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Wipro Q2 Results Preview: Organic Growth Expected to Trail Largecap Peers Amid Subdued Outlook
- •Wipro is set to report its second quarter results with analysts projecting a 0.9% decline in US dollar revenue to $2,592.2 million.
- •Constant currency growth is expected to drop by 0.75%, while organic constant currency growth may decline by 1.4% sequentially.
- •Profit after tax is anticipated to fall 3.1% to ₹3,248.6 crore, while EBIT margins are projected to remain flat at 16%.
- •The company's performance marks its third consecutive quarter of organic decline, placing it at the lower end of its revenue guidance.
- •Market focus remains heavily on Wipro's upcoming third-quarter guidance and overall strategic outlook.
Key Questions Answered
Analysts polled by CNBC-TV18 project Wipro's US dollar revenue to decline by 0.9% sequentially to $2,592.2 million, while rupee revenue is expected to rise by 1% to ₹24,733 crore. Meanwhile, profit after tax is projected to decline 3.1% to ₹3,248.6 crore.
Wipro's reported constant currency growth is likely to be a negative 0.75%, while organic constant currency growth could be even worse at a negative 1.4% sequentially. This projected organic decline would be the weakest among largecap peers and mark the third consecutive quarter of organic decline for the company.
Wipro's EBIT margin is set to remain unchanged at 16% for the quarter. Additionally, the company's third-quarter revenue guidance is expected to range between 0% to positive 0.5% on the positive side and negative 1.5% to negative 2% on the negative side.
