India`s Wipro forecasts weak Q1 revenue, warns of cautious clients
Wipro on Wednesday posted fourth quarter revenue below estimates and forecast a sequential decline in the current quarter as India's fourth largest IT services firm expects clients to stay cautious in the face of macroeconomic uncertainties.
The company's consolidated revenue rose 1.3% to 225.04 billion rupees ($2.63 billion) in the quarter-ended March, while analysts, on average, expected revenue to come in at 226.21 billion rupees, as per data compiled by LSEG.
Wipro expects April–June revenue to fall 1.5%–3.5% quarter-on-quarter.
India’s $283 billion IT sector had hoped U.S. President Donald Trump would boost client confidence, but trade war uncertainty and shifting tariffs have made clients cautious on large deals.
Industry leader TCS missed fourth-quarter earnings estimates on Thursday and warned about clients delaying decision-making in discretionary projects.
Wipro's net profit for the quarter rose 26% to 35.7 billion rupees, compared with analysts' mean estimate of 33.38 billion rupees.
Deal wins for the quarter stood at $4 billion, mainly due to the $650 million Phoenix deal bagged last month. This compares with a $3.61 billion in the same period last year.
India's second-largest IT firm Infosys reports numbers on Thursday while third-largest firm HCLTech will report next week.
($1 = 85.6410 Indian rupees)
