MUMBAI: today reported a 17.4 per cent quarter-on-quarter fall in its consolidated net profit to Rs 1,081 crore for the quarter ended March. The company’s topline, however, rose 0.9 per cent sequentially to Rs 9,730 crore.
Analysts had expected the company to report a consolidated net profit of Rs 1,302.8 crore on consolidated revenues of 9,801.5 crore.
The company’s consolidated operating profit in the quarter rose 2.8 per cent sequentially to Rs 1,948 crore in the reported quarter.
The company’s board also approved a final dividend of Rs 30 per share including a special dividend of Rs 15 per share.
“We are witnessing a strong demand acceleration,” said CP Gurnani, managing director and chief executive officer at Tech Mahindra in a post-earnings statement.
The IT company’s consolidated operating margin in the quarter expanded 40 basis points sequentially to 20 per cent.
Tech Mahindra said that it added net new deals worth $1 billion in the quarter ended March as against $455 million in the previous quarter. The company added two new clients in the $10 million plus bracket and seven new clients in the $5 million plus category in the quarter.
Much like its peers Infosys and Wipro, Tech Mahindra also saw an increase in attrition rate during the quarter to 13 per cent from 12 per cent in the previous quarter.
For the financial year ended March, Tech Mahindra’s consolidated revenues grew 2.7 per cent to Rs 37,855 crore and consolidated net profit rose 9.8 per cent to Rs 4,428 crore.
Shares of Tech Mahindra ended 2.1 per cent higher at Rs 970 on the National Stock Exchange.
