Tech Mahindra reports strong Q2 revenue and increased deal wins

Tech Mahindra has reported strong second-quarter financial results, with consolidated revenue reaching approximately 161.80 billion rupees (US$1.70 billion), a 15.6 per cent increase compared to the same period last year. The company's EBIT rose significantly, with one report noting a 40.5 per cent year-on-year increase to 2,387 crores rupees.

Growth was primarily driven by a 25.4 per cent year-on-year increase in new deal bookings, which totaled US$1.02 billion. CEO Mohit Joshi noted that the company is shifting its strategic focus toward revenue growth and that nearly all major contracts now incorporate artificial intelligence-related services. The company intends to begin reporting revenue from specific AI categories during the second half of the fiscal year.

In addition to the earnings report, the board has recommended a 1:1 bonus share issue and declared an interim dividend of 15 rupees per share. The company reaffirmed its operating margin target of 15 per cent for fiscal 2027.