Wipro Q1 net profit dips 21 per cent to Rs 2,563 crore

Bengaluru (Karnataka) [India], July 20 : IT firm Wipro Limited on Wednesday reported a consolidated net profit of Rs 2,563.6 crore for the quarter ended June 30 as against Rs 3,242.6 crore recorded in the corresponding period of the last year, registering a year-on-year decline of 20.93 per cent.
The company's consolidated revenue rose by 15.51 per cent year-on-year to Rs 22,001 crore for the first quarter of the current financial year as compared to Rs 19,045 crore recorded in the corresponding period of 2021-22.
On a sequential basis, the company's net profit fell by 16.96 per cent during the April-June 2022 period while revenue rose by 2.98 per cent.
"We have made significant investments in Wipro's growth engine and are very pleased with the outcomes. Our order bookings grew 32 per cent YoY in Total Contract Value terms, powered by large transformational deals, and our pipeline today is at an all-time high," Thierry Delaporte, CEO and Managing Director, Wipro Limited, said in a statement.
"We continue to reinforce the investments that allow us to grow our business, remain agile in the market and efficient as an organisation, while staying focused on serving our clients even better," Delaporte said.
Jatin Dalal, Chief Financial Officer, Wipro Limited, said, "We are consistently investing in solutions and capabilities for our growth to further strengthen our position of being a strategic partner for our clients. At 15 per cent of operating margins, we believe that we have bottomed out."
On outlook for the quarter ending September 30, 2022, Wipro said, "We expect Revenue from our IT Services business to be in the range of $2,817 million to $2,872 million. This translates to a sequential growth of 3 per cent to 5 per cent."
On business deals, the company said, "a large, US-based healthcare company has selected Wipro for the consolidation and transformation of its Commercial Claims Operations. This strategic partnership will provide the client with significant savings through best-in-class execution, transformation, process remodelling, and automation."
Wipro has entered a five-year engagement with Insignia Financial Limited, an ASX-listed Top 200 company and one of Australia's leading financial services providers. Through this partnership, Wipro and Insignia Financial will focus on delivering innovative solutions, including efficient processes around technology and operations capabilities, superior end customer outcomes as well as cost optimisation.
Wipro has won a multi-year engagement with a global communications agency to build their future model for ERP and digitization. Wipro's delivery centres in UK and India will build and scale operations to enhance the company's capacity.