New Delhi, July 16 -- IT major Tech Mahindra on Wednesday announced its Q1FY26 results, driven by strategic partnerships and hi-tech deals. In Q1FY26, the company reported a 2.7% year-over-year (YoY) increase in revenue from operations to Rs.13,351.2 crore, up from Rs.13,005.5 crore. Consolidated profit for the quarter surged 34% YoY to Rs.1,140.6 crore, compared to Rs.851.5 crore last year.
The company highlighted its seventh consecutive quarter of margin expansion, despite global uncertainty. CFO Rohit Anand attributed this to their Project Fortius program, which continues to drive operational improvements.
New deal wins totalled $809 million in total contract value (TCV). Key deals during the quarter included a multi-year partnership with Hanab to modernize their IT infrastructure, contracts with a railroad in the Americas for application support, a US Hi-Tech firm to improve the user experience of their AI/LLM-powered product, a UK manufacturer for digital transformation via a Shared Services Center, and a global fashion brand for digital/data transformation services.
CEO and Managing Director Mohit Joshi stated that the company's performance is steadily strengthening, reflecting disciplined execution and a focused strategy, with deal wins increasing by 44% on an LTM basis.
Tech Mahindra's total headcount increased by 897 YoY to 1,48,517. IT attrition for the last twelve months stood at 12.6 %against 11.8 %last quarter. IT headcount decreased by 622 QoQ and 430 YoY to 79,987.
As far as leadership changes are concerned, the company named Amol Phadke as chief transformation officer. Additionally, Manish Mangal will take over as Head - Americas Communications Business, and Sahil Dhawan as the Head - India, Middle East, and Africa (IMEA) Business. Tech Mahindra also partnered with Cisco to introduce managed services for Cisco Multicloud Defense and with ServiceNow to deliver next-generation broadband solutions for Communication Service Providers (CSPs).
Geographically, Europe saw a healthy growth of 11.7% YoY, while the Rest of the World (RoW) grew 2.9%. However, the Americas experienced a de-growth of 5.9% YoY. Among verticals, BFSI saw a healthy 4.7% YoY growth, followed by Retail, Logistics and Transport (up 3.8%), and Communications (up 2.5%). Manufacturing declined 4%, while Technology, Media and Entertainment saw a de-growth of 3.3%.
L&T Tech Services Q1 profit grows on strong momentum in large deals
L&T Technology Services (LTTS) reported a consolidated net profit of Rs.315.7 crore for Q1 FY26, a 0.7% increase year-over-year from Rs.313.6 crore. Revenue rose 16.4% year-over-year to Rs.2,866 crore, but declined 3.9% from the previous quarter.
CEO Amit Chadha cited strong momentum in large deals and growth in both Europe and the US. The company secured multiple new deals, including one worth $50 million, three in the $20-30 million range, and six $10 million deals. LTTS also announced a strategic agreement to establish a software development centre in Pune for thyssenkrupp Steering.
This marks the third consecutive quarter of $200 million+ large deals TCV. Chadha noted that AI is central to their client engagements and programs.
L&T Technology's patent portfolio reached 1,550, and its employee strength stood at 23,626. The company anticipates double-digit growth in FY26 and expects to maintain its medium-term outlook of $2 billion revenue, backed by a strong order book and focus on profitable growth.
Published by HT Digital Content Services with permission from TechCircle.