Wipro Ltd.'s share price rose as high as 6.55% on Friday after the IT giant slightly exceeded street expectations in its second quarter results for fiscal year 2027.
The share price pared some gains after rising to a high of Rs 185.45 apiece to trade 6.30% higher at Rs 185.02 as of 10:65 a.m. compared to a 0.41% advance in the benchmark Nifty index.
Wipro Q2 FY27
Wipro Ltd.'s net profit slipped by 4.5% on a quarter-on-quarter (QoQ) basis to Rs 3,200 crore, compared to Rs 3,352 crore in the preceding quarter, according to an exchange filing from the company on Thursday. The firm's revenue was up 1.1% at Rs 24,753 crore, compared to the previous quarter's Rs 24,479 crore. The EBIT increased by 4.1% QoQ to Rs 3,986 crore from Rs 3,830 crore.
Wipro expects revenue from its IT services business to decline 1.5% or grow 0.5% sequentially in constant currency terms in the third quarter of the current financial year. The guidance comes after the company reported flat constant-currency revenue growth in the September quarter. In US dollar terms, revenue stood at $2,611.5 million, down 0.1% from $2,614.5 million in the June quarter.
ALSO READ: What Cash-Rich Wipro Is Looking For When It Shops For Its Next Business
What Does Wipro Plan To Do With Its Cash?
Wipro Ltd. has $4.6 billion, or Rs 43,580 crore, in gross cash and is looking to expand its capabilities across AI, consulting and industry-specific services. But the IT services company's next acquisition may be determined less by the size of the target than by what it can add to Wipro's existing business.
During the IT major's Q2FY27 post-earnings analyst call on Oct 15, the board was asked whether Wipro could use its cash-rich balance sheet to make large acquisitions as artificial intelligence investments spread across the technology ecosystem, and CEO and Managing Director Srini Pallia reiterated that the company would continue to pursue acquisitions that strengthen its strategic priorities.
Wipro Share Price History
The shares have fallen 31.4% year-to-date and 28.7% in the last 12 months.
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