On Monday morning trade, Wipro Ltd’s share declined 3 per cent to Rs 493.55, falling 5 per cent from its Rs 519 on the Bombay Stock Exchange (BSE).

In May of FY21, the IT company stock was closed at Rs 477.80 at a 52-week low price. Also, in April, it slipped at 18 per cent compared to a 4 per cent decline in the S&P BSE Sensex.

Wipro’s net profit rose 3.85 per cent year-on-year (YoY) and 4 per cent sequentially to Rs 3,087 crore in Q4FY22. Revenue for the quarter was up 28 per cent YoY at Rs 20,860 crore from the previous year’s Rs 16,245 crore. In dollar terms, the company reported IT services revenue at $2.72 billion, up 3 per cent sequentially. Earnings before interest and margin (EBIT) of IT Services contracted 60bp QoQ to 17 per cent.

In the first quarter of this financial year, the company’s revenue growth has guided between 1 per cent to 3 per cent; in other words, it should be in the range of $2,748 million to $2,803 million. Also, the management will plan for FY23 to grow between 16-18 per cent.

As per Motilal Oswal Financial Services, “We see the muted topline growth guidance for Q1FY23 as disappointing since the expectation was that Wipro’s Q1 seasonality is a thing of the past and it should gain from the strong demand for consulting-led IT services.”