Wipro Q4FY23 PAT flat at Rs3,075 crore on weak top line growth
Wipro Ltd reported 11.2% growth in net revenues for the March 2023 quarter at Rs23,190 crore. The revenues were up by marginally down on a sequential basis and the sequential pressure came from a slowdown in top line growth due to weak tech spending as well as pricing pressure in its core global markets.
In terms of top line growth, Wipro saw growth across the Americas, Europe and the Asian market region. In terms of operating profit growth on a yoy basis, the three regions saw strong accretion in the operating profits for the quarter. The company has recognized client impairment costs due to weak revenues.
Financial highlights for Mar-23 compared yoy and sequentially
| Wipro Ltd | |||||
Rs in Crore | Mar-23 | Mar-22 | YOY | Dec-22 | QOQ |
| Total Income (Rs cr) | ₹ 23,190 | ₹ 20,860 | 11.17% | ₹ 23,229 | -0.17% |
| Operating Profit (Rs cr) | ₹ 3,758 | ₹ 3,505 | 7.21% | ₹ 3,750 | 0.19% |
| Net Profit (Rs cr) | ₹ 3,075 | ₹ 3,087 | -0.41% | ₹ 3,053 | 0.71% |
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| Diluted EPS (Rs) | ₹ 5.60 | ₹ 5.63 |
| ₹ 5.56 |
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| OPM | 16.20% | 16.80% |
| 16.15% |
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| Net Margins | 13.26% | 14.80% |
| 13.14% |
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Net profits for the March 2023 quarter were flat at Rs3,075 crore on a surge in the employee costs, as well as impairment provisions made for lower revenues from clients. Also, the sales growth has been tepid due to slowdown fears and the travel and other costs continue to be high. That is likely to remain a challenge till the global headwinds continue to remain a challenge for the large Indian IT companies.