After a challenging start to FY25, Tech Mahindra has delivered a strong Q4 comeback, reporting a 77% jump in consolidated net profit to ₹1,167 crore. The company’s turnaround was fueled by large deal wins, tighter operational controls, and renewed focus on next-gen technologies.

Revenue for the quarter stood at ₹13,384 crore — a 4% year-on-year rise. While the top-line growth remained modest, the operating margin surged to 11.4%, helped by internal cost optimization and higher productivity across its delivery centers.

The company announced a final dividend of ₹30 per share, marking its continued commitment to shareholder returns even as it pushes for long-term reinvention.

Big Bets Pay Off

Under the leadership of CEO Mohit Joshi, who took over in 2023, Tech Mahindra has shifted its attention toward AI-led transformation, enterprise cloud, and telecom modernization — areas that are now beginning to pay off. The company won deals worth $2.7 billion this quarter, a 42% jump compared to last year.

“We’re building for the long run. Our focus on building leadership across AI and industry platforms is showing results, and we’re excited about the momentum we’re carrying into the new fiscal,” Joshi said in a statement.

Workforce and Strategy

While Tech Mahindra saw a modest decline in headcount this quarter (down 1,757 employees), the company says it is restructuring to invest more in niche talent — particularly in AI, cybersecurity, and cloud migration. Total headcount now stands at around 1.49 lakh, and hiring is expected to remain selective and skills-focused in FY26.

What’s Next?

Despite global macro uncertainty, analysts say the Q4 numbers show that Tech Mahindra is regaining competitiveness in a tight IT market. The company is expected to ramp up its focus on GenAI-based enterprise solutions, especially after launching in-house accelerators and co-innovation labs with hyperscalers like Microsoft Azure and AWS.

On the bourses, the stock closed 0.5% higher at ₹1,446.60 after the results — reflecting investor optimism.