Wipro Delivers Resilient Performance Amidst Geopolitical Uncertainties
The company's Q4 25/26 earnings press conference highlighted its ability to navigate a challenging environment marked by geopolitical uncertainties. Despite these headwinds, IT spending has shown resilience, with cloud, data, and AI continuing to attract investments.
CEO Srinivas Pallia emphasized that the company is making decisive investments to thrive in an AI-first world. This strategic approach enabled Wipro to deliver a sequential growth of 0.2% in its IT services revenue for Q4, reaching $2.65 billion. While this represents a year-on-year degrowth of 0.2%, it demonstrates the company's ability to adapt and evolve.
The operating margins came in at 17.3%, a contraction of 30 basis points sequentially. However, order booking for Q4 was at $3.5 billion, reflecting growth of 3.2% sequentially and a degrowth of 13.9% on a year-on-year basis. This suggests that the company is generating robust demand, particularly from large deals.
Notably, Wipro closed 14 large deals totaling $1.4 billion this quarter. For the full year, IT services revenues were $10.5 billion, reflecting a year-on-year degrowth of 1.6%. The operating margin was at 17.2%, an expansion of 15 basis points as compared to FY 2025.
The company's strategic market units also showed resilience, with Americas 1 delivering sequential and year-over-year growth. Although the healthcare sector in this region was impacted by seasonality and policy changes, Wipro is seeing strong performance in consumer, technology, and communications sectors.
In contrast, Americas 2 declined sequentially and on a year-over-year basis, primarily due to delayed ramp-ups on large deals closed earlier this year and client-specific issues. Europe remained flat on a year-over-year basis but showed growth in the U.K., particularly in the BFSI sector. APMEA region delivered sequential and year-over-year growth, driven by Southeast Asia.
A notable highlight is Wipro's strategic deal with Olam Group, expected to exceed $1 billion in contract value with a committed spend of $800 million. This agreement will drive end-to-end transformation across the farm-to-fork value chain, enhancing operational effectiveness and scalable growth for the client. As part of this agreement, Wipro acquired Mindsprint, Olam's IT and digital arm.
Wipro also closed several strategic engagements with global technology leaders to drive AI at scale. These partnerships demonstrate the company's ability to deliver specialized engineering services that accelerate product development and manufacturing across complex hardware platforms.
