KPIT Tech reported major improvement in operating metrics (revenue growth was 5.3% QoQ and blended utilisation jumped 350bps). INR depreciation helped, boosting EBITDA margin 444bps QoQ despite increase in wages. KPIT believes the employee pyramid correction is done; some benefit will accrue in 3Q. Revenue growth is a focus for 2HFY16, with engineering, digital and platforms to be key drivers. While 1HFY16 saw a focus on higher utilisation, we expect 2HFY16 to see more hiring-led growth.