Wipro Q3 Results: Profit rise nearly 21% on deal wins, revenue up 1.3%

Bengaluru: Wipro Ltd.’s third-quarter financial results beat analyst estimates as the IT firm’s business grew across verticals and geographies.

The company closed its
first billion-dollar deal under CEO Thierry Delaporte in the seasonally weak quarter, underscoring the deal activity being seen post pandemic-induced lockdowns.

Wipro’s net profit rose 20.8% quarter-on-quarter to Rs 2,970 crore in the December quarter on the back of revenue that increased 1.3% sequentially to Rs 15,670 crore. In dollar terms, the revenue grew 3.7% over the previous three months. That’s more the 1.5%-3.5% growth the company had previously guided for.

The software services exporter has maintained its revenue growth guidance at 1.5%-3.5% for the fourth quarter of the ongoing fiscal.

Wipro’s Q3 results came two days after larger rival Tata Consultancy Services Ltd. (TCS) said it is confident of double-digit growth in FY22 on the back of overall recovery in demand. India’s largest IT services firm
has reported industry-beating growth in the quarter ended 31 December.

Wipro, meanwhile, restructured its operating model during the third quarter — tasking key senior executives to own responsibility for key geographies and financials — and stepped up focus on business outside of the United States. The company has realigned its markets into four strategic units: Americas 1, Americas 2, Europe and Asia Pacific Middle East Africa (APMEA), which covers India.

On Wednesday, Wipro shares rose 0.23% to Rs 458.75 apiece on the Bombay Stock Exchange even as the benchmark Sensex ended the day 0.0% lower at 49,492.32 points. The quarterly results were declared after market hours.