IT services and consulting major Wipro on Thursday, July 15 said the company has recorded its highest organic sequential growth in 38 quarters, as it announced its financial results for the April-June quarter (Q1). Stating that this is the company’s best-ever quarterly results, Wipro said it has added 12,000 employees on a net basis, which is the highest in a decade. Further, the company will onboard 6,000 freshers in Q2, which is the highest ever, and it will also roll out 30,000 offers for freshers.
Wipro said it has taken many steps to address attrition, with 80% of the organisation now going through three promotion cycles. Further, the salary adjustment cycle has been moved to September. The IT giant said that gross revenue in Q1 was Rs 182.5 billion, which is an increase of 12.4% QoQ and 22.4% YoY. Net income for the quarter also increased by 35.2% YoY to Rs 32.3 billion. Wipro added that its IT services workforce crossed the milestone of 2,00,000.
“Despite the severe onslaught of the pandemic, we delivered our best-ever quarter, with secular growth across all SMUs, Sectors and GBLs. Our sequential revenue growth of 12.2% was well ahead of the top-end of our guidance range, both organically and with Capco. We remain focused on deepening our customer relationships, investing in talent & capabilities for the future, and winning market share,” said Thierry Delaporte, CEO & Managing Director, Wipro.
IT Services
Wipro said it has closed large deals with its customers indicating its continued momentum. These include: A multi-year engagement with a leading US-based communication services provider to deliver end-to-end quality engineering (QE) services for their applications; a multi-million-dollar engagement with a European multinational pharmaceutical company to personalise end-user services leveraging digital interventions; and a large digital workplace contract from a US-based health insurance company to transform and manage their end-user services globally to improve customer experience.
Digital Services
Wipro said it continues to see increasing traction in digital-oriented and other strategic deals. These include: The digital transformation and modernisation of the integrated shipping portfolio of a global shipping and logistics company; a strategic engagement with a leading US-based financial services company to accelerate their digital transformation journey. Further, a globally integrated energy company has selected Wipro’s crowdsourcing platform Topcoder to design their next-generation customer-centric experience for promotion and loyalty management; and a leading US-based medical devices original equipment manufacturer (OEM) has selected Wipro to build and launch a global patient engagement platform.
Outlook
Wipro said it expects revenue from its IT services business to be in the range of $2,535 million to $2,583 million, which translates to a sequential growth of 5% to 7%. The company said it has signed an agreement to acquire Ampion on April 1, 2021, and it was previously announced that it would be closed during Q1’22. However, certain regulatory approvals are still pending and the transaction is now expected to be closed in Q2’22, Wipro added.