Wipro ltd, India’s third largest software firm, on Tuesday reported a 5.8 per cent rise in net profit for three months to September but gave a muted guidance for the third quarter earnings.
Its consolidated net profit (attributable to equity shareholders) in July-September at Rs 2,191.8 crore, or Rs 4.52 per share, was higher than Rs 2,070.4 crore, or Rs 4.28 a share, in the same period a year before, the company said in a statement.
The growth was driven by a decline in total expenses, lower finance cost and higher other income. On a sequential basis, the profit was up 5.5 per cent, according to Indian Accounting Standards. Its total income fell by about 1.9 per cent to Rs 14,134.8 crore and the company said the healthcare segment ‘continues to be volatile’.
“The energy sector is slightly impacted by slow performance in Middle East in second quarter because of the holidays,’ said Abidali Z Neemuchwala, Chief Executive Officer and Member of the Board, Wipro. IT services revenue in dollar terms grew by 2.1 per cent quarter-on-quarter to $2.013 billion in July-September, while constant currency sequential growth was 0.3 per cent.
This was higher than the company's revenue guidance range of $1.96 billion to $2.001 billion for the September quarter. “We surpassed the milestone of $2 billion in quarterly revenues for IT Services on the back of rigorous execution of our strategy,” said Neemuchwala.