Wipro Q1FY23 Results: PAT surges down by 16.9% to ₹2,563.6 Cr, Net income grew 3% QOQ, IT revenue up 13.3% YoY

Wipro's Gross Revenue was ₹215.3 billion ($2.7 billion1), an increase of 17.9% YoY IT Services Segment Revenue was at $2,735.5 million, an increase of 13.3% YoY Non-GAAP (?) constant currency IT Services segment revenue increased by 2.1% QoQ and 17.2% YoY IT Services Operating Margin for the quarter was at 15.0%, a decrease of 200 bps QoQ Net Income for the quarter was ₹25.6 billion ($324.4 million1) and Earnings Per Share for the quarter was at ₹4.69 ($0.061)

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Wipro Limited (NYSE: WIT, BSE: 507685, NSE: WIPRO), a leading technology services and consulting company, announced financial results under International Financial Reporting Standards (IFRS) for the quarter ended June 30, 2022.

The company has posted its Q1FY23 financial results today, the details are as below :

(I) Audited Consolidated Financial Results for Quarter Ended (QOQ comparison):

The company has reported, a consolidated Total Income of ₹22,001.0 crore in the quarter ended on June 30, 2022 as against ₹21,362.8 crore in the last quarter ended on Mar 31, 2022, increased by 2.99%.

The company has posted a consolidated Net Profit of ₹2,563.6 crore in the quarter ended on March 31, 2022 as against ₹3,087.3 crore in the previous quarter ended on June 30, 2022. The PAT surges down by 16.96%.

The status of the EPS of the company stood at ₹4.67 as on March 31, 2022 compared to the previous quarter ended on June, 2022 which was ₹5.63, this implies a decline of 17.5%.

₹*June 30, 2022 (Q1FY23)Mar 31, 2022 (Q4FY22)
Total Income22,001.021,362.8
Total Expenses18647.517628.8
PBT /(Loss)3352.03732.4
Total Tax /(credit)793.1639.9
PAT /(Loss) [to the owners]2,563.63,087.3
*figures are in Crores

(II) Audited Consolidated Financial Results for Quarter Ended (YoY comparison):

The company has reported, a consolidated Total Income of ₹22,001.0 crore in the financial year ended on June 30, 2022 as against ₹19,045.3 crore for the same quarter ended on last year June 30, 2021 that increased by 15.52%.

The company has posted a consolidated Net Profit of ₹2,563.6 crore in the financial year ended on June 30, 2022 as against ₹3,242.6 crore for the same quarter ended on last year June 30, 2021. The PAT surges down by 20.94%.

The status of the EPS of the company stood at ₹4.67 as on June 30, 2022 compared to the quarter ended on last year June 30, 2021 which was ₹5.92, which is down by 21.11%.

₹*June 30, 2022 (Q1FY23)June 30, 2021 (Q1FY22)
Total Income22,001.019,045.3
Total Expenses18647.515172.7
PBT /(Loss)3352.03873.3
Total Tax /(credit)793.1625.3
PAT /(Loss) [to the owners]2,563.63,242.6
*figures are in Crores
Wipro Ltd

(III) Key Highlights about the Performance :

Results for the Quarter ended June 30, 2022:

  • Wipro’s Gross Revenue was ₹215.3 billion ($2.7 billion1), an increase of 17.9% YoY
  • IT Services Segment Revenue was at $2,735.5 million, an increase of 13.3% YoY
  • Non-GAAP (?) constant currency IT Services segment revenue increased by 2.1% QoQ and 17.2% YoY
  • IT Services Operating Margin for the quarter was at 15.0%, a decrease of 200 bps QoQ
  • Net Income for the quarter was ₹25.6 billion ($324.4 million1) and Earnings Per Share for the quarter was at ₹4.69 ($0.061)
  • Our closing strength of employees for IT Services was at 258,574, an increase of 15,446 QoQ
  • expected Revenue from the IT Services business to be in the range of $2,817 million to $2,872 million, reported by Wipro.

IT Services- Business Deals :

  1. Wipro continued its momentum in winning large deals with our customers as described below:
  2. A large, US-based healthcare company has selected Wipro for the consolidation and transformation of its Commercial Claims Operations. This strategic partnership will provide the client with significant savings through best-in-class execution, transformation, process remodelling, and automation.
  3. The global leader in sustainable stainless steel, Outokumpu, has signed a five-year deal of Application Management Services with Wipro to drive agile and application cloud transformation.
  4. Wipro has entered a five-year engagement with Insignia Financial Limited, an ASX-listed Top 200 company and one of Australia’s leading financial services providers. Through this partnership, Wipro and Insignia Financial will focus on delivering innovative solutions, including efficient processes around technology and operations capabilities, superior end customer outcomes as well as cost optimization.
  5. Wipro has won a multi-year engagement with a global communications agency to build their future model for ERP and digitization. Wipro’s delivery centres in UK and India will build and scale operations to enhance the company’s capacity.
  6. Wipro has won a multi-year contract with one of Australia’s largest financial services firms to provide application and infrastructure support services. Wipro will support the client’s technology transformation, improve efficiency and enhance customer experience.

IT Products
1. IT Products segment revenue for the quarter was ₹1.9 billion ($24.6 million)
2. IT Products segment results for the quarter was a loss of ₹0.06 billion ($0.70 million)

Market Times – market news

Shares of Wipro Ltd was last trading in BSE at ₹412.20 as compared to the previous close of ₹405.60. The total number of shares traded during the day was 423918 in over 9221 trades.

The stock last hit in BSE,

  • Intraday High of ₹ 417.50
  • Intraday low of ₹ 402.40