Tech Mahindra has made significant progress on its three-year transformation plan under CEO and Managing Director Mohit Joshi, with the company moving closer to its profitability and growth targets.

The IT services major had set an ambitious goal of improving EBIT margins to 15% by FY27, compared with 6% at the end of March 2024. The plan also aimed to help Tech Mahindra grow faster than its Indian IT services peers.

Joshi took charge in June 2024, succeeding C.P. Gurnani after his 15-year tenure. The turnaround came at a challenging time for the global technology sector, with demand pressures affecting the $315-billion IT industry.

By Q1 FY27, Tech Mahindra reported revenue of $1.66 billion, while EBIT margin improved to 14.4%. The latest performance places the company within reach of its 15% margin target.

The progress reflects the company’s focus on improving operational efficiency while pursuing new growth opportunities. The challenge now is to sustain the margin gains and accelerate growth as global IT spending remains under pressure.