Wipro Q1 results: Net profit rises 11% YoY, revenue grows 1%; company declares interim dividend of ₹5/share

The company's revenue from operations rose nearly 1% to ₹22,135 crore at the end of June quarter as against ₹21,964 crore in the year-ago period. In dollar terms, Wipro's revenue came in at $2,587.4 million, decrease of 0.3% quarter-on-quarter (QoQ) and 1.5% year-on-year (YoY).

Wipro expects its revenue from IT services the range of $2,560 million to $2,612 million translating into sequential growth guidance of -1.0% to 1.0% in constant currency terms.

In the first quarter of current financial year, the Bengaluru-based company clocked total bookings (total contract value) worth $4,971 million, up by 24.1% QoQ and 50.7% YoY in constant currency terms. The company achieved large deals, that is deals worth $30 million or more, worth $2,666 million, an increase of 49.7% QoQ and 131% YoY in constant currency.

Operating margin for IT services in Q1 came in at 17.3%, contraction of 20 basis points sequentially and expansion of 80 basis points annually.

Wipro's board declared an interim dividend of ₹5 per share.

“In a quarter shaped by macroeconomic uncertainty, clients prioritised efficiency and cost optimization. We partnered closely with them to address these needs, resulting in 16 large deals, including two mega deals. Building on the momentum from last quarter and supported by a strong pipeline, we are well positioned for the second half. AI is no longer experimental - it’s central to our clients’ strategies, and we are delivering real impact at scale,” said Srini Pallia, Wipro’s CEO and Managing Director.

Commenting on Q1 earnings, Aparna Iyer, Chief Financial Officer, said, “We expanded our operating margins by 80 basis points on YoY basis. Our cash flow conversion remained strong with operating cash flows being at 123% of our net income. The board also declared an interim dividend of ₹5 per share. With this, the total cash returned to shareholders over the last 6 months is more than $1.3 billion.”

Wipro shares ended 1.54% lower at ₹258.75 on the National Stock Exchange ahead of its earnings announcement.