“BT revenue growth was flat as some projects came to an end while some are in transition. Overall, BT is doing well,” said Mr C.P. Gurnani, President, Tech Mahindra. BT accounted for 60 per cent of Tech Mahindra’s revenues, down from 63 per cent in the June quarter.

Admitting a slowdown in discretionary IT spends of BT, Mr Gurnani said “the telecom sector cannot remain insulated when the market is so tough”. Tech Mahindra earned $32 million from the Barcelona contract, its first billion- dollar deal from BT.

Non-BT revenues grew by 11 per cent in rupee terms and six per cent in dollar terms over the previous quarter with growth coming mainly from countries such as West Asia, Africa, India and Africa.

Shares of Tech Mahindra ended 11 per cent higher to close at Rs 413.10 on the BSE, where the benchmark Sensex ended 4.3 per cent higher. Stating that the company would look at growth from emerging markets such as West Asia, Africa and Asia, Mr Gurnani said Tech Mahindra as part of its long-term strategy would focus on converting IT contracts into long-term deals.