Tech Mahindra Share Price in Focus as IT Giant Expands Global Presence with Saudi Arm

Market Performance

Tech Mahindra share price has been under pressure in 2025, slipping nearly 10% year-to-date, even as the benchmark Nifty 50 gained 5% during the same period. Despite the decline, the stock remains in focus as the company continues to strengthen its global operations and financial performance.

Main News

On August 21, Tech Mahindra announced the incorporation of its wholly-owned subsidiary – Tech Mahindra Regional Headquarters – in Saudi Arabia.

The new entity will play a strategic role by:

• Supporting and managing the company’s operations in Bahrain and Egypt.
• Expanding Tech Mahindra’s presence in the Middle East and North Africa (MENA) region.
• Providing strategic direction for regional growth initiatives.

This move underlines the IT major’s commitment to scale its international footprint.

Company Details

Earlier this month, Tech Mahindra’s design and engineering subsidiary Pininfarina S.p.A. increased its stake in Signature S.r.l., an Italian stationery company, from 24% to 84%.

• This acquisition makes Signature a step-down subsidiary of Tech Mahindra.
• The deal was executed on an arm’s length basis and did not require any regulatory approvals.
• Signature continues to operate from Italy, enhancing Pininfarina’s reach in the consumer product segment.

About Pininfarina S.p.A.:

Headquartered in Italy, Pininfarina is globally renowned for its expertise in automotive design, industrial design, architecture, and luxury product development.

Financial Performance (Q1 FY25)

Tech Mahindra delivered a robust performance in the first quarter of FY25, with strong growth in profitability and deal wins.

• Revenue: ₹13,351.20 crore, up 2.7% YoY
• Net Profit: ₹1,141 crore, up 34% YoY
• New Deal Wins: $809 million, up 51% YoY
• Employee Headcount: 1,48,517 (net addition of 897 employees)
• Attrition Rate: 12.6% (Last Twelve Months basis)
• Cash & Cash Equivalents: ₹8,072 crore as of quarter-end

Summary

Tech Mahindra share price stays in focus as the company boosts its global reach with a new Saudi subsidiary.Alongside, its subsidiary Pininfarina is boosting its international presence through acquisitions in Europe.

Strong Q1 FY25 results, highlighted by a 34% profit growth and $809 million in new deals, reinforce the company’s resilience. However, despite these positives, the stock has declined by 10% in 2025, underperforming the broader market.