BENGALURU: Wipro beat Street estimates and posted a 4.6% rise in its consolidated net profit for the June quarter at Rs 3,003 crore as against Rs 2,870 crore in the year-ago period.
However, it missed revenue expectations and its consolidated revenue fell 3.7% to Rs 21,964 crore as against Rs 22,831 crore in the same quarter last year due to softness in certain geographies. Srini Pallia, CEO and MD, said in the first quarter, the company didn’t see a major shift in demand environment. “Clients remained cautious and discretionary spending continued to be muted,” he said.
Large deal bookings in the first quarter stood at $1.2 billion and IT services operating margin was at 16.5%, a rise of 0.4% YoY. Wipro has guided sequential revenue growth in the range of (-)1% to + 1% in constant currency terms. The company had kept the revenue guidance to (-) 1.5% to + 0.5% for Q1FY25.
When asked whether Wipro is planning for any acquisition in FY25, the CEO said, “M&A (mergers and acquisitions) is something that we will constantly look out and we will do the right M&A at the right time. That’s part of the strategy and we have a solid M&A team and as an organisation we have been acquisitive and we will continue to do that.”
Pallia said in Q1 the company maintained positive momentum in its Capco business, achieving a sequential growth of 3.4%. The company acquired Capco, a global management and tech consultancy to the banking and financial services industry, for $ 1.45 billion in 2021.
After a break of a year the company has started on boarding freshers from the campus. The company’s Chief Human Resources Officer Saurabh Govil said the firm has onboarded about 3,000 freshers in the first quarter and will add 10,000 to 12,000 in the current fiscal.
Large deal at $1.2 bn in Q1
Large deal bookings in Q1 stood at $1.2 bn and IT services operating margin was at 16.5%, a rise of 0.4% YoY. Wipro has guided sequential revenue growth in the range of (-)1% to + 1% in constant currency terms.