Wipro’s net profit grows by 21% in Q2

IT services firm Wipro registered a 21.2% year-on-year increase in net profit. It rose from ₹2,646.3 crore to ₹3,208.8 crore. On the gross revenue front, the Bengaluru-headquartered firm reported an increase on a quarter-on-quarter basis (1.5%) but dropped by a percent on yearly basis. 

“On the back of operational improvements, we further expanded our margins by 35 basis points and our EPS grew 6.8% QoQ. Our operating cash flow continues to be robust at 132.3% of net income in Q2. As a result, cumulatively in the first half of this year we generated nearly $1B in operating cash flow,” said Aparna Iyer, Chief Financial Officer.

In this quarter, the company grew in banking, financial services and insurance (BFSI), Consumer and Technology and Communications sectors. The IT services segment revenue increased by 1.3% sequentially; the revenue from this business segment is expected to be in the range of $2,607 million to $2,660 million. Large deal bookings stood at $1,489 million, an increase of 28.8% QoQ and 16.8% YoY in constant currency.

“Based on strong execution in Q2, we met our expectations for revenue growth, bookings, and margins. We continued to expand our top accounts, large deal bookings surpassed $1 Bn once again, and Capco maintained its momentum for another consecutive quarter,” said Srini Pallia, CEO and Managing Director. We will continue to invest in our clients, our strategic priorities, and building a strong artificial intelligence (AI)-powered Wipro.

On the headcount front, Wipro added 978 employees in the quarter ending September 30. This is the second consecutive quarter in terms of headcount growth.