Aftermarket hours on Tuesday, the corporate had reported a net income of Rs 2,390.20 crore for the quarter ended June 30.
Wipro shares surged nearly 18 percent on Wednesday, its biggest single-day gain since May 2004, each day after the Bengaluru-based IT major reported a better-than-expected net income within the April-June period. At 10:47 am, Wipro shares traded 15.75 percent higher at Rs 260.50 apiece on the BSE, strongly outperforming the benchmark Sensex index which was up 1.82 percent. Wipro had earlier during the session soared the maximum amount as 17.71 percent to Rs 264.90 on the bourse.
Here are 10 things to know:
1. Wipro started the day with a gain of 5.31 percent at Rs 237, compared to the previous close of Rs 225.05, and remained the highest percentage gainer within the Nifty basket of fifty shares.
2. The stock led to strong gains within the IT pack. The Nifty IT index – comprising technology stocks – spiked the maximum amount as 4.10 percent to its higher intraday level recorded since February 26.
3. Aftermarket hours on Tuesday, the corporate had reported a net income of Rs 2,390.20 crore for the quarter ended June 30, beating analysts’ expectations.
4. Wipro’s revenue came in at Rs 14,913.10 crore within the half-moon of the present fiscal year, marking a fall of 5.08 percent compared to the previous quarter.
5. Wipro said the conditions caused by the coronavirus pandemic could adversely affect its future sales, operating results, and overall financial performance.
6. “Our operations can also be negatively suffering from a variety of external factors associated with the COVID-19 pandemic that isn’t within our control,” Wipro said during a statement.
7. The company said its IT services revenue stood at Rs 14,595.60 crore within the quarter ended June 30, down 4.58 percent from the previous quarter.
8. In constant currency terms, Wipro said its IT services segment revenue declined 4.4 percent on a year-on-year basis.
9. Operating margin – a key measure of profitability – within the IT services segment improved to 19.0 percent within the June quarter, compared to 17.6 percent within the January-March period.
10. Chief treasurer Jatin Dalal said, “We expanded the margins during the quarter, despite lower revenues, on the rear of solid execution of several operational improvements and rupee depreciation.”
