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Tech Mahindra Q2 FY27 Share Price & Earnings Call Analysis

₹1,789.10+0.12% today
Market cap
₹1.75L Cr
P/E
30.70
ROE
17.53%
PEG
26.93
Price to sales
2.85
Debt to equity
0.07
52W high / low
₹1,835 / ₹1,332
Sales growth (5Y)
8.46%
EBITDA margin
17.19%
Net profit margin
8.78%
Promoter holding
34.96%
Sales (last year)
₹61,361 Cr

Tech Mahindra Ltd provides comprehensive range of IT services, including IT enabled service, application development and maintenance, consulting and enterprise business solutions, etc. to a diversified base of corporate customers in a wide range of industries.[1]

Guidance scorecard · Q2 FY27 call

What Tech Mahindra's management guided
and where it ranks in IT - Software

Revenue10–20%MarginsUp 0–2%CapexWhat management saidFundraisingWhat management saidOrder bookWhat management said

RevenueQ2 FY27 call

10–20%
  • Growth is primarily driven by deeper wallet share within existing strategic accounts, especially those with revenues over $20 million, which grew 11.7% YoY and 3.1% QoQ.
  • Broad-based growth is seen across verticals including retail (9.5% YoY), BFSI (5.4% YoY), manufacturing, and digital enterprise applications (13% YoY).
  • Focus on AI-driven tools and industry transformation roadmaps aims to sustain above-industry average growth across service lines.
  • Quantum computing initiatives present an exciting upside opportunity over the next 3-5 years, particularly for telecom network optimization.
  • Enterprise clients’ AI CapEx is a small part of overall budgets; potential reduction in hardware costs might free up budgets for services, positively impacting growth.

2 more points from Tech Mahindra's call on revenue

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Full Q2 FY27 analysis

MarginsQ2 FY27 call

Up 0–2%

See what Tech Mahindra said on margins — free account, 30 seconds.

Full Q2 FY27 analysis

CapexQ2 FY27 call

  • Tech Mahindra is making strategic investments in AI-era capabilities including industry solutions and engineering abilities.
  • Launched Industera, a 30 billion parameter AI model developed with NVIDIA and AWS under India AI Mission.
  • Introduced AI-driven skill model for workforce career progression linked to AI fluency and domain proficiency.
  • Enterprise client AI CapEx is a small percentage of IT budget.

2 more points from Tech Mahindra's call on capex

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Full Q2 FY27 analysis

FundraisingQ2 FY27 call

See what Tech Mahindra said on fundraising — free account, 30 seconds.

Full Q2 FY27 analysis

Order bookQ2 FY27 call

  • Total deal wins for the quarter stand at $1,023 million.
  • Last 12-month deal wins amount to $4,270 million, reflecting a 34.8% year-over-year increase.
  • Deal momentum is broad-based across verticals and geographies, including communications, BFSI, manufacturing, retail, logistics, and transport.
Full Q2 FY27 analysis
Full IT - Software ranking

Ranges are what management guided for revenue growth and margins on the latest earnings call. Not investment advice, and not a forecast of returns.

Potential multibaggers · Q2 FY27

Potential multibaggers in IT - Software
on management's own guidance

  1. Strong growth
    2
  2. Strong growth
    1
  3. CapitalNumbersGood growth
    3
See all potential multibaggersWhere does Tech Mahindra rank?

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Ranks describe management commentary on revenue and margin from the latest earnings call. Not investment advice.

Peers

IT - Software companies ranked on guidance

#CompanyRevenue guidedMargin guidedMarket capP/E
140%+Up 2%+₹552 Cr33.7
240%+Flat₹327 Cr7.1
3CapitalNumbers20–40%Up 2%+₹180 Cr9.2
420–40%Up 2%+₹142 Cr10.2
520–40%Up 0–2%₹1,703 Cr26.6
620–40%Flat₹4,000 Cr78.1

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Pro shows every company guiding 40%+ revenue growth →Full IT - Software ranking

Tech Mahindra announcements

All announcements →

Financials of Tech Mahindra

Quarterly Results, Profit & Loss, Balance Sheet, Cash Flows, and Ratios are shown below as separate sections.

Shareholder Pattern

Tech Mahindra

Shareholding breakup across reporting periods.

Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026Sep 2026
Promoters +35.10%35.08%35.04%35.02%35.01%35.00%34.99%34.98%34.97%34.97%34.96%34.96%
FIIs +24.58%24.15%23.27%23.67%24.19%22.95%23.28%20.60%17.94%18.59%18.66%20.76%
DIIs +28.91%29.42%30.66%30.90%30.73%32.13%32.13%34.64%37.79%37.34%36.92%35.68%
Government +0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%
Public +11.22%11.16%10.84%10.23%9.88%9.74%9.43%9.61%9.14%8.94%9.28%8.42%
No. of Shareholders8,67,3738,48,4848,26,2847,74,9977,61,3837,61,7017,48,1767,66,7827,39,8837,38,0557,44,1617,18,233

Financials of Tech Mahindra

Quarterly Results

Quarter-by-quarter operating performance

Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026Sep 2026
Sales +12,86413,10112,87113,00613,31313,28613,38413,35113,99514,39315,07615,71216,180
Expenses +11,95011,95511,77211,44111,56311,47711,54511,41611,83012,02812,51112,97413,302
Operating Profit9141,1461,0991,5641,7501,8091,8391,9352,1652,3662,5652,7382,878
OPM %7%9%9%12%13%14%14%14%15%16%17%17%18%
Other Income +264923801475222317321940-293-205-106-7
Interest9811658728976857877948911184
Depreciation466443461462470459462458469474481479491
Profit before tax6156799591,1781,7141,2971,4641,6181,6591,5051,7912,0422,296
Tax %18%23%31%27%27%24%22%30%28%26%24%27%30%
Net Profit +5055246648651,2589891,1421,1291,2021,1191,3561,4861,610
EPS in Rs5.065.236.778.7112.7810.0511.9211.6512.1911.4513.8214.9516.18

Financials of Tech Mahindra

Profit & Loss

Annual income statement trend

Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026TTM
Sales +22,62126,49429,14130,77334,74236,86837,85544,64653,29051,99652,98856,81561,361
Expenses +18,42822,23424,95626,06328,47131,36531,05936,62645,52747,48946,02447,78350,814
Operating Profit4,1934,2604,1844,7106,2715,5036,7968,0207,7634,5066,9649,03310,548
OPM %19%16%14%15%18%15%18%18%15%9%13%16%17%
Other Income +1064537751,4175341,1927881,115965927864-240-612
Interest6997129162133192174163326392322337377
Depreciation6117599781,0851,1291,4461,4581,5201,9571,8171,8531,8821,925
Profit before tax3,6183,8573,8534,8795,5435,0585,9537,4526,4463,2245,6536,5737,634
Tax %27%22%26%22%23%23%27%24%25%26%25%27%
Net Profit +2,6593,0272,8513,7864,2893,8974,3535,6304,8572,3974,2534,8065,571
EPS in Rs27.3530.9228.8838.7843.7041.7645.7357.2749.6024.1443.4349.1056.40
Dividend Payout %22%35%28%33%29%32%89%47%91%150%94%94%

Financials of Tech Mahindra

Balance Sheet

Capital structure and asset base

Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026Sep 2026
Equity Capital480436439442444436437439440441442443443
Reserves11,76814,15515,99818,40119,84121,37724,42826,44727,48426,22826,91929,17329,230
Borrowings +7001,0911,3662,3971,9963,6702,9012,6182,7402,5372,0252,1862,184
Other Liabilities +6,8996,8438,2549,19211,16611,83411,83614,91115,16213,94314,88017,36616,947
Total Liabilities19,84822,52526,05730,43133,44637,31839,60244,41645,82743,14944,26749,16848,803
Fixed Assets +4,0334,3096,4607,6227,0618,8729,01814,78414,93213,90313,98214,86415,028
CWIP568629373240276501181651201332127131
Investments2,1031,2972,3964,8417,3425,84810,2384,8843,3883,2383,1823,4262,608
Other Assets +13,14516,28916,82817,72818,76622,54820,22824,58327,38825,87527,08230,85131,036
Total Assets19,84822,52526,05730,43133,44637,31839,60244,41645,82743,14944,26749,16848,803

Financials of Tech Mahindra

Cash Flows

Operating, investing and financing cash movement

Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Cash from Operating Activity +2,4483,1374,0713,5544,4324,3588,0945,2855,5726,3765,7866,172
Cash from Investing Activity +-1,865-1,453-2,893-3,319-2,1041,081-5,433480-226-1,318-15-314
Cash from Financing Activity +-829-496-1,571-269-2,251-4,466-2,987-4,667-5,078-4,767-5,799-5,130
Net Cash Flow-2461,188-392-3577974-3261,098267291-29728
Free Cash Flow1,3352,2663,3112,7633,6533,5297,5214,4504,6035,6395,3035,626
CFO/EBITDA Share of operating profit converting into cash: CFO (before tax) / Operating Profit84%105%123%108%97%107%140%95%97%169%104%87%

Financials of Tech Mahindra

Ratios

Working capital efficiency and return ratios

Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days848067777375629888808086
Inventory Days
Days Payable
Cash Conversion Cycle848067777375629888808086
Working Capital Days545857422435242928232530
ROCE %32%27%23%24%25%22%23%26%22%12%19%23%

Guidance history

How Tech Mahindra's guidance has moved, call by call

CallRevenueMarginsCapexFundraisingOrder book
Q2 FY27 call →10–20%Up 0–2%———
Q1 FY27 call →0–10%Up 0–2%Planned—Rising
Q3 FY26 call →0–10%Up 0–2%Planned—Rising

What management guided on each call, newest first. Not investment advice, and not a forecast of returns.

77out of 100

Momentum score · price trend

77 out of 100 — Strengthening

Over the past year its share price has done better than most of the stocks we track.

PeriodShare price changeBetter than … of 1,910 stocks
Last 12 months+25.4%76%
Last 6 months+21.4%77%
Last 3 months+8.4%80%
How we calculate it

“Better than 30%” means that over that period the share price did better than 30 out of every 100 stocks we track (1,910 Indian companies worth ₹500 Cr or more, with at least a year of prices).

The score weighs the longer periods more: 40% × 12-month + 40% × 6-month + 20% × 3-month. For Tech Mahindra: 0.4 × 76 + 0.4 × 77 + 0.2 × 80 = 77.

Strengthening is 70 and above, Steady 40 to 70, Cooling below 40. Scores are recalculated every night after the market closes.

Full methodology →

This describes only how the share price has moved up to 2 Nov 2026, compared with other stocks. It says nothing about the business, and it is not a prediction, a price target or a recommendation to buy or sell.

Continue your research

What Tech Mahindra's management said in earlier quarters

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