Wipro net profit up 20.8 percent to Rs 2,968 crore for December 2020 quarter

File image of Wipro office. CNBC-Tv18

New Delhi: IT services major Wipro on Wednesday posted about a 21 percent increase in consolidated net profit at Rs 2,968 crore for the December 2020 quarter.

The net profit attributable to shareholders in the year-ago period was at Rs 2,455.9 crore, according to a regulatory filing by Wipro.

Its revenue from operations grew nearly 1.3 percent to Rs 15,670 crore from Rs 15,470.5 crore in the quarter ended December 2019.

Wipro, which gets a bulk of its topline from IT services, said it expects revenues from that business to be in the range of USD 2,102 million to USD 2,143 million in the March 2021 quarter. This translates into a sequential growth of 1.5 percent to 3.5 percent for the March quarter.

For the December quarter, IT services revenue grew 3.9 percent sequentially to $2,071 million, exceeding the forecast that had been given by the company in October.

In October, Wipro had said it expects its revenue from IT services business to be in the range of USD 2,022-2,062 million for the December quarter, a sequential growth of 1.5-3.5 percent.

“Wipro has delivered a second consecutive quarter of strong performance on order booking, revenue, and margins. Five of our sectors grew over 4 percent sequentially. We closed our largest ever deal win in Continental Europe,” Wipro CEO and Managing Director Thierry Delaporte said in a statement.

The demand environment is steadily improving, especially for digital transformation, digital operations, and cloud services, he added.

The company’s revenue from IT products during the quarter was about Rs 160 crore, while that from Indian state-run enterprises business was Rs 240 crore.

The company has declared a dividend of Re 1 per equity share.

Wipro shares closed marginally higher at Rs 458.7 apiece on BSE on Wednesday. The results were declared after market hours.