TECH MAHINDRA FY 08 revenues up 44.2%
MUMBAI, May 19, 2008:
Revenue at USD 934.7 million. An increase of 44.2% YoY
Net Profit excluding exceptional items at USD 191.5 million. An increase of 41.2% YoY
Revenue at USD 257.8 million. An increase of 30.4% YoY
Net Profit, excluding exceptional items at USD 55.3 million. An increase of 24.7% YoY
Tech Mahindra Limited, one of the largest solution providers in the telecom space, announced a 44.2% growth in the consolidated revenues and a 41.2% growth in the consolidated net profit before exceptional item for the full year ending Mar 08.
The company reported a consolidated revenue of USD 934.7 million from USD 648 million in the previous year. Consolidated net profit before exceptional item grew to USD 191.5 million from USD 135.6 million in the previous year. Consolidated net profit after exceptional items was reported at USD 81.7 million. During the quarter, the company incurred an exceptional charge of USD 109.9 million towards an exclusivity payment to a customer for a long term strategic
For the quarter, the company reported a 24.7% growth in net profit after tax and before exceptional items and 30.4% increase in revenue for Q4 FY08 over the corresponding quarter in the previous year. The company reported consolidated net profit after tax and before exceptional item of USD 55.3 million for Q4 FY 08 as against USD 44.3 million in Q4 FY 07. The company reported a revenue of USD 257.8 million for Q4 FY08 as against USD 197.7 million in Q4 FY07. The company reported a net loss of USD 54.7 million for the quarter after the exceptional charge.
In rupee terms , for the full year ending Mar 08, the consolidated revenue grew by 28.6 % to Rs 3766.1 crores from Rs 2929.0 crores in the previous year . Consolidated net profit grew by 25.6% to Rs 769.6 crores from Rs 612.6 crores (excluding exceptional items) in the previous year. Consolidated net profit after exceptional items was reported at Rs 329.9 crores.
Tech Mahindra announced an 11.6% growth in net profit after tax before exceptional item and 16.9% growth in revenue for Q4 FY08 over the corresponding quarter in the previous year. Tech Mahindra reported consolidated net profit after tax and before exceptional item of Rs 218.9 crores for Q4 FY 08 as against Rs 196.1 crores in Q4 FY 07. The company's revenue is Rs 1021.8 crores for Q4 FY08 as against Rs 874.5 crores in Q4 FY07. The company reported a net loss of Rs 221.4 crores for the quarter after the exceptional charge of Rs 440.1 crores.
The company derived 19.4%, 73.6% and 7.0% of its revenues from the US & Canada , Europe and ROW regions respectively. The number of clients increased from 83 in FY 07 to 107 in FY 08.
Tech Mahindra Consolidated Head Count increased from 19,749 in March 2007 to 22,884 in March 2008,a growth of 15.9%.
Mr. Anand Mahindra, Chairman, Tech Mahindra said, "Our robust results reinforce our leadership position in our chosen vertical. Our alignment to customer
needs and our investments in the telecom domain have positioned us well for growth.”
Mr. Vineet Nayyar, Vice Chairman & MD, Tech Mahindra said, “Our strategy of building long term partnerships with our customers by pursuing multi year deals has yielded us dividends this quarter. These deals are a reflection of the confidence reposed in us by our customers.”
In line with its strategy to win increasing number of multi-year deals with long term revenue commitments, Tech Mahindra has recently signed a USD 350 million deal with BT for handling a large part of application support and maintenance function of its IT estate for 5 years, placing Tech Mahindra right at the heart of BT’s strategy for delivering service excellence to customers in UK and across the globe. This deal enables Tech Mahindra to help BT achieve their objective of being number one for customer service.
In the Telecom Service Provider transformation domain Tech Mahindra has been engaged by a leading Asia Pacific telco for the launch of their next generation services like VoIP, broadband and IPTV. As an end to end systems integrator for this engagement, Tech Mahindra will enable rapid realization of new products and services.
Tech Mahindra has also won a multi year deal to assist a leading technology company to provide managed services of legacy applications involving application
support and maintenance to a tier 1 US communications service provider. This engagement will create better value for the customer and the joint value ropositions
will help the customer to take advantage of the global delivery model.
In the BSS domain, Tech Mahindra has won an engagement to provide adjunct rating, data warehousing, business process management and billing reconciliation
solutions to a leading GSM operator in Kuwait. This relationship will enable the client to provide faster delivery, greater billing accuracy and reduced cycle times.
In the testing domain, Tech Mahindra has been commissioned by a leading north American provider of networking and electrical solutions to set up a test factory for support, regression testing and development on new feature of products. This will enable the client to speed up the market rollout of their products by providing automation, integration and validation testing solutions.
Tech Mahindra has entered into a strategic partnership with a leading network equipment supplier to develop advanced network management solutions for service
provider customer needs worldwide. This relationship will leverage Tech Mahindra’s capabilities in the telecom equipment manufacturer domain.
Awards & Rankings
- Selected in the Leaders Category in ‘The 2008 Global Outsourcing 100’
- ‘Vertical Growth Leadership in Telecom Software’ (Frost & Sullivan)
About Tech Mahindra
Tech Mahindra is a leading provider of solutions and services to the telecommunications industry, majority stake owned by Mahindra & Mahindra, in partnership with BT Plc. With total revenues of USD 934.7 million in the year ended March 31, 2008, Tech Mahindra is India’s 6th largest software exporter, and serves telecom service providers, equipment manufacturers, software vendors and systems integrators. Tech Mahindra solutions enable clients to maximize returns on IT
investment by achieving fast time to market reduced total cost of ownership and high customer satisfaction. Tech Mahindra achieves this through its domain and
process expertise, distinctive IT skills, research and development, proven innovative delivery models and approach to off shoring.
Assessed at SEI-CMMi Level 5 and PCMM Level 5, Tech Mahindra's track record for value-delivery is supported by over 23000 professionals who provide a unique blend of culture, domain expertise and in-depth technology skill-sets. Its development centres are ISO 9001:2000 & BS7799 certified. Tech Mahindra has principal offices in the UK, United States, Germany, UAE, Egypt, Singapore, India, Thailand, Taiwan & Australia.
For more information contact Rajesh Chandiramani at firstname.lastname@example.org