Large Cap IT giant - Wipro Limited

Stocks
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Wipro announced the successful migration of the largest European data centre to Microsoft Azure

The project demonstrates the potential of cloud technology to optimise operations, improve efficiency, and contribute to a sustainable future.

Wipro announced the successful migration of ManpowerGroup’s largest European data centre to Microsoft Azure. This project, completed in under a year, aimed to streamline ManpowerGroup’s operations by moving their data centre to a shared services platform on Azure.

The extensive migration involved transferring over 150 critical IT applications across 15 European countries. Wipro utilized various Azure services including databases, virtual machines, storage, networking, and security solutions. Additionally, they established robust governance frameworks to ensure security and compliance.

By adopting the Azure platform, ManpowerGroup gains a strong foundation for future innovation, scalability, and sustainability. This shift enhances their IT infrastructure’s resilience, security, and control capabilities. Furthermore, the cloud-first approach contributes to environmental sustainability by reducing ManpowerGroup’s carbon footprint.

This successful collaboration showcases Wipro’s expertise in cloud migration and their commitment to helping clients achieve their business goals. The project demonstrates the potential of cloud technology to optimize operations, improve efficiency, and contribute to a more sustainable future.

Financial Performance

In Q3FY24, the company posted a 4.41% decline in its consolidated revenue at Rs 22,205.10 crore compared to Rs 23,229.00 crore from the previous year’s corresponding quarter. The operating profit of the company stood at Rs 4,796.60 crore, while the PAT of the company stood at Rs 2,701.00 crore, from Rs 3,062.40 crore, last year same quarter.

Company profile

Wipro is a leading global information technology, consulting and business process services company. The company harness the power of cognitive computing, hyper-automation, robotics, cloud, analytics and emerging technologies to help its clients adapt to the digital world and make them successful. The company is recognized globally for its comprehensive portfolio of services, a strong commitment to sustainability and good corporate citizenship.

Stock Price Movement

Today, the stock opened at Rs 531.40, with a high and low of Rs 531.40 and Rs 515.05, respectively. The stock is closed trading at Rs 517.10, which decreased by 2.68%. The stock has a 52-week high of Rs 546.10 and a 52-week low of Rs 351.85.


Disclaimer: This post has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
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Wipro’s Designit Units Complete Merger Effective July 1

Wipro, on June 27, announced the merger of 2 of its step-down subsidiaries, Designit Noth America, Inc. and Wipro Designit Services, Inc., amid weaker revenue generation in FY24.

On June 27, Wipro announced the merger of its step-down subsidiaries Designit Noth America, Inc. with Wipro Designit Services, Inc. The merger is completed and will be effective from 1 July. Apart from the rationalization and consolidation of the North American subsidiaries of the company, Wipro also announced its de-registration of the step-down subsidiary Attune Australia Pvt. Ltd. effective June 26, 2024.

Looking at the bigger picture:

In Wipro’s Annual Report for 2023-24, the chairman, Rashid Premji, said that FY24 has been one of the most challenging years for the company. Due to volatility in the market induced by several domestic and international factors, there has been a lot of effect on the disposable income of the clients. Thus, the technology spending of the clients was uncertain and depended on the market conditions. This was reflected in the financials of the company as well.

Wipro’s Financial Performance in FY24:

The gross revenue reported a 0.8% YoY decrease to $10.8 Billion. A major segment of the revenue, the IT services segment, also reported a revenue of $10,805.3 million, a decrease of 3.8% YoY. Even with such weak revenues for the year, Wipro managed to expand its IT services margin by 50 basis points for the full year FY24. The CEO and Managing Director, Srini Pallia, also exclaimed that the company is on the brink of a technological shift and will continue to transform clients’ needs in the AI segment.

More info on the Merger:

Designit North Americs Inc. incorporated in the state of California offered professional consultancy as well as educational services in fields like Product Design, Interaction Design, Visual Design, Service Design, User Experience Design, Prototyping, Branding, Design Strategy, Business Strategy and Customer Experience (CX) etc. Wipro Designit Services, Inc. is in the state of Washington and has customer-focused digital transformation initiatives to provide leading Customer experience solutions to its clients. With both subsidiaries running IT businesses, Wipro Designit Services’ turnover lay at $48 million, and Designit North America’s turnover stood at $1.6 million as of March 31, 2024.

Conclusion: With strategic mergers and acquisitions, Wipro aims to build a rationalized and structural company to meet the demands of its shareholders and its clients.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.