Tech Mahindra Q1 Results: Cons PAT Jumps 34% YoY; Margins Expand For Seven Quarters In Row

Tech Mahindra, a technology player of Mahindra Group, reported strong 34% growth in consolidated net profit to Rs 1,141 crore in the quarter ending June 30, 2025 period, compared to the same quarter a year ago. Meanwhile, revenue climbed by 2.7% YoY to Rs 13,351 crore in Q1FY26. However, despite double-digit gains in PAT, the earnings were a miss.

Furthermore, EBIT stood at Rs 1,477 crore in Q1FY26, recording a strong 34% YoY growth. Diluted earnings per share stood at Rs 12.86.

In dollar terms, revenue edged higher mildly by 0.4% YoY to $1,564 million. EBIT surged 30.2% YoY to $172 million. PAT was at $133 million, higher by 30.2% YoY.

Tech Mahindra's new deal wins came in at TCV USD 809 million. The company has free cash flow of $86 million.

On the performance, Mohit Joshi, CEO and Managing Director, Tech Mahindra, said, "Our performance is steadily strengthening, reflecting disciplined execution and a focused strategy. Deal wins have increased by 44% on a last twelve months (LTM) basis, supported by broad-based momentum across verticals and geographies."

Also, Rohit Anand, Chief Financial Officer, Tech Mahindra, added, "We have delivered seven consecutive quarters of margin expansion - a clear reflection of the discipline and focus across our organization. Even in an uncertain environment, our Project Fortius program continues to generate meaningful results and drive operational improvements."

As of June 30, 2025, the company's total headcount stood at 148,517, an addition of 897 employees year-on-year. The LTM IT attrition rate is at 12.6%.

The number of days of Sales Outstanding is 95 days; which is up 2 days YoY.

The company's cash and cash Equivalent at the end of the quarter Rs 8,072 crore.

After market hours of July 16, Tech Mahindra shares closed at Rs 1609 apiece, up by 1.94% on BSE, with market cap of Rs 1,57,554.55 crore.

Tech Mahindra offers technology consulting and digital solutions to global enterprises across industries, enabling transformative scale at unparalleled speed. With 150,000+ professionals across 90+ countries helping 1100+ clients, Tech Mahindra provides a full spectrum of services including consulting, information technology, enterprise applications, business process services, engineering services, network services, customer experience & design, AI & analytics, and cloud & infrastructure services.