Tech Mahindra looks at 5G global growth as a huge opportunity

Tech Tech Mahindra, the world's fifth largest tech company, is looking at the upcoming 5G rollouts on world markets as a great opportunity and is in the right track of its communications vertically to achieve "gradual growth" from now on,

In recent times, communications, which traditionally formed the company's backbone, had achieved mixed results due to the difficulties faced by the industry around the world, but the company surprised a 4% increase in revenue in the quarter of September compared to the three previous months.

"From the telecommunications side, our view is that from now on there will be gradual growth, the course is right and we should be able to maintain it," said C P Gurnani, general manager and CEO.

However, it has made it clear that a 4% increase on a quarterly basis is not possible.

Vertical communication accounted for 41.5 per cent of Rs revenue of 8,629 crore in the September quarter. The sector's revenue share stood at 45.2% in the first quarter of 2008, which declined steadily to 39.6% in the first quarter of 2009, before rising.

Gurnani singled out the upcoming 5G technologies as an opportunity for company growth, saying that many countries have spread spectrum to the latest technology in telcos.

He said the ability to offer virtualization is a power TechM has in the field and will bid for upcoming contracts.

When asked about the domestic telecoms business, Gurnani said that all companies have invested in spectrum and will look at the monetization of their investments at some point, but refused to set a perspective.

Although he did not want to give guidance on raising revenue, Gurnani said the company has pledged to grow to 8-10% per year.

Chief Operating Officer L Ravichandran said the lease had not increased due to increased revenue due to greater automation and added that most of the recent recruitment was fresh.

The company has leased 3,000 in the first half of the tax, including 2,200 in the first quarter, he said, adding that he wants to hire more people.

The company is working on ways to improve margins, including automation, increasing use, more training efforts so that workers can start working quickly on projects and strive for the right business mix.