Wipro will report its earnings for the three-month period ended June on Thursday.
While the topline growth of the company will be within the guidance limits given by the company at the end of the previous quarter, consolidated net profit may fall 5 per cent on-quarter to Rs 2,823 crore.
Analysts expect the company to guide for 5-7 per cent sequential growth in sales on a constant currency basis in the September quarter. Brokerage firm Kotak Institutional Equities said Wipro could guide for organic sales growth 1-3 per cent on-quarter.
The company’s large deal announcements during the quarter have been few and far between, which has led analysts to suggest that the management may increase focus on such deals in the coming quarter.
On the margin front, the company is likely to suffer just like its peers. Analysts expect a sequential decline in consolidated operating margins of 120-206 basis points for the company reflecting the impact of wage hikes undertaken to retain talent.
Besides the June quarter earnings, investors will keenly assess the company’s commentary on deal momentum and pricing as well its outlook for the travel and tourism vertical. Further, the impact of impending wage hikes on margins will also be a key topic of discussion for investors.
Shares of Wipro ended 7 per cent higher at Rs. 561.6 on the National Stock Exchange on Wednesday.
