Wipro Limited Q3 FY23 Earnings Conference Call Insights

Key highlights from Wipro Limited (WIPRO) Q3 FY23 Earnings Concall

Management Update:

• [00:04:04] WIPRO delivered its highest ever bookings quarter in total contract value terms.

• [00:15:19] WIPRO’s attrition dropped for the fourth straight quarter with attrition dropping to 21% on a TTM basis in 3Q23.

Q&A Highlights:

• [00:26:57] Mukul Garg from Motilal Oswal asked about the drivers of flattening employee cost over the last few quarters. Jatin Dalal CFO answered that the main reason is WIPRO has improved managing its supply chain. Secondly, attrition is lower. And thirdly, WIPRO has released a lot of efficiency gains from its fixed priced projects.

• [00:31:19] Gaurav Rateria from Morgan Stanley enquired about the percentage of renewals in TCV and if it’s consistent for last few quarters. Thierry Delaporte CEO answered that there is a healthy balance between the new and renewals.

• [00:38:30] Nitin Padmanabhan with Investec asked about the dynamics at play at Europe and other geographies. Thierry Delaporte CEO said that in Europe the company continues to grow and has nice deals. WIPRO expects to continue to gain market share in Europe.

• [00:43:15] Ravi Menon from Macquarie asked about the deal pipeline, if it could get softer next quarter. Thierry Delaporte CEO said that WIPRO believes it will be another solid quarter in terms of bookings.

• [00:53:49] Manik Taneja of Axis Capital asked about the margin improvement trajectory and the timeline WIPRO will be getting back to 18%,19% EBIT margin. Jatin Dalal CFO said WIPRO made substantive move in margin in 3Q and WIPRO will protect this base going forward. However, these are not the margins WIPRO is satisfied with.

• [00:58:11] Dipesh Mehta from Emkay Global asked about the gross deal cancellation or termination in the quarter. Thierry Delaporte CEO replied that WIPRO has not lost any single client. Also, there has been no termination or anything.