Wipro’s Q3 net profit rises 4.5 pc to Rs 3,254 crore

Bengaluru, Jan 17 IT software major Wipro Ltd reported a 4.5 per cent sequential increase in consolidated net profit to Rs 3,354 crore for the October-December quarter of the current financial year compared to the preceding quarter.

The company has declared an interim dividend of Rs 6 per share.

The total revenue of the company remained flat at Rs 22,319 crore during the third quarter while the IT services revenue for the quarter declined 1.2 per cent sequentially to $2.63 billion.

Wipro’s operating margin improved by 0.7 per cent to a 3-year high of 17.5 per cent. The company also recorded a decline in its voluntary attrition rate to 15.3 per cent on a trailing 12-month basis, reflecting better employee retention.

The IT major’s large deal bookings rose 6 per cent year-on-year to $961 million. The new deals bagged by the company were healthcare, financial services, media, and telecommunications. One major deal involved partnering with a US-based health insurer to implement AI-powered platforms aimed at improving operational efficiency and customer experience. Another notable win saw Wipro transform the core banking system of an Indian private bank, leveraging its expertise to build a scalable digital platform.

Wipro is upbeat on its outlook ahead with a projected IT services revenue for the March quarter in the range of $2,602-2,655 million, which works out to a sequential change of (-)1 per cent to 1 per cent in constant currency terms.

Wipro CEO Srini Pallia said the company’s strong in-quarter execution allowed it to surpass revenue guidance in a seasonally weak quarter. The company also achieved its highest margins in three years while continuing to invest in its workforce and innovation.