Overview of Market Trends

Wipro’s CEO, Thierry Delaporte, observed positive signs of evolution in the IT service market, indicating a potential turnaround. The market has faced challenges with clients scaling back projects and reducing spending. While the situation hasn’t drastically changed, there’s a noticeable shift in the right direction, Delaporte mentioned during the third-quarter earnings conference.

Resilience Amidst Challenges

Despite a 1.7% sequential decline in Q3 constant currency revenues, Wipro’s performance remained at the upper end of its guidance. The company anticipates a better quarter ahead, projecting Q4 revenues to range between -1.5% to 0.5%. Delaporte emphasized the resilience of the organization, highlighting a 16% operating margin for the quarter.

Consulting Business Outlook

Delaporte expressed confidence in the consulting business’s early recovery as the market begins to rebound, citing Wipro’s strong presence in this sector. The company has benefited from vendor consolidation and expanded its business with existing clients, positioning itself for growth opportunities.

Sector-wise Performance

While certain segments, such as healthcare, demonstrated positive sequential growth, others like BFSI, manufacturing, and communications witnessed declines during the quarter. Delaporte noted a decrease in project stallings and emphasized that no projects had been outright canceled.

Talent Management Strategy

Addressing recent leadership exits, Delaporte assured that Wipro is equipped to handle such transitions. The company’s strategy focuses on talent acquisition, development, and investment, leading to some churn as promotions occur. Wipro remains committed to talent growth while respecting individual career aspirations.

Legal Actions and HR Policy

In response to legal actions against former employees and leadership transitions, Wipro’s Chief HR Officer, Saurabh Govil, clarified that such actions are driven by contractual obligations rather than opposition to individual career paths. The company maintains a stable approach to talent management amidst organizational changes.