Tech Mahindra net soars 59%

Tech Mahindra, an IT services provider with focus on the telecom vertical, today reported a 59 per cent increase in its consolidated net profit at Rs 169.9 crore for the quarter ended June 30 compared with Rs 106.6 crore in the corresponding previous period. Its consolidated revenues grew 49 per cent to Rs 876.3 crore in the period (Rs 587.1 crore).

Its revenues were flat compared with the previous quarter. Though net profit saw a drop of 13.35 per cent compared with Rs 196.1 crore in the previous comparable quarter.

In the last quarter, the company incurred a one-time exceptional charge towards an upfront payment of Rs 524.9 crore to British Telecom, and had reported a net loss of Rs 328.9 crore for the quarter.

The company derived 19 per cent, 74 per cent and 7 per cent of its revenues from the US, Europe and rest-of-the-world (ROW) regions, respectively. While revenues grew 59 per cent and 66 per cent in the US and Europe regions, respectively.

The rupee appreciated across all major currencies during the quarter affecting its revenues "�7.1 per cent against the dollar, 4.8 per cent against the euro, and 5.8 per cent against the pound. This impacted its operating profit margin which was down at 22.05 per cent (25.36 per cent).