Tech Mahindra Allocates 60,706 Equity Shares Under Employee Stock Option Plans

Tech Mahindra Limited has announced the allocation of 60,706 equity shares to eligible employees under its stock option plans. The Securities Allotment Committee of the company's Board of Directors approved this allotment on December 11, 2025.

Allocation Details

The latest allotment comprises:

Plan:	Number of Shares
Employee Stock Option Plan-2014 (ESOP-2014)	20,386
Employee Stock Option Scheme-2018 (ESOP-2018)	40,320
Total	60,706

Share Pricing Structure

The allotment includes shares at different price points:

Issue Price:	Face Value:	Premium:	Number of Shares
₹5.00	₹5.00	₹0.00	55,706
₹324.00	₹5.00	₹319.00	5,000

Key Financial Impact

Share Value: Each equity share has a face value of ₹5.00
New Total: Following this issuance, Tech Mahindra's total issued shares stand at 97,97,21,333
Updated Share Capital: The company's total issued share capital after this allotment is ₹4,89,86,06,665
Share Status: The newly issued shares rank pari passu and are identical to the existing equity shares of the company

Regulatory Compliance

The allotment was made in compliance with the Securities and Exchange Board of India (SEBI) regulations. Both stock option schemes had received prior approvals from the BSE Limited and National Stock Exchange of India Limited. The company received intimation of the allotment on December 11, 2025 at 11:44 AM IST.

Market Impact

This allocation represents a measured increase in the total number of outstanding shares. The allotment demonstrates Tech Mahindra's continued commitment to employee engagement through equity participation, a practice that aligns employee interests with shareholder value creation in the competitive IT services sector.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.65%	+0.48%	+8.40%	-4.01%	-11.80%	+73.56%

Tech Mahindra , a leading Indian IT services company, has reported strong financial results for the second quarter of fiscal year 2026, demonstrating resilience and growth across key metrics.

Financial Highlights

Metric	Q2 FY26 Value	Growth/Change
Revenue	$1,586.00 million	1.6% QoQ (CC)
EBIT Margin	12.1%	8 consecutive quarters of improvement
Net New Deal Wins	$816.00 million	57% increase (LTM basis)
Free Cash Flow	$237.00 million	120.8% FCF to PAT ratio (YTD)

The company's performance in Q2 FY26 marks its strongest quarterly growth in 10 quarters, with a 1.6% sequential increase in constant currency terms. This growth was accompanied by a continued expansion in EBIT margin, which reached 12.1%, extending the streak of margin improvement to eight consecutive quarters.

Sector-wise Performance

Tech Mahindra witnessed broad-based growth across several key verticals:

Manufacturing: 5.2% YoY growth
BFSI (Banking, Financial Services, and Insurance): 6.2% YoY growth
Retail, Transport & Logistics: 7.2% YoY growth

The communications vertical, while declining 2.2% year-on-year, maintained stability.

Client Acquisition and Revenue Contribution

The company's strategy to focus on high-value clients has shown positive results:

The $20 million plus client bucket delivered above-company average growth
Contributions from this segment surpassed $1 billion
21 new must-have accounts added in the first two quarters
17 of these new accounts already generating over $1 million in revenue each

Innovation and Recognition

Tech Mahindra continues to invest in cutting-edge technologies:

Launched TechM Orion, an agentic AI platform
Recognized as a leader in Gartner's Gen AI Consulting services quadrant

Shareholder Returns

The Board of Directors has recommended a dividend of Rs. 15.00 per share, demonstrating the company's commitment to delivering value to its shareholders.

Conclusion

Tech Mahindra's Q2 FY26 results reflect a strong performance characterized by revenue growth, margin expansion, and strategic client acquisitions. The company's focus on innovation and its ability to secure significant deal wins position it well for continued growth in the evolving IT services landscape.