IT major Wipro on Friday reported 20.77 per cent growth in consolidated net profit at Rs. 1,209 crore for the fourth quarter ended March, compared to the same period last year.
Net income from sales rose to Rs. 6,982 crore for the quarter ended March 31, 2010, from Rs. 6,451.4 crore in the same quarter previous fiscal, Wipro said in a filing to the Bombay Stock Exchange.
The company announced a bonus issue in 2:3 ratio, or two equity shares of face value of Rs. 2 each for every three held. The proposal is subject to shareholders’ approval.
In addition, a dividend of Rs. 6 per share on the face value of Rs. 2 each to shareholdeRs. has also been announced.
“We have seen another strong quarter of broad based, volume led growth. We saw good recovery in our challenged verticals of technology and telecom. The business environment is returning to normal,” Wipro Chairman Azim Premji said.
For the year ended March 31, 2010, the company posted a consolidated net profit of Rs. 4,593 crore, up 18.49 from a year ago.
On the outlook front, Mr. Premji added that for the quarter ending June 30, 2010, the company expects revenues from IT services business to be in the range of $1,190 million to $1,215 million.
“We had a satisfying quarter. We delivered close to the upper end of our guidance with revenues of $1,180 million in constant currency. We have driven up margins by 60 basis points despite headwinds of wage increases, rupee appreciation and the impact of cross currency,” Wipro Executive Director & CFO Suresh Senapaty said.
On a standalone basis, the company reported a growth of 46.85 per cent in net profit at Rs. 1,236 crore for the fourth quarter.
Revenues from IT services in constant currency was $1,180 million, with a sequential increase of 4.7 per cent. On a year-on-year basis, the constant currency revenue increase was 7.8 per cent.
The company’s IT services during the quarter added 27 new clients and for the whole year, the company added 121 new clients.
The company during the quarter made a net addition of 5,325 employees, taking its headcount to 1,08,071.
Shares of Wipro were trading at Rs. 724 on BSE, up 2.99 per cent from previous close.
