On the sales front, Wipro posted a 0.8% sequential de-growth in its IT Services
revenues to US$1,916mn (V/s US$1,921mn expected v/s US$1,931mn in
1QFY2017). In Constant Currency (CC) terms, the company posted a qoq growth
of 0.9%. In terms of verticals, Healthcare, Life Sciences & Services posted a
CC qoq growth of 4.3%; while in terms of geography, US posted a CC qoq
growth of 1.8%. The EBIT margin came in at 15.8% (V/s 15.1% expected), a dip
of 32bps qoq. Consequently, the PAT came in at Rs2,070cr (V/s Rs1,968cr
expected), a growth of 0.9% qoq. On guidance front, the company expects to post
IT Services sales of US$1,916-1,955mn in 3QFY2017, which imply a qoq CC
growth of 0-2%. We recommend a buy on the stock.

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