Wipro Limited said it has reported a corporate result for Q2 FY25 where the company has shown better performance compared with market expectations. The stock of Wipro surged nearly 5.34 percent after it announced the company’s Q2 FY25 corporate result. Its intraday high price for trade was ₹557.05. ADRs declined marginally, falling about 1.42 percent to end at $6.26.
Wipro reported a consolidated profit of ₹3,208.8 crore for Q2 FY25, witnessing quarter-on-quarter growth of 6.85 percent in profit compared to ₹3,003.2 crores in Q1 FY25. Revenue is also seen at an increase of 1.5 percent, which stands at ₹22,301.6 crores compared to ₹21,963.8 crores for the previous quarter. Strong operating performance, with EBIT at ₹3,672.5 crore, up 1.3 percent Q-o-Q; though, with the margin on EBIT ceding to 16.47% against 16.51% in Q1.
As said by Srini Pallia, Chief Executive Officer and Managing Director: “Based on strong execution, we met our revenue growth, bookings, and margin expectations.” It is observed that the revenues from the IT services segment stood at $2,660.1 million, with a 1.3 percent increase from Q-o-Q but a decline of 2.0 percent year-over-year. Total bookings for the quarter stood at $3,561 million, including large deal bookings of $1,489 million, which grew 28.8 percent Q-o-Q.
Wipro has offered a bonus share issue in a 1:1 ratio, pending approval from its shareholders. IT Services is expected to generate revenues of between $2,607 million and $2,660 million in Q3, which would be sequentially down 2.0% to flat in constant currency.
Brokerage firms have reacted to their views on Wipro’s Q2 numbers. Brokers at Nomura sounded positive for Wipro, saying that it exceeded consensus. Emkay felt the operating outcome was good and, however, showed some disappointment over Q3 guidance. Motilal Oswal said that operationally, things went fairly well, though its revenue for the first half of FY25 fell.
Overall, Wipro’s Q2FY25 report indicated resilience in a tough global environment, and the company was slated to grow in the following quarters.
