Tech Mahindra shares rose over 3% after the company reported strong Q1 FY27 results, driven by double-digit growth in revenue and profit. The IT major also posted healthy margin expansion, strong deal wins, and an optimistic outlook backed by manufacturing and financial services demand. Investors cheered the robust earnings performance and improving business momentum.
Tech Mahindra share price gained over 3% on Friday, July 17, after the IT major reported a strong performance for the quarter ended June 2026 (Q1 FY27). The stock climbed as much as 3.4% to hit the day’s high of ₹1,562.90 on the BSE. The IT stock has gained 6% in the last 1 month, while it declined 7% in the past 6 months and remained down around 1% over the last 1 year.
Tech Mahindra Q1 FY27 Results
Tech Mahindra reported a consolidated net profit of ₹1,465.1 crore in Q1 FY27, registering a growth of 28.4% compared with ₹1,140.60 crore in the same quarter last year. The company’s revenue from operations increased 15% year-on-year to ₹15,605.50 crore from ₹13,569.5 crore in the year-ago period.
In dollar terms, the company reported revenue of $1.66 billion during the June quarter, marking a 6.1% year-on-year growth and a 2.2% sequential increase compared with the March quarter. On a constant currency basis, revenue grew 6.6% year-on-year and 2.6% quarter-on-quarter.
Another key highlight was the company’s total contract value (TCV), which stood at $1.07 billion, rising 33.3% year-on-year. TCV remained flat sequentially, while Tech Mahindra added four new clients in the $50 million category during the quarter.
Strong Margin Expansion and Growth Outlook
Tech Mahindra’s earnings before interest and taxes (EBIT) margin improved to 14.4% in Q1 FY27, expanding by 60 basis points sequentially. The company expects to achieve an exit margin of more than 15% in FY27.
The company said the strong quarterly performance reflects improving execution, broad-based growth and disciplined cost management. CEO and MD Mohit Joshi highlighted that 6.1% year-on-year growth in revenue, along with three consecutive quarters of deal wins exceeding $1 billion, demonstrates business resilience.
Joshi said the company is witnessing a positive demand environment, with manufacturing emerging as a key growth driver. The financial services segment also reported strong growth, while healthcare remains an area of optimism. The retail business continued to outperform competitors.
Tech Mahindra’s employee count declined by 688 during the quarter, taking the total workforce to 74,689.
