Wipro Ltd.'s American Depository Receipts (ADR) saw a decline of over 2% in pre-opening trade on the New York Stock Exchange (NYSE) following the release of its fourth-quarter (Q4 FY26) financial results. The dip, which saw the ADR trading at $2.22, is primarily attributed to the company's cautious revenue guidance for the upcoming quarter.
For the quarter ending June 30, 2026 (Q1 FY27), Wipro has projected sequential revenue growth in constant currency (CC) terms to be in the range of -2.0% to 0%. This outlook indicates weaker demand visibility in the near term, prompting investor concern.
Q4 FY26 Financial Highlights
For the March 2026 quarter (Q4 FY26), Wipro reported a net income of Rs 3,500 crore, marking a year-on-year (YoY) decline of 1.9%. Despite this, the company's gross revenue rose by 7.7% YoY, reaching Rs 24,240 crore. The IT services operating margin for Q4 FY26 stood at 17.3%, a slight decrease of 0.2% compared to the previous year.
Management Commentary and Strategic Moves
Srini Pallia, CEO and Managing Director, highlighted the company's strategic response to industry shifts. "Advancements in AI are reshaping client priorities and creating new opportunities for us to partner more deeply to deliver value-driven outcomes," Pallia stated. He added that Wipro is pivoting to a "services-as-a-software model" through its AI Native Business & Platforms unit to strengthen its position in an AI-first world, citing a strategic deal with the Olam Group as an example of these investments.
Aparna Iyer, Chief Financial Officer, emphasized the company's robust cash conversion. "Our cash conversion continues to remain strong with operating cash flows at 112.6% of net income for FY'26," Iyer noted. She also confirmed that the Board of Directors has announced a share buyback program of Rs 15,000 crore at a price of Rs 250 per share, pending shareholder approval, underscoring the company's commitment to returning value to shareholders.