Indian outsourcer Wipro posted revenue growth of 32 percent in the year ended March 31, but profit growth was slower at 11 percent. The financial results of India's third-largest outsourcer come in the wake of concerns about a slow-down in the US, and the continuing appreciation of the Indian rupee against the U.S. dollar.
Given the uncertainty in the environment, the company remain cautious but resilient, Wipro said Friday.
Wipro posted revenue of 197.43 billion rupees (US$5 billion at the exchange rate on the last day of the fiscal year), and profits of 32.24 billion rupees for the year. Wipro has both a domestic and export business. Its Global IT Services and Products business, which handles most of the outsourcing work for customers abroad, had revenue of 136.28 billion rupees, an increase of 23 percent over the previous year.
The results are based on U.S. generally accepted accounting principles (GAAP).
The company's export business had 82,122 employees as of March 31, which included 61,844 employees in IT Services and 20,278 employees in its BPO (business process outsourcing) business. The company competes for staff and business with multinational services companies like Accenture and IBM, and technology companies like Dell that have set up large delivery operations in India.
As a part of its strategy of building services delivery capabilities from worldwide locations, Wipro added BPO centers in Cebu in the Philippines and Wroclaw in Poland during the year. The company is also setting up a facility in Atlanta, Georgia as customers are demanding that their suppliers set up facilities closer to their sites.
Earlier this week, Infosys Technologies, India's second-largest outsourcer reported revenue and profit growth for the year. But both revenue and profit growth were far lower than in the previous year, because of the economic uncertainty in the U.S. Some analyst firms however say that except for a short-term slowdown, a recession in the U.S. could benefit Indian outsourcers as U.S. companies look to cut costs offshore.
- Sponsored Resource:Are you ready for virtualization? Try the sever assessment tool.
- Sponsored Resource:Stay at home servers. Learn more about a home server for your family.
- Sponsored Resource:Get the communications, data, and security a business needs in one neat package. Learn more.
- Sponsored Resource:Learn more about ultra light notebooks from Asus and the best warranty in the industry.
- Sponsored Resource:Thinking about a new Laptop? Lenovo has models to meet everyone's needs.
- Sponsored Resource:Get the truth about remanufactured ink. Learn more from HP.
- Sponsored Resource:Six smart ways to grow small business IT
News For Your Business
- AT&T Objects to Sprint-Clearwire Deal
- OS X Virus Described
- FCC OKs Sirius Acquisition of XM
- Broadband Innovations, Part 4: The Doctor Isn't In but Can Still See You
- Gateway to Stop Selling PCs Through Web Site
Community Comments