Tech Mahindra reported a 32% year-on-year increase in net profit to ₹1,486 crore for the quarter ended June 2026, significantly outpacing earlier market expectations.
The Indian IT services provider also posted a 17.6% rise in revenue to ₹15,711 crore, driven by robust performance across its core IT and business process services (BPS) segments.
The results underscore the successful execution of the company’s strategy to scale large-scale deals, particularly within its telecom vertical.
This performance aligns with prior indications that the firm was poised for a significant profit jump in the first quarter of fiscal 2027, as previously noted in Handelsavisen coverage. The margin improvements suggest that the company is effectively managing cost structures while leveraging higher-value contracts.
Investors will be watching to see if this momentum can be sustained in the second quarter, especially as global IT spending remains sensitive to macroeconomic headwinds.
The strong start to the fiscal year provides a solid foundation for Tech Mahindra to defend its valuation multiples against peers who have faced softer demand in recent months.