Tech Mahindra Q1’23 revenue up 24.6% YoY




Mumbai – 26 July 2022: Tech Mahindra Ltd., a specialist in digital transformation, consulting and business reengineering services, today announced audited consolidated financial results for its quarter ended 30 June 2022.

Quarter Financial Highlights (USD)

  • Turnover at 1,632 million USD; up 1.5% quarter-on-quarter and 18.0% year-on-year
    Revenue growth of 3.5% QoQ at constant currencies
  • EBITDA at USD 239 million; down 13.5% quarter-on-quarter, down 6.2% year-on-year
    EBITDA margin at 14.8%
  • Profit after tax (PAT) at 143 million USD; down 28.0% quarter-on-quarter and 22.0% year-on-year
  • Free cash flow at $71.6 million, conversion into PAT at 50.2%
    Quarter Financial Highlights (₹)
  • Revenue of ₹12,708 crore; up 4.9% quarter-on-quarter and 24.6% year-on-year
  • EBITDA at ₹1,880 crore; down 10.0% quarter-on-quarter, up 0.2% year-on-year
    Consolidated PAT at ₹1,132 crore; down 24.8% quarter-on-quarter and 16.4% year-on-year
    Other Highlights
  • Total headcount at 158,035 up 6,862 QoQ
    Cash and cash equivalents at 1,114 million USD as of June 30, 2022

CP Gurnani, Managing Director and CEO of Tech Mahindra, said:

“We enter this year with a renewed commitment to achieving consistent organic growth. We remain resilient and vigilant given the dynamic global macroeconomic environment and will continue to invest in new and emerging technologies to deliver differentiated offerings. Our winning strategy is built on the pillars – ‘Purpose, People and Performance’ which help us responsibly capitalize on the high demand environment in the market.

Rohit Anand, CFO of Tech Mahindra, said:

“Delivery transformation, cost optimization and cash conversion will be key areas as we continue to offset strong supply-side headwinds in the market. We aim to increase our profitability through operational excellence and improved operating metrics in FY23.”

Key wins

  • Tech Mahindra has been chosen by one of the largest telecommunications operators in Africa, as the preferred partner for the transition to next-generation digital IT operations, including infrastructure support and managed services.
  • Tech Mahindra was chosen by a large municipal organization in the Middle East to implement digital service transformation by leveraging their next-generation AI-Ops frameworks and tools to improve customer experience and establish customer service delivery agile.
  • Tech Mahindra has been chosen by a telecommunications giant in the United States to jointly develop its operations through the co-creation of a captive center for BSS and OSS operations enabling the development of telecommunications IT talents for 5G and wireless technologies. thread.
  • Tech Mahindra was chosen by a leading security services company in Northern Europe to transform and manage its cross-functional arms through infrastructure, cloud and application modernization, including end-user services.
  • Tech Mahindra has been awarded a contract with a leading insurer in the United States for cloud transformation and end-to-end managed infrastructure services, including data center management and network services.
  • Tech Mahindra was chosen by a leading Asian telecommunications group to implement end-to-end system integration and drive SDWAN deployments in Southeast Asian markets
  • Tech Mahindra has been selected by a leading financial institution in Europe to digitally transform its BPO services + end-to-end digital transformation across different product divisions and establish a more customer-centric service delivery model.
  • Tech Mahindra has been chosen for a multi-year strategic agreement by a global telecommunications giant for the modernization of its platform, which manages daily emergency and public safety communications enabling better operational performance and a better experience for its end customers .
  • Tech Mahindra has been awarded a multi-year digital transformation and contact center management contract with a leading telecommunications operator based in Africa.
    Company Highlights
  • Makers LabTM, the R&D arm of Tech Mahindra, has launched a first of its kind, “Meta Village”, a digital twin of Paragon in Maharashtra to gamify learning on the Roblox platform. Using Roblox, students can learn to code in Bharat MarkUp Language (BHAML), a platform created by Makers Lab to help code in their native language.
  • Tech Mahindra collaborated with Microsoft to create SenTindra, a cloud-based virtual security operations center built on Microsoft Sentinel. SenTindra offers a single monitoring pane with all security components integrated covering the entire lifecycle of migration and transformation requirements for a seamless and integrated security experience for customers.
  • Tech Mahindra announced a collaboration with Keysight Technologies to certify 5G equipment at its 5G O-RAN test lab in New Jersey. This will allow the lab to perform end-to-end validation of designs developed by OEMs to ORAN Alliance specifications.
  • Tech Mahindra launched AmplifAI – a suite of AI offerings containing its Gaia Platforms, an AI & ML Ops platform; Sayint, an advanced speech analytics solution and MobiLytix, an AI-powered marketing studio to democratize and responsibly scale AI deployment.
  • Tech Mahindra has expanded its collaboration with Pegasystems by delivering innovative industry solutions that will help accelerate customers’ digital transformation. Through recent synergistic acquisitions and investments, Tech Mahindra’s Pega Practice has capitalized on its innovative business solutions to meet changing client needs.
  • Tech Mahindra has inaugurated a 5G Innovation Center in Bellevue, WA to help customers co-create and co-innovate 5G-powered solutions. The lab will create end-to-end vertical solutions for enterprises by combining an ecosystem of telecommunications and cloud partners.
  • Tech Mahindra announced a partnership with Amesto Aces AS, to provide trained and certified Salesforce resources and deep industry expertise to its customers across Europe, this partnership will also solve the current shortage of skilled resources in the region.
  • International Chess Federation and Chess Federation of India are strengthening their partnership with Tech Mahindra, to deliver a next generation digital fan experience leveraging Fan Nxt. Now. As part of this global tie-up, Tech Mahindra will join us as a digital partner for the 44th FIDE Chess Olympiad taking place in India for the first time.
    Tech Mahindra has collaborated with Anritsu, a global test and measurement solutions provider, to launch an IoT Experience Lab. The Experience Lab will be an incubator, as well as a research and development hub, for IoT device manufacturers to validate their designs in the early development phase and help launch best-in-class IoT products. .

Awards and Recognition

  • CEO & Managing Director of Tech Mahindra, Mr. CP Gurnani has been recognized as an Outstanding Business Leader by CEO Forum India at the 2nd Raymond CEO Forum Awards Evening 2022
  • Marksmen Daily, in association with India Today, has recognized Tech Mahindra as one of the “Most Preferred Places to Work in 2022”.
  • ET Edge recognized Tech Mahindra as part of the Economic Times Sustainability Conference Series – Sustainable Organizations 2022.
  • Dun & Bradstreet India has recognized Tech Mahindra as one of the top performers in the ESG performance sector – Software and BPM
  • Ranked second with a sustainability score of 46, in the Capri Global Capital HURUN List Impact 50 for SDG Goals
  • Ranked 2nd among the top 35 companies in Businessworld India’s Most Sustainable Companies 2022 ranking at this year’s ‘Sustainable World 2022 Summit’ organized by Business World.
  • Recognized by ET Edge for Embracing Valuable Sustainable Initiatives in the Economic Times’ Sustainability Conference Series – Sustainable Organizations 2022