Tech Mahindra profit drops by 12 per cent

New Delhi: Shares of IT firm Tech Mahindra today dropped nearly 12 per cent, eroding Rs 4,849.8 crore from its market valuation, after the company reported a 31 per cent decline in consolidated net profit for the March quarter of last fiscal.

The stock plummeted 11.66 per cent to close at Rs 379.30 on BSE. During the day, it plunged 16.71 per cent to Rs 357.60 -- its 52-week low. On NSE, it tumbled 11.58 per cent to end at Rs 379.45.

Following the sharp sell-off in the stock, the company's market valuation also declined by Rs 4,849.8 crore to Rs 36,972.20 crore. On the volume front, 21.31 lakh shares of the company were traded on BSE and over one crore shares changed hands at NSE during the day.

Tech Mahindra on Friday reported a 31 per cent decline in its consolidated net profit to Rs 588 crore for the fourth quarter ended March 2017.

The company had posted a net profit of Rs 854.8 crore in the same period a year ago. Consolidated revenue of Tech Mahindra increased by 8.8 per cent to Rs 7,495 crore in the reported quarter, from Rs 6,883.8 crore in the same period of 2015-16.