Tech Mahindra Profit Crashes 40% In Q4, Misses Estimates

Tech Mahindra reported its earnings for the quarter ended March on Thursday.

What Happened: The IT firm’s consolidated net profit was at ₹661 crore for the quarter ended March—a 40% decrease from the ₹1,117.7 crore net profit it made in the same quarter last year.

During the quarter, the company's consolidated revenue from operations also dipped 6.1% to reach ₹12,871 crore, down from the ₹13,718 crore.

See also: Tata Group Stock Falling After Q4, But Brokerages Raise Target Price

Analysts estimated ₹720 crore in profit, and revenue was pegged at around ₹12,950 crore. The company also announced a final dividend of ₹28 per share for the year ended March 2024. The company’s number of active clients slumped to 1,172 from the 1,297 customers reported at the end of March 2023. New deal wins stood at $500 million.

The IT giant had appointed Mohit Joshi as managing director and CEO in March 2023. Joshi succeeded company veteran CP Gurnani. The company’s results comes as several other of its peers have felt the burnt at the bourses after lukewarm results.

Infosys and LTIMindtree both slumped sharply after reporting results.

Price Action: Tech Mahindra’s share price was up o.39% to close at ₹1,190.30 on Thursday.

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Posted In: EarningsEquitiesNewsMarketsTech Mahindra