Wipro Shares Gain After Its Profit Rises 7% In September Quarter

Shares of the software services company - Wipro - rose as much as 3.32 per cent to Rs 251.80 on the BSE a day after the company said its net profit in July-September quarter rose 6.91 per cent compared with the previous quarter to Rs 2,552.70 crore. On a year on year basis, Wipro's net profit rose 35.13 per cent. On the National Stock Exchange, Wipro's share price advanced 3.30 per cent. Wipro's revenue stood at Rs. 15,125.6 crore in the July-September period, marking a rise of 2.78 per cent compared to Rs. 14,716.10 crore in the previous quarter.

Wipro said revenue from its IT services segment stood at $2,048.9 million in the July-September period, marking an increase of 2.5 per cent compared to the year-ago period. The operating margin from the segment was 18.1 per cent.

Wipro expects revenue from its IT services business to be in the range of $2,065 million-$2,106 million in the quarter ending December 31.

"We had a good in-quarter execution on both revenues and margins," said Abidali Z Neemuchwala, CEO and managing director, Wipro.

Revenue from the IT products segment came in at Rs. 320 crore, the Bengaluru-based company said.

During the quarter, Wipro concluded its buyback of shares worth Rs. 10,500 crore ($1.49 billion) during the quarter.

As of 11:44 am, Wipro shares traded 2.3 per cent higher at Rs 249.30, outperforming the Sensex which was up 0.15 per cent. Wipro hares saw higher than usual trading volumes as 4.07 lakh shares changed hands on the BSE compared with an average of 1.65 lakh shares traded daily in the past two weeks.