Tech Mahindra Q3 Results Highlights: Net profit jumps 93% YoY to ₹983 crore, revenue up 1.4%

The company posted a 92.63% year-on-year (YoY) growth in its consolidated profit for the quarter to ₹983.2 crore, as compared to ₹510.4 crore in the year-ago period. On a quarter-on-quarter (QoQ) basis, or sequentially, profit fell down by 21% to ₹1,250.1 crore.

Revenue of the company for the reporting quarter grew to ₹13,286 crore, rising 1.4% YoY and noting a 0.2% decrease on a sequential basis.

The company posted an Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) of ₹1,809 crore, marking a 57.8% increase from ₹1,146.5 crore posted in Q2 FY25.

Tech Mahindra's manufacturing sector recorded a decline of 7.2% YoY and 3.7% QoQ, while the BFSI segment grew by 8.3% YoY and 0.4% QoQ.

"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 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 cashflow," said Rohit Anand, Chief Financial Officer, Tech Mahindra.

“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," said Mohit Joshi, Chief Executive Officer and Managing Director, Tech Mahindra.

• Revenue: $1,567 million

Down 1.3% QoQ

Down 0.4% YoY

• Revenue growth (constant currency terms):

Up 1.2% QoQ

Up 1.3% YoY

• EBITDA: $213 million

Up 2.0% QoQ

Up 54.7% YoY

• EBITDA Margin: 13.6%

Up 40 bps QoQ

Up 480 bps YoY

• Profit after tax (PAT): $116 million
• PAT Margin: 7.4%
• Free cash flow: $199 million
• New deal wins TCV: $745 million

• Anand G. Mahindra, Non-Executive Chairman
• Mohit Joshi, Managing Director & CEO
• Shikha Sharma, Lead Independent Director
• Anish Shah, Non-Executive Director
• Puneet Renjhen, Additional Non-Executive Director
• Haigreve Khaitan, Independent Director
• Neelam Dhawan, Independent Director
• Mukti Khaire, Independent Director
• Penelope Fowler, Independent Director
• Tarun Bajaj, Independent Director

For the second quarter of the current fiscal, the company reported a net profit of ₹1,250 crore, growing by 153% year-on-year (YoY). Sequentially, the PAT profit climbed 46.8%.

Tech Mahindra's revenue for Q2 FY25 increased by 3.5% year-on-year, reaching ₹13,313 crore. Sequentially, the company reported a 2.4% growth in revenue.

• Pininfarina
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• Altavec
• Eventus
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The IT company could post a revenue growth between 0.7% to 2.6%, as per expert predictions. Net profit of the company is expected to increase by 42% to 102%, several media reports suggested. The revenue could be in the range of ₹13,200 crore and ₹13,436 crore, while the PAT is expected to be between ₹976 crore and ₹1,040 crore.

• Current price: ₹1,677 (-0.63%)
• Open: ₹1,684.75
• High: ₹1,699.90
• Low: ₹1,656.85
• Previous close: ₹1,687.65

• Traded volume: 12.48 lakh
• Traded value: ₹210.06 crore
• Total market cap: ₹1,64,318.77
• Free float m-cap: ₹1,06,618.63

Tech Mahindra share price

Ahead of the result announcement, Tech Mahindra stock is trading 0.07% up at ₹1,688.80 apiece on the NSE after opening at ₹ 1,684.75 today. The shares climbed to ₹1,699.90 during the morning trade.