Tech Mahindra

NP up 14.1% YoY to Rs 1122 crore in Q3FY2026

On consolidated basis

Quarter ended December 2025 compared with Quarter ended September 2025.

Net sales (including other operating income) of Tech Mahindra has increased 2.85% to Rs 14393.2 crore.  

Operating profit margin has jumped from 15.49% to 16.44%, leading to 9.11% rise in operating profit to Rs 2,365.60 crore.  Employee cost decreased from 54.51% to 52.55%.   Other expenses rose from 30.00% to 31.01%.   Expenses from contract rose from 10.32% to 10.71%.   

PBIDT rose 6.15% to Rs 2343.9 crore.  Provision for interest rose 21.24% to Rs 93.6 crore.  

PBDT rose 5.61% to Rs 2250.3 crore.  Provision for depreciation rose 1.07% to Rs 473.7 crore.  

Profit before tax grew 6.89% to Rs 1,776.60 crore.  Provision for tax was expense of Rs 386.5 crore, compared to Rs 457.6 crore.  Effective tax rate was 25.68% compared to 27.58%.

Net profit attributable to owners of the company decreased 6.07% to Rs 1,122.00 crore.  

Promoters? stake was 34.98% as of 31 December 2025 ,compared to 34.98% as of 30 September 2025 .  

Quarter ended December 2025 compared with Quarter ended December 2024.

Net sales (including other operating income) of Tech Mahindra has increased 8.34% to Rs 14393.2 crore.  Sales of BPS segment has gone up 8.34% to Rs 2,317.60 crore (accounting for 16.10% of total sales).  Sales of IT segment has gone up 8.34% to Rs 12,075.60 crore (accounting for 83.90% of total sales).  

Profit before interest, tax and other unallocable items (PBIT) has jumped 10.36% to Rs 2,704.50 crore.  PBIT of BPS segment rose 12.58% to Rs 350.70 crore (accounting for 12.97% of total PBIT).  PBIT of IT segment rose 10.03% to Rs 2,353.80 crore (accounting for 87.03% of total PBIT).  

PBIT margin of BPS segment rose from 14.56% to 15.13%.  PBIT margin of IT segment rose from 19.19% to 19.49%.  Overall PBIT margin rose from 18.45% to 18.79%.  

Operating profit margin has jumped from 13.62% to 16.44%, leading to 30.77% rise in operating profit to Rs 2,365.60 crore.  Employee cost decreased from 55.88% to 52.55%.   Other expenses rose from 30.50% to 31.01%.   Expenses from contract fell from 10.98% to 10.71%.   

PBIDT rose 28.40% to Rs 2343.9 crore.  Provision for interest rose 23.32% to Rs 93.6 crore.  

PBDT rose 28.62% to Rs 2250.3 crore.  Provision for depreciation rose 3.25% to Rs 473.7 crore.  

Profit before tax grew 37.64% to Rs 1,776.60 crore.  Share of profit/loss was 86.36% lower at Rs 0.9 crore.  Provision for tax was expense of Rs 386.5 crore, compared to Rs 308.6 crore.  Effective tax rate was 25.68% compared to 23.79%.

Net profit attributable to owners of the company increased 14.12% to Rs 1,122.00 crore.  

Promoters? stake was 34.98% as of 31 December 2025 ,compared to 35.01% as of 31 December 2024 .  

 

For year-to-date (YTD) results analysis.

Net sales (including other operating income) of Tech Mahindra has increased 5.39% to Rs 41739.3 crore.  Sales of BPS segment has gone up 2.76% to Rs 6,633.10 crore (accounting for 15.89% of total sales).  Sales of IT segment has gone up 5.90% to Rs 35,106.20 crore (accounting for 84.11% of total sales).  

Profit before interest, tax and other unallocable items (PBIT) has jumped 13.06% to Rs 7,813.00 crore.  PBIT of BPS segment rose 15.73% to Rs 1,054.30 crore (accounting for 13.49% of total PBIT).  PBIT of IT segment rose 12.66% to Rs 6,758.70 crore (accounting for 86.51% of total PBIT).  

PBIT margin of BPS segment rose from 14.11% to 15.89%.  PBIT margin of IT segment rose from 18.10% to 19.25%.  Overall PBIT margin rose from 17.45% to 18.72%.  

Operating profit margin has jumped from 12.94% to 15.50%, leading to 26.25% rise in operating profit to Rs 6,468.80 crore.  Employee cost decreased from 56.21% to 54.37%.   Other expenses fell from 30.85% to 30.14%.   Expenses from contract fell from 11.32% to 10.29%.   

Other income fell 65.34% to Rs 236.6 crore.  PBIDT rose 15.48% to Rs 6705.4 crore.  Provision for interest rose 5.16% to Rs 248.6 crore.  

PBDT rose 15.92% to Rs 6456.8 crore.  Provision for depreciation rose 0.70% to Rs 1400.5 crore.  

Profit before tax grew 20.99% to Rs 5,056.30 crore.  Provision for tax was expense of Rs 1333.4 crore, compared to Rs 1077.9 crore.  Effective tax rate was 27.88% compared to 25.73%.

Net profit attributable to owners of the company increased 12.07% to Rs 3,457.10 crore.  

Promoters? stake was 34.98% as of 31 December 2025 ,compared to 35.01% as of 31 December 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.  

Management commentary:

Mohit Joshi, CEO and Managing Director, Tech Mahindra, said, ?Our deal wins on an LTM basis are the highest we have achieved in the past five years, reflecting an improved deal-win run-rate over the past several quarters. The momentum is a testament to our sustained investments in sales, solution-oriented go-to-market approach and the growing relevance of our AI-led offerings in addressing client needs. Together, these efforts are laying a strong foundation for long-term value creation?

Rohit Anand, Chief Financial Officer, Tech Mahindra, said, ?This quarter reflects a well-rounded financial performance, marked by ninth consecutive quarter of margin expansion and continued strength in cash generation. A sustained focus on working capital discipline has led to improved cash flows and a meaningful improvement in DSO, driven by consistent execution. We remain on track in our progress toward our FY27 goals?

Tech Mahindra : Consolidated Results

Quarter ended Year to Date Year ended Particulars 202512 202412 Var.(%) 202512 202412 Var.(%) 202503 202403 Var.(%) Net Sales (including other operating income) 14,393.20 13,285.60 8.34 41,739.30 39,604.30 5.39 52,988.30 51,995.50 1.91 OPM (%) 16.44 13.62 282 bps 15.50 12.94 256 bps 13.14 8.67 448 bps OP 2,365.60 1,809.00 30.77 6,468.80 5,123.70 26.25 6,963.80 4,506.30 54.53 Other Inc. -21.70 16.50 PL 236.60 682.70 -65.34 855.40 916.90 -6.71 PBIDT 2,343.90 1,825.50 28.40 6,705.40 5,806.40 15.48 7,819.20 5,423.20 44.18 Interest 93.60 75.90 23.32 248.60 236.40 5.16 321.70 392.20 -17.98 PBDT 2,250.30 1,749.60 28.62 6,456.80 5,570.00 15.92 7,497.50 5,031.00 49.03 Depreciation 473.7 458.8 3.25 1400.5 1390.8 0.70 1852.9 1817.1 1.97 PBT 1,776.60 1,290.80 37.64 5056.3 4179.2 20.99 5644.6 3213.9 75.63 Share of Profit/(Loss) from Associates 0.9 6.6 -86.36 -1.4 9.8 PL 8.6 10.5 -18.10 PBT before EO 1777.5 1297.4 37.00 5054.9 4189 20.67 5653.2 3224.4 75.33 EO Income -272.4 0 - -272.4 0 - 0 0 - PBT after EO 1505.1 1297.4 16.01 4782.5 4189 14.17 5653.2 3224.4 75.33 Taxation 386.5 308.6 25.24 1333.4 1077.9 23.70 1400.2 827.6 69.19 PAT 1118.6 988.8 13.13 3449.1 3111.1 10.86 4253 2396.8 77.44 Minority Interest (MI) -3.4 5.6 LP -8 26.3 LP 1.5 39 -96.15 Net profit 1122 983.2 14.12 3457.1 3084.8 12.07 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 1122 983.2 14.12 3457.1 3084.8 12.07 4251.5 2357.8 80.32 EPS (Rs)* 13.52 10.04 34.77 37.30 31.49 18.45 43.40 24.07 80.32 * EPS is on current equity of Rs 489.86 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) 202512 202412 Var.(%) % of (Total) 202512 202412 Var.(%) % of (Total) 202503 202403 Var.(%) Sales BPS 16.10 2,317.60 2,139.20 8.34 15.89 6,633.10 6,455.20 2.76 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 83.90 12,075.60 11,146.40 8.34 84.11 35,106.20 33,149.10 5.90 83.94 44,476.70 44,283.10 0.44 Total Reported Sales 100.00 14,393.20 13,285.60 8.34 100.00 41,739.30 39,604.30 5.39 100.00 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 14,393.20 13,285.60 8.34 100.00 41,739.30 39,604.30 5.39 100.00 52,988.30 51,995.50 1.91 PBIT BPS 12.97 350.70 311.50 12.58 13.49 1,054.30 911.00 15.73 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 87.03 2,353.80 2,139.20 10.03 86.51 6,758.70 5,999.30 12.66 87.40 8,270.90 3,718.20 122.44 Total PBIT 100.00 2,704.50 2,450.70 10.36 100.00 7,813.00 6,910.30 13.06 100.00 9,463.20 4,964.50 90.62 Less : Interest 93.60 75.90 23.32 248.60 236.40 5.16 321.70 392.20 -17.98 Add: Other un-allcoable -1,105.80 -1,077.40 -2.64 -2,781.90 -2,484.90 -11.95 -3,488.30 -1,347.90 -158.80 PBIT Margin(%) BPS   15.13 14.56 57.05   15.89 14.11 178.19   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   19.49 19.19 30.04   19.25 18.10 115.42   18.60 8.40 1,019.96 PBT 100.00 1,505.10 1,297.40 16.01 100.00 4,782.50 4,189.00 14.17 100.00 5,653.20 3,224.40 75.33

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