Tech Mahindra Q1 Attrition Slips To 11.8%; IT Headcount Falls Below 75,000

Tech Mahindra Ltd.’s attritution during the three-month period ended June 30, 2026 slipped to 11.8%, according to the disclosure made by the IT major on Thursday. This marks a decline as compared to the attrition rate of 12.1% in the preceding quarter.

The rate of attrition has improved even significantly as compared to the year-ago quarter, when it stood at 12.6%.

In terms of headcount, the overall staff employed by Tech Mahindra fell by 688 employees to 146,760. The IT headcount, comprising of employees linked to the company’s core operations, slipped below 75,000 in the April-June period. The  count in this segment, as of June 30, stood at 74,689, as compared to 75,377 as of March 31.

The overall IT staff count has dwindled by 5,298 employees when compared to the year-ago period. In the year-ago period, the company had employed 79,987 persons in its IT division, the press release showed.

In the business processing services (BPS) segment, Tech Mahindra’s employee count slipped by 250. It stood at 64,080 as of June 30, as compared to 64,330 on March 31. In the sales and support division, the headcount has increased from 7,916 to 7,991.

ALSO READ: Tech Mahindra Q1 Results: Profit Falls Short Of Street Estimates; Revenue Up 4%

TechM Q1FY27 Highlights (Cons, YoY)

• Net profit up 8.2% to Rs 1,465 crore from Rs 1,354 crore (Estimate of Rs 1,607 crore)
• Revenue up 4.2% to Rs 15,712 crore from Rs 15,076 crore (Estimate of Rs 15,422 crore)
• Ebit up 9.2% to Rs 2,264 crore from Rs 2,073 crore (Estimate of Rs 2,168 crore)
• Margin up 70 basis points to 14.4% from 13.7% (Estimate of 14.1%)

Tech Mahindra’s Chief Financial Officer Rohit Anand, in his post-earning remarks, said the company is focussing on margin expansion and disciplined working capital management, which is reflecting in consistent execution and sustained business momentum. “We remain committed to building a future-ready organization through continued investments in differentiated capabilities, domain-specific and sovereign AI, platforms, and talent—while maintaining a clear focus on growth and operational rigor.”

Before the results were declared, shares of Tech Mahindra settled 1.13% at Rs 1,515.6 apiece on the NSE, as compared to a flat close for the Nifty 50.

ALSO READ: Wipro Q1 Results: Net Profit Falls 4.3%, Margins Narrow; Dividend Declared

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