Wipro Q1: consolidated PAT flat at ₹3,356 Cr as margins hit 15-quarter low, misses Street

Wipro's Q1 FY27 (quarter ended 30 June 2026) was a soft, essentially flat print. Consolidated net profit came in at ₹3,356 Cr, up just 0.6% YoY and down 4.7% sequentially, while the headline ₹24,479 Cr revenue (+10.6% YoY) overstates the underlying picture — in constant-currency terms IT-services revenue rose only 0.9% YoY and fell 1.2% QoQ, with the reported INR jump driven almost entirely by ~12% rupee depreciation (realised rate ₹93.5/USD versus the low-80s a year ago). The print undershot the Street, which had pencilled in PAT of roughly ₹3,390–3,460 Cr.

Profitability was the real story. IT-services operating margin dropped to 16.0%, down 130 bps QoQ and 120 bps YoY — a 15-quarter low — and net margin eased to 13.7% from ~15.1% a year earlier. CFO Aparna Iyer attributed the squeeze to continued investment in people and strategic priority areas, flagging 'near-term margin volatility'; the print sits well below management's stated 17–17.5% target band. Segment-wise, Europe (+17% YoY) and APMEA (+25% YoY) carried growth, while Americas 2 (BFSI, energy, manufacturing) was near-flat and saw its segment result fall to ₹987 Cr from ₹1,206 Cr — the main drag on the operating line.

The stock went into the print at ₹180.79, up 3.4% over the past month of trading.

For context: revenue is at a 6-quarter high.

Basic EPS ₹3.20 (+0.6% YoY, −4.2% QoQ).

Demand signals were mixed-to-firm: large-deal bookings rose 12.9% QoQ to $1,626 Mn (13 large deals) even as total bookings slipped 2.4% QoQ in CC to $3,370 Mn. Cash generation stayed strong — operating cash flow of ₹3,288 Cr, 98% of net income — and the board declared a ₹2/share interim dividend (record date 27 July). For Q2 FY27 management guided IT-services CC revenue of −1.5% to +0.5%, i.e. another broadly flat quarter, deferring the margin recovery. No formal Q1 revenue guidance is on our record, but the muted CC print is consistent with the cautious tone struck on the call (neutral sentiment, confident-but-guarded management).