Tech Mahindra gets forex push; Q1 net up 7% to Rs676 cr

The fifth-largest software exporter Tech Mahindra on Monday reported a 7.2 per cent growth in June quarter net profit at Rs 676 crore, helped by forex gains flowing from <g data-gr-id="13">depreciation</g> of the rupee.

The Mahindra Group company's revenue rose 22.9 per cent to Rs 6,294 crore while pre-tax profit rose a marginal 0.8 per cent to Rs 936 crore.

It reported a forex gain of $14.7 million as against $11.7 million a year ago and forex losses of $25 million in the preceding quarter. Chief Financial Officer Milind Kulkarni attributed this to the falling rupee.

Executive Vice-Chairman Vineet Nayyar said there was a 0.20 <g data-gr-id="11">per cent</g> dip in operating margin to 14.9 <g data-gr-id="12">per cent</g> due to a jump in visa costs and impact of acquisitions where the target companies work on a lower profitability.