New Delhi: Information Technology major Wipro Limited has reported a 21 percent increase in its net profit for the second quarter of fiscal year 2025. The company's net profit has risen from Rs 2,646 crore to Rs 3,209 crore for the September quarter, reflecting a year-on-year (YoY) growth.
However, it is important to note that the company's consolidated revenue has seen a decline to Rs 22,302 crore for the July-September quarter, compared to Rs 22,543 crore for the same period last year.
Despite this, the company's net income has experienced a growth rate of 6.8 percent quarter-over-quarter (QoQ) and 21.3 percent year-over-year (YoY). The revenue generated from Information Technology Services has seen a modest increase of 1.3 percent quarter-over-quarter.
The net margin for Wipro has expanded by 35 basis points quarter-over-quarter. The company has also achieved a significant milestone with large deal bookings reaching USD 1.5 billion, marking the highest in the last ten quarters.
Furthermore, the company's operating cash flows have seen a notable increase, rising to Rs 42.7 billion, a 10.5 percent year-over-year growth, which is 132.3 percent of the net income for the quarter.
The board of directors has also approved the distribution of bonus shares to shareholders in a 1:1 ratio (1 equity share for every equity share held), subject to shareholder approval.
Srini Pallia, the CEO and Managing Director of Wipro, commented, "Our strong execution in the second quarter has met our expectations for revenue growth, bookings, and margins. We have continued to expand our top accounts, achieved large deal bookings surpassing $1 billion once again, and maintained the momentum of our Capco division for another consecutive quarter."
Srini Pallia further elaborated that the company has experienced growth in three out of four markets. "We have expanded into three out of four markets, as well as, into the BFSI, Consumer, and Technology and Communications sectors. We are committed to investing in our clients, strategic priorities, and the development of a robust AI-powered Wipro."
Aparna Iyer, the Chief Financial Officer, expressed satisfaction with the company's performance in the second quarter of fiscal year 2025.
She stated, "I am pleased with our performance across all key metrics, including Revenue, Bookings, Operating Margin, Cash Flow, and EPS. Our operational improvements have led to further expansion of margins by 35 basis points, and our EPS has grown by 6.8 percent quarter-over-quarter."
She added, "Our operating cash flow remains strong, with a growth rate of 132.3 percent of the net income for the quarter. As a result, cumulatively in the first half of the year, we have generated nearly $1 billion in operating cash flow."
