Japanese Giant Toshiba to lay off about 7% of workforce

Brokerage YES Securities maintained an 'Add' call on Wipro with a price target of Rs 625, indicating an upside of 8.69% from the current market price.

Wipro on Thursday posted 0.14% quarter on quarter growth in consolidated net profit (attributable to shareholders) at Rs 2,972.30 crore for the quarter ended March 31. The figures stood at Rs 2968 crore in the preceding quarter ended December 31. Net profit of the company increased by 27.78% on year-on-year basis.

On the other hand, consolidated revenue increased by 3.67% QoQ to Rs 16,245 crore during the quarter under review. The company announced its results post market hours. Earlier during the day, the scrip closed 2.95% higher at Rs 431.

Jatin Dalal, Chief Financial Officer, Wipro said, “We delivered a 340 basis points expansion YoY in operating margins for the quarter after absorbing the impact of the wage hike. On a full-year basis, we increased margins by 220 bps with a consistent improvement in operating metrics. Led by disciplined execution, we generated strong operating cash flows at 136.7% of our net income for the full year. We successfully completed the share buyback program returning $1.3 billion to our shareholders.”

Going ahead, the company expects revenue from our IT services business to be in the range of $2,195 million to $2,238 million. This translates to a sequential growth of 2% to 4%. This does not include revenue from Wipro’s recently announced acquisitions of Capco and Ampion.

Thierry Delaporte, CEO and Managing Director, Wipro said, “We delivered a third consistent quarter of strong revenue growth, deal wins and operating margins. We also announced our largest-ever acquisition of Capco that will bolster our global financial services sector. We are excited with this wave of business momentum that we are witnessing. All key markets are now growing on YoY basis and this provides us a solid foundation to build on next year growth rates.”