Wipro Limited on Wednesday announced its results approved by the board of directors for the quarter ended December 31, 2006.
Highlights of the results
- Wipro's revenue increased by 45% Year on Year (YoY) to Rs. 39.79 billion (Rs. 3,979 crores);
- Profit after tax (PAT) grew by 41% YoY to Rs. 7.65 billion (Rs. 765 Crores)
- Global IT services & products revenue was Rs. 28.76 billion (Rs. 2,876 Crores), a 35% increase YoY
- Global IT services & products profit before Interest and Tax (PBIT) was Rs. 6.96 billion (Rs. 696 Crores) and grew by 32% YoY; Operating Margin was at 24.2%
- Global IT services & products added 37 new clients in the quarter
- Wipro's India, Middle East & Asia Pac business recorded 56% growth in PBIT YoY. Revenue grew 76% YoY
Outlook for quarter ending March 31, 2007
Azim Premji, chairman of Wipro, commenting on the results for the quarter ended December 31, 2006 said, "We have had another satisfying quarter. Our global IT business delivered good volume growth primarily driven by robust performance of our energy and utilities vertical, technology infrastructure services and enterprise application services.
"Continuing their good momentum, our financial services and retail businesses delivered more than 50% YOY growth.
"Manufacturing vertical & Europe geography posted growth-rates ahead of the company average. On the operations front we brought down our attrition rates in both the IT and BPO businesses. We are among the first few organisations globally to be assessed at maturity level 5 on the new CMMi V 1.2 model, which was released in September 2006.
"Looking ahead, for the quarter ending March 2007, we expect revenue from our global IT services & products business to be approximately $ 685 million."
Suresh Senapaty, chief financial officer of Wipro, said, "During the quarter ended December 2006, our global IT services & products revenue was $ 640.5 million, which was ahead of our guidance of $ 633 million for the quarter. On the margin front, operational improvements and improved profitability in our BPO business and acquisitions portfolio helped us in largely offsetting the pressure on profitability arising out of wage increases and rupee appreciation."
