Tech Mahindra Q2 FY26 – Margins Improve, Profit Slips Slightly

Tech Mahindra reported a mixed set of results for Q2 FY26. Sales grew 5% YoY to ₹13,995 crore, supported by steady demand in digital transformation and telecom verticals. Operating profit (EBIDT) rose 24% YoY to ₹2,165 crore, reflecting improved cost efficiency and better operational leverage. However, net profit declined 4% YoY to ₹1,202 crore, while EPS fell 5% to ₹12.19, impacted by muted revenue growth and higher employee costs. At a stock price of ₹1,468, with a market cap of ₹1,43,800 crore and a PE ratio of 32.1, Tech Mahindra shows improving margins but modest earnings momentum.