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2 min read | Updated on July 26, 2024, 14:15 IST
SUMMARY
The company’s consolidated revenue from operations for Q1FY25 fell over 1% to ₹13,006 crore compared to ₹13,159 crore in Q1FY25. The IT services company’s profit-after-tax surged nearly 23% to ₹864.8 crore in Q1FY25 from ₹703.6 crore in the year-ago period.
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Tech Mahindra announces merger of Healthnxt with Tech Mahindra (Americas), stock trades in green
Shares of Tech Mahindra fell over 5% to trade at an intraday low of ₹1,444.25 apiece on the NSE on Friday, July 26, after the company reported its results for the quarter ended June 2024 (Q1FY25). The company’s revenue from operations for the June quarter declined on a year-on-year (YoY) basis.
Tech Mahindra released its financial results for the first quarter of FY25 after market hours on July 25. The company’s consolidated revenue from operations for Q1FY25 fell over 1% to ₹13,006 crore compared to ₹13,159 crore in Q1FY25. Sequentially, the company’s revenue from operations increased 1% compared to ₹12,871 crore in Q4FY24 on a quarter-on-quarter basis.
The IT services company’s profit after tax surged nearly 23% to ₹864.8 crore in Q1 FY25 from ₹703.6 crore in the year-ago period. In the June quarter, the company’s profit after tax grew over 30% QoQ from ₹664.2 crore in the March quarter of FY24.
Tech Mahindra’s Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) stood at ₹1,564 crore in Q1FY25, registering an 11.1 % growth QoQ and 16.9% growth YoY. The company’s EBITDA margin stood at 12%, up 11 bps QoQ and 190 bps YoY, according to a release made to the exchanges on July 25.
The company’s total headcount improved by 2,165 employees on a QoQ basis to 1,47,620; however, it declined by 677 employees year over year.
Rohit Anand, Chief Financial Officer, Tech Mahindra, reiterated the company’s focus on investing in the business for long-term sustainable performance.
"The Q1 results are a positive start both for the current turnaround year as well as for our medium-term strategy. As we mentioned in our strategic priorities, our focus continues to be on investing in the business for long-term sustainable performance," Anand said.
Tech Mahindra offers technology consulting and digital solutions to companies across various industries. The company employs 1,45,000 professionals across 90 countries Tech Mahindra is part of the Mahindra Group, which was founded in 1945.
Shares of Tech Mahindra were trading positive at ₹1,535 apiece on the NSE at 14:10 pm.
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