IGI Logo

Below is the first cut of Wipro Q3FY22 Result Update by Mr. Piyush Pandey, Lead Analyst – Institutional Equities, YES SECURITIES.

Wipro Q3FY22 Result First cut - Both revenue and EBIT margin slightly below expectation.

Reported revenue of Rs 203.1bn( up 3.3% QoQ in INR terms- below expectation ). IT services revenue grew 2.3% QoQ in USD terms to $2.64bn. The revenue growth was led by strong performance in BFSI snd consumer verticals.

EBIT margin was down 37 bos QoQ to 16.9%, mainly led by higher employee cost ( cost of revenue) that grew 4.2% sequentially.

Deal booking remained strong as it closed 11 large deals with TCV of over $600 mn.

Total number of active customers increased by 31 QoQ to 1315. Total number of headcount increased by ~10,300 QoQ to 231,671. Net utilization was down 340 bos QoQ to 85.8 %, led by higher fresher onboarding and seasonal factor.

LTM attrition increased by 220 bps QoQ to 22.7%, as demand for talent remains strong.

Declared an interim dividend of Rs 1/ share.

Guided for sequential revenue growth of 2-4% QoQ for Q4FY22.

We currently have ADD rating on the stock.

Above views are of the author and not of the website kindly read disclaimer