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Tech Mahindra Q1 preview: Weak numbers likely; revenue guidance eyed

Key things to watch out for in the commentary include timeline for 5G deal flow and impact of US ban on Huawei on 5G adoption, health of enterprise business especially in the manufacturing vertical

Tech Mahindra Q1 preview: Weak numbers likely; revenue guidance eyed
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Swati Verma New Delhi
Tech Mahindra, the Pune-headquartered IT services firm, is likely to report a weak set of numbers for June quarter of the financial year 2019-20 (1QFY20) when it declares its financial results Tuesday. In line with industry peers, the company is expected to see a dip in operating margin, owing to rupee appreciation, wage hikes, visa fees and Comviva seasonality. 

Revenue is also expected to decline sequentially, with cross currency headwinds of up to 80 basis points (bps). Weakness in the banking, financial services and insurance (BFSI) and manufacturing segments will contribute to weak numbers, while healthcare segment will recover marginally, analysts

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First Published: Jul 29 2019 | 11:14 AM IST

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