Wipro reports 8pc increase in Q2 profits

BANGALORE, INDIA: IT services provider, Wipro today posted a net profit of 20.8 billion, a sequential decline of 1 percent from 21.03 billion in Q1, despite an increase of 8 percent from 19.32 billion in Q2, 2013.

The IT services major reported a revenue of 116.8 billion in the quarter ended in September. IT services revenue of Wipro increased 8 percent to 109.2 billion. The company targets $ 1,808 -1,842 million in this segment next quarter.

Revenue contribution from Global Infrastructure Services was 26.8 percent with 11.5 percent from Advanced Technologies & Solutions, 29.1 percent from Business Application Services, 9.2 percent from BPO, 7 percent from Product Engineering and 16.4 percent from ADM.

Azim Premji, chairman of Wipro, said, “Business leaders in the US continue to exhibit increased confidence on growth prospects. Clients are increasingly looking to drive business value from their technology investments. We are seeing positive sentiment in India with the confidence that the Government is focused on driving an agenda of growth.”

Americas contributed 51 percent business, Europe 27.8 percent, India and Middle East 9.2 percent and Asia Pacific and emerging markets 12 percent.

Vertical wise, 26 percent contribution came from Finance Solutions followed by Manufacturing & Hitech and Energy, Natural Resources & Utilities which contributed 18.2 percent and 16.8 percent respectively to the overall business.

T K Kurien, executive director & CEO of Wipro, said, “While the industry landscape is still undergoing change, we see multiple opportunity spaces for growth and gaining market share. We continue to execute to our stated strategy of leveraging platforms for non-linear growth and creating differentiated solutions around the new technology paradigms.”