MUMBAI: India’s third-largest software firm Wipro said yesterday quarterly net profit jumped 11 percent on the back of a rise in outsourcing orders as the company reported signs of a revenue pick-up.
“We are seeing higher confidence among our clients in the backdrop of positive macro-economic conditions, particularly in the US,” said Wipro chairman Azim Premji.
Consolidated net profit rose to `16.23bn ($275m) in the financial first quarter from `14.66bn in the same period a year ago, based on international accounting norms.
The profit was in line with analysts’ expectations. Wipro reported IT services revenues of $1.58bn for the June-ended quarter. For the current quarter which ends in September, it forecast revenues from IT services of $1.62bn to $1.65bn, as global business conditions start to pick up.
The forecast suggested quarter-on-quarter revenue growth of 1.9 to 3.8 percent.
“This is the first time after several quarters that the company has given such a bullish guidance,” Ankita Somani, analyst at Mumbai’s Angel Broking, told Business Standard newspaper.
Wipro added 28 new clients and a net 1,469 staff in the quarter.
“We see the demand environment picking up,” Wipro chief executive T.K. Kurien told a news conference. AFP
