Tech Mahindra Q1 profit jumps 39% YoY to Rs 1,353 crore, beats estimates

Information technology major Tech Mahindra reported a 39.17 per cent year-on-year (YoY) jump in its consolidated net profit at Rs 1,353.2 crore for the April-June period of financial year 2021-22 (Q1FY22) as against Rs 972.3 crore posted in the corresponding quarter last year. On quarter-on-quarter (QoQ) basis, the profit rose by 25.13 per cent.

The consolidated revenue from operations in June 2021 quarter grew 11.98 per cent YoY at Rs 10,197.6 crore. The company had posted revenue of Rs 9,106.3 crore in the same period a year ago. Sequentially, the figure rose by 4.8 per cent from Rs 9,729.9 crore posted in the preceding quarter.  

The dollar revenue for the quarter was at $1,384 million, up 14.6 per cent YoY and 4.1 per cent QoQ. In constant currency terms, the revenue rose by 3.9 per cent QoQ.

The company beat profit expectations by a wide margin as most brokerages had projected the figure to rise between 16-23 per cent YoY. On the revenue front too, the figure was marginally higher than analysts' estimates. READ HERE

Tech Mahindra's EBITDA (earnings before interest, tax, depreciation and amortisation) during the quarter under review came in at Rs 1,876.4 crore compared with Rs 1,300.5 crore in the June 2020 quarter and Rs 1,948.1 crore in the March 2021 quarter. The EBIT margin during the June quarter was at 15.2 per  cent versus 10.1 per  cent in the same period a year ago and 16.5 per cent in the preceding quarter.

 

Attrition figure was stable on yearly basis at 17 per cent but increased sequentially from 14 per cent. The net new deal wins came in at $815 million.

The scrip closed the day 0.75 per  cent higher on BSE at Rs 1127.95 per share as against a 0.40 per cent jump in Sensex.