Tech Mahindra, a software services firm, announced a 17.4 percent sequential drop in consolidated profit to Rs 1,081.4 crore for the quarter ended March 2021 on April 26. The previous quarter’s profit was Rs 1,309.8 crore.
The total revenue for the quarter was Rs 9,729.9 crore, up 0.9% from Rs 9,647.1 crore in the previous quarter. A final dividend of $30 per share, including a special dividend of $15 per share, was also accepted by the company’s board of directors.
According to an average of a CNBC-TV18 analysts poll, profit for the quarter was estimated at Rs 1,313 crore on revenue of Rs 9,830 crore, missing analysts’ expectations.
“In addition to the Special Dividend of 15/- per share announced, the Board has proposed a Final Dividend of 15/- per share (300 percent) and a Special Dividend of 15/-per share (300 percent) on the face value of 5,” the company said in a regulatory filing.
In dollar terms, sales increased by 1.6 percent sequentially to $1,329.6 million, while revenue increased by 0.7 percent QoQ in constant currency terms. During the quarter, revenue in the banking, financial services, and insurance (BFSI) sector increased by 4.9 percent quarter over quarter, while revenue in the retail, transportation, and logistics market decreased by 3.2%.
In the quarter ended March, Tech Mahindra said it added net new deals worth $1 billion, up from $455 million the previous quarter. During the quarter, the company added two new clients worth $10 million or more and seven new clients worth $5 million or more.
On Monday, Mahindra’s stock closed 1.34 percent higher on the BSE, at Rs 963.15.
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