Wipro clocks 27% jump in quarterly net profit to Rs 2,010 cr
18 Jan 2014 6:08 AM IST
The firm's revenues rose by 18 per cent to Rs 11,330 crore in the October-December quarter of this fiscal compared to the year-ago period, it said in a release.
‘Revenues from continuing operations were Rs 113.3 billion ($1.8 billion), an increase of 18 per cent year-on-year,’ Wipro said.
The company added its net profit of Rs 2,010 crore ($325 million) also includes a non-recurring expense incurred due to the cessation of manufacturing Wipro branded desktop, laptops and servers.
Commenting on the performance, Wipro Chairman Azim Premji said: ‘As the global economy is progressing towards stability, we see optimism amongst clients, especially in the West.’
Corporations are leveraging technology to reduce operational costs and investing resources in differentiating themselves in the marketplace, he added. Wipro's IT services revenue stood at $1.68 billion, a y-o-y increase of 6.4 per cent. ‘During the quarter, our global infrastructure services business grew strongly on revenues,’ Wipro Chief Executive Officer (CEO) T K Kurien said.
The company added 42 new customers during the third quarter. Its IT services segment had 146,402 employees as of 31 December, 2013. On revenue guidance, Wipro said it expects revenues in the January-March quarter of 2013-14 fiscal to be in the range of $1.71-1.75 billion.
On the trends in IT sector, Premji said: ‘Corporations are leveraging technology to reduce operational costs and investing resources in differentiating themselves in the marketplace.’
The firm's IT service revenues in rupee terms rose by 20 per cent year-on-year to Rs 10,330 crore in the third quarter. ‘Our focus on account management has yielded encouraging results. We continue to execute to our strategy for superior engagement with clients while investing in emerging technologies to drive towards a higher growth trajectory,’ Kurien said.
Wipro CFO Suresh Senapaty said the company's strategy of 'standardisation at the core' is yielding results.
‘Our investments in automation and productivity tools have driven efficiencies and helped us expand margins of IT Services by 54 basis points to 23 per cent,’ he added.
Wipro's IT products segment delivered revenues of Rs 1,020 crore ($164 million) for the third quarter, a year-on-year increase of 2 per cent.
The company's shares declined by 3.15 per cent to settle at Rs 552.45 apiece from its previous BSE close. However, the results were announced after markets closed for the day.
Sensex dips by 202 as TCS shaves off 92 pts
Mumbai: The benchmark Sensex on Friday plunged 202 points, dragged down by TCS, after robust earnings at the country's largest software services exporter failed to enthuse investors.
TCS contributed about 92 points to the drop in the Sensex, while ICICI Bank, HDFC Bank and Axis Bank also pulled it lower. Wipro and HDFC were among the 18 Sensex stocks that fell.
Reliance Industries gave up gains of as much as 1.3 per cent to end 0.07 per cent lower ahead of its earnings announcement.
The 30-share S&P BSE Sensex hovered in negative terrain for most of the day before closing down 201.56 points, or 0.95 per cent, at 21,063.62. Over the past five days, however, the index added 305 points, the biggest gain in four weeks. The 50-share CNX Nifty on the National Stock Exchange dipped by 57.25 points, or 0.91 per cent, to 6,261.65. Tata Consultancy Services late on Thursday declared a 50.3 per cent jump in December quarter net profit. The company does not expect the domestic market to turn around before the September 2014 quarter because of the general elections.
‘TCS was also down by over 5 per cent post its Q3 results as despite good results, its margins were lower quarter on quarter basis,’ said Rakesh Goyal, Senior Vice President at Bonanza Portfolio Ltd. ‘Telecom stocks continued the selling pressure from last trading day and traded weak.’
‘Indian markets ended the day on a weak note owing to decline in IT and banking majors led by TCS, HDFC and ICICI Bank. Markets also tracked the weak Asian markets, where apart from Hang Seng and Straits Times, other indices closed lower,’ said Jignesh Chaudhary, Head of Research at Veracity Broking Services. Asian stocks showed a mixed trend as US bank earnings disappointed and investors waited for Chinese economic data due next week. European stocks were higher in early trade as investors awaited reports on US housing starts and industrial output.
‘Revenues from continuing operations were Rs 113.3 billion ($1.8 billion), an increase of 18 per cent year-on-year,’ Wipro said.
The company added its net profit of Rs 2,010 crore ($325 million) also includes a non-recurring expense incurred due to the cessation of manufacturing Wipro branded desktop, laptops and servers.
Commenting on the performance, Wipro Chairman Azim Premji said: ‘As the global economy is progressing towards stability, we see optimism amongst clients, especially in the West.’
Corporations are leveraging technology to reduce operational costs and investing resources in differentiating themselves in the marketplace, he added. Wipro's IT services revenue stood at $1.68 billion, a y-o-y increase of 6.4 per cent. ‘During the quarter, our global infrastructure services business grew strongly on revenues,’ Wipro Chief Executive Officer (CEO) T K Kurien said.
The company added 42 new customers during the third quarter. Its IT services segment had 146,402 employees as of 31 December, 2013. On revenue guidance, Wipro said it expects revenues in the January-March quarter of 2013-14 fiscal to be in the range of $1.71-1.75 billion.
On the trends in IT sector, Premji said: ‘Corporations are leveraging technology to reduce operational costs and investing resources in differentiating themselves in the marketplace.’
The firm's IT service revenues in rupee terms rose by 20 per cent year-on-year to Rs 10,330 crore in the third quarter. ‘Our focus on account management has yielded encouraging results. We continue to execute to our strategy for superior engagement with clients while investing in emerging technologies to drive towards a higher growth trajectory,’ Kurien said.
Wipro CFO Suresh Senapaty said the company's strategy of 'standardisation at the core' is yielding results.
‘Our investments in automation and productivity tools have driven efficiencies and helped us expand margins of IT Services by 54 basis points to 23 per cent,’ he added.
Wipro's IT products segment delivered revenues of Rs 1,020 crore ($164 million) for the third quarter, a year-on-year increase of 2 per cent.
The company's shares declined by 3.15 per cent to settle at Rs 552.45 apiece from its previous BSE close. However, the results were announced after markets closed for the day.
Sensex dips by 202 as TCS shaves off 92 pts
Mumbai: The benchmark Sensex on Friday plunged 202 points, dragged down by TCS, after robust earnings at the country's largest software services exporter failed to enthuse investors.
TCS contributed about 92 points to the drop in the Sensex, while ICICI Bank, HDFC Bank and Axis Bank also pulled it lower. Wipro and HDFC were among the 18 Sensex stocks that fell.
Reliance Industries gave up gains of as much as 1.3 per cent to end 0.07 per cent lower ahead of its earnings announcement.
The 30-share S&P BSE Sensex hovered in negative terrain for most of the day before closing down 201.56 points, or 0.95 per cent, at 21,063.62. Over the past five days, however, the index added 305 points, the biggest gain in four weeks. The 50-share CNX Nifty on the National Stock Exchange dipped by 57.25 points, or 0.91 per cent, to 6,261.65. Tata Consultancy Services late on Thursday declared a 50.3 per cent jump in December quarter net profit. The company does not expect the domestic market to turn around before the September 2014 quarter because of the general elections.
‘TCS was also down by over 5 per cent post its Q3 results as despite good results, its margins were lower quarter on quarter basis,’ said Rakesh Goyal, Senior Vice President at Bonanza Portfolio Ltd. ‘Telecom stocks continued the selling pressure from last trading day and traded weak.’
‘Indian markets ended the day on a weak note owing to decline in IT and banking majors led by TCS, HDFC and ICICI Bank. Markets also tracked the weak Asian markets, where apart from Hang Seng and Straits Times, other indices closed lower,’ said Jignesh Chaudhary, Head of Research at Veracity Broking Services. Asian stocks showed a mixed trend as US bank earnings disappointed and investors waited for Chinese economic data due next week. European stocks were higher in early trade as investors awaited reports on US housing starts and industrial output.
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