Tech Mahindra Foundation sets up SMART Academy in Hyderabad
Tech Mahindra Foundation has launched Tech Mahindra SMART Academy for Digital Media in Hyderabad. It aims to bridge the skill gap in the sector throug15-07-2019
15-07-2019
TECH MAHINDRA LTD. - 532755 - Statement Of Investor Complaints For The Quarter Ended June 2019
No.of Investor complaints pending at the beginning of the quarter No.of Investor complaints received during the quarter No.of Investor complaints disposed of during the quarter No.of Investor complaints unresolved at the end of the quarter 1670 Name of the Signatory :- Anil KhatriDesignation :- Company Secretary and Compliance Officer11-07-2019
TECH MAHINDRA LTD. - 532755 - Announcement under Regulation 30 (LODR)-Allotment of ESOP / ESPS
Pursuant to the provisions of the Listing Agreement, we wish to inform the Stock Exchange of the resolution passed by the Securities Allotment Committee of the Board of Directors of the Company on July 10, 2019 for issue and allotment of a total of 2,01,070 equity shares of Rs. 5/- each of the Company to the applicants10-07-2019
Tech Mahindra Ltd - 532755 - Compliances-Reg. 39 (3) - Details of Loss of Certificate / Duplicate Certificate
Request from our shareholder for issue of duplicate share certificates - Notification to the members of the stock exchange.04-07-2019
Tech Mahindra Ltd - 532755 - Board Meeting Intimation for Prior Intimation Of Board Meeting Pursuant To Regulation 29 Of The Securities And Exchange Board Of India (Listing Obligations And Disclosure Requirements) Regulations, 2015.
TECH MAHINDRA LTD.has informed BSE that the meeting of the Board of Directors of the Company is scheduled on 30/07/2019 ,inter alia, to consider and approve Pursuant to the provisions of Regulation 29 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, intimation is hereby given that a meeting of the Board of Directors of the Company is scheduled to be held on Tuesday, 30th July, 2019 & Wednesday, 31st July, 2019 to consider and approve, inter alia: 1. The audited financial results of the Company for the first quarter ended 30th June, 2019. 2. The audited consolidated financial results of the Company for the first quarter ended 30th June, 2019. The financial results shall be considered and declared on 30th July, 2019.04-07-2019
Tech Mahindra Ltd - 532755 - Reg. 34 (1) Annual Report
Notice of 32nd Annual General Meeting (AGM), Annual Report for the financial year 2018-19 & Book Closure for AGM and Dividend.04-07-2019
Visa troubles and growth concerns haunt Tech Mahindra
By Suhani Adilabadkar H1B visas have returned to haunt the Indian IT industry, a ghost that doesn't die easy. Combined with the slowing global economy, ongoing US China trade war and lower capex outlay in US and Europe, this has narrowed the growth corridor for Indian IT companies. Though TCS will pass through with strong organic growth, the rest of the Tier I are going to find it a tough squeeze. Among the vulnerable lot, apart from Wipro, Tech Mahindra (which is in 15 stock screeners) has also been seeing growth concerns with its Enterprise business revenue declining consistently in FY19. Quick Takes: Vision for TechMNxt, consisted of “343” strategy that targeted major software trends for growth. Net Profit was reported at Rs. 1154 crore against Rs. 1232 crore in the same period the previous year, declining 6% YoY and 5% sequentially. Tech Mahindra has an inferior business mix vis-à-vis its peers due to its high dependency on Telecom/Communications. IT services spend in Communications has generally been cyclical, swinging between periods of prolonged and tepid spends. TechM suffers from high attrition, 21% against 11% for TCS. Over the past one year, TCS stock is up 22%, Infosys 16%, Wipro 48% near their respective 52-week highs whereas Tech Mahindra has gained 4% YoY. Tech Mahindra Tech Mahindra, a leading provider of digital transformation, consulting and business reorengineering services and solutions is a part of the $ 20.7 bn Mahindra Group. The company is regarded as fifth in sequence in the Indian IT line up, a $ 4.9 bn company with 938 global customers across 90 countries. TechMNxt rolled out a ‘3-4-3’ strategy. Unveiled in FY18, the strategy addresses what Tech Mahindra saw as three mega trends or future opportunities: Explosion of connected devices, Data Explosion and Network Technologies like 5G. To tackle these trends, TechMNxt identified areas to work on, including digital customer experience, networks, Internet Of Things (IoT) and Software Transformation. While it all looked good on the drawing board, the 3-4-3 strategy is yet to take meaningful execution as is evident from low revenue growth compared to its peer group over the past eight quarters and weak future outlook. A Weak March Quarter FY19 It was a weak quarter for TechM with PAT moving in negative territory both YoY and sequentially. PAT or Net Profit was reported at Rs. 1154 cr against Rs. 1231 cr same period previous year de-growing 6% YoY and 5% sequentially. Supported by the telecom segment, revenue was in better shape rising 10% YoY at Rs. 8892 crore, compared to Rs. 8054 crore corresponding quarter previous year but flat sequentially. Operating Profit stood at Rs. 1639 crore in Q4 FY19, rising 16% YoY with a margin of 18.4%. On sequential basis however, operating margins dipped 83 bps impacted by higher subcontracting costs and SG&A;. Among business segments, Telecom performed well with stable YoY and sequential growth of 5% and 4% respectively whereas Manufacturing, BFSI and Retail all shrunk QoQ but with YoY growth of 6%, 3% and 5% respectively. With respect to regional concentration, Americas contributing 46% revenues was almost flat whereas Europe constituting 28% declined 1.6% and ROW grew 10% puting in 25% in the revenue basket. Moving in line with industry standards, Digital revenues have become significant constituting 31% of FY19 revenues and are up 41% YoY and 4% QoQ in March quarter FY19. Over the past one year, TCS stock is up 22%, Infosys 16%, Wipro 48% near their respective 52-week highs whereas Tech Mahindra has gained 4% YoY. Growth concerns rise Though Tech Mahindra has consistently reported strong operating margins, from 12% in March 2017 to current levels of 18%, the market isn’t impressed. Growth levers seem to be working at lower momentum compared to the rest of the peer group. Tech Mahindra has an inferior business mix vis-à-vis its peers due to high dependency on Telecom/Communications which constitutes 43% total revenues. Adding more complexity, post global financial crises, IT services spend in Communications industry has generally been cyclical, swinging between periods of prolonged and tepid spends. Thus, after reporting anaemic growth for the whole of FY18, Telecom has moved positively in the past three quarters. BFSI, Retail & Logistics, Manufacturing, Technology & Media, and Healthcare, Life Sciences are not in the pink of health either, impacted by higher base of Q3FY19, postponement of revenue of certain projects and seasonality especially in Retail vertical. Barring Technology & Media and Telecom, all these verticals are shrinking sequentially and YoY. Manufacturing and Technology revenues have declined from 12% and 29% growth rates in Q1 FY19 to 7% and 5% respectively in Q4 FY19. Retail has been in negative territory throughout FY19 but ended the year with 5% YoY growth. BFSI segment after giving lacklustre performance in first two quarters FY19 recovered in December growing at 5% slumping to 3% YoY growth in March quarter FY19. No doubt, Tech Mahindra is the worst performing Tier I, IT stock. Coming to 5G, which is considered to be the next growth driver for TechM, 5G technology is still being tried and tested by Telecom operators in various parts of US and Europe and likely to deliver only in FY21 which means it is not a near term revenue growth opportunity. Moving away from Revenue growth levers, TechM suffers from high attrition, 21% which is highest among its peer group which will impact margins in the long run. Infosys runs at attrition rate of 18% whereas TCS has the lowest global attrition rate of 11% as on March FY19. DSO another important cash conversion parameter impacting cash flows is also on the higher side, 102 days in Q4 FY19 whereas TCS and Infosys stand at 69 and 66 days respectively. The list goes on with higher SG&A; expenses, low revenue per employee, seasonality of Comviva (subsidiary) but on the broader level, TechM exhibits structural weakness with lacklustre organic growth, higher client concentration, systematically risky revenue mix and revenue trajectory impacted by late entry in digital and automation arena. But for TechM management growth is expected to recover next year, as TechM CFO reiterated, “H2 has been seasonally strong for us, will continue to be and potentially more so this year because I think from our perspective as we look at our funnel and the maturity and potential trends in some of our larger customers, for example, some of the wins we are seeing now probably will start translating into revenues in second half of Q2. So, Q1 will be muted because Comviva business goes down, Q2 will be better, Q3 and Q4 will be qualitatively much better in terms of the growth rate. So, that is the way I see this year going from a growth perspective”.01-07-2019
Tech Mahindra Ltd - 532755 - Closure of Trading Window
Pursuant to the circular No.NSE/CML/2013/15 dated December 18, 2013 issued by NSE and read with SEBI (Prohibition of Insider Trading) Regulations, 2015, this is to intimate that the trading window of the Company is closed from July 1, 2019 and shall be opened 48 hours after the declaration of Financial Results for the quarter ended June 30, 2019.28-06-2019
TECH MAHINDRA LTD. - 532755 - Closure of Trading Window
Pursuant to the circular No.NSE/CML/2013/15 dated December 18, 2013 issued by NSE and read with SEBI (Prohibition of Insider Trading) Regulations, 2015, this is to intimate that the trading window of the Company is closed from July 1, 2019 and shall be opened 48 hours after the declaration of Financial Results for the quarter ended June 30, 2019.28-06-2019
Tech Mahindra eyes big deals from banking, communication firms
The BFSI vertical contributes over a third of revenue for the software industry. For Tech Mahindra, communications is the biggest vertical.27-06-2019