Tech Mahindra profit rises to Rs 277 cr

IT company Tech Mahindra on Friday reporteda consolidated net profit of Rs 276.55 crore for the first quarter ended June31, 2011.

"The profit for the quarter ended June 31, 2011 and2010 are not comparable as the figures in respect of June 2010, do not includeshare in profits of the associate (Satyam ) as the financial results of theassociate were not available when Tech Mahindra accounts for June 2010 wereprepared," Tech Mahindra said in a filing to the BSE.

The company had a net profit of Rs 144.26 crore in theApril-June quarter of 2010-11, it said. Total income rose to Rs 1,338.57 crore during the firstquarter current fiscal, from Rs 1,174.47 crore in the same quarter previousyear.

"We continue to build our business portfolio at ameasured pace, despite low discretionary spend in the telecom vertical. This has been enabled by our diversification into newgeographies and customers," Tech Mahindra Chairman Anand Mahindra said.

Total headcount of the company stood at 42,850. Softwareprofessional headcount stood at 27,920, while BPO headcount stood at 13,804 andsupport staff at 1,126.

The company during the quarter added 4,517 personnel, ofwhich 2,793 were in the BPO. The company has 128 active clients.

On the global macro-economic environment, Tech MahindraVice-Chairman, MD and CEO Vineet Nayyar said, "We have aligned ourselveswith changing customer priorities and needs, which has helped us navigate inthese volatile times...macro-economic conditions could pose new challengeswhich we are closely monitoring".

The debt of the company stood at 1,282.2 crore as of June30, 2011. Cash and cash equivalent stood at Rs 194.4 crore on balancesheet as of June 30, 2011.

On the standalone basis, the company's net profit stood atRs 162.23 crore, while it had a net profit of Rs 128 crore over the same periodprevious fiscal.

Total Income has increased to Rs 1,278.6 crore for thequarter ended June 30, 2011, from Rs 1,131.98 crore for the quarter ended June30, 2010.

North America contributed 31.9 per cent to the revenues,while Europe comprised 50.7 per cent to therevenues, about 17.5 per cent came from rest of the world.

Shares of Tech Mahindra today closed at Rs 734.75 on theBSE, up 1.14 per cent from previous close.