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View All NewsIndia – Tech Mahindra revenue up 12.7%, ‘witnessing moderation in growth’
Tech Mahindra Ltd. (TECHM:NSI), the Pune, India-based global IT services giant, reported revenue rose 12.7% in constant currency to USD 1.67 million in its fiscal third quarter ended 31 December. However, management warned of an easing of growth.
“We are witnessing moderation in growth given the tough macroeconomic environment,” said CP Gurnan, managing director and CEO. “We will continue to work with our customers to pre-empt their technological requirements and identify new demand drivers, especially for digital services.”
| (USD millions) | Q3 2023 | Q3 2022 | % change | % change constant currency |
| Revenue | 1,668.3 | 1,533.5 | 8.8% | 12.7% |
| Gross profit | 478.4 | 461.3 | 3.7% | - |
| Gross margin | 28.7% | 30.1% | - | - |
| Profit after tax | 155.9 | 185.1 | -15.8% | - |
Growth was led by Tech Mahindra’s Americas segment where revenue rose 10.6% year over year in the quarter. Revenue from Europe rose by 4.1% while revenue from the rest of the world rose 10.1%.
Americas represents a lion’s share of Tech Mahindra’s revenue, 49.7%. The rest of the world represents 25.9% while Europe represents 24.4%.
The number of active clients in the quarter rose to 1,290 from 1,191 in the fourth quarter of last year.
Total headcount at Tech Mahindra rose as well, up by 8.3% year over year to 157,068.
Share price and market cap
Shares in Tech Mahindra closed on Monday in India at INR 1,036.1 (USD 12.71), which is 9.79% above their 52-week low, according to FT.com. The company had a market cap of INR 1.00 trillion (USD 12.27 billion).