Wipro in focus: Should you buy, sell, or hold India's fourth-largest IT major's stock after Q4 results? EXPLAINED

Wipro Q4 Results: Wipro shares will be in focus after India's fourth-largest information technology (IT) services company announced its January-March quarter results for fiscal 2024-25 (Q4FY25) on Wednesday, April 16, 2025, reporting a rise of 25.9 per cent in consolidated net profit to ₹3,569.6 crore, compared to ₹2,834.60 crore in the corresponding period last year.

Despite a rise in net profit, the leading IT services major warned of a weak quarter ahead with up to 3.5 per cent expected drop in IT services revenue for Q1FY26, amid global uncertainties. For the current quarter of FY26, Wipro sees IT services business revenue between $2,505 million and $2,557 million, a drop of 1.5-3.5 per cent in constant currency (cc) terms on a sequential basis.

Wipro Q3 Results

Wipro's revenues for the March quarter came in at ₹22,504.2 crore, a marginal increase of 1.33 per cent from ₹22,208.3 crore in Q4 FY24. Wipro's employee count at the end of FY25 stood at 2,33,346. Total attrition rate stood at 15 per cent by the end of the March quarter. Wipro did not specify hiring targets for FY26 but confirmed that it had recruited 10,000 in FY25 as intended.

“We closed FY25 with two mega deal wins, an increase in large deal bookings, and growth in our top accounts. Client satisfaction scores improved, reflecting strong execution and engagement," said Srini Pallia, chief executive officer (CEO) and Managing Director (MD) of Wipro.

"We also continued to invest in our global talent and in strengthening our consulting and AI capabilities. As clients remain cautious in the face of macroeconomic uncertainty, we are focused on partnering closely with them while staying committed to consistent and profitable growth,” Pallia said.

For Q4FY25, total bookings were at $3,955 million, up 13.4 per cent quarter-on-quarter in constant currency. Large deal bookings were at $1,763 million, an increase of 48.5 per cent annually. Wipro said the interim dividend of ₹6 declared by the board on January 17 will be considered as the final dividend for FY25.

Wipro Q4 Results: Should you buy, sell, or hold the stock tomorrow?

D-Street experts sounded alarm of the the global uncertainty triggered by US President Donald Trump's tariffs imposed on nations worldwide, which have raised recession risks and threatened the steady flow from deal bookings for multinationals.

According to Kranthi Bathini, Equity Strategist at WealthMills Securities Pvt Ltd, one needs to be in a wait and watch mode for buying the stock. “There is a lot of global uncertanty due to tariff and US trade policy. Unless one is a long-term investor, I don't see a major reason why one should buy the stock right now”

Bathini added, “There are two ways to look at IT stocks right now. First, the business model of most IT companies are frozen, due to tight budget and the high uncertanty of US economic growth. Second, the upcycle and downcycle witnessed by the IT firms in the last five years, beginning from the pandemic.”

The market expert claimed that the narrative of global trade and uncertainty is changing overnight due to Trump's announcements. “I have never witnessed such a quick changing of narrative, which is impacting the fundamental growth outlook of corporates. The long-term outlook for FY26 is robust, so there's no hurry to buy the stock," said the WealthMills Securities strategist.

"Wipro’s Q1 FY26 revenue guidance signals caution, projecting a 1.5 per cent to 3.5 per cent dip. Investors are eyeing how Wipro navigates macro challenges while leveraging AI and consulting to drive future growth," said Anshul Jain, Head of Research at Lakshmishree Investment and Securities.

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts, consider individual risk tolerance, and conduct thorough research before making investment decisions, as market conditions can change rapidly, and individual circumstances may vary.