New Delhi: Wipro, a leading IT services provider, announced a 4.6 pc increase in consolidated net profit for the month of June quarter, totaling Rs 3,003.2 crore. The CEO confirmed the company's improved positioning despite giving a flat guidance of (-)1 to 1 pc for sequential growth. Bengaluru-based company experienced a 3.8 percent drop in revenue to Rs 21,963.8 crore in the first quater of the of FY25.
The company provided a subdued forecast for the quarter concluding in September 2024, projecting revenue from the IT services division to fall between USD 2,600 million and USD 2,652 million, which corresponds to a sequential guidance of minus one percent to plus one percent in constant currency terms. Wipro's senior management stated that the company is in a stronger position than it was at the beginning of the June quarter.
Moving into Q2, we feel more favorable compared to the beginning of Q1. In Q2, we anticipate a constant currency revenue growth between -1.0 pc and +1.0 pc. Srini Pallia, CEO and Managing Director of Wipro, expressed assurance in maintaining margins within a narrow range with a positive trend in the upcoming quarters. IT services revenue for the company totaled USD 2,625.9 million in dollars, showing a 1.2 per cent decrease compared to the previous period. The company witnesss the growth of the high of 23 pc
During the first quarter, there was no noticeable change in the demand situation. "During the company's earnings call, Pallia noted that the client remained careful and discretionary expenses remained low." In terms of geography, 'Americas 1' generated the highest revenue share at 30.9 pc , followed closely by 'Americas 2' at 30.8 pc , with Europe at 27.6 pc and APMEA (Asia Pacific, Middle East and Africa) at 10.7 pc following behind.
"We are noticing a slight enhancement in the number of staff members." Following a one-year hiatus, we have begun bringing new graduates from universities on board. Wipro's Chief Human Resources Officer Saurabh Govil stated that approximately 3,000 individuals were brought on board in this quarter. He mentioned that the company plans to finish all pending job offers from this fiscal year and aims to recruit 10,000-12,000 individuals in the current and upcoming fiscal years.
We plan to welcome approximately 10,000-12,000 individuals during this fiscal year. He also mentioned that the company plans to visit certain institutes and locations off-campus for recruitment due to existing partnerships, aiming to hire a similar number of individuals next year. "We are clearly enhancing our muscle to be prepared as growth returns," he stated.
Infosys and TCS, two of Wipro's bigger competitors, have revealed their intentions to recruit approximately 20,000 and 40,000 new graduates, respectively, in the current financial year. The company based in Bengaluru refused to give a comment on the contentious Karnataka reservation bill, mentioning that they will only speak once there is more clarity.
ALSO READ: June equity MF inflows rise fourfold to Rs 40,608 cr
FIRST Business Portal addressing the potential of business capability of North East Region.
