Tech Mahindra at new high

Tech Mahindra is in the bright light today and seems to be basking in this glory too! The stock hit a new high today at Rs.794.40, surging 6% on the back of its good show for Q3FY19.

The company posted a 13% (QoQ) rise in consolidated net profit at Rs.1203 crore on a 4% rise in revenue at Rs.8944 crore. Constant currency term revenue was up 4% while revenue in US$ was up 3.5%.

The EBITDA came in at Rs.1723 crore, up 6.4% and margins rose by 50 bps to 19.3%.

The company’s active client count stood at 93 and it added 5 new clients in Q3.

It added 3451 employees in Q3, taking the total employee tally to 1,21,842.

What has really buoyed the mood on the counter is the statement from C P Gurnani, Managing Director and CEO, Tech Mahindra, saying, “This is a milestone quarter for Tech Mahindra with 5 billion dollars annual revenue run rate in sight. The current quarter has been impressive on all fronts, delivering steady growth in Enterprise and Communications business along with margin expansion. Our Run, Change and Grow strategy has helped us deliver a strong 10% sequential growth in digital revenues. We are confident of continuing the growth momentum.”