Wipro on January 13 reported a 2.82 percent growth in its consolidated net profit for the quarter ended December 2022 (Q3FY23) at Rs 3,052.9 crore as against Rs 2,969 crore recorded a year ago.
Its consolidated revenue from operations stood at Rs 23,229 crore, up 14.35 percent against Rs 20,313.6 crore in the corresponding quarter last year, Wipro said in an exchange filing.
According to a poll of brokerages, consolidated revenue was expected at Rs 23,436 crore, registering 14.7 percent year-on-year (YoY) growth, while consolidated profit after tax was estimated to be flat at Rs 2,952 crore. These numbers indicated likely sequential growth of 3.5 percent for revenue and 11 percent for net profit.
The company announced an interim dividend of Rs 1 per share. Wipro has set January 25, 2023, as the record date. The payment will be made on or before February 10, 2023.
Constant currency IT Services segment revenue was up by 0.6 percent sequentially and 10.4 percent year-on-year (YoY). IT Services' operating margin for the quarter was at 16.3 percent, an increase of 120 basis points sequentially.
"This expansion of margins was after absorbing the investments we made in our people by way of salary increases, promotions and long-term incentives for our senior leadership," said Jatin Dalal, Chief Financial Officer, Wipro. "Margin growth was led by strong operational improvements and automation-led efficiencies."
Dalal also highlighted that the company generated "strong" operating cash flows at 143 percent of its net income for the quarter and its EPS increased by 14.6 percent quarter-over-quarter.
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The company said total bookings during the quarter were up by 26 percent and large deal bookings were up by 69 percent YoY.
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“Our total bookings were over $4.3 billion, led by solid large deal signings of over $1 billion,” said Thierry Delaporte, CEO and Managing Director, Wipro. “We are continuing to gain market share as a result of deepening client relationships and higher win rates.”
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Wipro outlining its guidance for FY23 said it expects revenue growth from the IT Services business for the full year to be in the range of 11.5-12 percent, in constant currency terms. This translates into a growth rate of negative 0.6 percent to positive 1 percent sequentially in constant currency terms for the quarter ending March 31, 2023.
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