IT firm Tech Mahindra on Tuesday reported a 60% rise in its net profit at Rs 240 crore for the July-September 2011 quarter, as compared with Rs 150.7 crore for the corresponding period in the previous fiscal. The second quarter revenue of the company, which specialises in the telecom sector, also grew 3.2% to Rs 1,333.3 crore as compared with Rs 1,292.5 crore in the corresponding quarter in the previous fiscal."We have seen yet another quarter of steady growth. Our investment in capabilities has enabled us to achieve this inspite of some headwinds. We remain anchored to building and enhancing our service offerings to meet the needs of the changing market place," said Vineet Nayyar, CEO, Tech Mahindra.
A few projects of British Telecom (BT), Tech Mahindra’s largest client, end this quarter. Despite this and pressure on margins due to wage hikes, the company managed good numbers due to business from Europe and the US and substantial growth in non-BT business.
Nayyar also warned of pressure on margins for the next couple of quarters till the crisis in eurozone is over.