Wipro reported IT Services revenue of $8.120 billion (+3.8 percent) with operating margin of 17.9 percent and net income of $1.3 billion (+12.4 percent) in fiscal 2018-19.
Wipro’s Q4 revenue from IT services was $2.075 billion (+6.9 percent) with 19 percent operating margin and net income of $359.1 million (+37.7 percent).
Wipro’s Digital Operations and Platforms contributes 13.7 percent of its total revenue during the last fiscal, the Indian software services company said on Tuesday.
Wipro CEO said the IT service provider’s digital revenue grew 6.4 percent sequentially and 32.2 percent year-on-year. Wipro’s digital business contributes about 35 percent of overall revenue.
Wipro generated 30.9 percent revenue from Banking, Financial Services and Insurance, 5.7 percent from Communications, 15.7 percent from Consumer Business Unit, 12.8 percent from Energy, Natural Resources and Utilities, 13.2 percent from Health Business Unit, 8.2 percent from Manufacturing and 13.5 percent from Technology in fiscal 2018-19.
The Bengaluru-based company, which competes with larger rivals Tata Consultancy Services (TCS) and Infosys, generated 56.8 percent revenue from Americas, 25.5 percent from Europe and 17.7 percent from Rest of the World.
Wipro CEO Abidali Z Neemuchwala said: “We have built a strong foundation for growth on the back of healthy order book and continued investments in big bet areas of digital, cyber security, engineering services and Cloud.”
Wipro is expecting IT Services revenue of $2.046 billion to $2.087 billion in the quarter ending June 30, 2019. Wipro said this translates to a sequential growth of –1 percent to 1 percent excluding the impact of the divestment of Workday and Cornerstone On Demand business.
Tata Consultancy Services and Infosys reported results on Friday, saying they expect continued strong growth in the new financial year after posting strong fourth-quarter numbers.
Wipro’s revenues grew 1.4 percent sequentially during the fourth quarter. Infosys and Tata Consultancy Services (TCS) delivered stronger results. Infosys’ revenue grew 2.4 percent sequentially. Tata Consultancy Services reported 2.8 percent increase in sales.
Wipro’s operating margin fell 80 basis points to 19 percent.
Wipro added three clients in the $75-million category and one in the $10-million bucket. It lost customers in the $20-million band.
Wipro ended the fiscal with revenue growth of 5.4 percent in constant currency dollar terms. Infosys’s revenue growth was percent, while TCS finished with 11.7 percent growth in sales.