Tech Mahindra

Revenue up 5.1% YoY to Rs 13995 crore in Q2FY2026

On consolidated basis

Quarter ended September 2025 compared with Quarter ended June 2025.

Net sales (including other operating income) of Tech Mahindra has increased 4.82% to Rs 13994.9 crore.  

Operating profit margin has jumped from 14.49% to 15.49%, leading to 12.03% rise in operating profit to Rs 2,168.00 crore.  Employee cost decreased from 56.17% to 54.51%.   Other expenses rose from 29.34% to 30.00%.   Expenses from contract rose from 9.82% to 10.32%.   

Other income fell 81.68% to Rs 40 crore.  PBIDT rose 2.53% to Rs 2208 crore.  Provision for interest fell 0.77% to Rs 77.2 crore.  Loan funds remained nil.  

PBDT rose 2.65% to Rs 2130.8 crore.  Provision for depreciation rose 2.31% to Rs 468.7 crore.  

Profit before tax grew 2.75% to Rs 1,662.10 crore.  Provision for tax was expense of Rs 457.6 crore, compared to Rs 489.3 crore.  Effective tax rate was 27.58% compared to 30.24%.

Net profit attributable to owners of the company increased 4.73% to Rs 1,194.50 crore.  

Promoters? stake was 35.00% as of 30 September 2025 ,compared to 35.00% as of 30 June 2025 .  

Quarter ended September 2025 compared with Quarter ended September 2024.

Net sales (including other operating income) of Tech Mahindra has increased 5.12% to Rs 13994.9 crore.  Sales of BPS segment has gone up 1.80% to Rs 2,228.00 crore (accounting for 15.92% of total sales).  Sales of IT segment has gone up 5.77% to Rs 11,766.90 crore (accounting for 84.08% of total sales).  

Profit before interest, tax and other unallocable items (PBIT) has jumped 14.37% to Rs 2,697.20 crore.  PBIT of BPS segment rose 29.68% to Rs 367.90 crore (accounting for 13.64% of total PBIT).  PBIT of IT segment rose 12.28% to Rs 2,329.30 crore (accounting for 86.36% of total PBIT).  

PBIT margin of BPS segment rose from 12.96% to 16.51%.  PBIT margin of IT segment rose from 18.65% to 19.80%.  Overall PBIT margin rose from 17.71% to 19.27%.  

Operating profit margin has jumped from 13.15% to 15.49%, leading to 23.87% rise in operating profit to Rs 2,168.00 crore.  Employee cost decreased from 56.38% to 54.51%.   Other expenses fell from 30.48% to 30.00%.   Expenses from contract fell from 11.41% to 10.32%.   

Other income fell 92.33% to Rs 40 crore.  PBIDT fell 2.80% to Rs 2208 crore.  Provision for interest fell 13.26% to Rs 77.2 crore.  Loan funds declined from Rs 2,035.10 crore as of 30 September 2024 to Rs 1,954.40 crore as of 30 September 2025.  Inventories rose to Rs 96.10 crore as of 30 September 2025 from Rs 39.00 crore as of 30 September 2024.  Sundry debtors were lower at Rs 6,664.10 crore as of 30 September 2025 compared to Rs 7,062.20 crore as of 30 September 2024.  Cash and bank balance declined from Rs 4,312.10 crore as of 30 September 2024 to Rs 4,286.60 crore as of 30 September 2025.  Investments rose to Rs 3,082.40 crore as of 30 September 2025 from Rs 2,312.30 crore as of 30 September 2024 .  

PBDT fell 2.38% to Rs 2130.8 crore.  Provision for depreciation fell 0.23% to Rs 468.7 crore.  Fixed assets increased to Rs 6,252.80 crore as of 30 September 2025 from Rs 3,535.50 crore as of 30 September 2024.  Intangible assets declined from Rs 10,293.20 crore to Rs 8,031.90 crore.  

Profit before tax down 2.97% to Rs 1,662.10 crore.  Provision for tax was expense of Rs 457.6 crore, compared to Rs 456 crore.  Effective tax rate was 27.58% compared to 26.61%.

Minority interest decreased 2.70% to Rs 7.20 crore.  Net profit attributable to owners of the company decreased 4.45% to Rs 1,194.50 crore.  

Equity capital increased from Rs 442.10 crore as of 30 September 2024 to Rs 442.70 crore as of 30 September 2025.  Per share face Value remained same at Rs 5.00.  

Promoters? stake was 35.00% as of 30 September 2025 ,compared to 35.03% as of 30 September 2024 .  

Year-to-date (YTD) results analysis.

Net sales (including other operating income) of Tech Mahindra has increased 3.90% to Rs 27346.1 crore.  Sales of BPS segment has gone down 0.01% to Rs 4,315.50 crore (accounting for 15.78% of total sales).  Sales of IT segment has gone up 4.67% to Rs 23,030.60 crore (accounting for 84.22% of total sales).  

Profit before interest, tax and other unallocable items (PBIT) has jumped 14.55% to Rs 5,108.50 crore.  PBIT of BPS segment rose 17.36% to Rs 703.60 crore (accounting for 13.77% of total PBIT).  PBIT of IT segment rose 14.11% to Rs 4,404.90 crore (accounting for 86.23% of total PBIT).  

PBIT margin of BPS segment rose from 13.89% to 16.30%.  PBIT margin of IT segment rose from 17.54% to 19.13%.  Overall PBIT margin rose from 16.94% to 18.68%.  

Operating profit margin has jumped from 12.59% to 15%, leading to 23.79% rise in operating profit to Rs 4,103.20 crore.  Employee cost decreased from 56.37% to 55.32%.   Other expenses fell from 31.03% to 29.67%.   Expenses from contract fell from 11.49% to 10.07%.   

Other income fell 61.23% to Rs 258.3 crore.  PBIDT rose 9.56% to Rs 4361.5 crore.  Provision for interest fell 3.43% to Rs 155 crore.  Loan funds declined from Rs 2,035.10 crore as of 30 September 2024 to Rs 1,954.40 crore as of 30 September 2025.  Inventories rose to Rs 96.10 crore as of 30 September 2025 from Rs 39.00 crore as of 30 September 2024.  Sundry debtors were lower at Rs 6,664.10 crore as of 30 September 2025 compared to Rs 7,062.20 crore as of 30 September 2024.  Cash and bank balance declined from Rs 4,312.10 crore as of 30 September 2024 to Rs 4,286.60 crore as of 30 September 2025.  Investments rose to Rs 3,082.40 crore as of 30 September 2025 from Rs 2,312.30 crore as of 30 September 2024 .  

PBDT rose 10.11% to Rs 4206.5 crore.  Provision for depreciation fell 0.56% to Rs 926.8 crore.  Fixed assets increased to Rs 6,252.80 crore as of 30 September 2025 from Rs 3,535.50 crore as of 30 September 2024.  Intangible assets declined from Rs 10,293.20 crore to Rs 8,031.90 crore.  

Profit before tax grew 13.55% to Rs 3,279.70 crore.  Provision for tax was expense of Rs 946.9 crore, compared to Rs 769.3 crore.  Effective tax rate was 28.89% compared to 26.60%.

Net profit attributable to owners of the company increased 11.11% to Rs 2,335.10 crore.  

Equity capital increased from Rs 442.10 crore as of 30 September 2024 to Rs 442.70 crore as of 30 September 2025.  Per share face Value remained same at Rs 5.00.  

Promoters? stake was 35.00% as of 30 September 2025 ,compared to 35.03% as of 30 September 2024 .  

Cash flow from operating activities increased to Rs 3,169.40 crore for YTD ended September 2025 from Rs 2,452.60 crore for YTD ended September 2024.  Cash flow used in acquiring fixed assets during the YTD ended September 2025 stood at Rs 341.50 crore, compared to Rs 247.10 crore during the YTD ended September 2024.  

Full year results analysis.

Net sales (including other operating income) of Tech Mahindra has increased 1.91% to Rs 52988.3 crore.  Sales of BPS segment has gone up 10.36% to Rs 8,511.60 crore (accounting for 16.06% of total sales).  Sales of IT segment has gone up 0.44% to Rs 44,476.70 crore (accounting for 83.94% of total sales).  

Profit before interest, tax and other unallocable items (PBIT) has jumped 90.62% to Rs 9,463.20 crore.  PBIT of BPS segment fell 4.33% to Rs 1,192.30 crore (accounting for 12.60% of total PBIT).  PBIT of IT segment rose 122.44% to Rs 8,270.90 crore (accounting for 87.40% of total PBIT).  

PBIT margin of BPS segment fell from 16.16% to 14.01%.  PBIT margin of IT segment rose from 8.40% to 18.60%.  Overall PBIT margin rose from 9.55% to 17.86%.  

Operating profit margin has jumped from 8.67% to 13.14%, leading to 54.53% rise in operating profit to Rs 6,963.80 crore.  Employee cost decreased from 56.02% to 55.91%.   Other expenses fell from 35.31% to 30.95%.   Expenses from contract fell from 12.86% to 11.02%.   Provisions writeoffs cost fell from 0.88% to 0.05%.   Other provisions fell from 0.88% to 0.05%.   

Other income fell 6.71% to Rs 855.4 crore.  PBIDT rose 44.18% to Rs 7819.2 crore.  Provision for interest fell 17.98% to Rs 321.7 crore.  Loan funds declined from Rs 2,536.70 crore as of 31 March 2024 to Rs 2,025.20 crore as of 31 March 2025.  Inventories rose to Rs 39.40 crore as of 31 March 2025 from Rs 37.50 crore as of 31 March 2024.  Sundry debtors were lower at Rs 6,548.60 crore as of 31 March 2025 compared to Rs 7,125.60 crore as of 31 March 2024.  Cash and bank balance declined from Rs 4,735.50 crore as of 31 March 2024 to Rs 4,542.20 crore as of 31 March 2025.  Investments declined from Rs 3,237.70 crore as of 31 March 2024 to Rs 3,182.10 crore as of 31 March 2025.  

PBDT rose 49.03% to Rs 7497.5 crore.  Provision for depreciation rose 1.97% to Rs 1852.9 crore.  Fixed assets declined from Rs 6,525.60 crore as of 31 March 2024 to Rs 6,302.80 crore as of 31 March 2025.  Intangible assets increased from Rs 7,510.60 crore to Rs 7,699.30 crore.  

Profit before tax grew 75.63% to Rs 5,644.60 crore.  Share of profit/loss was 18.10% lower at Rs 8.6 crore.  Provision for tax was expense of Rs 1400.2 crore, compared to Rs 827.6 crore.  Effective tax rate was 24.77% compared to 25.67%.

Minority interest decreased 96.15% to Rs 1.50 crore.  Net profit attributable to owners of the company increased 80.32% to Rs 4,251.50 crore.  

Equity capital increased from Rs 441.30 crore as of 31 March 2024 to Rs 442.40 crore as of 31 March 2025.  Per share face Value remained same at Rs 5.00.  

Promoters? stake was 35.01% as of 31 March 2025 ,compared to 35.09% as of 31 March 2024 .  

Cash flow from operating activities decreased to Rs 5,785.70 crore for year ended March 2025 from Rs 6,376.40 crore for year ended March 2024.  Cash flow used in acquiring fixed assets during the year ended March 2025 stood at Rs 593.50 crore, compared to Rs 791.10 crore during the year ended March 2024.  

Dividend: The board has recommended a interim dividend of Rs 15 per share.

Management commentary:

Mohit Joshi, CEO and Managing Director, Tech Mahindra, said, ?We delivered broad-based growth this quarter, reflecting the strength of our strategy and execution. We launched TechM Orion, our next-generation AI platform, and TechM Orion Marketplace to help enterprise accelerate autonomous transformation. Being recognized by industry analysts reinforces our leadership in advancing next-generation AI.?

 

Rohit Anand, Chief Financial Officer, Tech Mahindra, said, ?This quarter marks the eighth consecutive period of margin expansion, driven by operational efficiency and disciplined execution. Our deal TCV is up 57% year-on-year on LTM basis, supported by strong deal conversions. The Board has approved a dividend of ?15 per share reflecting our continued focus on shareholder value.?

Tech Mahindra : Consolidated Results

Quarter ended Year to Date Year ended Particulars 202509 202409 Var.(%) 202509 202409 Var.(%) 202503 202403 Var.(%) Net Sales (including other operating income) 13,994.90 13,313.20 5.12 27,346.10 26,318.70 3.90 52,988.30 51,995.50 1.91 OPM (%) 15.49 13.15 235 bps 15.00 12.59 241 bps 13.14 8.67 448 bps OP 2,168.00 1,750.20 23.87 4,103.20 3,314.70 23.79 6,963.80 4,506.30 54.53 Other Inc. 40.00 521.50 -92.33 258.30 666.20 -61.23 855.40 916.90 -6.71 PBIDT 2,208.00 2,271.70 -2.80 4,361.50 3,980.90 9.56 7,819.20 5,423.20 44.18 Interest 77.20 89.00 -13.26 155.00 160.50 -3.43 321.70 392.20 -17.98 PBDT 2,130.80 2,182.70 -2.38 4,206.50 3,820.40 10.11 7,497.50 5,031.00 49.03 Depreciation 468.7 469.8 -0.23 926.8 932 -0.56 1852.9 1817.1 1.97 PBT 1,662.10 1,712.90 -2.97 3279.7 2888.4 13.55 5644.6 3213.9 75.63 Share of Profit/(Loss) from Associates -2.8 0.6 PL -2.3 3.2 PL 8.6 10.5 -18.10 PBT before EO 1659.3 1713.5 -3.16 3277.4 2891.6 13.34 5653.2 3224.4 75.33 EO Income 0 0 - 0 0 - 0 0 - PBT after EO 1659.3 1713.5 -3.16 3277.4 2891.6 13.34 5653.2 3224.4 75.33 Taxation 457.6 456 0.35 946.9 769.3 23.09 1400.2 827.6 69.19 PAT 1201.7 1257.5 -4.44 2330.5 2122.3 9.81 4253 2396.8 77.44 Minority Interest (MI) 7.2 7.4 -2.70 -4.6 20.7 LP 1.5 39 -96.15 Net profit 1194.5 1250.1 -4.45 2335.1 2101.6 11.11 4251.5 2357.8 80.32 P/(L) from discontinued operations net of tax 0 0 - 0 0 - 0 0 - Net profit after discontinued operations 1194.5 1250.1 -4.45 2335.1 2101.6 11.11 4251.5 2357.8 80.32 EPS (Rs)* 12.19 12.76 -4.45 23.84 21.45 11.11 43.40 24.07 80.32 * EPS is on current equity of Rs 489.78 crore, Face value of Rs 5, Excluding extraordinary items. # EPS is not annualised bps : Basis points EO : Extraordinary items Figures in Rs crore Source: Capitaline Corporate Database

Tech Mahindra : Consolidated Segment Results

td>-   Quarter ended Year to Date Year ended % of (Total) 202509 202409 Var.(%) % of (Total) 202509 202409 Var.(%) % of (Total) 202503 202403 Var.(%) Sales BPS 15.92 2,228.00 2,188.50 1.80 15.78 4,315.50 4,316.00 -0.01 16.06 8,511.60 7,712.40 10.36 Telecom Equipment Manufacturer 0.00 0.00 0.00 - Telecom Service Provider 0.00 0.00 0.00 - Others 0.00 0.00 0.00 - IT 84.08 11,766.90 11,124.70 5.77 84.22 23,030.60 22,002.70 4.67 83.94 44,476.70 44,283.10 0.44 Total Reported Sales 100.00 13,994.90 13,313.20 5.12 100.00 27,346.10 26,318.70 3.90 100.00 52,988.30 51,995.50 1.91 Less: Inter segment revenues   0.00 0.00 -   0.00 0.00   0.00 0.00 - Net Sales 100.00 13,994.90 13,313.20 5.12 100.00 27,346.10 26,318.70 3.90 100.00 52,988.30 51,995.50 1.91 PBIT BPS 13.64 367.90 283.70 29.68 13.77 703.60 599.50 17.36 12.60 1,192.30 1,246.30 -4.33 Telecom Equipment Manufacturer 0.00 0.00 0.00 - Telecom Service Provider 0.00 0.00 0.00 - Others 0.00 0.00 0.00 - IT 86.36 2,329.30 2,074.60 12.28 86.23 4,404.90 3,860.10 14.11 87.40 8,270.90 3,718.20 122.44 Total PBIT 100.00 2,697.20 2,358.30 14.37 100.00 5,108.50 4,459.60 14.55 100.00 9,463.20 4,964.50 90.62 Less : Interest 77.20 89.00 -13.26 155.00 160.50 -3.43 321.70 392.20 -17.98 Add: Other un-allcoable -960.70 -555.80 -72.85 -1,676.10 -1,407.50 -19.08 -3,488.30 -1,347.90 -158.80 PBIT Margin(%) BPS   16.51 12.96 354.94   16.30 13.89 241.38   14.01 16.16 -215.17 Telecom Equipment Manufacturer   0.00 0.00 0.00 Telecom Service Provider   0.00 0.00 0.00 Others   0.00 0.00 0.00 IT   19.80 18.65 114.68   19.13 17.54 158.25   18.60 8.40 1,019.96 PBT 100.00 1,659.30 1,713.50 -3.16 100.00 3,277.40 2,891.60 13.34 100.00 5,653.20 3,224.40 75.33

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