Wipro: Wipro Q1's business figure beats estimates with an increase of 4.72%

Wipro announced improved revenue growth in the first quarter of fiscal 2018, exceeding market estimates supported by the recovery of activity in its core market – the United States – as well than bank customers.

The Bengaluru-based company also forecast slightly higher revenue growth for the second quarter of the current fiscal year. While first-quarter profits rose 2.11 percent to 2,120 crores, revenues increased 4.72 percent to 14,307 crore. He had reported profits of 2,076 crores on income of 13,661 crores from April to June last year.

"In the future we will see growth, we are not yet ready for double-digit growth," said Abidali Neemuchwala, CEO of Wipro, at ET. At a press conference after the summit, the general manager said the company was preparing for the "future".

"It will take time, we are not just focusing on the top line, we are focusing on the quality of the business we are building and that is sustainable in the future."

For the quarter ended June 30, Wipro's computer services business grew 0.3% in constant currency to $ 2.02 billion. In terms of reported currencies, Wipro's revenues fell 1.7% sequentially. Constant currency eliminates volatility due to currency fluctuations. The revenue forecast was $ 2 billion to $ 2 billion. If we exclude the impact of the sale of its hosted data center business, this translates into sequential growth of 0.3 to 2.3% in constant currencies. "We believe that volume growth and order intake have been strong, and we believe that, from an orientation point of view, boards incorporate what we are seeing right now," said Neemuchwala. .

The sale of data centers enabled Wipro to increase its margin to 17.2%, compared with 14.4% at the end of March. "Wipro had a mixed first quarter, while the IT service business was up, the EBIT margin was a failure, and the revenue was in line with our expectations," said Urmil Shah. , badyst at IDBI Capital.

"There was nothing negative in this quarter, but Wipro is still far from catching up with other companies.It has shown growth in BFSI, which has also been seen in other companies." An badyst at a Mumbai-based brokerage firm said he refused to be identified.

Separately, Wipro announced that it would pay $ 117 million to buy Alight HR Services India.