Wipro Q3 revenue rises 3.8% to Rs235.6 billion, margins expand to 17.6%
Wipro reported Q3 revenue of Rs235.6 billion ($2.62 billion), up 3.8% QoQ and 5.5% YoY, beating forecasts thanks to growth in its Americas communications, health and consumer segments. IT services operating margin expanded to 17.6%, driven by AI-led initiatives and improved execution.
1. Quarterly Financial Performance
Wipro reported gross revenue of Rs 235.6 billion ($2,622 million) for the quarter ended December 31, 2025, marking a 3.8% sequential increase and a 5.5% year-over-year rise. The IT services segment generated $2,635.4 million in revenue, up 1.2% quarter-on-quarter and 0.2% year-on-year, while non-GAAP constant currency IT services revenue rose 1.4% sequentially but declined 1.2% versus the prior year. Total bookings reached $3,335 million, down 5.7% year-over-year in constant currency, with large deal bookings of $871 million, an 8.4% annual decrease in constant currency terms.
2. Profitability and Cash Flow
The IT services operating margin expanded by 90 basis points sequentially to 17.6% and was up 10 basis points relative to the year-ago quarter. Reported net income stood at Rs 31.2 billion ($347.2 million), down 3.9% sequentially and 7.0% annually, translating into earnings per share of Rs 2.98 ($0.031), a decline of 3.9% quarter-on-quarter and 7.2% year-on-year. Adjusted for past service cost related to new labour code implementation, net income rose to Rs 33.6 billion ($374.3 million), up 3.6% sequentially and flat year-on-year, with adjusted EPS at Rs 3.21 ($0.041), up 3.5% sequentially. Operating cash flow was Rs 42.6 billion ($474.1 million), up 25.7% sequentially, representing 135.4% of net income.
3. Strategic Deal Wins
In the quarter, Wipro secured multiple large, multi-year engagements across industries. Highlights include renewal of a decade-long relationship with a global technology leader for AI-driven trust and safety operations; expansion of services for a US-based national health insurer leveraging Wipro’s PayerAI platform; and modernization and AI-embedded automation for a North American household furnishings manufacturer. Additional wins cover digital workplace transformation for a leading European F&B company, a hybrid cloud re-engineering program for a major European insurer, core banking modernization for an Indian financial institution, and customer interaction enhancement for a Southeast Asian airline.
4. Outlook and Dividend
For the quarter ending March 31, 2026, Wipro projects IT services revenue between $2,635 million and $2,688 million, implying 0% to 2.0% sequential growth in constant currency. The guidance assumes exchange rates of GBP/USD 1.33, EUR/USD 1.17, AUD/USD 0.65, USD/INR 88.85 and CAD/USD 0.72. The board has declared an interim dividend of Rs 6 per share, bringing the total payout for the year to $1.3 billion.