Tata Technologies shares decline 3% as Q1 profit falls over 11% QoQ to ₹181 crore, revenue rises 6%

At around 11:58 AM, the stock was trading 2.32% lower at ₹740.45 per equity share.

The scrip has fallen 3% over the past week but gained 15% on a year-to-date basis.

While the share hit a 52-week high of ₹784 apiece on June 9, 2026, it touched a year’s low of ₹507.40 on March 30, 2026.

Tata Tech Q1 earnings

The company posted a 6.15% year-on-year (YoY) increase in its consolidated net profit to ₹180.75 crore during the quarter under review, compared with ₹170.24 crore in the June quarter of the 2025-26 fiscal year (Q1 FY26).

However, on a sequential basis, its profit declined 11.47% quarter-on-quarter (QoQ) from ₹204.17 crore in the fourth quarter of FY26.

Tata Tech’s revenue from operations jumped 33.8% YoY to ₹1,664.63 crore in the June quarter of FY26, as against ₹1,244.29 crore in the corresponding period of the previous fiscal year. It advanced 5.9% QoQ from ₹1,572.22 crore in the quarter-ago period.

In constant currency (CC) terms, its revenue grew by 25.2% YoY and 4.3% QoQ to $175.4 million in Q1 FY27, from $145.3 million in the year-ago period and $170.8 million in Q4 FY26, respectively.

Its operating EBITDA (earnings before interest, tax, depreciation and amortisation) soared 33.6% YoY and 6.1% QoQ to ₹267.4 crore for the reporting quarter.

While its EBITDA margin remained stable YoY at 16.1% in the quarter ended June 30, 2026, it improved from 16% in the preceding quarter.

The firm recorded a workforce strength of 12,579, with its last twelve-month attrition for the quarter coming in at 16%.

Segment-wise revenue

The service segment reported revenue of $136.6 million in CC terms in Q1 FY26, up 24.4% YoY and 4.3% QoQ from $112.5 million in the same period last year, and $132.6 million in the fourth quarter of FY26, respectively.

What the management said

Commenting on the development, Warren Harris, Chief Executive Officer and Managing Director, said: “I am encouraged by the continued momentum in our business, with the strong execution in the second half of FY26 carrying into Q1 and delivering a solid 34% YoY increase in revenues. “

Harris further stated that the demand environment remains constructive, reflected in healthy activity across its strategic growth areas, a robust pipeline of large opportunities, improving deal conversion, and greater visibility across key customer programs.

He added that, combined with the company’s ongoing investments in AI, disciplined focus on operational efficiency, and continued portfolio diversification, the firm believes that it is well positioned to deliver strong double-digit organic revenue growth in FY27.

“We remain encouraged by a constructive demand environment that continues to support strategic investments in engineering, digital transformation, and next-generation mobility,” said Uttam Gujrati, Chief Financial Officer of Tata Tech.

While the company remains mindful of the evolving macroeconomic backdrop, its focus remains firmly on disciplined execution, operational excellence, and prudent capital allocation, Gujrati stated, adding that these priorities, together with the firm’s diversified business mix and resilient margins, position it “well to capture emerging opportunities” while continuing to invest in capabilities that strengthen its long-term competitiveness.

Tata Technologies has a total market capitalisation of ₹30,005.20 crore as of July 20, 2026, according to data on the NSE.