On a year on year (YoY) basis, Tech Mahindra's net profit dropped 60.64% while revenue fell 4.61% in Q3 FY24.

EBITDA stood at Rs 1,146.5 crore in the quarter ended 31 December 2023, up 6.91% QoQ and down 46.53% YoY. EBITDA margin was at 8.8% in Q3 FY24 as compared to 8.3% in Q2 FY24 and 15.6% in Q3 FY23.

In terms of dollars (USD), revenue stood at $1,573 million in Q3 FY24, up 1.1% QoQ while down 5.7% YoY. In constant currency terms, revenue was up by 1.1% QoQ and down 5.4% YoY. Profit after tax was at $61.3 million, up 3% QoQ and down 61% YoY. Free cash flow was at $ 228million in the December quarter.

During the quarter, EBITDA was at $137.7 million, up 6.4% QoQ and down 47.1% YoY. EBITDA margin came in at 8.8% in Q3 FY24, up 40 bps QoQ.

The IT firm secured net new deals worth $381 million in Q3 FY24 as against $640 million in Q2 FY24 and $795 million reported in Q3 FY23.

Total headcount was at 146,250, registering a decline of 2.9% QoQ and down 6.9% YoY. The last twelve month (LTM) IT attrition rate reduced to 10% in Q3 FY24 from 11% in Q2 FY24 and 17% in Q3 FY23.

Cash and cash equivalent was at Rs 7,012.3 crore as of 31 December 2023, compared with Rs 6,514.8 crore as of 30 September 2023 and Rs 6,449.4 crore as of 31 December 2022.

On 24 October 2023, the board had approved the scheme of merger by absorption of its wholly owned subsidiaries, Perigord Premedia (India) (PPIPL), Perigord Data Solutions (India) (PDSIPL) and Tech Mahindra Cerium (TMCPL) with the company and their respective shareholders.

Meanwhile, the company’s board has approved to include merger of Thirdware Solution, wholly-owned subsidiary of the company to the above said scheme and consequently approved the modified scheme of merger.

Tech Mahindra is focused on leveraging next-generation technologies including 5G, blockchain, cybersecurity, artificial intelligence, and more, to enable end-to-end digital transformation for global customers.

Shares of Tech Mahindra rallied 3.09% to end at Rs 1,407.75 on the BSE.