IT services firm Tech Mahindra on Tuesday said its consolidated net profit had almost doubled to Rs. 897.08 crore for the quarter ended March 31, 2016.
The Mumbai-based company had posted a net profit of Rs. 472 crore in the corresponding quarter last fiscal. The company’s revenue grew 12.5 per cent to Rs. 6,883.73 crore in the reported quarter from Rs. 6,116.79 crore in the January-March quarter of 2015.
Tech Mahindra, which had received in-principle approval from the Reserve Bank of India for setting up a Payment Bank, said it “will not pursue this opportunity”.
In dollar terms, profits were up 77.4 per cent to USD 134.2 million, while revenues grew 3.9 per cent year on year to $1.02 billion in the reported quarter.
C.P. Gurnani, Managing Director and CEO of Tech Mahindra, said the company was putting greater focus on areas of digital, automation, verticalisation, innovation and disruption.
“We enter the new financial year against a backdrop of improved business fundamentals,” he added.
For the full fiscal, net profit was up 18.7 per cent to Rs. 3,118 crore, while revenue was higher by 17.1 per cent at Rs. 26,494 crore.
In dollar terms, the net profit stood at USD 474.6 million, while revenue increased 9.5 per cent to USD 4.03 billion.
“FY16 has been a year where our relentless focus on metrics like yield management and efficiencies has helped us improve our performance in the face of some headwinds. We continue to build competitive advantages in our business operations which will hold us in good stead in these changing markets,” Tech Mahindra Vice-Chairman Vineet Nayyar said.
Total headcount as of March 31, 2016 stood at 1,05,432 with an additional 2,151 professionals during the year.
Cash and cash equivalents stood at Rs. 5,189 crore as of March 31, 2016, up by Rs. 1,977 crore year on year. Its active client count stood at 807 as compared to 767 in 2014-15.
— PTI
