Tech Mahindra posted US dollar revenue of $1.625 billion during the March quarter, growing 0.9% sequentially. A CNBC-TV18 poll had pegged the figure at $1.624 million.
Revenue in rupee terms amounted to Rs 15,076 crore, slightly higher than the CNBC-TV18 survey of Rs 14,804 crore. On a quarter-on-quarter basis, revenue in rupees grew 4.7%. At constant currency, Tech Mahindra’s growth stood at 0.6% sequentially, in line with the CNBC-TV18 survey of 0.5%.
Earnings before interest and tax (EBIT) stood at ₹2,084 crore, in line with the CNBC-TV18 survey estimate of ₹2,035 crore, while EBIT margin expanded to 13.8%, a 70 basis point expansion from the 13.1% figure reported in the December quarter. The CNBC-TV18 poll had pegged the figure at 13.7%.
Deals closed for the quarter totaled more than $1 billion and new deals reached totaled $1,073 million, 34.5% more than the same quarter last year. However, sequentially, new agreements reached fell 2.1%.
Tech Mahindra’s board also approved a dividend of Rs 36 per share, which is subject to shareholder approval.
CEO Mohit Joshi said the company remains focused on scaling with discipline and they are on track to meet their FY27 commitments.
Tech Mahindra shares have seen a strong recovery from the day’s lows and are currently trading 0.9% lower at ₹1,485.9. The stock had fallen as much as 6.5% ahead of the results announcement, in line with the sell-off seen in other IT stocks, courtesy the selling seen in HCLTech after its March quarter earnings missed.