Wipro reports muted Q1; net profit up 0.6% YoY, Q2 guidance at -1.5% to +0.5% CC, interim dividend declared

Wipro on Thursday reported a muted performance for the quarter ended June 30, 2026 (Q1 FY27), with revenue growth remaining modest and margins coming under pressure.

The IT major reported gross revenue of ₹24,480 crore, up 1% quarter-on-quarter (QoQ) and 10.6% year-on-year (YoY).

Its IT services revenue stood at $2.61 billion, declining 1.4% QoQ but rising 1% YoY. In constant currency (CC) terms, IT services revenue fell 1.2% sequentially while increasing 0.9% from a year ago.

Total bookings came in at $3.37 billion, down 2.4% QoQ in constant currency. However, large deal bookings rose 12.9% sequentially to $1.63 billion in constant currency.

The IT services operating margin contracted to 16% in Q1 FY27 from 17.3% in the previous quarter and 17.2% a year ago. This means, the figure contracted by 1.3% QoQ and 1.2% YoY.

Net profit for the quarter stood at ₹3,360 crore, down 4.7% quarter-on-quarter (QoQ) but up 0.6% year-on-year (YoY).

Earnings per share (EPS) for the quarter were ₹3.20, a decrease of 4.2% QoQ and an increase of 0.6% YoY.

Operating cash flows were ₹3,290 crore ($348 million), an increase of 3.6% QoQ and at 98.0% of net income for the quarter.

Voluntary attrition was at 13.9% on a trailing 12-month basis.

Outlook for Q2 FY27

For the September quarter (Q2 FY27), Wipro guided for IT Services revenue in the range of $2.574 billion to $2.627 billion. This translates into sequential revenue growth of between a decline of 1.5% and an increase of 0.5% in constant currency terms.

The guidance is based on assumed exchange rates of GBP/USD at 1.34, EUR/USD at 1.16, AUD/USD at 0.71, USD/INR at 94.50 and CAD/USD at 0.71.

Interim dividend details

Wipro's board has approved an interim dividend of ₹2 per equity share of face value ₹2 each for FY27. Shareholders whose names appear on the company's records as of July 27, 2026, will be eligible to receive the dividend.

The interim dividend will be paid on or before August 14, 2026.

Management Speak

Srini Pallia, CEO and Managing Director, said, “Clients are moving beyond technology modernisation to AI-enabled operating models that improve quality, resilience, and productivity. Wipro’s consulting-led, AI-powered approach helps clients embed AI at the core of their business, and these engagements reflect both the breadth of our capabilities and the trust clients place in us as a transformation partner.”

Aparna Iyer, Chief Financial Officer, said, “As we navigate an evolving technology landscape, we remain focused on investing in our people and strategic priority areas. While these investments may create some near-term margin volatility, it sets a strong foundation for future growth. Cash flow remained robust, with operating cash flow at 98% of net income for the quarter."

"We are also pleased to share that the Board has declared an interim dividend of ₹2 per share. Including this dividend and payouts made over the past year, we would have returned more than $3 Bn in cash to our shareholders while continuing to invest steadily for growth," Iyer added.