Tech Mahindra reported a consolidated net profit of Rs 1,586 crore for the second quarter of FY27, up 32.7 per cent from a year earlier and 8.2 per cent from Rs 1,465 crore in the first quarter, according to Business Standard and Upstox, which reported the results on 15 October 2026. Revenue from operations was Rs 16,180 crore, up 15.6 per cent from a year earlier and about 3 per cent from Rs 15,712 crore in the previous quarter.
EBIT, or earnings before interest and tax, was Rs 2,387 crore, up 5.4 per cent from Rs 2,264 crore in the first quarter, according to the search summary. The EBIT margin rose by 40 basis points to 14.8 per cent from 14.4 per cent. The company has a target of an EBIT margin of 15 per cent for FY27, which it reiterated after the first quarter, so the second-quarter margin is 0.2 percentage points short of the target.
Deal wins reached $1.023 billion in the quarter, according to Kotak Neo’s summary of the results. Tech Mahindra’s board declared an interim dividend of Rs 15 per share for FY27, according to Upstox’s headline. The report reviewed does not give the record date or the payment date for the dividend.
The results were better than the general expectation for the large Indian IT companies. Goodreturns, quoting Kotak Institutional Equities, expected a muted quarter for large companies and said that Tech Mahindra might report forex losses. The company’s revenue growth of 3 per cent from the previous quarter and 15.6 per cent from a year earlier is stronger than the roughly 0.9 per cent median quarterly growth that the same preview expected for large IT companies.
Investors responded positively. Investing.com’s headline says Tech Mahindra posted strong second-quarter growth and that its shares rose 4.75 per cent. The shares were also among the top gainers on the Nifty 50 on 15 October, as IndiaX24 has reported, when the market rose more than 2 per cent.
The growth in profit of 32.7 per cent is much faster than the growth in revenue of 15.6 per cent, which suggests that the company’s margins improved over the year. The margin one year earlier is not given in the reports reviewed, so the exact change in margin from a year ago cannot be stated. The year-earlier profit implied by the growth rate is about Rs 1,195 crore, a calculation by IndiaX24 that matches the Rs 1,194 crore that Business Standard reported for the second quarter of FY26.
Tech Mahindra reported on the same day as Wipro, whose profit fell 1.4 per cent to Rs 3,200.6 crore. The two results show a split among Indian IT firms: Tech Mahindra grew revenue 15.6 per cent while Wipro’s IT services revenue was flat from the previous quarter in dollar terms.
The reports reviewed do not give Tech Mahindra’s headcount, its attrition rate or its commentary on demand for the coming quarter. IndiaX24 will report further details of the company’s outlook if they are published.
The next major result in the sector is Infosys, which reports on 23 October.
Image: An IT services company campus in Mysuru (file photo; a stand-in image, not a Tech Mahindra campus). Photo by L’Astorina, licensed under CC BY 4.0, via Wikimedia Commons.
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