Wipro's Strategic Shift: AI Innovations Drive Q1 Growth Despite Macro Uncertainties

Wipro, India's fourth-largest IT services firm, reported a 9.8% rise in net profit for Q1 FY26 amid macro uncertainties. The firm significantly boosted large deal bookings, focusing on AI projects. Wipro aims to capitalize on AI investments, ensuring strong positioning for future growth with strategic partnerships.

Wipro, a leading IT services firm based in Bengaluru, has experienced a 9.8% rise in consolidated net profit for the April-June quarter, reaching Rs 3,336.5 crore. This growth comes amidst substantial deal wins despite ongoing macro uncertainties.

Revenue was slightly up at Rs 22,134.6 crore compared to the previous year, though both profit and revenue saw sequential declines. Bookings surged, particularly in large deals, which increased 130.8% year-on-year in constant currency, as the company aligned with shifting client priorities towards AI and technological modernization.

The firm's strategic focus is on AI-driven efficiency, as emphasized by CEO Srini Pallia. Acknowledging the trend of AI projects scaling up, Pallia stressed Wipro's transition toward becoming an AI-centric enterprise. The IT Products and Health segments showed notable growth, while the company's employee count has marginally decreased. Wipro is committed to paying dividends twice a year, with shares slightly down following the results announcement.

(With inputs from agencies.)