TECH MAHINDRA FY 09 revenues up by 19%

HYDERABAD, April 27, 2009:

Annual highlights:
• Revenue at Rs. 4464.7 crores. YoY growth of 19%
• Net profit after tax at Rs 1014.5 crores. YoY growth of 32%

Quarter highlights:
• Revenue at Rs. 1051.3 crores
• Net profit after tax at Rs 230.4 crores

Financial Summary
Tech Mahindra Limited, one of the largest solution providers in the telecom space, announced a 19% growth in the consolidated revenues and a 32% growth in the consolidated net profit for the full year ending Mar 09.

The Company reported a consolidated revenue of Rs 4464.7 crores from Rs 3766.1 crores in the previous year. Consolidated net profit grew to Rs 1014.5 crores from Rs 770 crores (before exceptional items).

For the quarter, the company reported a 5% growth in net profit after tax and 3% increase in revenue for Q4 FY09 over the corresponding quarter in the previous year. The company reported consolidated net profit after tax of Rs 230.4 crores for Q4 FY09 as against Rs 218.7 crores (before exceptional items) in Q4 FY08. The company reported a revenue of Rs 1051.3 crores for Q4 FY09 as against Rs. 1021.8 crores in Q4 FY08.

During the quarter, the Company derived 25%, 67% and 8% of its revenues from the US, Europe and ROW respectively.

Tech Mahindra consolidated head count was 24,972 in Mar 2009.

Mr. Anand Mahindra, Chairman, Tech Mahindra said, “We continue to deliver value to our customers in a challenging global environment. We will focus on converting these adverse conditions into opportunities for future growth”.

Mr. Vineet Nayyar, Vice Chairman & MD, Tech Mahindra said, “This has been a quarter where our focus on efficiency and cost has helped us maintain profitability inspite of headwinds in the form of currency depreciation and overall economic slowdown”.

Operations

Tech Mahindra has partnered with one of the largest Telecom Equipment Manufacturers for the development and sustenance of its major proprietary platform for mobile handsets. TechM’s embedded business unit will assist the customer in developing new features in line with the changing needs of the market place.
Tech Mahindra has signed a multi-year voice based bilingual operations engagement with one of the leading North American telecom service providers. As a part of this engagement, TechM will be responsible for optimizing the customer care operations of the client, ensuring better customer service.
In the Managed Services space, TechM has partnered with a TEM Major to support its multi-location operations in India. TechM resources would assist the major in network planning and optimization, installation, operations and maintenance activities which would help the client fulfil the needs of their end customers better.

One of the large European telecom operators has selected Tech Mahindra as its outsourcing partner in Enterprise Applications space. Tech Mahindra will provide Application Development and Management services and help the client to achieve its goals of greater flexibility and faster time-to-market.
In the Network Services domain, Tech Mahindra has partnered with a large TEM to deploy a network management solution for a large Indian telecom service provider. Tech Mahindra will have end to end responsibility from planning to commission and maintenance of this solution.

Tech Mahindra has been selected as a Strategic Outsourcing Partner by a Greenfield ISP launching pan India Broadband services on an innovative Wi-Fi mesh network. Tech Mahindra will be responsible for rolling out the complete IT platform as a system integrator, and running operations in a managed services framework.

Awards & Rankings

• Tech Mahindra in Leaders Category of The 2009 Global Outsourcing 100 (IAOP, 2009)
• Most Innovative Recruitment and Staffing Program award by International Quality and Productivity Center (IQPC)
• Employer Branding Awards 2008-09 by Employer Branding Institute
  • Award for Managing Health at Work
  • Award for Excellence in Training