Wipro Q2 Net up 19% at Rs 1,161.7 cr

Software firm Wipro on Tuesday reported 18.76% increase in its consolidated net profit.

Last Updated: Oct 27, 2009, 10:29 AM IST

Mumbai: Software firm Wipro on Tuesday reported
18.76 per cent increase in its consolidated net profit at Rs
1,161.7 crore for the second quarter ended September 30, 2009.

The IT exporter had a net profit of Rs 978.2 crore in the
September quarter of last fiscal, Wipro said in a filing to
the Bombay Stock Exchange.
Total income of the company rose to Rs 7,057.4 crore
during the July-September quarter of the current fiscal, from
Rs 6,664.8 crore in the year-ago period, as per the Indian
accounting norms.

"We see more stability in volumes and pricing as well as
an improving demand environment. Our broad portfolio of
services and strong delivery excellence continues to position
us as a partner of choice with customers, as they focus on
capital conservation and cost transformation," Wipro Chairman
Azim Premji said.

The country`s third largest software exporter`s revenue
from IT services in rupee terms grew by 5 per cent to Rs 4,996
crore from the year-ago period. However, in dollar terms, the
revenue fell by 4 per cent to USD 1,065.2 million.

"Looking ahead for the quarter ending December 31, 2009,
we expect revenues from our IT Services business to be in the
range of USD 1,092 million to USD 1,113 million," Premji said.

In the reported quarter, the firm added 37 new clients to
its IT services business, which accounted for 72 per cent of
its total revenue.
"Margins for the IT Services business stood at 23.8 per
cent, an expansion of 143 bps (basis points) sequentially and
279 bps YoY," Wipro Executive Director and Chief Financial
Officer Suresh Senapaty said.

At the end of the quarter the company`s employee strength
stood at 97,891.

On a stand alone basis, Wipro posted 44.52 per cent
growth in net profit at Rs 1,232.1 crore for the September
quarter. Total income rose to Rs 5,979.2 crore during the
period from Rs 5,551.6 crore in the year-ago period.

The scrip of Wipro has gained 59 per cent during the
July-September quarter, outperforming the BSE IT index, which
increased 39 per cent during the period.

Bureau Report