Wipro’s share price slips 4.14% on Thursday following the disclosure of the quarterly results for the period ending March 31, 2025. Its quarterly revenue from operations went up 1.3% year-on-year, while profits rose 25.5% during the period.
Despite the decent growth in profits, Wipro’s share price tanked around 4.14% as the brokerages downgraded their growth prospects amid market uncertainties. As per the company, the macro uncertainty due to tariffs is impacting the consumer and manufacturing demand, and decreased collections from Europe and APMEA. Let’s explore this in detail.
Wipro’s Financial Performance in Q4 FY25
India’s one of the largest information technology (IT) service providers, Wipro, recorded ₹22,504 crore operating revenue in Q4 of FY25, 1.3% up as compared to ₹22,208 crore in the same quarter of the previous fiscal year.
Considering non-operating income, the company’s total revenue increased 3.6% YoY to ₹23,693 crore in Q4 from ₹22,861 crore. The company’s profit after tax showed a decent growth of 25.5% to ₹3,588 crore during the quarter from ₹2,858 crore reported a year ago.
| Financials | Q4 FY25 (₹ Cr) | Q4 FY24 (₹ Cr) | YoY Change |
| Operating revenue | 22,504 | 22,208 | 1.3% |
| Total revenue | 23,693 | 22,861 | 3.6% |
| PAT | 3,588 | 2,858 | 25.5% |
Source: Screener.in
On a yearly basis, Wipro made ₹92,972 crore revenue during FY25, only 0.6% up as compared to ₹92,391 crore booked in FY24. The company’s profits surged 19% to ₹13,218 crore during the same period, in contrast to ₹11,112 crore in FY24.
| Financials | FY25 (₹ Cr) | FY24 (₹ Cr) | YoY Change |
| Operating revenue | 89,088 | 89,760 | -0.7% |
| Total revenue | 92,972 | 92,391 | 0.6% |
| PAT | 13,218 | 11,112 | 19.0% |
Source: Screener.in
Why Wipro share price is falling?
For Q1 FY26, Wipro expects a decline of 1.5% to 3.5% in revenue from the IT Services business segment compared to the previous quarter, after adjusting for currency effects. The weak guidance for the ongoing quarter (Q1 FY26) is based on the delay in spending by clients following the macro uncertainty.
Following these, the future outlook and missing earnings estimates, brokerages including Nuvama, Citi, and BofA have downgraded their ratings on Wipro stock.
Novuma downgraded Wipro to ‘Hold’ with cutting the target price to ₹260 from ₹300. Citi maintained a ‘Sell’ rating while slashing the target price to ₹215 from ₹240. Moreover, Bank of America (BofA) maintained an ‘underperform’ rating and trimmed the target price from ₹260 to ₹225. On Thursday (April 17, 2025), Wipro share price tanked 4.14% to ₹237.4.
How does Wipro make money?
Wipro primarily offers IT services, including digital strategy, IT consulting, application development, cloud, analytics, and more. Along with this, it is a value-added reseller of security, packaged, and SaaS software for some of the leading international brands.
The company made 34.20% of its revenue from the Banking, Financial Services, and Insurance sector in considering its services, 18.90% via the consumer segment, and 17.30% from Energy, Manufacturing & Resources.
| Sector Mix | Q4 FY25 | Q4 FY24 |
| Banking, Financial Services, and Insurance | 34.20% | 33.50% |
| Consumer | 18.90% | 18.70% |
| Energy, Manufacturing & Resources | 17.30% | 18.50% |
| Technology and Communications | 15.20% | 15.20% |
| Health | 14.40% | 14.10% |
Source: Screener.in
While the company’s quarterly revenue from the USA increased significantly YoY, the collections from Europe and Asia Pacific, Middle East and Africa (APMEA) shrank 4.5% and 3.7%, respectively.
Moving to the expense front, Wipro spent around 70% of the total expenses on employees (employee benefit expenses) amounting to ₹13,345 crore in Q4, the cost, however, went down by 2.1% from ₹13,626 crore spent a year ago. Another major chunk of its expenses went towards sub-contracting and technical fees worth ₹2,490 crore during the period.
Competitive Landscape
The fourth largest IT giant of India, Wipro, competes with Tata Consultancy Services (TCS), which recorded 5.3% YoY growth in operating revenue during the quarter ending March 2025 to ₹64,479 crore as compared to ₹61,237 crore in the same quarter of the previous fiscal year. The profit after tax (PAT) of TCS, however, went down by 1.7% to ₹12,293 crore during Q4.
Other major players in the industry, Infosys and HCL Technologies, are yet to announce their quarterly results.
Wipro adds over 600 employees in Q4
Wipro hired as many as 614 employees to its workforce during the quarter, pushing the total headcount to 2,33,346 employees. During the previous quarter, it cut down the headcount by 1,157. On an annual basis, the company added 732 net employees to its workforce.
| Quarter | Headcount | Change |
| Q4-FY24 | 232,614 | |
| Q1-FY25 | 232,911 | 297 |
| Q2-FY25 | 233,889 | 978 |
| Q3-FY25 | 232,732 | -1,157 |
| Q4-FY25 | 233,346 | 614 |
Source: Screener.in
Conclusion
Wipro’s Q4 results show a modest growth in profits and revenue. Despite this, the company is uncertain about the future outlook of the business following the tariff uncertainties. Its share price also slipped as the brokerages, including Nuvama, Citi, and BofA, have downgraded their ratings and cut down the target share price
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