1. Opening Hook
Wipro just celebrated 80 years of existence and 25 years on the NYSE, so naturally the stock market expected fireworks. Instead, it got… cautious optimism with AI buzzwords sprinkled generously.
Q3FY26 was that awkward family function where everyone says “things are improving,” but nobody mentions timelines. Revenues inched up, margins behaved, deals were signed—and yet growth still needs “a few quarters.”
Management insists AI is now a boardroom obsession, clients are serious, and Wipro is perfectly positioned. Investors, meanwhile, are asking the same old question in a new AI accent: “But when does revenue actually show up?”
Stick around. The good stuff is hidden behind phrases like vendor consolidation, delayed ramp-ups, and six-quarter deal cycles. It gets more interesting—and more corporate—later.
2. At a Glance
- IT Services revenue +1.4% QoQ (CC): Growth crawled in, not sprinted.
- Revenue $2.64 bn: Respectable, but still allergic to acceleration.
- Operating margin 17.6%: Best in 7 quarters—cost discipline still Wipro’s true superpower.
- TCV $3.3 bn: Deal machine working overtime, billing machine taking naps.
- Large deals $871 mn: Sales team delivered, execution still warming up.
- EPS ₹3.21: Up QoQ, flat YoY—profits playing defense.
3. Management’s Key Commentary
“AI is now a board-level mandate led by CEOs.”
(Translation: Budgets exist, but approvals come after six committees 😏)
“Growth was
broad-based across markets and sectors.”
(Except where it wasn’t—Americas 2 and EMR say hello)
“We closed $3.3 billion in total contract value.”
(Signing ceremonies done, revenue recognition pending)
“Wipro Intelligence is a unified AI-powered transformation approach.”
(New umbrella brand for everything AI we already did)
“Clients are bringing us in much earlier.”
(But paying us much later)
“Margins expanded 40 bps QoQ.”
(Cost control > topline growth, again 😌)
“Ramp-ups are delayed, not cancelled.”
(Classic IT services reassurance—frame it, reuse it)
4. Numbers Decoded
Metric Q3FY26 What It Really Means
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Revenue (IT Services) $2.64 bn Stable, not exciting
QoQ Growth (CC) +1.4% Organic growth still soft
Operating Margin 17.6% Efficiency carrying earnings
Net Profit ₹33.6 bn Flat YoY despite margin help
Large Deal Wins $871 mn Hope deferred, not denied
Q4 Guidance 0%–2% (CC) Wide range, low confidence
Margins did the heavy lifting. Growth politely watched.
5.
