Wipro Ltd ( WIT )  stock slid after the company reported second-quarter results.

The company reported gross revenue of 223.0 billion rupees ($2.66 billion), down by 1.0% year-on-year, missing the analyst consensus estimate of $2.67 billion. 

EPS of 7 cents was in line with the analyst consensus estimate.

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IT Services revenue declined by 2.0% Y/Y to $2.66 billion. Adjusted constant currency IT Services segment revenue decreased by 2.3% Y/Y.

IT Services’ operating margin for the quarter was 16.8%, up by 70 bps Y/Y. 

Net income was 32.1 billion rupees ($383.1 million), up 21.3% Y/Y. Operating cash flow was at 42.7 billion rupees ($509.7 million).

Total bookings stood at $3.56 billion, with large deal bookings worth $1.49 billion, up by 16.8% Y/Y.

Bonus Issue: Wipro’s Board recommended issuing bonus shares to shareholders (including stock dividends to ADS holders) in the ratio of 1:1 (1 equity share for every 1 equity share held), subject to shareholder approval.

Srini Pallia, CEO and Managing Director, said, “We continued to expand our top accounts, large deal bookings surpassed $1 billion once again, and Capco maintained its momentum for another consecutive quarter. We grew in three out of four markets, as well as, in BFSI, Consumer and Technology and Communications sectors. We will continue to invest in our clients, our strategic priorities, and building a strong AI powered Wipro.”

Q3 Outlook: Wipro ( WIT ) expects IT Services business revenue of $2.607 billion – $2.660 billion, (-2.0)% to (+0.0)% Q/Q in constant currency terms. 

Wipro ( WIT ) stock is up 32% in the last 12 months.

Price Action: WIT stock was down 1.87% to $6.30 premarket at last check Thursday.

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