Wipro Q2 earnings report 9.3 % drop in net profit to ₹2,659 cr

Wipro Ltd on Wednesday reported a weaker-than-expected second quarter profit hit by higher employee-related expenses. The Bengaluru-based company also forecast its revenue from IT services business to be in the range of $2.81 billion to $2.85 billion for the quarter ending December 31, translating to a sequential growth of 0.5% to 2.0%.

The Bengaluru-based company said its total quarterly expenses jumped 19.2% to 193.95 billion rupees, while staff attrition in the IT services business fell to 23% from 23.3% at the end of September.

Earlier this week, largest rival Tata Consultancy Services Ltd posted a bigger-than-expected rise in quarterly profit, but flagged that clients are taking longer to decide on bigger outsourcing deals in an uncertain global economic environment.

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Consolidated net profit for quarter-ended September 30 came in at 26.59 billion Indian rupees ($323.3 million), compared with 29.31 billion rupees year ago. Analysts on average had expected a profit of 28.44 billion rupees, according to Refinitiv data.

Revenue from operations rose nearly 15% to 225.40 billion rupees.