Centrum Broking: Tech Mahindra’s Strong Margin Execution Aids Growth Post Q2
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Centrum Broking: Tech Mahindra’s Strong Margin Execution Aids Growth Post Q2

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Centrum Broking Report

Tech Mahindra Ltd.’s Q2 FY21 results delivered a solid beat on Ebit margin which aided in profit after tax beat.

Post strong margin beat in Q2 FY21, we raise Ebit margin assumption to 12.5/13.3/14.3% for FY21/FY22/FY23E (versus 11.1/12.1/13.1% earlier).

We note Q2 FY21 Ebit margin is 14.2% and our forward assumptions build some moderation over next quarters as hiring has to pick up in IT services (the company is now operating at peak utilization of 85%).

Click on the attachment to read the full report:

Centrum Broking Tech Mahindra -Q2FY21 Results Update .pdf

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