Software services exporter Tech Mahindra on Tuesday posted 27.28 per cent year-on-year rise in net profit at Rs 1,064 crore for the quarter ended September.
It had posted a net profit of Rs 836 crore in the corresponding quarter last year.
Sequentially, profit rose 18.54 per cent.Consolidated total revenue increased 11.05 per cent YoY and 4.97 per cent QoQ to Rs 8,804.73 crore during the quarter under review.Here are key takeaways from the Q2 earnings.EBITDA margin: EBITDA jumped 46.40 per cent YoY and 19.30 per cent QoQ to Rs 1619 crore in Q2FY19.
EBITDA margin increased 430 basis points YoY and 240 basis points QoQ to 18.80 per cent.Management-speak: CP Gurnani, Managing Director Chief Executive Officer, Tech Mahindra said: Its been a satisfying quarter where our focus on digital transformation has helped us deliver a robust performance.
Our strong deal wins especially in the communication vertical coupled with our 10 per cent plus sequential growth in digital revenues are a validation of our run, change and grow strategy.
Barring declines in our implementation business in our healthcare vertical, we have clocked a good quarter in terms of both revenue growth and EB/DTA margin improvement.
We will endeavour to maintain this momentum as we continue our journey." CFO Manoj Bhat added: "This has been a strong quarter with improving operating metrics across most of our business lines.
Our focus on optimizing our operations has led us to the highest EBITDA level and margin improvement in excess of 2 per cent sequentially and 4 per cent on a YoY basis."Key deal wins: During the quarter, the company won a deal from a leading American Healthcare Services provider for managing its security services stack.
It also bagged a contract from a large Nordic OEM for Device testing services.
Tech Mahindra received a contract from a North American Communication Service Provider region for its Enterprise wide testing services, helping bring in project efficiencies and optimise cost.
The IT firm is also selected by a Tier 1 American Telco, for transforming its business network services, helping enrich the customer experience, augment service delivery and bring in productivity efficiencies.
Other updates: Total headcount stood at 1,18,391 as of September 30, 2018, up 4,839 on a QoQ basis.
Software headcount stood at 72,534 while BPO at 39,407.
Cash and Cash equivalent came at Rs 37,900 crore as of September 30, 2018.
The active client count stood at 930 in Q2, up by 4 on QoQ basis.
Financial highlights in dollarsRevenue jumped 0.40 per cent QoQ in constant currency terms.
Revenue increased by 3.3 per cent YoY to $1218.20 million.
However, the figures declined marginally by 0.50 per cent on a QoQ basis.
EBITDA in dollar terms came at $226.90 mn, up 32.70 per cent YoY and 13.70 per cent QoQ.
Consolidated PAT increased by 15.60 per cent YoY and 13.30 per cent QoQ to $149.40 million.