India-based business software and services company Wipro Ltd. (WIT) on Tuesday reported a 21% increase in profit for the second quarter from last year, after the company won more orders and pricing pressures eased. On an adjusted basis, earnings per share for the quarter increased 20% from last year. The company said it saw more stability in volumes and pricing as well as an improving demand environment.
For the second quarter, net income attributable to equity holders of Wipro under International Financial Reporting Standards, or IFRS basis was Rs.11.71 billion, or $243 million, compared to Rs 9.70 billion in the same period last year. On a diluted basis, earnings for the quarter were Rs. 7.97 per share, or $0.17 per share, up from Rs. 6.63 in the year-ago period.
Net income on an adjusted Non-GAAP basis, excluding impact of accelerated amortization of stock-based compensation, was Rs. 11.64 billion, or $242 million, up 20% from Rs 9.73 billion in the previous year.
Non-GAAP adjusted earnings per share for the quarter were Rs. 7.99 or $0.17, up 20% over the same period last year. On average, six analysts polled by Thomson Reuters expected the company to report earnings of $0.14 per share for the quarter. Analysts' estimates typically exclude special items.
Total revenue for the quarter was Rs. 69.18 billion, or $1.44 billion, up 6% from last year. Analysts had a consensus revenue estimate for the quarter of $1.35 billion.
In July, Wipro had reported net income for the first quarter of Rs. 10.10 billion or $212 million, up from Rs. 8.95 billion in the year-ago period. On a per share basis, earnings for the quarter were Rs. 6.89 per share, or $0.14 per share. Non-GAAP adjusted earnings per for the quarter grew 10% to Rs. 6.92, or $0.14. Revenue for the quarter climbed 5% from the year-ago period to Rs. 62.46 billion, or $1.31 billion.
Among others in the industry, Infosys Technologies Ltd. (INFY) earlier in the month reported a decline in profit for the second quarter from the year-ago period, on lower revenues and higher income tax rate. On the IFRS basis, the company reported net profit of $317 million or $0.56 per equity share, down from $320 million or $0.56 per equity share in the same period last year. IFRS revenues for the quarter were $1.154 billion, down 5.1% from $1.216 billion generated for the same period last year.
Wipro earns most of its revenue from overseas projects, mostly from the U.S. and Europe. However, the global financial crisis had curtailed outsourcing spend, thus hurting the top line of software exporters.
Segment-wise, for the second quarter, Wipro's IT Services business segment recorded revenue of Rs. 49.98 billion, or $1.04 billion for the quarter, up 5% from the same period last year. While reporting its financial results for the first quarter in July, Wipro had forecast revenues from its IT services business in a range of $1.035 million-$1.053 million.
EBIT for the IT services business segment increased 19% from the year-ago quarter to Rs. 11.80 billion, or $245 million. The segment accounted for 72% of total revenue and 89% of Wipro's operating income during the second quarter, and added 37 new clients during the period.
The IT Products business segment recorded revenue of Rs. 11.85 billion, or $247 million, for the latest quarter, representing a growth of 19% over the year-ago period. EBIT for the segment was Rs. 612 million, or $12.7 million. The company noted that this segment represented 17% of total revenue and 5% of operating income for the second quarter. Wipro's Consumer Care and Lighting segment generated second-quarter revenue of Rs. 5.56 billion or $116 million, up 15% from the previous-year quarter. The company noted that 8% of total revenue and 6% of its operating income for the quarter came in from this segment.
Commenting on the results, Azim Premji, Chairman of Wipro, said, "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."
For the six months ended September 30, the company reported net income attributable to equity holders of Wipro of Rs. 21.81 billion, or $454 million, up from Rs 18.65 billion in the same period last year. On a diluted basis, earnings for the half year were Rs. 14.86 per share, or $0.31 per share, up from Rs. 12.75 in the year-ago period.
Net income for the period on an adjusted Non-GAAP basis, excluding impact of accelerated amortization of stock-based compensation, increased to Rs. 21.68 billion, or $451 million, from Rs 18.84 billion in the previous-year period. Total revenue for the six months rose to Rs. 131.64 billion, or $2.74 billion, from Rs. 124.74 billion in the same period last year.
Looking ahead, for the third quarter ending December 31, 2009, Wipro said it expects revenues from IT services business in a range of $1.092 billion-$1.113 billion.
WIT closed Monday's regular trading session on the NYSE at $18.67, down $0.13 or 0.69% on a volume of 0.80 million shares. In the past 52 weeks, the stock has been trading in a range of $5.04-$19.53.
For comments and feedback contact: editorial@rttnews.com
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.