Exhibit 99.5
WIPRO LIMITED
CIN: L32102KA1945PLC020800 ; Registered Office : Wipro Limited, Doddakannelli, Sarjapur Road, Bengaluru - 560035, India
Website: www.wipro.com ; Email id – info@wipro.com ; Tel: +91-80-2844 0011 ; Fax: +91-80-2844 0054
STATUTORILY AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE THREE AND NINE MONTHS ENDED
DECEMBER 31, 2022 UNDER IFRS (IASB)
(₹ in millions, except share and per share data, unless otherwise stated)
Particulars | Three months ended | Nine months ended | Year ended | |||||||||||||||||||||||
December 31, 2022 | September 30, 2022 | December 31, 2021 | December 31, 2022 | December 31, 2021 | March 31, 2022 | |||||||||||||||||||||
Income from operations | ||||||||||||||||||||||||||
a) Revenue | 232,290 | 225,397 | 203,136 | 672,973 | 582,334 | 790,934 | ||||||||||||||||||||
b) Other operating income | — | — | 14 | — | 2,179 | 2,186 | ||||||||||||||||||||
c) Foreign exchange gains/(losses), net | 1,391 | 1,057 | 1,187 | 3,482 | 3,280 | 4,355 | ||||||||||||||||||||
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I | Total income from operations | 233,681 | 226,454 | 204,337 | 676,455 | 587,793 | 797,475 | |||||||||||||||||||
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Expenses | ||||||||||||||||||||||||||
a) Purchases of stock-in-trade | 1,968 | 1,678 | 2,031 | 6,133 | 5,096 | 6,735 | ||||||||||||||||||||
b) Changes in inventories of finished goods and stock-in-trade | (6 | ) | (333 | ) | (285 | ) | (685 | ) | (69 | ) | (369 | ) | ||||||||||||||
c) Employee benefits expense | 136,173 | 137,261 | 114,860 | 399,568 | 328,773 | 450,075 | ||||||||||||||||||||
d) Depreciation, amortization and impairment expense | 9,229 | 7,969 | 7,459 | 24,936 | 23,566 | 30,911 | ||||||||||||||||||||
e) Sub-contracting and technical fees | 28,486 | 29,131 | 28,190 | 87,071 | 80,086 | 108,589 | ||||||||||||||||||||
f) Facility expenses | 8,018 | 8,178 | 6,352 | 24,072 | 18,222 | 25,269 | ||||||||||||||||||||
g) Travel | 3,773 | 3,037 | 2,281 | 9,880 | 5,361 | 7,320 | ||||||||||||||||||||
h) Communication | 1,467 | 1,496 | 1,391 | 4,506 | 4,371 | 5,760 | ||||||||||||||||||||
i) Legal and professional fees | 2,091 | 2,025 | 2,015 | 5,663 | 5,942 | 7,561 | ||||||||||||||||||||
j) Marketing and brand building | 679 | 644 | 499 | 2,223 | 1,434 | 2,010 | ||||||||||||||||||||
k) Lifetime expected credit loss/ (write-back) | 101 | (79 | ) | (203 | ) | ^ | (408 | ) | (797 | ) | ||||||||||||||||
l) Other expenses | 4,066 | 2,944 | 4,212 | 11,059 | 10,244 | 14,125 | ||||||||||||||||||||
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II | Total expenses | 196,045 | 193,951 | 168,802 | 574,426 | 482,618 | 657,189 | |||||||||||||||||||
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III | Finance expenses | 2,902 | 2,270 | 1,403 | 7,217 | 3,608 | 5,325 | |||||||||||||||||||
IV | Finance and other Income | 4,992 | 4,040 | 3,578 | 12,722 | 12,311 | 16,257 | |||||||||||||||||||
V | Share of net profit/ (loss) of associates accounted for using the equity method | 26 | (72 | ) | 76 | (61 | ) | 73 | 57 | |||||||||||||||||
VI | Profit before tax [I-II-III+IV+V] | 39,752 | 34,201 | 37,786 | 107,473 | 113,951 | 151,275 | |||||||||||||||||||
VII | Tax expense | 9,102 | 7,710 | 8,063 | 24,743 | 22,547 | 28,946 | |||||||||||||||||||
VIII | Profit for the period [VI-VII] | 30,650 | 26,491 | 29,723 | 82,730 | 91,404 | 122,329 | |||||||||||||||||||
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IX | Total other comprehensive income for the period | 5,702 | 2,934 | 1,772 | 10,375 | 7,129 | 11,600 | |||||||||||||||||||
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Total comprehensive income for the period [VIII+IX] | 36,352 | 29,425 | 31,495 | 93,105 | 98,533 | 133,929 | ||||||||||||||||||||
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X | Profit for the period attributable to: | |||||||||||||||||||||||||
Equity holders of the Company | 30,529 | 26,590 | 29,690 | 82,755 | 91,318 | 122,191 | ||||||||||||||||||||
Non-controlling interests | 121 | (99 | ) | 33 | (25 | ) | 86 | 138 | ||||||||||||||||||
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30,650 | 26,491 | 29,723 | 82,730 | 91,404 | 122,329 | |||||||||||||||||||||
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Total comprehensive income for the period attributable to: | ||||||||||||||||||||||||||
Equity holders of the Company | 36,217 | 29,512 | 31,459 | 93,080 | 98,421 | 133,742 | ||||||||||||||||||||
Non-controlling interests | 135 | (87 | ) | 36 | 25 | 112 | 187 | |||||||||||||||||||
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36,352 | 29,425 | 31,495 | 93,105 | 98,533 | 133,929 | |||||||||||||||||||||
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XI | Paid up equity share capital (Par value ₹ 2 per share) | 10,974 | 10,971 | 10,962 | 10,974 | 10,962 | 10,964 | |||||||||||||||||||
XII | Reserves excluding revaluation reserves and Non-controlling interests as per balance sheet | 647,194 | ||||||||||||||||||||||||
XIII | Earnings per share (EPS) | |||||||||||||||||||||||||
(Equity shares of par value of ₹ 2/- each) | ||||||||||||||||||||||||||
(EPS for the three and nine months ended periods is not annualized) | ||||||||||||||||||||||||||
Basic (in ₹) | 5.57 | 4.86 | 5.43 | 15.12 | 16.71 | 22.35 | ||||||||||||||||||||
Diluted (in ₹) | 5.56 | 4.85 | 5.42 | 15.08 | 16.67 | 22.29 |
^ Value is less than 1
1
1. | The audited consolidated financial results of the Company for the three and nine months ended December 31, 2022, have been approved by the Board of Directors of the Company at its meeting held on January 13, 2023. The Company confirms that its statutory auditors, Deloitte Haskins & Sells LLP have issued an audit report with unmodified opinion on the consolidated financial results. |
2. | The above consolidated financial results have been prepared on the basis of the audited interim condensed consolidated financial statements which are prepared in accordance with International Financial Reporting Standards and its interpretations (“IFRS”), as issued by the International Accounting Standards Board (“IASB”). All amounts included in the consolidated financial results (including notes) are reported in millions of Indian rupees (₹ in millions) except share and per share data, unless otherwise stated. |
3. | Estimation uncertainty relating to the global health pandemic on COVID-19 |
In assessing the recoverability of receivables including unbilled receivables, contract assets and contract costs, goodwill, intangible assets, and certain investments, the Company has considered internal and external information up to the date of approval of these consolidated financial results including credit reports and economic forecasts. Based on the current indicators of future economic conditions, the Company expects to recover the carrying amount of these assets.
The Company basis its assessment believes that the probability of the occurrence of forecasted transactions is not impacted by COVID-19. The Company has also considered the effect of changes, if any, in both counterparty credit risk and own credit risk while assessing hedge effectiveness and measuring hedge ineffectiveness and continues to believe that there is no impact on effectiveness of its hedges.
The impact of COVID-19 may be different from what we have estimated as of the date of approval of these consolidated financial results and the Company will continue to closely monitor any material changes to future economic conditions.
4. | List of subsidiaries and investments accounted for using equity method as at December 31, 2022 are provided in the table below: |
Subsidiaries | Subsidiaries | Subsidiaries | Country of | |||
Attune Consulting India Private Limited | India | |||||
Capco Technologies Private Limited | India | |||||
Encore Theme Technologies Private Limited | India | |||||
Wipro Chengdu Limited | China | |||||
Wipro Holdings (UK) Limited | UK | |||||
Designit A/S | Denmark | |||||
Designit Denmark A/S | Denmark | |||||
Designit Germany GmbH | Germany | |||||
Designit Oslo A/S | Norway | |||||
Designit Spain Digital, S.L.U | Spain | |||||
Designit Sweden AB | Sweden | |||||
Designit T.L.V Ltd. | Israel | |||||
Wipro 4C NV | Belgium | |||||
Wipro 4C Consulting France SAS | France | |||||
Wipro 4C Danmark ApS | Denmark | |||||
Wipro 4C Nederland B.V | Netherlands | |||||
Wipro Weare4C UK Limited (1) | UK | |||||
Wipro Bahrain Limited Co. W.L.L | Bahrain | |||||
Wipro Financial Outsourcing Services Limited (Formerly known as Wipro Europe Limited) | UK | |||||
Wipro UK Limited | UK | |||||
Wipro Financial Services UK Limited | UK | |||||
Wipro Gulf LLC | Sultanate of Oman | |||||
Wipro IT Services S.R.L. | Romania | |||||
Wipro HR Services India Private Limited | India | |||||
Wipro IT Services Bangladesh Limited | Bangladesh | |||||
Wipro IT Services UK Societas | UK | |||||
Grove Holdings 2 S.á.r.l | Luxembourg | |||||
Capco Brasil Serviços E Consultoria Em Informática Ltda | Brazil | |||||
The Capital Markets Company BV (3) | Belgium |
2
PT. WT Indonesia | Indonesia | |||||
Rainbow Software LLC | Iraq | |||||
Wipro Arabia Limited (2) | Saudi Arabia | |||||
Women’s Business Park Technologies Limited (2) | Saudi Arabia | |||||
Wipro Doha LLC | Qatar | |||||
Wipro Holdings Hungary Korlátolt Felelősségű Társaság | Hungary | |||||
Wipro Holdings Investment Korlátolt Felelősségű Társaság | Hungary | |||||
Wipro Information Technology Egypt SAE | Egypt | |||||
Wipro Information Technology Netherlands BV. | Netherlands | |||||
Wipro do Brasil Technologia Ltda (1) | Brazil | |||||
Wipro Information Technology Kazakhstan LLP | Kazakhstan | |||||
Wipro Outsourcing Services (Ireland) Limited | Ireland | |||||
Wipro Portugal S.A. (1) | Portugal | |||||
Wipro Solutions Canada Limited | Canada | |||||
Wipro Technologies Limited | Russia | |||||
Wipro Technologies Peru SAC | Peru | |||||
Wipro Technologies W.T. Sociedad Anonima | Costa Rica | |||||
Wipro Technology Chile SPA | Chile | |||||
Wipro IT Service Ukraine, LLC | Ukraine | |||||
Wipro IT Services Poland SP Z.O.O | Poland | |||||
Wipro Technologies Australia Pty Ltd | Australia | |||||
Wipro Ampion Holdings Pty Ltd (1) (Formerly known as Ampion Holdings Pty Ltd) | Australia | |||||
Wipro Technologies SA | Argentina | |||||
Wipro Technologies SA DE CV | Mexico | |||||
Wipro Technologies South Africa (Proprietary) Limited | South Africa | |||||
Wipro Technologies Nigeria Limited | Nigeria | |||||
Wipro Technologies SRL | Romania | |||||
Wipro (Thailand) Co. Limited | Thailand | |||||
Wipro Japan KK | Japan | |||||
Designit Tokyo Co., Ltd. | Japan | |||||
Wipro Networks Pte Limited | Singapore | |||||
Wipro (Dalian) Limited | China | |||||
Wipro Technologies SDN BHD | Malaysia | |||||
Wipro Overseas IT Services Private Limited | India | |||||
Wipro Philippines, Inc. | Philippines | |||||
Wipro Shanghai Limited | China | |||||
Wipro Trademarks Holding Limited | India | |||||
Wipro Travel Services Limited | India | |||||
Wipro VLSI Design Services India Private Limited | India | |||||
Wipro, LLC | USA | |||||
Wipro Gallagher Solutions, LLC | USA | |||||
Wipro Insurance Solutions, LLC | USA | |||||
Wipro IT Services, LLC | USA | |||||
Cardinal US Holdings, Inc.(1) | USA | |||||
Convergence Acceleration Solutions, LLC | USA | |||||
Designit North America, Inc. | USA | |||||
Edgile, LLC | USA | |||||
HealthPlan Services, Inc. (1) | USA | |||||
Infocrossing, LLC | USA | |||||
International TechneGroup Incorporated (1) | USA | |||||
LeanSwift Solutions, Inc.(1) | USA | |||||
Rizing Intermediate Holdings, Inc. (1) | USA | |||||
Wipro Appirio, Inc. (1) | USA | |||||
Wipro Designit Services, Inc. (1) | USA | |||||
Wipro VLSI Design Services, LLC | USA |
3
The Company controls ‘The Wipro SA Broad Based Ownership Scheme Trust’, ‘Wipro SA Broad Based Ownership Scheme SPV (RF) (PTY) LTD’ incorporated in South Africa and Wipro Foundation in India.
(2) | All the above direct subsidiaries are 100% held by the Company except that the Company holds 66.67% of the equity securities of Wipro Arabia Limited and 55% of the equity securities of Women’s Business Park Technologies Limited are held by Wipro Arabia Limited. |
(1) | Step Subsidiary details of Wipro Ampion Holdings Pty Ltd, Cardinal US Holdings, Inc., HealthPlan Services, Inc., International TechneGroup Incorporated, LeanSwift Solutions, Inc., Rizing Intermediate Holdings, Inc., Wipro Appirio, Inc., Wipro Designit Services, Inc., Wipro do Brasil Technologia Ltda, Wipro Portugal S.A and Wipro Weare4C UK Limited are as follows: |
Subsidiaries | Subsidiaries | Subsidiaries | Country of | |||
Wipro Ampion Holdings Pty Ltd (Formerly known as Ampion Holdings Pty Ltd) | Australia | |||||
Wipro Ampion Pty Ltd (Formerly known as Ampion Pty Ltd) | Australia | |||||
Wipro Iris Holdco Pty Ltd (3) (Formerly known as Iris Holdco Pty Ltd) | Australia | |||||
Wipro Revolution IT Pty Ltd (Formerly known as Revolution IT Pty Ltd) | Australia | |||||
Crowdsprint Pty Ltd | Australia | |||||
Wipro Shelde Australia Pty Ltd (Formerly known as Shelde Pty Ltd) | Australia | |||||
Cardinal US Holdings, Inc. | USA | |||||
ATOM Solutions LLC | USA | |||||
Capco Consulting Services LLC | USA | |||||
Capco RISC Consulting LLC | USA | |||||
The Capital Markets Company LLC | USA | |||||
HealthPlan Services, Inc. | USA | |||||
HealthPlan Services Insurance Agency, LLC | USA | |||||
International TechneGroup Incorporated | USA | |||||
International TechneGroup Ltd. | UK | |||||
ITI Proficiency Ltd | Israel | |||||
Wipro Italia S.R.L. | Italy | |||||
MechWorks S.R.L. | Italy | |||||
LeanSwift Solutions, Inc. | USA | |||||
LeanSwift AB | Sweden | |||||
LeanSwift Solutions, LLC | USA | |||||
Rizing Intermediate Holdings, Inc. | USA | |||||
Attune Lanka (Pvt) Ltd | Sri Lanka | |||||
Attune Netherlands B.V. (3) | Netherlands | |||||
Rizing Intermediate LLC (3) | USA | |||||
Wipro Appirio, Inc. | USA | |||||
Wipro Appirio (Ireland) Limited | Ireland | |||||
Wipro Appirio UK Limited | UK | |||||
Wipro Appirio, K.K. | Japan | |||||
Topcoder, LLC. | USA | |||||
Wipro Designit Services, Inc. | USA | |||||
Wipro Designit Services Limited | Ireland | |||||
Wipro do Brasil Technologia Ltda | Brazil | |||||
Wipro do Brasil Servicos Ltda | Brazil | |||||
Wipro Do Brasil Sistemetas De Informatica Ltd | Brazil | |||||
Wipro Portugal S.A. | Portugal | |||||
Wipro Technologies GmbH | Germany | |||||
Wipro Business Solutions GmbH (3) | Germany | |||||
Wipro IT Services Austria GmbH | Austria | |||||
Wipro Weare4C UK Limited | UK | |||||
CloudSocius DMCC | United Arab Emirates |
4
(3) | Step Subsidiary details of Attune Netherlands B.V., Wipro Iris Holdco Pty Ltd, Rizing Intermediate LLC, The Capital Markets Company BV and Wipro Business Solutions GmbH are as follows: |
Subsidiaries | Subsidiaries | Subsidiaries | Country of | |||
Attune Netherlands B.V. | Netherlands | |||||
Attune Australia Pty Ltd | Australia | |||||
Attune Consulting USA, Inc. | USA | |||||
Attune Germany GmbH | Germany | |||||
Attune Italia S.R.L | Italy | |||||
Attune Management LLC | USA | |||||
Attune UK Ltd. | UK | |||||
Wipro Iris Holdco Pty Ltd (Formerly known as Iris Holdco Pty Ltd) | Australia | |||||
Wipro Iris Bidco Pty Ltd (Formerly known as Iris Bidco Pty Ltd) | Australia | |||||
Rizing Intermediate LLC | USA | |||||
Rizing Canada Holdings Corp. | Canada | |||||
Rizing Solutions Canada Inc. | Canada | |||||
Rizing LLC (4) | USA | |||||
The Capital Markets Company BV | Belgium | |||||
CapAfric Consulting (Pty) Ltd | South Africa | |||||
Capco Belgium BV | Belgium | |||||
Capco Consultancy (Malaysia) Sdn. Bhd | Malaysia | |||||
Capco Consultancy (Thailand) Ltd | Thailand | |||||
Capco Consulting Singapore Pte. Ltd | Singapore | |||||
Capco Greece Single Member P.C | Greece | |||||
Capco Poland sp. z.o.o | Poland | |||||
The Capital Markets Company (UK) Ltd | UK | |||||
Capco (UK) 1, Limited | UK | |||||
The Capital Markets Company BV | Netherlands | |||||
The Capital Markets Company GmbH | Germany | |||||
Capco Austria GmbH | Austria | |||||
The Capital Markets Company Limited | Hong Kong | |||||
Capco Consulting Services (Guangzhou) Company Limited | China | |||||
The Capital Markets Company Limited | Canada | |||||
Capco (Canada) GP ULC | Canada | |||||
The Capital Markets Company S.á.r.l | Switzerland | |||||
Andrion AG | Switzerland | |||||
The Capital Markets Company S.A.S | France | |||||
The Capital Markets Company s.r.o | Slovakia | |||||
Wipro Business Solutions GmbH | Germany | |||||
Wipro Technology Solutions S.R.L | Romania |
5
(4) | Step Subsidiary details of Rizing LLC is as follows: |
Subsidiaries | Subsidiaries | Subsidiaries | Country of | |||
Rizing LLC | USA | |||||
Aasonn Philippines Inc. | Philippines | |||||
Rizing B.V. | Netherlands | |||||
Rizing Consulting Ireland Limited | Ireland | |||||
Rizing Consulting Pty Ltd. | Australia | |||||
Rizing Geospatial LLC | USA | |||||
Rizing GmbH | Germany | |||||
Rizing Limited | UK | |||||
Rizing Middle East DMCC | United Arab Emirates | |||||
Rizing Pte Ltd. | Singapore | |||||
Rizing New Zealand Ltd. | New Zealand | |||||
Rizing Philippines Inc. | Philippines | |||||
Rizing SDN BHD | Malaysia | |||||
Rizing Solutions Pty Ltd | Australia | |||||
Synchrony Global SDN BHD | Malaysia | |||||
Vesta Middle East FZE | United Arab Emirates |
As at December 31, 2022, the Company held 43.7% interest in Drivestream Inc., accounted for using the equity method.
The list of controlled trusts and firms are:
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Name of the entity | Country of incorporation | |
Capco (Canada) LP (5) | Canada | |
Wipro Equity Reward Trust | India | |
Wipro Foundation | India |
(5) | The Capital Markets Company Limited (Canada) and Capco (Canada) GP ULC act as Limited and General Partners, respectively. |
5. | Segment Information |
The Company is organized into the following operating segments: IT Services, IT Products and India State Run Enterprise segment (“ISRE”).
IT Services: The IT services segment primarily consists of IT services offerings to customers organized by four Strategic Market Units (“SMUs”) - Americas 1, Americas 2, Europe and Asia Pacific Middle East Africa (“APMEA”). Americas 1 and Americas 2 are primarily organized by industry sector, while Europe and APMEA are organized by countries.
Americas 1 includes the entire business of Latin America (“LATAM”) and the following industry sectors in the United States of America: healthcare and medical devices, consumer goods and life sciences, retail, transportation and services, communications, media and information services, technology products and platforms. Americas 2 includes the entire business in Canada and the following industry sectors in the United States of America: banking, financial services and insurance, manufacturing, hi-tech, energy and utilities. Europe consists of the United Kingdom and Ireland, Switzerland, Germany, Benelux, the Nordics and Southern Europe. APMEA consists of Australia and New Zealand, India, Middle East, South East Asia, Japan and Africa.
Revenue from each customer is attributed to the respective SMUs based on the location of the customer’s primary buying center of such services. With respect to certain strategic global customers, revenue may be generated from multiple countries based on such customer’s buying centers, but the total revenue related to these strategic global customers are attributed to a single SMU based on the geographical location of key decision makers.
Our IT Services segment provides a range of IT and IT enabled services which include digital strategy advisory, customer centric design, technology consulting, IT consulting, custom application design, development, re-engineering and maintenance, systems integration, package implementation, cloud and infrastructure services, business process services, cloud, mobility and analytics services, research and development and hardware and software design.
IT Products: The Company is a value-added reseller of security, packaged and SaaS software for leading international brands. In certain total outsourcing contracts of the IT Services segment, the Company delivers hardware, software products and other related deliverables. Revenue relating to these items is reported as revenue from the sale of IT Products.
ISRE: This segment consists of IT Services offerings to entities and/or departments owned or controlled by Government of India and/or any State Governments.
The Chairman of the Company has been identified as the Chief Operating Decision Maker (“CODM”) as defined by IFRS 8, “Operating Segments”. The Chairman of the Company evaluates the segments based on their revenue growth and operating income.
Assets and liabilities used in the Company’s business are not identified to any of the operating segments, as these are used interchangeably between segments. Management believes that it is currently not practicable to provide segment disclosures relating to total assets and liabilities since a meaningful segregation of the available data is onerous.
6
Information on reportable segments for the three months ended December 31, 2022, September 30, 2022, and December 31, 2021, nine months ended December 31, 2022, December 31, 2021 and year ended March 31, 2022 are as follows:
Particulars | Three months ended | Nine months ended | Year ended | |||||||||||||||||||||
December 31, 2022 | September 30, 2022 | December 31, 2021 | December 31, 2022 | December 31, 2021 | March 31, 2022 | |||||||||||||||||||
Audited | Audited | Audited | Audited | Audited | Audited | |||||||||||||||||||
Revenue | ||||||||||||||||||||||||
IT Services | ||||||||||||||||||||||||
Americas 1 | 67,788 | 65,350 | 56,644 | 194,840 | 159,532 | 217,874 | ||||||||||||||||||
Americas 2 | 71,168 | 70,030 | 61,076 | 207,811 | 175,441 | 239,404 | ||||||||||||||||||
Europe | 66,323 | 62,684 | 59,620 | 189,283 | 172,700 | 233,443 | ||||||||||||||||||
APMEA | 25,278 | 25,565 | 23,596 | 75,100 | 67,543 | 91,103 | ||||||||||||||||||
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Total of IT Services | 230,557 | 223,629 | 200,936 | 667,034 | 575,216 | 781,824 | ||||||||||||||||||
IT Products | 1,721 | 1,249 | 1,767 | 4,916 | 4,972 | 6,173 | ||||||||||||||||||
ISRE | 1,403 | 1,576 | 1,623 | 4,505 | 5,427 | 7,295 | ||||||||||||||||||
Reconciling Items | — | — | (3 | ) | — | (1 | ) | (3 | ) | |||||||||||||||
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Total Revenue | 233,681 | 226,454 | 204,323 | 676,455 | 585,614 | 795,289 | ||||||||||||||||||
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Other operating income | ||||||||||||||||||||||||
IT Services | — | — | 14 | — | 2,179 | 2,186 | ||||||||||||||||||
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Total Other operating income | — | — | 14 | — | 2,179 | 2,186 | ||||||||||||||||||
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Segment Result | ||||||||||||||||||||||||
IT Services | ||||||||||||||||||||||||
Americas 1 | 12,986 | 12,358 | 11,390 | 36,374 | 31,290 | 42,820 | ||||||||||||||||||
Americas 2 | 14,776 | 14,219 | 12,057 | 41,449 | 35,226 | 47,376 | ||||||||||||||||||
Europe | 9,485 | 7,875 | 9,172 | 24,734 | 26,683 | 35,739 | ||||||||||||||||||
APMEA | 2,476 | 2,194 | 2,483 | 6,274 | 8,577 | 10,523 | ||||||||||||||||||
Unallocated | (2,219 | ) | (2,845 | ) | 173 | (5,694 | ) | 73 | 434 | |||||||||||||||
Other operating income | — | — | 14 | — | 2,179 | 2,186 | ||||||||||||||||||
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Total of IT Services | 37,504 | 33,801 | 35,289 | 103,137 | 104,028 | 139,078 | ||||||||||||||||||
IT Products | 41 | (103 | ) | 96 | (117 | ) | 137 | 115 | ||||||||||||||||
ISRE | 102 | 146 | 134 | 421 | 1,002 | 1,173 | ||||||||||||||||||
Reconciling Items | (11 | ) | (1,341 | ) | 16 | (1,412 | ) | 8 | (80 | ) | ||||||||||||||
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Total Segment result | 37,636 | 32,503 | 35,535 | 102,029 | 105,175 | 140,286 | ||||||||||||||||||
Finance expenses | (2,902 | ) | (2,270 | ) | (1,403 | ) | (7,217 | ) | (3,608 | ) | (5,325 | ) | ||||||||||||
Finance and Other Income | 4,992 | 4,040 | 3,578 | 12,722 | 12,311 | 16,257 | ||||||||||||||||||
Share of net profit/ (loss) of associates accounted for using the equity method | 26 | (72 | ) | 76 | (61 | ) | 73 | 57 | ||||||||||||||||
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Profit before tax | 39,752 | 34,201 | 37,786 | 107,473 | 113,951 | 151,275 | ||||||||||||||||||
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Notes:
a) | “Reconciling items” includes elimination of inter-segment transactions and other corporate activities. |
b) | Revenue from sale of Company owned intellectual properties is reported as part of IT Services revenues. |
c) | For the purpose of segment reporting, the Company has included the net impact of foreign exchange in revenues amounting to ₹ 1,391, ₹ 1,057 and ₹ 1,187 for the three months ended December 31, 2022, September 30, 2022, and December 31, 2021 respectively, ₹ 3,482 and ₹ 3,280 for the nine months ended December 31, 2022, December 31, 2021, and ₹ 4,355 for the year ended March 31, 2022, which is reported under foreign exchange gains/(losses), net in the consolidated financial results. |
d) | Other operating income of ₹ Nil, ₹ Nil and ₹ 14 is included as part of IT Services segment results for three months ended December 31, 2022, September 30, 2022, and December 31, 2021 respectively, ₹ Nil and ₹ 2,179 is included as part of IT Services segment results for nine months ended December 31, 2022, December 31, 2021 and ₹ 2,186 for the year ended March 31, 2022 respectively. |
e) | Restructuring cost of ₹ 29, ₹ 1,360 and ₹ Nil is included under Reconciling items for the three months ended December 31, 2022, September 30, 2022 and December 31, 2021 respectively, ₹ 1,389 and ₹ Nil for the nine months ended December 31, 2022, December 31, 2021 respectively, and ₹ Nil for the year ended March 31, 2022. |
f) | Segment results of IT Services segment are after recognition of share-based compensation expense ₹ 1,094, ₹ 1,122 and ₹ 805 for the three months ended December 31, 2022, September 30, 2022, and December 31, 2021, respectively, ₹ 3,661 and ₹ 2,434 for the nine months ended December 31, 2022, December 31, 2021, and ₹ 4,164 for the year ended March 31, 2022 respectively. |
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6. | Business combinations |
Summary of acquisitions during the nine months ended December 31, 2022 is given below:
During the nine months ended December 31, 2022, the Company has completed two business combinations by acquiring 100% equity interest in:
(a) Convergence Acceleration Solutions, LLC (“CAS Group”), a US based consulting and program management company that specialises in driving large-scale business and technology transformation for Fortune 100 communications service providers. The acquisition advances the Company’s strategic consulting capabilities as we help our clients drive large scale business and technology transformation. The acquisition was consummated on April 11, 2022, for a total consideration (upfront cash to acquire control and contingent consideration) of ₹ 5,587.
(b) Rizing Intermediate Holdings, Inc and its subsidiaries (“Rizing”), a global SAP consulting firm with industry expertise and consulting capabilities in enterprise asset management, consumer industries, and human experience management. Rizing complements the Company in capabilities (EAM, HCM and S/4HANA), in industries such as Energy and Utilities, Retail and Consumer Products, Manufacturing and Hi Tech in geographies across North America, Europe, Asia, and Australia. The acquisition was consummated on May 20, 2022, for a total cash consideration of ₹ 43,845.
7. | During the nine months ended December 31, 2022, decline in the revenue and earnings estimates led to revision of recoverable value of customer-relationship intangible assets and marketing related intangible assets recognized on business combinations. Consequently, the Company has recognized impairment charge ₹ 1,166 for the three months and nine months ended December 31, 2022, as part of amortization and impairment. |
8. | On December 21, 2022, the Company sold 100% membership interests in Wipro Opus Risk Solutions LLC for upfront cash consideration of ₹ 53 and recognized a loss of ₹ 9 on disposal. |
9. | Events after the reporting period |
The Board of Directors in their meeting held on January 13, 2023, declared an interim dividend of ₹ 1 /- (USD 0.01) per equity share and ADR (50% on an equity share of par value of ₹ 2 /-)
By order of the Board, | For, Wipro Limited | |
Place: Bengaluru Date: January 13, 2023 | Rishad A. Premji Chairman |
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