Wipro’s third-quarter net profit rose 31.8% to ₹19,301 million year-on-year as its revenue from banking, financial services and insurance increased by 24.7%.
India’s third largest software exporter’s revenue rose 10.1% to ₹150,595 million for the period compared to the same period a year earlier, according to a company statement. Revenue from BFSI sector rose to ₹45,979 million compared to ₹36,849 million a year earlier.
The Bengaluru-based company declared an interim dividend of ₹1 ($0.011 ) per equity share/ADS and the Board of Directors recommended issue of bonus shares to shareholders (including stock dividend to ADS holders) in the ratio of 1:3, one equity share for every three equity shares held.
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The company expects revenue from IT Services business in the next quarter ending March 31 to be in the range of $2,047 million to $2,088 million.
“Our strategic investments, backed by strong client relationships and client spends towards enterprise modernisation and digital transformation have enabled us to deliver a very satisfying quarter,” said Abidali Neemuchwala, CEO and executive director.
“Technology had a muted impacted by furloughs, but the outlook remains stable. The demand environment in the global markets is stable, We do not see any immediate impact of the macro headwind that some of the large economies have cautioned. But we continue to remain watchful. The traction in the U.S and the Asia Pacific and other emerging markets remains healthy and the growth in the quarter is across the industry segments. India is likely to remain volatile,” he said.
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Jatin Dalal, Chief Financial Officer said: “Relentless focus on the quality of revenues and operational improvements have led to the expansion of IT Services operating margins to 19.8%. Our operating cash flows grew by 19.5% on a year-to-year basis and was at 142% of net income.”
Digital revenue grew 6.4% quarter-on-quarter and currently accounts for 33.2% of total revenue. The company added one account to its $100 million-plus revenue clients' list and another seven to its $20 million bucket. Localisation in the U.S.currently stood at 62.6%.