BENGALURU: Tech Mahindra reported a 5.3 per cent decline year-on-year in net profit during the second quarter (Q2FY21) at Rs 1,064.60 crore against Rs 1,164.30 crore in the corresponding period of last year. It also announced a dividend of Rs 15 per share.
According to details released by the firm, its consolidated revenue for the quarter grew by 3.3 per cent to Rs 9,371.80 crore from Rs 9,069 crore a year ago, while earnings before taxes, depreciation, and amortisation (EBITDA) stood at Rs 1,703 crore compared to Rs 1,501 crore a year ago.
In terms of industry segments, communications accounted for 39.3 per cent of the company’s total revenues and reported a de-growth of 5.8 per cent y-o-y. Manufacturing, which accounted for 16.1 per cent of revenues, fell by 12 per cent.
The verticals which reported substantial revenue growth were Media, Technology and Entertainment, BFSI, and Retail, Transport, and Logistics. Geography-wise, the revenue from the Americas, which accounted for 48.4 per cent of its revenues saw a 1.9 per cent decline y-o-y. Revenues from Europe also fell by 7.3 per cent year-on-year.
“We are witnessing demand revival across multiple segments, as customers have accelerated their pace of digital transformation. Our focus on creating Human Centered Experiences will enable us to capture increased spends on consumerisation, as businesses try to stay relevant in the current environment,” CP Gurnani, Managing Director and Chief Executive Officer, Tech Mahindra, said.
The new deals won during Q2FY21 were worth $208 million compared to $1,079 million a year ago for communications services. For enterprise services, new deals won stood at around $214 million. The number of active clients for the quarter stood at 988.