Tech Mahindra Shares Surge on Strong Q2 Earnings

New Delhi, Oct 21 (PTI) Shares of IT services firm Tech Mahindra on Monday ended nearly 1 per cent higher after the company reported a more than two-fold jump in consolidated net profit for the September quarter.

Trimming most of the initial gains amid profit-taking, the stock went up by 0.78 per cent to close at Rs 1,701.10 on the BSE. During the day, it jumped 4.34 per cent to Rs 1,761.30 -- the 52-week high level.

On the NSE, the stock ended 0.78 per cent up at Rs 1,701.20. Intra-day, it jumped 4.38 per cent to hit a 52-week high of Rs 1,761.85 apiece.

The company's market valuation climbed Rs 1,281.64 crore to Rs 1,66,427.04 crore.

Tech Mahindra on Saturday reported a more than two-fold jump in consolidated net profit to Rs 1,250 crore for the July-September quarter, driven by special income from the sale of assets.

The Mahindra Group company posted a net profit of Rs 493.9 crore in the year-ago period, according to an exchange filing.

Revenue rose by 3.49 per cent to Rs 13,313.2 crore in the second quarter of 2024-25 compared to Rs 12,863.9 crore in the same quarter of 2023-24.

Sequentially, net profit rose by 46.81 per cent and revenue by 2.36 per cent.

"Other income includes gain on sale of property of Rs 4,502 million which comprises freehold land and its related buildings along with the furniture & fixtures sold for a consideration of Rs 5,350 million, receivable over a period of four years along with interest of 8.2 per cent p.a," the company filing said.