Tech Mahindra Shares Drop After Q2 Earnings

New Delhi, Oct 15 (PTI) Shares of IT services company Tech Mahindra dipped by nearly 2 per cent on Wednesday morning trade after the firm reported a 4.44 per cent decline in its September quarter net profit to Rs 1,194.5 crore.

The stock fell by 1.85 per cent to Rs 1,440.90 on the BSE.

At the NSE, the stock dipped 1.88 per cent to Rs 1,440.40.

The post-tax profit is lower than the Rs 1,250 crore the firm had posted in the year-ago period and marginally higher than the Rs 1,141 crore it reported in the preceding June quarter.

Its revenue grew to Rs 13,995 crore from Rs 13,313 crore a year ago and Rs 13,351 crore in the quarter-ago period, as per an exchange filing on Tuesday.

Its Managing Director and Chief Executive Mohit Joshi said the Americas saw an over 2 per cent decline in revenues during the quarter, mainly due to macroeconomic issues. From a sectoral perspective, its key vertical of communication witnessed a 2.5 per cent decline.

Clients in other sectors like manufacturing (up 5.2 per cent) and banking, financial services and insurance (up 6.5 per cent on-year) witnessed better spends, he said.