the spread of the virus is curtailed. In this we would like to all on unprecedented environment, apprise you the business scenario changes that we at KPIT are experiencing and the collective of the KPIT to these times. response family changing

While we all are witnessing unprecedented happenings globally, we urge you to stay S afe, H ealthy and P ositive .

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

3

Customers

==> picture [72 x 71] intentionally omitted <==

Though some of the factories have temporarily closed, engineering departments are working uninterrupted, albeit remotely

==> picture [72 x 71] intentionally omitted <==

Every business is charting in unknown territory and we believe it will take around 30-60 days for getting better clarity on the situation and the exact course of action. We believe the disruption in Automotive industry will create more opportunities in the medium term.

==> picture [72 x 71] intentionally omitted <==

We have a and some deal discussions are healthy pipeline large as timelines progressing per agreed

While we all are witnessing unprecedented happenings globally, till now we have not sensed any meaningful impact on engineering spend.

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

4

Development Centers

==> picture [63 x 62] intentionally omitted <==

India 95%+ of Pune and Bangalore development teams are working from home. While there are initial teething troubles, we are moving towards 100% remote working

==> picture [63 x 62] intentionally omitted <==

Japan : Teams are working remotely with minimal disruption China : After a couple of months of extreme caution, teams are now fully working either from our center or client locations

==> picture [63 x 62] intentionally omitted <==

Europe

In after initial of our teams are Germany, disruption, majority working remotely. In rest of Europe, our people are working as per client guidelines

==> picture [63 x 61] intentionally omitted <==

US

Our teams are as client & bulk of the team is working per guidelines working remotely.

We have responded to the current situation swiftly and the resultant business disruption is temporary.

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

5

People

==> picture [73 x 71] intentionally omitted <==

The safety of our people and their families is of paramount importance to us. We are in constant communication with our teams across the globe for any assistance that they might need. All our offices globally are at almost complete work from home basis. Since the past 3 weeks, we have stepped up on communication regarding the safety of our employees and their families.

==> picture [73 x 71] intentionally omitted <==

All travel is currently suspended. We anticipate the people movement – restrictions to continue for some time minimum 30 We are days. geared up for the same.

While there were initial glitches, we have moved towards almost a complete work from home, globally

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

6

Comprehensive Actions

Response Team

1 Cross Functional Rapid Response team in action and meets twice a day to review ongoing implementation. The Executive Board will meet once week for every strategy & policy decisions.

Employee Safety

2 Strong Communication, Work from Home for 95%+ Staff, Moving towards 100% remote working.

4

5

Client Management T25 Client is Every response carefully studied and regular calls with the clients to decide the immediate action items and the medium-term thought process.

Business Plan

Annual Operating Plan is focusing on Cost reduction, Cash Conservation and offshoring to ensure seamless delivery.

Cash and Liquidity

3 Conserving Cash is the need of the hour. All non-critical capex frozen, cost reduction initiatives identified and actions started.

6

Execution We are reconfiguring the execution to ensure and process continuity productivity with remote working and offshoring.

We have been working proactively to minimize the impact and have setup the operational infrastructure to respond to the current situation

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

7

Impact

==> picture [73 x 71] intentionally omitted <==

There have been temporary disruptions at our development centers which will have on the current revenues. globally slight impact quarter

==> picture [73 x 71] intentionally omitted <==

As a response to the current situation, we are moving certain teams offshore from client locations and/or our global centers. With this movement, the FY21 offshore volumes would go up. Hence overall dollar revenues will be affected. There will be certain minor disruptions due to travel restrictions

==> picture [73 x 71] intentionally omitted <==

We have not seen any engineering spend being cut. Our pipeline continues to be healthy. We continue to monitor the situation closely.

We continue to work hard to keep our commitments towards our employees, clients and the society at large.

==> picture [61 x 18] intentionally omitted <==

CONFIDENTIAL

8

Contact

For Investor Queries

==> picture [76 x 300] intentionally omitted <==

Email Sunil.Phansalkar@kpit.com

Desk Phone + 91 20 6770 6997

Cell + 91 98509 66011

Website www.kpit.com

Sunil Phansalkar

9

==> picture [131 x 41] intentionally omitted <==

THANK YOU

==> picture [74 x 75] intentionally omitted <==

CONFIDENTIAL

10