You are here: Home » Markets » News
Business Standard

Wipro, Mindtree trade higher ahead of December quarter results

Shares of Mindtree have surged 13 per cent in December quarter against 6 per cent rise in Nifty50

SI Reporter  |  New Delhi 

Brokers trade at their computer terminals at a stock brokerage firm in Mumbai (

Shares of information technology (IT) companies and were trading higher in the opening deals on Tuesday ahead of their December quarter results of the financial year 2019-20 (FY20) due later in the day.

At 09:20 am, was trading 0.6 per cent higher at Rs 256.45 apiece on the BSE. The stock hit a high of Rs 257.90, up over 1 per cent. was ruling at Rs 848, up 1 per cent. In comparison, the benchmark S&P BSE Sensex was trading 79 points or 0.19 per cent lower at 41,781 levels.

is expected to report revenue growth of around 1.6 per cent on a sequential basis in constant currency (CC) terms, helped by currency tailwind and the acquisition of ITI. In Q3 of FY20, Wipro had guided for 0.8-2.8 per cent revenue growth on a quarter-on-quarter (QoQ) basis in CC terms.

Analysts at ICICI Securities expect the company’s US dollar revenues to increase 1.8 per cent QoQ, with the integration of the ITI acquisition contributing 30 basis points and the ICICI Bank deal contributing nearly 50 bps. Cross-currency is expected to be a tailwind of nearly 30 bps QoQ. In rupee terms, Wipro’s net sales (revenue) during the December quarter are seen at Rs 15,327.6 crore, up 1.3 per cent QoQ and 1.8 per cent on a year-on-year (YoY) basis. The brokerage expects Wipro’s reported net income to be Rs 2,338.2 crore, down 8.4 per cent QoQ and 6.9 per cent YoY. READ MORE

For Mindtree, Nirmal Bang Securities has factored in 3.1 per cent QoQ CC revenue growth and nearly 15 bps cross-currency tailwind which will result in 3.3 per cent growth in US dollar terms. The brokerage sees revenue in US dollar terms at $279.8 million, up 3.3 per cent QoQ and 11.3 per cent YoY. Net sales (revenue) in rupee terms is likely to rise 4.1 per cent QoQ to Rs 1,992.4 crore. On YoY basis, the numbers are expected to grow 11.5 per cent. Reported PAT (profit after tax) or net profit is likely to come in at Rs 163.3 crore, down 14.6 per cent YoY but rise 21 per cent QoQ.

At the bourses, shares of have surged 13 per cent in December quarter against 6 per cent rise in Nifty50 and 0.72 per cent gain in the Nifty IT index.

First Published: Tue, January 14 2020. 09:41 IST
RECOMMENDED FOR YOU