INSUBCONTINENT EXCLUSIVE:
Srini Pallia, CEO and MD, Wipro4 min read Last Updated : Jul 22 2024 | 10:34 AM IST
Shares of Wipro plunged up to 8.79 per cent at Rs
to analysts, Wipro failed to show positive signs of a recovery with miss on revenue growth, muted growth guidance for 2QFY25 and decline in
growth during the quarter was driven by top-25 clients growing by 1.3 per cent, sequentially
Among verticals, BFSI continued its positive momentum with over 0.5 per cent QoQ constant currency (CC) growth, while Energy and Utilities
and Manufacturing declined by 6.3 per cent and 3.0 per cent QoQ CC, respectively, led by certain large project closures.
The management
looks confident of Q2 compared with Q1, and guided for -1 per cent to over 1 per cent IT Services revenue growth in Q2FY25, analysts at
This was driven by improved utilisation, fixed price productivity and optimization of overheads were the key levers in margin
expansion.
Additionally, the management believed that the operational rigour will help it maintain its margins in the near term with an
Sequentially profits were up by 6.2 per cent, surpassing Bloomberg's estimated Rs 2,931 crore.
However, the company's revenue for the
March quarter dipped by 3.79 per cent year-on-year to Rs 21,963.8 crore, disappointing on Bloomberg's estimated Rs 22,237.4 crore
demand muted, it is seeing parts of business recovering in Americas (led by BFSI and Consumer) and Capco (across verticals)
It further said that its deal pipeline remains robust and strong across geographies and verticals, and its focus remains on converting
Nuvama said, adding that they anticipate Wipro to underperform peers while the inexpensive valuation and high dividend yield may limit the
downside potential.
The brokerage further said that while there are some green shoots visible in consulting, BFSI and consumer segments,
the path to industry average growth is a long one
prospects, as analysts at Kotak said that the IT major needs to correct underperformance in several areas to close the gap in growth with
By comparison, the BSE Sensex was up 0.13 per cent at 80,705 levels.First Published: Jul 22 2024 | 10:33 AMIST
