Wipro Defies Challenges with Strong Q3 Growth

Wipro posted a 24.4% year-on-year rise in net profit for Q3 FY25, despite challenges in the IT sector. The Bengaluru company sees hopeful prospects for 2025, amidst cautious optimism from clients and ongoing macroeconomic challenges. Wipro's revenue saw marginal growth led by banking and financial services.

Wipro surpassed street expectations with a remarkable 24.4% increase in consolidated net profit for the December quarter, reaching Rs 3,354 crore. The Indian IT giant anticipates a hopeful and resilient 2025, as explained by CEO Srinivas Pallia, despite discerning trends in discretionary spending and regional market softness.

Competing with industry behemoths TCS and Infosys, Wipro reported better-than-expected Q3 results. The company's revenue from operations modestly increased by 0.5% to Rs 22,319 crore, propelled by momentum in the banking, financial services, and insurance sectors. Sequentially, IT services revenue is projected to decline or grow by up to 1% for the next quarter.

With the Indian IT services industry facing sluggish growth due to global economic uncertainties, Wipro's strategic focus remains on the US, which significantly impacts its revenue. The company balances visa-related concerns with a local employee base and closed significant large deals amounting to USD 1 billion, defying earlier fiscal challenges.

(With inputs from agencies.)