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Wipro Q1 net profit up 29.5% [Mail Today (India)](Mail Today (India) Via Acquire Media NewsEdge) Large deals in application and infra help boost profit LARGE deals in application and infrastructure space as well as return of discretionary spending in the North American market helped Wipro attain 29.5- per cent growth in consolidated net profit at ` 2,103.2 crore in the first quarter as against ` 1,623.3 crore in the yearago period. Consolidated net sales rose 15.5 per cent to ` 11,245.5 crore in the April- June quarter from ` 9,733.2 crore in the same quarter of 2013- 14. Wipro chairman Azim Premji said, " We see a significant rise in business confidence in developed markets as well as India." Revenue from IT services stood at $ 1.74 billion, a quarter- on- quarter increase of 1.2 per cent and year- onyear increase of 9.6 per cent. Wipro had guided this to be in the range of $ 1.715 billion-$ 1.755 billion. For the July- September quarter, the IT services revenue is forecast to be in the range of $ 1.77 billion-$ 1.81 billion. " We continue to win large deals particularly in the application and infrastructure space. We recently announced our largest- ever total outsourcing deal," chief executive T. K. Kurien said. Kurien added that Wipro had a quarter- onquarter revenue growth of 1.2 per cent, which was in line with the guidance. On the demand environment, he said, " Demand continues to hold steady. In North America, we see return of discretionary spending while Continental Europe continues to have significant potential for outsourcing IT services. We see strong demand in health care and life sciences, which grew 20 per cent y- o- y in revenue this quarter. Business momentum is improving in manufacturing & hi- tech while we challenges in retail." Services revenue in rupee terms was ` 10,510 crore, an increase of 18 per cent year- onyear. The IT services segment had 147,452 employees as of June 30, 2014, and the firm added 35 new customers for the quarter. " We continue to drive operational efficiency and invest in our strategy. Operating margins for the quarter was on expected lines, impacted largely due to wage hikes," chief financial officer Suresh Senapaty said. (c) 2014 India Today Group. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info). |