IT services player Wipro Ltd on Thursday reported 1% year-on-year (YoY) growth in its consolidated net profit at Rs 3,352 crore in the June quarter, compared with Rs 3,330 crore in the same period last year. Along with the earnings, the company’s board also approved an interim dividend of Rs 2 per share.
Revenue from operations rose 11% YoY to Rs 24,479 crore in the first quarter. The same stood at Rs 22,135 crore in the last year's quarter.
The company maintained a cautious outlook for the September quarter, guiding for IT services revenue to range between a 1.5% decline and a 0.5% increase in constant currency.
The company’s core IT services business generated revenue of $2.61 billion, down 1.4% sequentially but up 1% from a year ago. In constant currency terms, IT services revenue declined 1.2% quarter-on-quarter and increased 0.9% YoY.
Operating margin for the IT services business came in at 16%, contracting 130 basis points sequentially and 120 basis points YoY.
Despite the softer revenue performance, Wipro reported total bookings of $3.37 billion, although this was down 2.4% sequentially in constant currency. Large deal bookings remained resilient at $1.63 billion, rising 12.9% sequentially in constant currency.
For the September quarter, Wipro expects IT services revenue in the range of $2.574 billion to $2.627 billion, implying constant currency growth of -1.5% to +0.5% sequentially.
CEO and MD Srini Pallia said clients are increasingly moving beyond technology modernisation to AI-led operating models.
“Clients are moving beyond technology modernisation to AI-enabled operating models that improve quality, resilience, and productivity. Wipro’s consulting-led, AI-powered approach helps clients embed AI at the core of their business,” Pallia said.
Operating cash flow stood at Rs 3,290 crore, equivalent to 98% of net income, while voluntary attrition over the trailing 12 months was 13.9%.
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