Wipro stock dips 4.3% on weak guidance

Company's muted Q4 showing disappoints brokerages

- RAM PRASAD SAHU

A muted revenue performance in the fourth quarter of 2024-25 (Q4FY25), weak guidance, and a cut in earnings estimates led to a 6 per cent intraday price fall on Thursday in the stock of Wipro, the fourth-largest Indian software company by market capitalisation. Brokerages have cut their earnings estimates by 3-6 per cent for FY26 and FY27, given the muted Q1FY26 guidance and hazy near-term outlook for the company as well as the software sector. The stock recovered a bit, closing the day at ₹236.9, down 4.3 per cent.

On the revenue front, in constant currency terms, the company posted $2.6 billion, which was 0.8 per cent lower on a sequential basis and missed the flattish performance that the Street was working with. The revenue growth also came in at the lower end of the company's own guidance band of -1 per cent to 1 per cent. Barring energy, manufacturing and resources, all verticals declined, with health care falling the most at 3.1 per cent quarter-on-quarter (Q-o-Q).