Tech Mahindra Q4 results: Net profit surges 77% YoY, board recommends dividend, approves merger

Tech Mahindra on Thursday, April 24, announced a 76.51% year-on-year (YoY) growth in its consolidated net profit to ₹1,166.7 crore in the March quarter of FY25, compared to ₹661 crore in the year-ago period.

In the fourth quarter of the 2024-25 fiscal year (Q4FY25), the company’s revenue from operations stood at ₹13,384 crore, jumping 3.98% YoY from ₹12,871.3 crore in the corresponding period last year.

Tech Mahindra derived ₹11,327.6 crore in revenue from its IT segment in Q4FY25, growing 3.40% YoY from ₹10,954.8 crore in the fourth quarter of the 2023-24 fiscal year (Q4FY24). The company clocked ₹2,056.4 crore from the business process services (BPS) segment, rising 7.30% YoY from ₹1,916.5 crore.

Tech Mahindra Board recommends final dividend

The company's board of directors also recommended a dividend of ₹30 per equity share with a face value of ₹5 each, i.e., 600% for Q4FY25. This is subject to shareholder approval at the ensuing Annual General Meeting (AGM).

If the final dividend is approved, Tech Mahindra will make the dividend payment before August 15, 2025 to those shareholders whose name "appear as Members in the Register of Members" at the end of the business hours on Friday, July 4, 2025.

The final dividend recommended is in addition to Interim Dividend of ₹15 per equity share on face value of ₹5 each (300%) in November 2024. With this, the total dividend for FY25 will be ₹45 per equity share on par value of ₹5 each at 900%.

Tech Mahindra approves board greenlights merger

The company's board of directors also approved merger by absorbing Zen3 Infosolutions Private Limited, Tech Mahindra Enterprise Services Limited and Begig Private Limited, a wholly-owned subsidiary into Tech Mahindra, it said.

The appointed date for the Scheme of Merger is set as April 1, 2025.

Tech Mahindra shares ended 0.49% higher at ₹1,446.60 ahead of its earnings announcement.