Analysts say that the company’s performance will be affected by the challenges in specific verticals, but that the Fortius project and the seasonal numbers of Comviva will be carried out.
It is likely that the IT company Techindra LTD reports a decrease in income with an incremental improvement in the margins, in the quarter that ends on March 31, 2025.
Analysts’ reports said the company’s performance will be affected by specific vertical challenges, but that the Fortius project and the seasonal numbers of Comviva will be advanced. The last quarter, the company reported a drop in profits with flat income.
Tech Mahindra will report its results Q4 and Fy25 later today.
Motilal Oswal Financial Services expects Tech Mahindra’s income to fall by 0.8 percent of dry CC due to silent recovery in telecommunications and manufacturing, about 50 percent of income. While the brokerage nuts that the vertical communications has stabilized, expects recovery to take time. “The agreement rate of agreement saw an improvement in key verticals such as Telecom and Hi-Tech. We anticipate that the company can deliver a good treatment in the fourth quarter,” the report said.
In terms of margins, Motilal Oswal expects it to grow in 10 basic points (BP) despite salary increases due to the Fortius project. In addition, he pointed out that the perspectives of CME, as special in the US and manufacturing verticals, will be the monitorable key.
“The ascending transformation of Techm seems a relatively independent or discretionary expense. With the potential for telecommunications recovery and better operational efficiency, we see space for a sustained margin improvement in the future,” he said.
Elara Capital expects the company to report a 0.7 percent sequential drop in the fourth quarter due to the weak high -tech and BPO service line. However, he hopes that he refuses for seasonally strong comvive numbers.
Contrary to Motilal Oswal, Elaara Capital expects flat sequential growth in the margins, promoted by cost rationalization under the ‘Fortius’ project
“Tech Mahindra should fall dryly due to the weakness led by seasonality and an uncertain demand environment,” said Elaara Capital.
Nuvama’s investigation is still negative in Tech Mahindra, since it also expects income by 0.7 percent quarter against quarter (QOQ) CC and decreases 1.5 percent of QOQ in USD due to specific challenges of the company. The benefits of the reversal of the license and the seasonality of the community will be compensated by winds against high technology and few closures of low margin agreements, the report declared. In addition, it also expects margins to remain dryly flat.
“We will take care of the comments of the management on the income of fiscal year 27 and the margin orientation, and its progress in it,” said Nuvama Research.
Posted on April 24, 2025
