Wipro reports better-than-expected quarterly earnings
Wipro Ltd, India's third largest software services provider, on Thursday joined TCS Ltd and Infosys Ltd in reporting better-than-expected quarterly earnings.
Wipro announced that its net profit for the quarter through December 2012 jumped 18 per cent year-on-year, from 14.56 billion rupees to 17.16 billion rupees. The reported net profit figure is much better that analysts' average estimate of 16.45 billion rupees.
In dollar terms, IT business revenue jumped 2.4 per cent from the previous three months to $1.577 billion, in line with the company's own projection of 1.2 per cent to 3.5 per cent.
Speaking about the quarterly results, Wipro's IT business CEO T. K. Kurien said, "We have seen broad-based growth in the quarter with all our verticals growing sequentially."
For the current quarter, the company has projected IT business revenue of $1.585 billion to $1.625 billion, or a quarter-on-quarter rise of 0.5 per cent to 3 per cent. Analysts expect the company's revenue to grow by 1 per cent to 3.5 per cent.
In November last year, the company had announced its decision to move its non-IT businesses into a separate privately held entity called Wipro Enterprises, so that it could focus on its IT business and boost profitability.
Wipro shares have gained nearly 9 per cent so far this year, as compared with a 2 per cent rise in the Nifty.