Wipro Quarterly Results: Q2FY23 Earnings ANNOUNCED - Growth of 4.1% QoQ! Check Net Profit, Revenue And HIGHLIGHTS

Wipro Limited Q2 FY23 Financial results announcement: HIGHLIGHTS

Leading technology services and consulting company, Wipro Ltd reported a Net Income of Rs 26.6 billion and Earnings Per Share of Rs 4.86, for the quarter ended September 30, 2022. As per the financial results for Q2 announced on Wednesday, IT Services Segment Revenue was at $2,797.7 million, an increase of 8.4 per cent YoY.

 

Wipro Quarterly Results: Q2FY23 Results - IT Products

Ø IT Products segment revenue for the quarter was ₹1.2 billion ($15.3 million1)

Ø IT Products segment results for the quarter was a loss of ₹0.10 billion ($1.27 million1)

India business from State Run Enterprises (ISRE)

Ø India SRE segment revenue for the quarter was ₹1.6 billion ($19.4 million1)

Ø India SRE segment results for the quarter was a profit of ₹0.15 billion ($1.79 million1)

Wipro Quarterly Results: Q2FY23 Results - Analyst Recognition

Ø Wipro was featured in HFS Top 10: Cybersecurity Service Providers, 2022

Ø Wipro was positioned as a Leader in IDC MarketScape: Worldwide Managed Cloud Security Services in the Multicloud Era 2022 (Doc #US48761022 September 2022)

Ø Wipro was recognized as a Leader in ISG Provider Lens™ Network Software Defined Solutions and Services 2022 - Malaysia & Singapore (all quadrants)

Ø Wipro was named as a Leader in ISG Provider Lens™ Cybersecurity Solutions and Services 2022 – Technical Security Services & Managed Security Services - Singapore & Malaysia

Ø Wipro was named as a Leader in Everest Group’s Digital Workplace Services PEAK Matrix® Assessment 2022 – North America and Europe

Ø Wipro was named as a Leader in Everest Group’s Digital Twin Services, Industry 4.0 Services and Data and Analytics (D&A) Services PEAK Matrix® Assessment 2022

Ø Wipro was recognized as a Leader in Everest Group’s SI Capabilities on AWS and Microsoft Azure PEAK Matrix® Assessment 2022

Ø Wipro was rated as a Leader in Everest Group’s Life Sciences Digital and Financial Crime & Compliance (FCC) Operations Services PEAK Matrix® Assessment 2022

Ø Wipro was recognized as a Leader in Everest Group’s IT Security Services PEAK Matrix® Assessment 2022 – North America and Europe

Ø Wipro was rated as a Leader in Avasant Life Sciences Digital Services 2022-2023 RadarView™

Ø Wipro was featured in HFS Top 10: HCP Service Providers, 2022

Wipro Quarterly Results: Q2FY23 Results - IT Services - Digital services deals

We continue to see increasing traction in digital oriented and other strategic deals as illustrated below:

Ø Designit is supporting one of Europe’s largest home appliances manufacturers to define a brand neutral and sustainable design vision for laundry care. Designit will conceptualize and outline the innovative new machine architecture and sustainable product story, including design of the product, the experience, and relevant digital touchpoints. The visionary washing machine concept will act as a lighthouse and will be setting the direction for future sustainable products in this segment.

Ø A US-based automotive component manufacturer has selected Wipro for the comprehensive development of next generation in-vehicle infotainment applications, cloud enablement, device testing and validation. Wipro will deploy a large team of engineers, in a Center of Excellence model, to significantly improve device and platform integration across multiple vehicle programs.

Ø Wipro has been awarded a contract by a US-based water utilities company to modernize their customer care and billing platform. Through this program, Wipro FullStride Cloud Services will help the client improve its meter-to-cash and field services management capabilities in the cloud.

Ø A global pharmaceutical and medical devices company has selected Wipro to automate their complaint management process leveraging Wipro Digital Operations Platform and Services. Wipro will help the client address complaints related to medical devices from patients, physicians and nurses in a timely manner and ensure compliance to regulatory requirements.

Wipro Quarterly Results: Q2FY23 Results - IT Services – Large deals

Wipro continued its momentum in winning large deals with our customers as described below:

Ø A US-based technology company has selected Wipro as their preferred transformation partner for engineering services to modernize their advertising-technology suite of products as well as the underlying enterprise-wide infrastructure. Wipro will help the customer migrate their workloads to the cloud and provide these services from four global locations in an agile POD-based delivery model.

Ø A global chemicals company has selected Wipro to deliver Service Desk, Field Services and Service Integration & Management for its employees across 63 countries. This strategic partnership will consolidate multiple vendors into one single provider and standardize processes to improve efficiency.

Ø A large, US-based healthcare plan has selected Wipro as its strategic partner to help expand its self-funded small group business. Wipro will be using its proprietary healthcare payer digital platform for processing claims and providing member services, ensuring cost efficiencies.

Ø A global technology company has selected Wipro for the consolidation and transformation of its quality engineering services for their flagship products. Wipro will accelerate the time-to-market and improve overall productivity and ensure the highest standards of excellence.

Ø Wipro has signed a multi-year deal with a large Europe-based facilities management and professional services company. Wipro will help drive automation and digitalisation of business processes to create value for their business.

Wipro Quarterly Results: Q2FY23 Results: Outlook for the Quarter ending December 31, 2022

We expect Revenue from our IT Services business to be in the range of $2,811 million to $2,853 million*. This translates to a sequential growth of 0.5% to 2.0%.

Wipro Quarterly Results: Performance for the Quarter ended September 30, 2022

Thierry Delaporte, CEO and Managing Director, said, “Our strong performance in the quarter is further proof that our strategy is yielding the intended results. The solid growth in our bookings, large deal signings, and revenues underscore our improved market competitiveness and enhanced value proposition.

Our ongoing investments in high-growth strategic areas have allowed us to steadily increase our win rate and enhance the quality of our pipeline. As a result of these efforts and our sharp focus on operational excellence, we are now seeing an improvement in our margins.

We continue to invest in and upskill our talent to stay ahead of our clients’ evolving needs. In the second quarter, we promoted more than 10,000 colleagues and increased salaries across bands. We are pleased to report that we recorded a third consecutive quarter of moderation in attrition.

As the market conditions evolve, I believe our comprehensive portfolio of differentiated offerings position us extremely well to serve the changing needs of our clients and help them face the challenges of an uncertain macro environment with confidence.”

Jatin Dalal, Chief Financial Officer, said, “We achieved margins of 15.1% in Q2 after absorbing the impact of salary increases and promotions. Our margin improvement was led by better price realisations and strong operational improvements in automation-led productivity. Our Operating Cash Flows was robust and at 181% of our Net Income for the year.

Wipro Limited Q2 FY23 Financial results announcement: Highlights of the Results:-

Results for the Quarter ended September 30, 2022:

Ø Gross Revenue was ₹225.4 billion ($2.8 billion1), an increase of 14.6% YoY

Ø IT Services Segment Revenue was at $2,797.7 million, an increase of 8.4% YoY

Ø Non-GAAP2 constant currency IT Services segment revenue increased by 4.1% QoQ and 12.9% YoY

Ø IT Services Operating Margin3 for the quarter was at 15.1%, an increase of 16 bps QoQ

Ø Net Income for the quarter was ₹26.6 billion ($326.8 million1) and Earnings Per Share for the quarter was at ₹4.86 ($0.061)

Ø Operating Cash Flows at 180.6% of Net Income for the quarter was at ₹48.0 billion ($590.0 million1), an increase of 101.0% YoY

Ø Our closing employee count in IT Services increased to 259,179

Ø Voluntary attrition4 measured in trailing twelve months for the quarter was at 23.0%, a moderation of 30 bps from the previous quarter

Ø Our top 5 clients grew 19% YoY and top 10 clients grew 17% YoY in constant currency terms

Wipro Limited (NYSE: WIT, BSE: 507685, NSE: WIPRO) has announced financial results under International Financial Reporting Standards (IFRS) for the quarter ended September 30, 2022.

Wipro said earnings from its clients in non-US markets fell in the second quarter. Earnings from Europe dropped to Rs 787.5 crore, from Rs 918.6 crore a year back. Similarly, the Asia Pacific/Middle East/Africa (APMEA) region saw lower earnings of Rs 219.4 crore, as compared to Rs 302.8 crore last year.

Revenues rose to Rs 22,539.7 crore in the quarter under review, from Rs 19,667.4 crore a year-ago.

 

The company reported a net profit of Rs 2,649.1 crore in July-September quarter, compared to Rs 2,930.6 crore in the same period a year back, the company said in a statement.

 

Wipro Ltd on Wednesday reported a 9.6 per cent drop in its net profit in the second quarter, on lower earnings from clients in non-US markets.

Outlook for the Quarter ending December 31, 2022: Wipro said it expects Revenue from IT Services business to be in the range of $2,811 million to $2,853
million. Which translates to a sequential growth of 0.5% to 2.0%.