Wipro: Good performance delivered - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

Wipro: Good performance delivered

Jan 18, 2013

Wipro Limited (Wipro) has announced the third quarter results of financial year 2012-2013 (3QFY13). The company has reported a 2.9% QoQ growth in sales and a 6.6% QoQ growth in net profits respectively. Here is our analysis of the results.

Performance summary
  • Consolidated gross revenues grew by 2.9% QoQ during the quarter.
  • The IT Services revenues (78% of total revenue in rupee terms) witnessed a growth of 2.4% QoQ in US$ terms.
  • EBITDA margin declined by 0.3% QoQ to 19.6% during the quarter as compared to 19.9% seen during the previous quarter (ending September 2012). That was mainly due to deterioration in the gross margin by 0.23%.
  • Net profits grew by 6.6% QoQ. The growth was higher than the EBITDA growth because of a 349% rise in gains from exchange difference and a fall in effective tax rate The latter declined by 2% QoQ to 21.9% during the quarter.
  • Employee strength of the IT services business stood at 142,905 at the end of December 2012. The headcount in IT services business increased by 2,336 (on a net basis) during 3QFY13. Attrition declined to 14.2% as compared to 14.6% for the previous quarter (2QFY13).
  • IT services segment adds 50 new clients during the quarter, thereby taking the total count of active clients to 966 as compared to 939 seen at the end of 2QFY13.
  • Gross employee utilization rate was down to 64.8% during the quarter as compared to 66.8% seen in the previous quarter (2QFY13). Net employee utilization (excluding trainees) declined to 74.8% from 77.9% seen during the quarter, 2QFY13.
  • The company has declared an interim dividend of Rs 2 per share (dividend yield of 0.5%).

To Read the Full Story, Subscribe or Sign In
To Read the Full Story, Subscribe or Sign In

India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get this Special Report,
The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms


Jun 22, 2021 (Close)