Tech Mahindra Q3 PAT surges 93% to ₹983 crore

Tech Mahindra Ltd. for the third quarter ended December 31, reported 93% growth in consolidated net profit to ₹983.2 crore as compared with ₹510.4 crore in the year ago period. 

There has been a net profit margin expansion of 350 bps YoY. The company said the total contract value (TCV) of new deals grew by 95.4% YoY to $745 million.

Revenue at ₹ 13,286 crore was marginally up 1.4% YoY.

The total headcount at the end of the quarter 1,50,488 was down 3,785 QoQ, and up 4,238 YoY. The last 12 months IT attrition was 11.2%.

The company at the end of the quarter had cash and cash equivalent of ₹6,841 crore.

Mohit Joshi, CEO and MD, Tech Mahindra, said, “We see an improved rate of deal wins in our key verticals and priortised markets.”

“This coupled with consistent expansion in operating margins, despite cross-currency headwinds during the quarter, reaffirms that we are on track to achieve our long-term goals,” he said.

Rohit Anand, CFO, Tech Mahindra, said, “We delivered growth in EBIT margin and operating PAT, both on a sequential and year-on-year basis, resulting from our targeted actions under Project Fortius, along with a steady increase in new deal wins, across prioritised verticals and markets.”

“Our continued focus on optimising working capital management has resulted in generation of robust free cashflows,” he added.