Tech Mahindra Ltd Q4 FY26 Profit Rises 16% To ₹1,354 Crore

Tech Mahindra Ltd on Wednesday reported a 16% year-on-year (YoY) rise in consolidated net profit to ₹1,354 crore for the March quarter. Revenue from operations grew 13% to ₹15,076 crore. On a sequential basis, revenue increased 5%.

Earnings Before Interest And Taxes (EBIT) rose 10.2% quarter-on-quarter (QoQ) to ₹2,084 crore, reflecting continued improvement in operating performance. The company said margins expanded for the tenth straight quarter. This comes amid a challenging demand environment for the IT services sector, marked by cautious client spending.

At 2:29 pm, Tech Mahindra Ltd shares were trading at ₹1,447.50 on the National Stock Exchange, down by 3.55%.

Dividend Payout At Record High

The board approved a final dividend of ₹36 per share for FY26. Total dividend for FY26 stood at ₹51 per share, the highest annual payout by the company so far. CFO Rohit Anand said the company maintained a disciplined approach to capital allocation. He added that the total dividend increased by over 13% compared to the previous year.

Tech Mahindra reported sustained traction in large deals. It recorded consecutive quarters with over $1 billion in deal bookings. This indicates steady client demand despite macro uncertainties. CEO Mohit Joshi said the company has seen its highest deal wins in recent years.

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AI Strategy Takes Centre Stage

The company is pushing ahead with its shift to an artificial intelligence-led operating model. Management said AI is being integrated across service lines to improve delivery and efficiency. The company indicated that FY26 marked the end of its stabilisation phase, with the focus now shifting to growth and execution.

Sources:

The Economic Times

The Hindu Business Line