Tech Mahindra Q3 results: Net profit soars 14% YoY to ₹1,122 crore; revenue jumps 8%

In the corresponding period of the previous fiscal year, it had logged a profit of ₹983.2 crore, it said in a regulatory filing.

The company’s revenue from operations surged 8.34% annually to ₹14,393.2 crore during the quarter under review, compared to ₹13,285.6 crore in the December quarter of the 2024-25 fiscal year (Q3FY25).

On a sequential basis, its revenue jumped 2.8% quarter-on-quarter (QoQ) from ₹13,994.9 crore in the second quarter of FY26.

Geographically, the Americas contributed 50.6% to its revenue mix, up 2.1% YoY and 3.1% QoQ. It was followed by the European market, which made up 25.6% of the revenue, marking 11.2% annual and 2.2% sequential growth. The rest of the world (ROW) contributed 23.9% to the revenue, down 4% YoY and 2.3% QoQ.

Segment-wise, the communications vertical made up 33.1% of the revenue mix, followed by manufacturing (18.3%), banking, financial services and insurance (BFSI) (15.5%), technology, media and entertainment (13.2%), retail, logistics and transport (8.7%), healthcare and lifesciences (7.4%), and other verticals (3.7%).

At an operational level, its EBIT (earnings before interest and taxes) stood at ₹1,892 crore, reflecting an 40.1% annual and 11.3% sequential jump.

The firm’s new deal wins jumped 47% to $1.096 billion, the company said, adding that the number is over 34% higher than the September quarter.

Commenting on the earnings, Mohit Joshi, CEO and Managing Director, Tech Mahindra, said: “Our deal wins on an LTM basis are the highest we have achieved in the past five years, reflecting an improved deal-win run-rate over the past several quarters. The momentum is a testament to our sustained investments in sales, solution-oriented go-to-market approach and the growing relevance of our AI-led offerings in addressing client needs. Together, these efforts are laying a strong foundation for long-term value creation."

The overall headcount as of December 31, 2025, stood at 1,49,616, which was down 872 as compared to the year-ago period. The overall attrition stood at 12.3%.

The company was carrying cash and equivalents of ₹7,666 crore as of December 31, 2025.

“This quarter reflects a well-rounded financial performance, marked by the ninth consecutive quarter of margin expansion and continued strength in cash generation. A sustained focus on working capital discipline has led to improved cash flows and a meaningful improvement in DSO, driven by consistent execution. We remain on track in our progress toward our FY27 goals," said Rohit Anand, Chief Financial Officer of Tech Mahindra.

Shares of Tech Mahindra closed at ₹1,672 per unit, up by 5.26% on the National Stock Exchange (NSE) on Friday. However, the results were declared after the market closed.