Moneycontrol Be a Pro
Get App
Last Updated : Jul 19, 2016 10:53 AM IST | Source: CNBC-TV18

Wipro Q1 $ revenue seen up 2%, may guide 1.5-3.5% growth in Q2

Analysts say growth may be boosted by full quarter integration of Healthplan acquisition and currency tailwinds. According to them, Healthplan can contribute around 200 basis points to topline.


Software services exporter Wipro's first quarter (April-June) IT services revenue may grow 2.28 percent sequentially to USD 1,925 million and rupee revenue may increase 1.1 percent to Rs 12,940 crore, according to average of estimates of analysts polled by CNBC-TV18.


Analysts say growth may be boosted by full quarter integration of Healthplan acquisition and currency tailwinds. According to them, Healthplan can contribute around 200 basis points to topline.


They expect constant currency revenue growth of around 1.7-2 percent for the quarter, which is within the company's guidance of 1-3 percent at USD 1,901-1,939 million.

Close

However, organic growth may be flattish, inline with past record. Traditionally, the June quarter has been a soft quarter for Wipro as constant currency revenue growth rate in Q1FY16 was at 0.2 percent and Q1FY15 at 0.3 percent.


Wipro may guide for 1.5–3.5 percent growth for Q2FY17, which may be included acquisition of Vitoes.


Earnings before interest and tax may fall 4.3 percent quarter-on-quarter to Rs 2,457 crore and margin may contract 105 basis points to 19 percent in Q1 due to wage hike, dilution from HealthPlan and visa costs.


Wipro acquired US-based technology firm Healthplan Services in February for USD 460 million.



The Great Diwali Discount!
Unlock 75% more savings this festive season. Get Moneycontrol Pro for a year for Rs 289 only.
Coupon code: DIWALI. Offer valid till 10th November, 2019 .
First Published on Jul 18, 2016 06:48 pm
Loading...
Sections
Follow us on
Available On
PCI DSS Compliant