Tech Explained: Here’s a simplified explanation of the latest technology update around Tech Explained: Wipro Posts Flat Growth, Tech Mahindra Surges on AI Deals in Simple Termsand what it means for users..
Wipro Navigates Slow Growth
Wipro reported revenue of $2.6 billion for the December quarter. This marks a marginal 0.2% increase year-on-year and a 1.2% sequential rise. In constant currency terms, revenue grew 1.4% sequentially but declined 1.2% year-on-year.
CEO Srini Pallia noted that excluding the Harman DTS acquisition, revenue grew 0.6% sequentially in constant currency. Growth was broad-based across three of four markets and four of five sectors. Americas 1 showed gains, driven by healthcare and consumer sectors, while Europe grew sequentially due to a mega deal ramp-up. BFSI continues to demonstrate strong traction.
Operating margins for the quarter reached 17.6%, up 40 basis points sequentially. Wipro secured total contract value worth $3.3 billion, including $871 million in large deal bookings. The company forecasts 0% to 2% sequential IT services revenue growth for the March quarter, citing a muted demand environment.
Tech Mahindra Sees Stronger Momentum
Tech Mahindra posted revenue of $1.6 billion in the December quarter, a 1.5% sequential increase and a 2.7% rise year-on-year. In constant currency, revenue grew 1.7% quarter-on-quarter and 1.3% year-on-year.
CEO Mohit Joshi highlighted strong performance across targeted market segments and robust deal momentum. The company secured a strategic, multi-year engagement with a leading European telecom provider, described as one of its largest wins historically.
AI Dominates Future Deal-Making
Joshi emphasized that all large deals are now AI-infused. Tech Mahindra is exploring a separation of pricing for human and digital labor, potentially based on token consumption. This AI focus signals a strategic pivot towards next-generation services in a rapidly evolving technology landscape.