Tech Mahindra share price falls over 8% on weak Q4 earnings

Tech Mahindra share price fell today after the IT major reported a 29 percent fall in consolidated profit for the quarter ended March 2020. Share price of Tech Mahindra touched an intraday low of Rs 498.1 down 8.79% on BSE. The large cap stock has fallen after 4 days of consecutive gain. Tech Mahindra share opened with a loss of 5.37% at Rs 516 compared to the previous close of Rs 546 on BSE.The stock closed 8% lower at Rs 502.45.

Total 2.95 lakh shares of Tech Mahindra changed hands amounting to turnover of Rs 15.02 crore. Tech Mahindra share stood lower than its 5 day, 20 day, 50 day, 100 day and 200 day moving averages The stock has lost 34.28% since the beginning of this year and fallen 38.63% during last one year.

Net profit in last quarter fell to Rs 803.90 crore compared to Rs 1,132.50 crore in the same period last year. Consolidated revenue rose 6.72 percent to Rs 9,490.2 crore as against Rs 8,892.3 in the same quarter a year ago.

For the fiscal ended March 2020, the firm reported a 6.2 percent decline in profit after tax (PAT) at Rs 4,033 crore compared to Rs 4,297.60 crore in the previous fiscal. Consolidated revenue rose 6.1 percent at Rs 36,868 crore in FY20 against Rs 34,742.10 crore revenue in FY19, Tech Mahindra said.

In dollar terms, net profit was down 7.8 percent year-on-year (YoY) at $566.8 million in FY20, while revenue jumped 4.3 percent to $5,181.9 million.

―Business Today