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Wipro’s net profit jumps 12.6% in Q1

Bengaluru: IT services major Wipro said that good demand from key financial clients boosted its first-quarter profit to Rs 2,388 crore, up 12.6% from Rs 2,121 crore in the corresponding quarter of last year.

The consolidated revenue stood at Rs 14,716 crore as against Rs 13,978 crore in the same period, marking an increase of 5.3%.

Wipro reported 13.5% growth in its banking, financial services, and insurance business despite events like Brexit and the ongoing trade tussle between the US and China.

"Our efforts on client mining have resulted in an addition of three customers in more than 100 million dollar bucket," said company's CEO and ED Abidali Z Neemuchwala.

"We will continue to build differentiated capabilities to drive business transformation for our customers by investing in our big bets."

CFO Jatin Dalal said: "We delivered IT services margins of 18.4% and free cash flows of 98.8% of our net income. We had a slower start to the year. However, we remain focused on our operations."

Meanwhile, Wipro had previously announced a buyback proposal for purchase of up to 323.1 million equity shares of Rs 2 each from the shareholders on a proportionate basis by way of a tender offer at a price of Rs 325 per equity share payable in cash for an aggregate amount not exceeding Rs 10,500 crore.

"After receipt of shareholders' approval, the company has filed the draft letter of offer for the buyback with SEBI. Upon receipt of approval from SEBI, we will complete the buyback process," it said.