Wipro Q3 Results Review - Mixed Operating Performance; Muted Revenue Guidance For Q4: Yes Securities

Yes Securities Report

Wipro Ltd. reported mixed financial performance for the quarter. The revenue growth was below expectation(cc growth of 0.6% QoQ), Ebit margin came in slightly above estimates.

Wipro's sequential growth was led by healthcare and life sciences vertical (up 5.5% QoQ) and energy, natural resources and utilities vertical (up 2.0% QoQ).

The Indian rupee reported growth was supported by depreciation of Indian rupee by 2.9% QoQ versus U.S. dollar. There was sequential improvement in Ebit margin(up 165 bps QoQ) led by falling attrition, improving pyramid and Indian rupee depreciation..

The moderation in employee attrition continues as last twelve months attrition was down 180 bps QoQ to 21.2%. However, the clients remain cautious regarding the evolving macroeconomic situation especially in the U.S. and Europe and consequently, we expect moderation in growth in near term.

We estimate revenue compound annual growth rate of 11.7% over FY22‐24E with average Ebit margin of 15.3%.

Click on the attachment to read the full report:

More Research Reports On Wipro's Q3 FY23 Results Review

• TCV Provides Visibility For FY24; Revenue Conversion To Be Key: ICICI Direct

• Macro, Slowdown In Discretionary Spend A Key Dampener: IDBI Capital

• Revenue Miss, OPM Expanded; Cautious Commentary On Spending: Dolat Capital

• Inline Growth, Better Operational Show: HDFC Securities

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.