Forex, pay hike affect Tech Mahindra net

MUMBAI: Tech Mahindra on Tuesday disappointed the street by posting a sharp fall in net profit for the quarter ended March 2015 due to currency volatility and salary hikes. The company reported a net profit of Rs 472.20 crore, down 23 per cent from Rs 614.21 crore reported during the corresponding period, last year. On a sequential basis, the company’s net profit slumped 39.23 per cent from Rs776.77 crore.

However, the company’s net sales grew 20.93 per cent to Rs 6,116.79 crore as against Rs 5,058.11 crore reported during a year earlier. It incurred a forex loss of Rs 154 crore for the quarter compared to a loss of Rs35.6 crore in the yearago period. The company’s total headcount at the end of March, 2015 stood at 1,03,281 with additions of 13,840 professions during the year.