Wipro Q2 net profit declines 1.9% YoY, IT services revenue remains flat QoQ
Sequentially, net profit fell 4.7%, while gross revenue increased 1.1%.
Profit before tax stood at Rs 4,204.7 crore in Q2 FY27, down 3.0% vs the previous quarter and 1.8% vs the year-ago quarter.
IT services operating margin stood at 16.5%, up 0.5 percentage points QoQ but down 0.2 percentage points YoY.
IT services segment revenue stood at $2,611.5 million, down 0.1% QoQ and up 0.3% YoY. In constant-currency terms, IT services revenue was flat sequentially and increased 0.6% YoY.
Total bookings declined 22.9% QoQ in constant-currency terms to $2,595 million, while large-deal bookings fell 58.6% to $674 million.
Operating cash flow stood at Rs 5,300 crore, up 61.3% QoQ and equivalent to 165.8% of net income.
Voluntary attrition over the trailing 12 months stood at 13.8%.
For the quarter ending 31 December 2026, Wipro expects IT services revenue to range between $2,571 million and $2,625 million. This implies sequential constant-currency revenue growth of -1.5% to 0.5%.
Employee benefits expense increased 9.0% YoY to Rs 14,837 crore. Sub-contracting and technical fees rose 6.1% to Rs 2,811.1 crore, while depreciation, amortisation and impairment expense increased 26.7% to Rs 876.7 crore. Finance costs rose 51.1% YoY to Rs 545.4 crore. Software licence expenses for internal use increased 20.2% to Rs 631.4 crore, while travel expenses rose 19.5% to Rs 399 crore.
Chief executive officer and managing director Srini Pallia said strategic investments were helping the company win new clients, expand existing relationships and create larger transformation opportunities. He identified AI as a long-term growth driver and highlighted momentum in the company?s AI-Native Unit and AI offerings portfolio.
Chief financial officer Aparna Iyer said the operating margin expanded sequentially despite continued investments in the business and employees. She added that operating cash flow remained strong at about 166% of net income.
Wipro is a technology services and consulting company with over 230,000 employees and business partners across 65 countries.
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