Is Pallia's Game Plan For Wipro Working?

Recent deal wins and cost-cutting measures have raised hopes. But the company faces many uncertainties

- Jas Bardia & Varun Sood

Large deal wins at Wipro Ltd, India's fourth-largest IT exporter, are a rare event. But two sizeable contracts in 12 months have made market watchers sit up and take notice.

On 26 March 2025, Wipro Ltd bagged a $650 million contract, spread over 10 years, from UK-based insurance company Phoenix Group, a firm traditionally serviced by Tata Consultancy Services Ltd (TCS), India's largest IT services company.

The Phoenix deal followed another large contract in June 2024. Although Wipro did not name the client, it announced a $500 million, five-year contract, from a communications company based in the US.

Analysts and investors are no doubt wondering if the company's lingering problems of tepid growth are finally solved, under the guardianship of chief executive officer (CEO) Srini Pallia, who completed a year in office on 6 April. He is Wipro's eighth CEO since 2000. Pallia's predecessor, Thierry Delaporte, resigned short of completing his five-year tenure.

Pallia, a veteran with over three decades at Wipro, may have started well, but faces daunting challenges. In the last few years, Wipro's turnaround was hobbled by sweeping cultural changes, falling growth and profitability, a steady stream of senior leadership exits, and underperforming stock.

A lack of mega deals, which are contracts with a value of over $1 billion, compounded by the arrival of generative artificial intelligence, made things worse for the company. Wipro reported a full-year decline in the 12 months through March 2024 and is expected to see its revenue fall again in 2025.

Can the company finally make a turnaround under Pallia?

At least one brokerage proffered caution.