Wipro reports 21% increase in Net profit for the third Quarter

Wipro-LogoInformation Technology major, Wipro Ltd reported 21.26% growth in its consolidated net profit at Rs 1,217.4 crore for the third quarter of the current financial year.

Total income for the firm rose to Rs 7,055.8 crore in the quarter ended December 2009 from Rs 6,773 crore in the same period last year. Wipro announced the results in a filing to the BSE.

The firm's IT services business added 31 new clients during the quarter. Wipro appointed 4,855 new applicants by the end of December taking the total number of employees to 1,02,746. The results of Wipro are better than expected but are lower than that of rivals in the sector like Infosys and TCS.

The IT services business of the firm reported a year on year growth of 2% to Rs 5,164 crore. IT services account for nearly 74% of the total revenue.

Wipro chairman Azim Premji said, "We have seen a positive demand environment which has driven broad-based sequential growth across all our verticals, service lines and geographies. In 2010, we expect IT budgets to be flat to marginally positive."

The pricing saw a small decline which was due to the fewer working days according to the company management while it expects stability in pricing in the near future. The company has seen growth across all the industry sectors including financial services, engineering, telecom, healthcare, energy and utilities.

Shares of the firm were trading up 0.6% at Rs 742 on the BSE.

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