Tech Mahindra reported a stronger first quarter for FY27, with consolidated revenue of Rs 15,712 crore and profit after tax of Rs 1,465 crore for the quarter ended June 30, 2026. Revenue rose 17.7% year on year and 4.2% sequentially in rupee terms, while PAT increased 28.4% from the same period last year. In dollar terms, revenue stood at $1.66 billion, up 6.1% year on year in reported terms and 6.6% in constant currency.
The company’s operating performance showed a sharper improvement than revenue. EBIT rose to Rs 2,264 crore, up 53.3% year on year and 8.6% quarter on quarter. EBIT margin reached 14.4%, improving about 60 basis points sequentially and about 330 basis points year on year. Free cash flow stood at $167 million, and the company ended the quarter with cash and cash equivalents of Rs 9,695 crore.
New deal wins remained above the $1 billion threshold, with total contract value of $1.078 billion, up 33.3% year on year. CEO and managing director Mohit Joshi said year-on-year growth of 6.1% and three consecutive quarters of deal wins exceeding $1 billion highlighted business resilience and the relevance of the company’s offerings. He also pointed to deeper client relationships, with the number of $50 million-plus clients rising by seven and all verticals delivering year-on-year growth.
Tech Mahindra’s deal disclosures show demand across payments, healthcare, aerospace and defence, industrial R&D, telecom, autonomous driving, chemicals and infrastructure operations. The company said it was selected by a global payments technology company for product and programme support, a US regional health system for applications and infrastructure managed services, a global aerospace and defence company for database administration, a New Zealand telecom operator for a five-year technology and AI engineering engagement, and an American autonomous driving technology company for HD map development and maintenance.
The quarter also included several strategic moves linked to AI, cloud, cybersecurity and workforce platforms. Tech Mahindra acquired Canada-based Avant Techno Solutions to strengthen payments modernisation and wealth-platform capabilities, launched agentic development and modernisation services, partnered with Perplexity for AI-powered sales intelligence, expanded cloud work with Telefónica Germany, collaborated with Microsoft on a network digital twin solution, and announced a joint security solution with Cisco. Headcount stood at 146,760, down 863 sequentially, while last-12-month IT attrition was 11.8%.
