Tech Mahindra Ltd, India's No 5 software firm, on Thursday said quarterly profit fell 59%, missing market estimates as it was hurt mainly by losses related to Mahindra Satyam. Tech Mahindra, a unit of tractor and utility vehicle maker Mahindra & Mahindra, reported net profit of 922 million rupee s, compared with 2.27 billion rupees a year ago.
According to Thomson Reuters I/B/E/S, analysts, on average, expected net profit of 1.9 billion rupees for the company, which counts BT Group and US telecom giant AT&T as clients.
Earlier this week, Mahindra Satyam, which Tech Mahindra bought in 2009, reported a quarterly net loss. It was hurt by a one-time expense due to settlement of a US shareholder lawsuit. The results sent its shares down as much as 6%.
Mahindra Satyam, earlier called Satyam Computer, was bought by Tech Mahindra after being hit by what became India's biggest corporate fraud.
