IT services major Wipro on January 12 reported a 3 per cent quarter-on-quarter (QoQ) sequential growth in revenue on a constant currency basis to $2.64 billion for the quarter ended December 2021. Net income for the third quarter was $399.1 million an increase of 1.3 per cent QoQ. The results were broadly in line with market and analyst expectations.

For the first nine months of the current fiscal, the revenues of the company stood at $7.63 billion, a growth of 28 per cent compared to the same period of the previous year. The growth has been primarily driven by sectors such as Banking, Financial Services and Insurance as well as consumer segments, while a few others like manufacturing, energy, natural resources and utility verticals saw a marginal dip.

Wipro’s CEO Thierry Delaporte, CEO and Managing Director, commenting on the results, said, “Wipro has delivered a fifth consecutive quarter of strong performance, both on revenues and margins. Order bookings have been strong too, and we have added seven new customers in the more than $100 Mn revenue league, in the last 12 months. Our strategy and improved execution continue to serve us well, and we are confident of building on this momentum. We are also excited to have completed the acquisitions of Edgile and LeanSwift Solutions in the quarter, both of which will add to our capabilities significantly.”

The company’s CFO Jatin Dalal, er said, “We delivered robust operating margins after absorbing substantial investments on salary increases, owing to continued improvement in operating metrics. We also improved our working capital by reducing our Days Sales Outstanding. This has resulted in a strong operating cash flow conversion of 101.3% of net income. Additionally, we have declared an interim dividend of ₹1 per equity share.”

New recruitment

The company expects revenue from the IT services business to be in the range of $2.692 bn to $2.745 bn for Q4, which translates to a sequential growth of anywhere between 2 to 4 per cent. Wipro said it had added 10,306 employees during the quarter. For the first nine months of the current fiscal, the company has added 41,363 employees on a net basis (after attrition), taking the total employee strength to 231,671 employees in the IT services business. On a trailing twelve-month basis, it had attrition of 22.7 per cent.

Earlier shares of the company traded almost flat at markets closure. The shares were down by 0.30 per cent or 2.10 points at ₹692.00 on the Bombay Stock Exchange(BSE). The previous close was ₹694, and the shares opened at ₹700 today. The 52-week high of the share is ₹739.80 and the 52-week low is ₹398.00.

(With additional inputs from Haripriya Sureban)