IT service provider’s engagement with its partner network has expanded beyond certifications into setup of co-innovation centers, building industry solutions, ISV partnerships and joint sourcing of deals. These partnerships play a significant role in implementation, rollouts & upgrades, validation and support services. Recent deal trend continues to be robust for Wipro and is reflective of traction in BFSI, Retail & CPG, Manufacturing and BFSI verticals.
Wipro will continue to invest in Its digital product, Digital Talent and S&M which is imperative to drive growth. Wipro management has taken cost optimisation efforts which help them to gain long term sustainable operating margins. There are some tailwinds like better service mix, reducing the marketing spend, lowering travel cost, employee restructuring and improving utilisation. Wipro deal pipeline remained industry leading in Q2 FY22 at $2.1 bn. Wipro won many large transformation deals despite uncertainty and across verticals like BFSI, Communication, manufacturing, Automobile. This healthy deal pipeline will help to improve revenue visibility for FY22 and FY23. The company’s management gives strong Q3-FY22 guidance at 2-4 pr cent revenue growth in CC terms and its commentary continues to be positive in the verticals such as BFSI, Hi-tech Media, Life Sciences, and Communications.