Mumbai, October 24th, 2020.
Tech Mahindra Ltd., a specialist in
digital transformation, consulting and business reengineering services today
announced the audited consolidated financial results for its second quarter
ended September 30, 2020.
highlights for the quarter (₹)
- Revenue at ₹ 9,372 crore; up 2.9% QoQ, up 3.3%
- EBITDA at ₹ 1,703 crore; up 30.9% QoQ;
- Margins at 18.2%; up 390bps QoQ
- Profit after tax (PAT) at ₹ 1065 crore; up 9.5%
- Earnings per share (EPS) was at ₹
- The Board has proposed a special dividend of ₹
15/- per share (300%)
Financial highlights for the quarter (USD)
- Revenue at USD 1,265.4 mn; up 4.8% QoQ, down
- Revenue growth at 2.9% QoQ in constant
- EBITDA at USD 230.0 mn; up 33.4% QoQ
- Consolidated PAT at USD 143.7 mn,
up 11.5% QoQ;
- Free cash flow at $ 235.7 mn, conversion to PAT
- Total headcount at 124,258, up 842 QoQ
- Active Clients stood at 988 in Q2’21, up by 7
- Cash and Cash Equivalent at USD
1,564 mn as of Sep 30, 2020 2020
CP Gurnani, Managing Director & Chief Executive Officer,
Tech Mahindra, said, Our Repair, Rally and Rise strategy has helped the company to
emerge stronger, as we journey towards a post Covid world. We are witnessing
demand revival across multiple segments, as customers have accelerated their
pace of digital transformation. Our focus on creating Human Centered
Experiences will enable us to capture increased spends on consumerization, as
businesses try to stay relevant in the current environment.
Manoj Bhat, Chief
Financial Officer, Tech Mahindra, said, Strong execution on both
revenue growth and operational metrics has helped to improve our performance on
all fronts. Our cash conversion continues to be robust and we remain committed
towards creating value for our shareholders through effective capital return.
a multi-year deal with an American technology company for software
Mahindra has been selected as a strategic partner for managed IT, security
and network services by ASIAN telco.
by European pharma company as a development partner for transformation
projects in Pharma Informatics.
Mahindra won a multi-year deal with an Asian communications service
provider (CSP) for IT managed services.
a managed services deal from a large telco in Southeast Asia for
by a leading Chemicals and Fertilizers manufacturing company for SAP
by a large Australian Communications Service Provider (CSP) for data and
analytics services to support planning and decision making for field
service control tower.
power utility company has selected Tech Mahindra for end to end system
integration of green field ERP implementation.
by one of the largest public sector banks in India for creating core
banking infrastructure across multiple locations.
Mahindra announced the strategic acquisition of Momenton, a digital
enterprise technology firm, offering consultancy and implementation services,
and Tenzing Limited, a technology consulting company. Tech Mahindra
has acquired 100% equity in both the organizations, and together they will
enable digital capabilities, modern cloud-based architecture and transformation
for customers in the ANZ (Australia and New Zealand), specifically in Financial
Vivek Agarwal, Head
Corporate Development & Global Head for Healthcare and Financial Services,
Tech Mahindra, said, The acquisition of Momenton and Tenzing Ltd, are in line with our
strategy to strengthen our digital capabilities, and offer our clients end-to-end
transformation services. This will significantly enhance our local presence in
the markets, and the combination will create significant synergies and help in
bringing next generation solutions to customers enabling them to run better,
change faster and grow greater. We welcome the team of Momenton and Tenzing Ltd
into the Tech Mahindra family, and look forward to creating and delivering
enhanced customer experiences for our customers.
Mahindra has partnered with VitalTech to offer digital technologies to
healthcare providers as part of Tech Mahindra’s broader Virtual Health
Mahindra, has launched Mhealthy, a solution to enable workforce and
community safety against COVID-19.
Mahindra and Rakuten Mobile have collaborated to bring Rakuten
Communications Platform to global customers. This partnership will enable
Tech Mahindra to drive innovation in the telecom space, provide enhanced
customer experience and lead the transformation in mobile network
technology from the forefront.
Mahindra and Smart Energy Water (SEW) a global energy and water cloud
platform provider have entered into a global partnership to accelerate
digital transformation for energy and water utility industry.
Mahindra has collaborated with Amazon Web Services (AWS) to build
solutions based on blockchain technology.
Mahindra has collaborated with NITI Aayog's Women Entrepreneurship
Platform (WEP) to support women entrepreneurs across the country. Tech
Mahindra will provide mentorship, co-create solutions leveraging new age
technologies and support in developing a go-to-market strategy.
Mahindra has launched a dedicated ‘Microsoft Business Unit’ to accelerate
the digital transformation journey of enterprises globally by focusing on
developing enterprise cloud solutions leveraging Microsoft platforms and
Mahindra has launched its intelligent cloud operations and subscription
management platform, iCOPS, for global enterprises which will help simplify
and streamline their cloud operations.
Mahindra has entered into a global strategic partnership with CyQureX, a
leading provider of advanced Cyber Security solutions world-wide, with a
view to offer world class cyber security solutions to support clients
through successful digital transformation.
Mahindra has designed a first-of-its-kind digital transformation course
approved by All India Council of Technical Education (AICTE) in a
partnership with Jawaharlal Nehru Engineering College (JNEC), under
Mahatma Gandhi Mission (MGM) University. The two year post graduate
programme is aimed at addressing the industry-academia skill-gap in
new-age technologies including digitalisation, mobility, artificial
intelligence and machine learning among others.
Mahindra has launched a new digital platform, branded as ‘Blockchain based
Contracts and Rights Management System’ (bCRMS) for the global media and
entertainment industry to enable production houses and content creators to
track revenue, royalty payments, manage rights and address content piracy
leveraging IBM blockchain.
Mahindra's Mhealthy won ETHealth Award for Best Technology Solution for
Mahindra has been recognized as a Leader in Gartner’s September 2020 Magic
Quadrant for IT Services for Communication Service Providers, Worldwide.
Mahindra has featured amongst the Top 10 “Best Companies for Women in
India (BCWI)” by Avtar and Working Mother for the third year in a row.
Mahindra received FICCI CSR Awards 2020 in skill development and
livelihood category for the SMART program.
CSR Health Impact Awards 2020 in COVID protection project category for
Flush the Virus.
Mahindra has been ranked among India’s 50 Best Workplaces for Women –
2020, by the Great Place to Work® Institute.
Mahindra won ASSOCHAM Innovators’ Excellence Awards 2020 in innovation in
CSR Initiatives Category for Mobile Science Lab.
Mahindra has been recognized amongst ‘India’s Top 20 Companies for
Sustainability and CSR 2020’ by The Economic Times and Futurescape 7th
Responsible Business Rankings during ETSDG Impact Summit 2020.
Mahindra has been recognised as a leader by Sustainalytics with 99
percentile, and an overall ESG Score of 84.
Mahindra has been rated BBB by MSCI (Morgan Stanley Capital International)
with an ESG quality score of 7.5.
Mahindra has been recognised for its ‘In the Future’ campaign curated in
partnership with The Trust – The Wall Street Journal (WSJ) and Barron’s
Group at the corporate influencer at World Media Awards 2020.