Wipro Limited, one of India’s top IT services companies, announced its first-quarter Wipro Q1 Results for the financial year 2025-26 on July 17, 2025.
The company reported a consolidated net profit of ₹3,337 crore, reflecting an 11% year-on-year (YoY) increase. However, revenue remained mostly unchanged at ₹22,134 crore, up just 0.8% YoY.
The Wipro Q1 Results showcase Wipro’s ability to maintain profitability amid a challenging global IT demand environment. While revenue growth was modest, disciplined cost control, strong contract wins, and operational efficiency contributed to the improved bottom line.
Also you can check Reliance Industries Q1 Result for the first quarter of the financial year 2025-26 (Q1 FY26), reporting a consolidated net profit of ₹26,994 crore.
Table of Contents
📊 Highlights of Wipro Q1 Results Earnings
- Net Profit: ₹3,337 crore, up 11% YoY
- Revenue: ₹22,134 crore, flat YoY; down 1.6% QoQ
- Operating Margin: 17.3%, up 80 basis points YoY
- Deal Wins (TCV): $5 billion, highest in over three years
- Interim Dividend: ₹5 per share declared
📈 Strong Profit Growth Amid Flat Revenue
Wipro’s 11% rise in net profit was largely driven by better margins, strong cost discipline, and favorable foreign exchange trends. Despite muted revenue, the company was able to expand its operating margin to 17.3%, an 80 basis points improvement compared to the same quarter last year.
This margin growth helped offset the impact of sluggish client spending across sectors. Compared to the previous quarter, however, net profit fell by 6.7%, signaling some seasonal and economic pressure.
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🧾 Revenue Trends: A Mixed Picture
Wipro’s consolidated revenue grew by only 0.8% compared to Q1 FY25, with a 1.6% decline from Q4 FY25. The subdued growth is reflective of the broader slowdown in IT services spending, particularly in sectors like BFSI and retail.
That said, the company saw growth in certain key verticals:
- Healthcare and Communications: Delivered positive Wipro Q1 Results with strong project execution.
- Americas 1 (North America): Grew approximately 5.5% YoY in constant currency, driven by demand in cloud, engineering, and AI transformation.
However, regions like Europe and APMEA (Asia Pacific, Middle East, and Africa) faced continued macroeconomic headwinds, weighing on overall revenue.
🏆 $5 Billion in Deal Wins: Record Bookings
One of the biggest highlights of the quarter was Wipro’s $5 billion in total contract value (TCV) bookings. This marks the highest quarterly TCV in more than three years and includes:
- 16 large deals,
- 2 mega deals, and
- Strategic contract renewals with long-standing clients.
The strong bookings underline client confidence in Wipro’s long-term capabilities, especially in cloud, cybersecurity, and AI-led services. It also provides a strong revenue pipeline for the next few quarters.
💡 Focus on AI, Cloud, and Consulting
Under the leadership of new CEO Srini Pallia, Wipro is sharpening its focus on AI, consulting, and automation services. The company is transitioning to a consulting-led, AI-powered model, in response to changing client needs and digital transformation demands.
Pallia noted that clients are increasingly diverting discretionary IT budgets toward efficiency-focused investments, including AI and process automation. Wipro aims to capitalize on this shift by positioning itself as a transformation partner, rather than just a technology service provider.
💼 Segment Performance
Here’s a closer look at the performance of key business segments:
1. Americas 1
This region was a bright spot for Wipro, showing the highest YoY growth at approximately 5.5%. Demand from healthcare, financial services, and telecom clients remained strong.
2. Europe
Revenue growth remained weak due to macroeconomic conditions and lower client spending. Wipro is taking steps to optimize operations and increase market share in this region.
3. APMEA
The Asia-Pacific and Middle East regions also faced subdued growth. However, deal wins in Australia and the UAE provide cautious optimism for recovery in the second half of the fiscal year.
💵 Dividend and Cash Flow
Wipro’s Board of Directors declared an interim dividend of ₹5 per share for the quarter. This Wipro Q1 Results decision aligns with the company’s ongoing commitment to return cash to shareholders.
Cash flow remained healthy:
- Operating Cash Flow: 123% of net income
- Free Cash Flow: Robust, aided by controlled capital expenditure
The company ended the quarter with a strong cash position, providing flexibility for potential investments or buybacks.
📉 Sequential Weakness and Outlook
Despite YoY profit growth, the company faced sequential weakness:
- Revenue fell 1.6% QoQ
- Net profit declined by 6.7% QoQ
Wipro attributed this to seasonal softness and continued caution in discretionary IT spending. The company provided a Q2 FY26 revenue guidance of -1% to +1% in constant currency, suggesting a flat to slightly positive outlook for the next quarter.
💬 CEO Srini Pallia’s Remarks
CEO Srini Pallia, who took over the helm in early 2025, emphasized that the company is undergoing a strategic pivot. His focus is on:
- Building a consulting-driven approach
- Deepening AI and automation capabilities
- Increasing wallet share with existing clients
- Strengthening leadership in cloud, cybersecurity, and data services
Pallia remains cautiously optimistic about the second half of the fiscal year, driven by strong deal momentum and client demand for efficiency-focused digital transformation.
🧠 Analyst Reactions and Market Impact
Analysts largely welcomed Wipro’s earnings performance, particularly the:
- Strong deal wins
- Expanding margins
- Focus on AI-led transformation
Wipro shares gained nearly 4% post-Wipro Q1 Results, outperforming peers like TCS and Infosys, which had reported softer-than-expected numbers. Some brokerages upgraded their ratings for Wipro, citing margin improvements and robust booking momentum.
🔮 The Road Ahead
Wipro enters the rest of FY26 with a mix of challenges and opportunities. On the one hand, the macro environment remains uncertain, and discretionary spending is slow.
On the other hand, the company’s transformation efforts, combined with strong bookings and a growing AI portfolio, position it for medium-term growth.
Key strategic focus areas include:
- AI-Powered Solutions – Delivering value across automation, customer insights, and cloud integration.
- Large Account Expansion – Deepening partnerships with global clients.
- Talent Upskilling – Building AI, cloud, and cybersecurity capabilities in its workforce.
- Operational Efficiency – Further improving margins through digital tools and streamlined delivery.
📌 Conclusion
Wipro Q1 Results reflect a resilient and disciplined performance. The 11% YoY profit growth in a challenging business environment shows the effectiveness of its cost management and strategic reorientation.
While the revenue remains flat for now, the record-breaking $5 billion in deal bookings offers confidence in future growth. If the company successfully executes its AI and consulting-led strategy, it could emerge as a frontrunner among Indian IT firms navigating global headwinds.
The road ahead may be cautious, but Wipro appears better equipped than before—with focused leadership, strong bookings, and operational discipline.
