Tech Mahindra’s revenue up 19.9% in December quarter
MUMBAI, INDIA — IT giant Tech Mahindra’s revenue for the quarter ending December 2022 reached ₹137 billion (US$1.68 billion), up 19.9% from last year’s figures.
Its EBITDA (Earnings before interest, taxes, depreciation, and amortization) also grew 4.1% year-on-year (YoY) to ₹21.4 billion (US$261 million).
However, tighter client spending due to the growing fears of a possible recession brought the firm’s consolidated net profit to ₹12.97 billion ($159 million), down 5.3% from ₹13.69 billion (US$167 million) a year earlier.
Tech Mahindra Managing Director and CEO CP Gurnani said they are “witnessing moderation in growth given the tough macroeconomic environment.”
The company’s telecom segment — which is its highest revenue contributor — also shrank to 39.8% during the quarter from 40.9% last year.
“We will continue to work with our customers to pre-empt their technological requirements and identify new demand drivers, especially for digital services,” Gurnani added.
On the bright side, the closing of digital transformation deals with several companies during the September to December period pushed Tech Mahindra’s revenue from operations to US$795 million, 20% higher than last year.
“Our numbers reflect resilience as we continue to work on the expansion of operating margin. I am confident that our strategy of client centricity & agility combined with delivery-led transformation will help us create value for our customers and stakeholders alike,” Tech Mahindra CFO Rohit Anand stated.
