Wipro shares slump as Q1 outlook seen below estimates

Written by Reuters | Mumbai | Updated: Apr 21 2014, 15:31pm hrs
Wipro LtdWipro posted a 28.8 per cent increase in profit to Rs 2,226.5 crore in the quarter ended March 31.
Shares in Wipro fell more than 4 percent in early trade after company's IT revenue guidance was seen below estimates by some analysts.

The company on Thursday said it expects June-quarter IT services revenues to be in the range of $1.72 billion to $1.76 billion.

The country's third-largest software services firm Wipro posted a 28.8 per cent increase in profit to Rs 2,226.5 crore in the quarter ended March 31 on the back of improving global economic sentiment and cost optimisation.

The Bangalore-based firm had registered a profit of Rs 1,728.7 crore in the fourth quarter ended March 31, 2013.

Net sales grew 21.7 per cent to Rs 11,703.6 crore in the quarter from Rs 9,613.1 crore a year earlier. Revenue from IT services stood at Rs 10,620 crore, up 24 per cent year-on-year. In dollar terms, the segment's revenue was at USD 1.72 billion, up 8.5 per cent year-on-year. This is in line with its projection of USD 1.712 billion to USD 1.745 billion for January-March 2014.