Tech Mahindra Q2FY25 results: PAT up 153% to Rs 1,250 cr, revenue up 3.5%

Other income includes gain on sale of property of Rs 450.2 cr which comprises of freehold land and its related buildings along with the furniture & fixtures sold for a consideration of Rs 535 cr

Tech Mahindra reported net profit of Rs 1,250 crore for the second quarter of financial year 2025 (Q2FY25), up 153 per cent year-on-year. Sequentially profits were up 46.8 per cent.

Revenue for the quarter was up 3.5 per cent year-on-year (Y-o-Y) at Rs 13,313 crore for the second quarter of FY25. Sequentially, revenue was up 2.4 per cent.

Net new deal win for the quarter was $603 million, down by 5.7 per cent Y-o-Y, but up 12.9 per cent sequentially.

Growth was driven by retail, transport and logistics, up 4.7 per cent Y-o-Y and 5.6 per cent sequentially. BFSI grew 4.5 per cent Y-o-Y and 2.4 per cent QoQ. 

Communications continued to be slow with a decline of 1.7 per cent Y-o-Y and 2.7 growth QoQ.

Mohit Joshi, Chief Executive Officer and Managing Director, Tech Mahindra, said, “We continue to progress on our strategic improvement efforts even as the overall IT services industry has remained soft. We have focused on strengthening client relationships and expanding the partner ecosystem while maintaining a sharp focus on operational excellence through project Fortius, which has resulted in an expansion of margins for the third sequential quarter.”

Operating margins for the quarter was at 9.6 per cent. This was up 1.1 per cent QoQ.

Rohit Anand, Chief Financial Officer, Tech Mahindra, said, “This quarter we see consistent performance around increasing deal wins, revenue growth, cost optimisation and steady free cashflow generation as we continue our journey towards FY27 stated targets. In line with our capital allocation policy the board has declared an interim dividend of Rs 15 per share.”