Tech Mahindra revenue rises in fiscal first quarter, but profit after tax falls


Revenue at IT services firm Tech Mahindra Ltd. rose 3.5% year over year as measured in US dollars and in constant currency in its fiscal first quarter ended June 30. On a reported basis, not constant currency, revenue rose 18.0%. However, profit after tax fell.

As measured in Indian rupees, revenue rose 24.6% in the first quarter.

“We remain resilient and watchful given the dynamic global macro-economic environment and will continue to invest in new and emerging technologies to deliver differentiated offerings,” said CP Gurnani, managing director and CEO of Tech Mahindra.

(INR millions) Q1 2023 Q1 2022 % change Q1 2023 (USD millions)
Revenue                          127,079                         101,976 24.6%                                                     1,632
Gross profit                            35,918                           32,294 11.2%                                                        455
Gross margin 28.3% 31.7%    
Profit after tax                            11,316                           13,532 -16.4%                                                        143

Profit after tax fell 22.0% year over year as measured in US dollars.

Headcount at the company rose by 6,862 from the previous quarter to a total of 158,035.

Share price and market cap

Shares in Tech Mahindra closed down 1.11% today in India to 1,017.25 Indian rupees (US$12.72); shares were 7.79% above their 52-week low, according to The company had a market cap of 1.00 trillion Indian rupees (US$12.50 billion).