Wipro, one of the leading software exporters, on January 13 reported a 20.8% rise in consolidated net profit for the quarter ended Dec. 31, 2020. The company has earned Rs. 29,667 million in the quarter, compared with Rs. 24,558 million for the same quarter last year.
Revenue for the quarter rose 1.3% to Rs 1,56,700 million compared with Rs 1,54,705 million in the corresponding quarter last year. It was up 3.7% on sequential basis.
The IT firm said revenue for the IT services segment stood at USD 2,071 million in dollar terms, a sequential growth of 3.9%. This revenue growth was highest for the company in 36 quarters.
Wipro’s constant currency revenue growth for the quarter came at 3.4%.Operating margin for the quarter came in at 21.7%, up 329 basis points YoY and 243 basis points sequentially. Earnings Per Share for the quarter was at Rs 5.21, an increase of 20.7% YoY.
For the March quarter, the firm expects the revenue from IT Services business to be in the range of USD 2,102 million to USD 2,143 million.
The company hired about 14,000 employees during the quarter, which includes onboarding of more than 2,900 freshers.
Wipro board declared an interim dividend of Re 1 a share.
Commenting on the earnings, Thierry Delaporte, CEO and Managing Director said, “Wipro has delivered a second consecutive quarter of strong performance on order booking, revenue and margins. Five of our sectors grew over 4% sequentially. We closed our largest ever deal win in Continental Europe. The demand environment is steadily improving, especially for digital transformation, digital operations, and cloud services. I am also pleased to share with you that we have moved into our new organisation structure and are and are stabilising quickly.”
Jatin Dalal, Chief Financial Officer said, “Our margins are now at a 22 quarters high. The expansion was led by improved revenue growth trajectory and excellence in operations with several metrics at an all-time high. Our Operating Cash Flows grew by 45% YoY with a significant improvement in outstanding receivables.”
Shares of the company gained Rs 1.05, or 0.23%, to settle at Rs 458.75. The total volume of shares traded was 1,546,583 at the BSE (Wednesday).
