Analysts say that the company’s performance will be affected by the challenges in specific verticals, but that the Fortius project and the seasonal numbers of Comviva will be carried out.
It is likely that the IT company Techindra LTD reports a decrease in income with an incremental improvement in the margins, in the quarter that ends on March 31, 2025.
Analysts’ reports said the company’s performance will be affected by specific vertical challenges, but that the Fortius project and the seasonal numbers of Comviva will be advanced. The last quarter, the company reported a drop in profits with flat income.
Tech Mahindra will report its results Q4 and Fy25 later today.
Motilal Oswal’s financial services expected income growth to fall by 0.8 percent of sequential CC due to silent recovery in telecommunications and manufacturing, about 50 percent of income. While the broker said that the vertical communications has stabilized, said recovery can take time. “The agreement rate of agreement saw an improvement in key verticals such as Telecom and Hi-Tech. We anticipate that the company can deliver a good treatment in the fourth quarter,” the report said.
In terms of margins, Motilal Oswal expected it to grow in 10 bp despite salary walks due to the Fortius project. In addition, he said that the perspectives of CME, especially in the US, and the manufacture of verticals, will be the monitorable key.
“The ascending transformation of Techm seems a relatively independent or discretionary expense. With the potential for telecommunications recovery and better operational efficiency, we see space for a sustained margin improvement in the future,” he said.
Elara Capital expected the company to report a fall of sequential income of 0.7 percent in the fourth quarter due to the weak high -tech and BPO service. However, he said that this can be denied by seasonally strong community numbers. Unlike Motilal Oswal, Elaara Capital expected flat sequential growth on the margins, driven by cost rationalization under the ‘Fortius’ project
“Tech Mahindra should fall dryly due to the weakness led by seasonality and an uncertain demand environment,” said Elaara Capital.
Nuvama’s investigation remained negative in Tech Mahindra, since it also expected income to decrease by 0.7 percent of QOQ CC and reject 1.5 percent QOQ in USD due to specific challenges of the company. The benefit of the reversal of the permission and seasonality of Comviva will be compensated by winds against Hi-Tech and few closures of low margin agreements, the report said. In addition, I also expected the margins to remain dry dry.
“We will take care of the comments of the management on the income of fiscal year 27 and the margin orientation, and its progress in it,” said Nuvama Research.
Posted on April 24, 2025
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