Financial Performance Overview

Wipro Limited announced financial results for the quarter ended September 30, 2026 (Q2 FY27).

Revenue Performance:

  • Gross revenue stood at ₹247.5 billion ($2,583.0 million), increasing 1.1% quarter-on-quarter (QoQ) and 9.1% year-on-year (YoY).
  • IT services segment revenue was $2,611.5 million, decreasing 0.1% QoQ and increasing 0.3% YoY.
  • Non-GAAP constant currency IT Services segment revenue was flat sequentially and increased 0.6% YoY.

Profitability & Margins:

  • IT services operating margin for Q2 FY27 was 16.5%, expanding by 0.5% QoQ but declining by 0.2% YoY.
  • Net income for the quarter was ₹32.0 billion ($333.9 million), decreasing 4.7% QoQ and 1.9% YoY.
  • Earnings per share (EPS) for the quarter was ₹3.23 ($0.03), increasing 0.9% QoQ and 4.2% YoY.

Cash Flow & Liquidity:

  • Operating cash flows were robust at ₹53.0 billion ($553.6 million), increasing 61.3% QoQ and representing 165.8% of net income for the quarter.
  • Free Cash Flow for the quarter was ₹48,880 million, representing 152.8% of net income.

Bookings & Deal Wins:

  • Total Bookings were $2,595 million, down by 22.9% QoQ in constant currency.
  • Large deal bookings (≥$30M TCV) were $674 million, a significant decrease of 58.6% QoQ in constant currency.

Operational Metrics:

  • Voluntary attrition on a trailing 12-month basis was 13.8%.
  • Total headcount stood at 236,328 employees.
  • Net Utilization (excluding trainees) was 83.4%.
  • Offshore revenue accounted for 62.2% of IT Services revenue.

Segment-Wise Performance (IT Services)

Strategic Market Units (SMU) Revenue (₹ in millions):

  • Americas 1: ₹84,985 (34.4% of IT Services revenue)
  • Americas 2: ₹63,194 (25.6%)
  • Europe: ₹67,546 (27.4%)
  • APMEA: ₹30,945 (12.6%)

SMU Sequential Growth (Constant Currency):

  • Americas 1: -2.1%
  • Americas 2: +0.9%
  • Europe: +0.6%
  • APMEA: +3.1%

Sector Mix:

  • Banking, Financial Services and Insurance: 34.5%
  • Consumer: 19.2%
  • Technology and Communications: 16.5%
  • Energy, Manufacturing and Resources: 16.3%
  • Health: 13.5%

IT Products Segment:

  • Revenue for the quarter was ₹1.5 billion ($15.8 million).
  • Segment results were a loss of ₹0.1 billion (-$0.8 million).

Management Commentary

Srini Pallia, CEO and Managing Director:

Highlighted that strategic investments are beginning to deliver results, enhancing the company's ability to win in new markets, add new clients, and grow existing relationships. The consulting-led, AI-powered strategy is creating larger transformation opportunities. AI is viewed as a long-term growth driver that will expand the addressable market for technology and business transformation, with momentum already visible across the AI-Native Unit and AI offerings portfolio.

Aparna Iyer, Chief Financial Officer:

Noted the operating margin expansion of 0.5% sequentially to 16.5%, achieved while continuing to invest in the business and people. Emphasized the company's relentless focus on driving cash flow conversion, with Q2 operating cash flow at 166% of net income.

Strategic Deal Wins (Q2 FY27)

The company announced 12 significant deal wins across various industries, demonstrating its consulting-led, AI-powered strategy:

1. A large US-based banking institution selected Wipro to modernize its mortgage operations using the NetOxygen platform powered by Wipro Intelligence™.

2. A global technology company renewed and expanded its relationship for modernizing its Enterprise Products organization and enhancing employee experience.

3. A leading US-based health insurance provider appointed Wipro to transform its provider services organization.

4. A global biotechnology company selected Wipro to transform and scale its post-market quality assurance operations.

5. A leading Asia-based Fortune 500 conglomerate selected Wipro to establish an AI Global Capability Center (GCC).

6. A leading global network technology provider selected Wipro to scale its core mobile network services business worldwide.

7. A large North American public services organization selected Wipro's AI-Native Business & Platform unit to modernize enrolment, customer engagement, and operational management processes.

8. A global leader in beverages awarded Wipro an expanded engagement to simplify, consolidate and optimize its technology operations.

9. A Europe-based global provider of industrial products renewed its engagement for an enterprise-wide business transformation involving a single global ERP platform.

10. A leading global life sciences company selected Wipro to establish an AI-powered supply chain intelligence platform.

11. A major energy company in the Middle East selected Wipro to transform its procurement and finance operations through an AI-led operating model.

12. A leading North American financial services institution is modernizing its trade exception management capability with Capco, a Wipro company.

Analyst Recognitions

Wipro received recognition as a Leader in 11 different analyst reports across various domains including AI-Driven Professional Services for Oil and Gas, Microsoft AI and Cloud Ecosystem, Healthcare Payor Digital Services, Telecom Digital Services, Utilities Digital Services, Cybersecurity Services, Oracle Implementation Services, Future of Work Services, Quality Engineering Services for AI Applications, Application Management Services, and Integrated Finance and Accounting Services.

Outlook for Q3 FY27

Wipro provided revenue guidance for the quarter ending December 31, 2026:

  • Expected IT Services business segment revenue range: $2,571 million to $2,625 million
  • This translates to sequential guidance of -1.5% to +0.5% in constant currency terms
  • Outlook is based on specific exchange rates: GBP/USD at 1.35, Euro/USD at 1.15, AUD/USD at 0.71, USD/INR at 95.76, and CAD/USD at 0.72

Additional Financial Information

Currency Conversion:

  • Convenience translation rate: US$1 = ₹95.83 (Federal Reserve Board of Governors rate on September 30, 2026)
  • Realized exchange rate in IT Services business: US$1 = ₹94.45

Customer Metrics:

  • Revenue from existing customers: 98.0%
  • Number of new customers added: 33
  • Total number of active customers: 1,229
  • Customer concentration: Top customer 4.5%, Top 5 customers 14.9%, Top 10 customers 23.9%

Geographic Revenue Mix:

  • USD: 59%
  • GBP: 13%
  • EUR: 8%
  • INR: 6%
  • AUD: 4%
  • CAD: 2%
  • Others: 8%

Contract Mix:

  • Fixed Price Projects (FPP) revenue: 52.4% of total

Definitions

  • Constant currency (CC) for a period is the product of volumes in that period times the average actual exchange rate of the corresponding comparative period.
  • Total Bookings refers to the total contract value of all orders booked during the period including new orders, renewals, and changes to existing contracts.
  • Large deal bookings consist of deals greater than or equal to $30 million in total contract value.
  • IT Services Operating Margin refers to Segment Results Total as reflected in IFRS financials.