Edited By: Mohammad Haris
Last Updated: January 13, 2023, 16:35 IST
IT major Wipro Ltd on Friday reported a 2.8 per cent year-on-year growth in its consolidated net profit to about Rs 3,050 crore for the December 2022 quarter (Q3FY23). Its revenue during October-December 2022 grew 14.4 per cent to Rs 23,230 crore.
Wipro’s operating cash flows at 142.5 per cent of net income for the December 2022 quarter was at Rs 4,350 crore, an increase of 44.7 per cent YoY.
Wipro on Friday also declared an `interim dividend of Rs 1 per equity share, according to a BSE filing.
The company’s voluntary attrition during the December 2022 quarter (Q3) moderated 180 bps from the previous quarter, landing at 21.2 per cent for the trailing twelve months for the quarter. Top-5 clients grew 15.7 per cent YoY and top-10 clients grew 14.7 per cent YoY in constant currency terms, underscoring deepening relationships with top strategic clients.
On the outlook for the March 2023 quarter, Wipro said, “We expect revenue from our IT services business for the full year to be in the range of 11.5 per cent to 12 per cent, in constant currency terms.”
Thierry Delaporte, CEO and Managing Director, said, “I am pleased to report that we have delivered another quarter of double-digit revenue growth. Our Total Bookings were over $4.3 billion, led by solid large deal signings of over $1 billion. We improved our margins by 120 basis points and our attrition moderated for the fourth quarter in a row. We are continuing to gain market share as a result of deepening client relationships and higher win rates.”
He added that clients are turning to us to help them manage an evolving macro environment and balance their transformation goals with cost optimization. Our ability to deliver on client objectives regardless of where they are in their cloud journeys is positioning us favourably in a consolidating market.
Jatin Dalal, chief financial officer of Wipro, said, “Our operating margins are now at 16.3 per cent, which is an expansion of 120 basis points from last quarter. 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.”
He added that margin growth was led by strong operational improvements and automation-led efficiencies. Wipro generated strong operating cash flows at 143 per cent of the company’s net income for the quarter and our EPS increased by 14.6 per cent quarter-over-quarter.
“Non-GAAP constant currency IT services segment revenue was up by 0.6 per cent QoQ and 10.4 per cent YoY. IT services operating margin for the quarter was at 16.3 per cent, an increase of 120 bps QoQ,” Wipro said.
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