Wipro announces Rs 2,667 crore consolidated net profits for Q2

Bengaluru : Leading technology services and consulting company Wipro on Wednesday announced a consolidated net profit of Rs 2,667.3 crore for the quarter ended September 30, 2023, against Rs 2,649 crore in the same quarter last year.

The revenue from operations in the second quarter of the current fiscal stood at Rs 22,515 crores.

“We continue to win in the market despite the uncertain macro environment,” CEO and Managing Director Thierry Delaporte said.

“We ended the second quarter with 22 accounts above the $100M range, which is double the number we had in FY21. Our large deal total contract value reached $1.3 billion—highest in the last nine quarters.”

Chief Financial Officer Aparna C. Iyer said: “Against a challenging environment, we continue to take the bold decisions needed to realise our long-term ambitions.

“We are investing in our technology infrastructure and streamlining our operations and delivery to drive profitable growth. We are training and reskilling our people so they can be ready for an AI-driven future. The investments we made in our ai360 strategy are helping us realise significant efficiencies across our organisation and creating an early leadership position in this fast-evolving space.

“We are confident that these investments will keep us resilient and competitive in an ever shifting business and economic landscape.”

“We remain focused on profitable growth despite a challenging market. Our disciplined approach to improve efficiency, productivity and utilisation has led to an increase of 100 bps YoY in our IT services operating margins. Our absolute IT services segment EBIT grew 6 per cent YoY. We generated strong operating cash flow of 145 per cent of net income for the quarter.”

As per a company statement, IT services segment revenue was at $2,713.3 million, a decrease of 2.3 per cent QoQ, non-GAAP2 constant currency IT services segment revenue decreased 2.0 per cent QoQ, total bookings was at $3.8 billion, up by 6 per cent YoY, and large deal bookings was at $1.3 billion, up by 79 per cent YoY.

IT services segment EBIT for the quarter was Rs 36.1 billion ($434.0 million 1), an increase of 6 per cent YoY.

IT services operating margin for the quarter was at 16.1 per cent, up 10 bps QoQ and 100 bps YoY.

Earnings per share for the quarter was at Rs 5.06 ($0.061), an increase of 4.1 per cent YoY.

“We expect revenue from our IT Services business segment to be in the range of $2,617 million to $2,672 million. This translates to sequential guidance of -3.5 per cent to -1.5 per cent in constant currency terms,” the statement said.