Tech Mahindra Q2 Review – Mixed Results; Cautious commentary on the European recession: Dolat Capital | Tech US News


BQPrime’s exclusive research section brings together quality and in-depth equity and economic research reports from top brokerages, asset managers and research agencies across India. These reports provide BQ Prime subscribers with an opportunity to enhance their understanding of companies, sectors and the economy.

Tech Mahindra Ltd reported constant currency growth of 2.9% QoQ (our estimate: 2.6%), led by 3.1% QoQ growth for Communications, Media & Entertainment, while Enterprise grew 2.8% QoQ. added

However, revenue in reported terms (in Indian Rupees) was lower than estimated due to weak Indian Rupee receipts. 18 per share dividend declared.

Operating profit margin 11.4%, (our estimate: 11.4%), 32 basis points QoQ, net improvement from better utilization, exiting low-margin businesses, selling, general and administrative savings and better pricing, from wage growth Denial, Inflation and Forex Headwinds.

Commentary turns cautious for the European market where it has begun to experience delays in decision-making.

Looking ahead to Q2 results, we note a shift in Tech Mahindra’s stance from positive to cautious, and expect challenging growth rates in light of the volatile macro environment.

Click on the attachment to read the full report:


This report has been authored by an external party. BQ Prime does not guarantee the accuracy of its contents and is not responsible for them in any way. The contents of this section do not constitute investment advice. You should always consult a specialist for your individual needs. The views expressed in the report are those of the author and do not necessarily represent the views of BQ Prime.

Users have no license to copy, modify or distribute the Content without the permission of the original owner.


Source link

Please disable your adblocker or whitelist this site!