Wipro remains bullish on five-point strategy for growth revival

IT services firm Wipro reported a net profit growth of 5.9% sequentially and 4.6% on a yearly basis. On the gross revenue front, the Bengaluru-headquartered firm reported a decrease on both quarter-on-quarter (1.1%) and yearly basis (3.8%). The company announced a guidance of -1.0% to +1.0%.

During the Q1FY25 result announcement and the subsequent media round, chief executive officer Srini Pallia reiterated the company’s emphasis on the five-point strategy that he announced during his maiden financial report presentation in April. He said that Wipro is focused on accelerating large deal momentum. 

“We recorded another quarter of total large deal bookings over $1 billion, with our largest win in the recent years. Our top accounts continued to grow, accompanied by a growth in Americas1 SMU, banking, financial services and insurance (BFSI), and Consumer sectors. We are pleased with the momentum we have built in Q1 across industries and sectors and confident in our ability to execute better on bookings and profitable growth as we transition to Q2,” he said. 

Notably, the major deal win for the quarter was its $500 million worth of deal from a leading US communications services provider. This is a five-year contract to provide managed services for select products and industry-specific solutions. 

Like its peers Tata Consultancy Services and Infosys, Wipro drove growth from the financial services sectors, it grew from 33.5% in the last quarter to 34% in Q1FY25. That said, revenue from the health, energy, and manufacturing sectors degrew.

On the artificial intelligence (AI) front, the company spokesperson said that Wipro is incorporating the technology into its processes. “We continue to build on our ai360 strategy and preparing our workforce for an AI-first future,” Pallia said. In addition, the company has also ramped up upskilling core and emerging technologies, with employees undergoing both basic and advanced level trainings.