Wipro, India’s third-largest software services exporter, on Wednesday missed expectations with a 1.6% fall in net profit to Rs 2,235 crore during the January-March quarter of 2015-16 against the same quarter last year, on declining margins. due to pressure on margins. The company, however, set a revenue target of $15 billion by 2020.
Analysts were expecting the company to report a net profit of Rs 2,343 crore during the quarter.
Rivals TCS and Infosys both produced forecast-beating fourth-quarter earnings earlier.
Wipro’s revenue, however, rose 12.9% to Rs 13,741.7 crore during the quarter. IT services revenue stood at Rs 12,796.7 crore in January-March against Rs 11,241.7 crore a year ago.
For 2015-16, net profit rose 2.7% to `8,892.2 crore, while revenue grew 9.1% to Rs 51,630.7 crore compared to the last fiscal.
Wipro’s board also approved the share buyback plan. It will buy back 40 million equity share at Rs 625 each, costing the company a maximum of Rs 2,500 crore.