Tech Mahindra Q2 Results: Compared to ₹12,863.9 crore in the same quarter of 2023–2024, revenue increased by 3.49 percent to ₹13,313.2 crore in the second quarter of 2024–25.
Due to growth in European and other non-American markets, as well as the banking, financial services, and insurance (BFSI) segment, and special income from the sale of assets, IT services company Tech Mahindra reported a more than two-fold increase in its consolidated net profit to ₹1,250 crore for the July-September quarter on Saturday.
According to an exchange filing, the Mahindra Group company reported a net profit of ₹493.9 crore for the same period last year. Compared to ₹12,863.9 crore in the second quarter of 2023–2024, revenue increased by 3.49 percent to ₹13,313.2 crore in 2024–2025.
“Other income includes gain on sale of property of ₹4,502 million which comprises of freehold land and its related buildings along with the furniture & fixtures sold for a consideration of ₹5,350 million, receivable over a period of four years along with interest of 8.2 per cent p.a,” the company filing said.
Tech Mahindra CEO Mohit Joshi said “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,”.
In April, the CEO presented Project Fortius, a three-year strategy aimed at achieving a 15% operating margin with an emphasis on organic growth. The communications division of Tech Mahindra, which accounts for one-third of total sales, has remained poor.
Tech Mahindra CFO Rohit Anand said “This quarter we see consistent performance around increasing deal wins, revenue growth, cost optimisation and steady free cash flow 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 ₹15 per share,”.
In the second quarter of FY25, the company’s net new deal wins, or TCV (Total Contract Value), was USD 603 million. Joshi added that with its leading indicators heading in the right way and its “Scale at Speed” story resonating in the market, the company is headed for a long-term, sustainable transformation.
This year could be volatile because we are in the turnaround phase, Joshi said. “I am confident, however, that the platform is being set for a long-term, valuable franchise thanks to a high-calibre and united leadership team and a clearly articulated strategic plan,”.