Bengaluru: Software major Wipro reported a 7% year on year(YoY) decline in net profit due to a one-time payout to provision for expenses under India’s updated labour codes. With this Wipro joins TCS and Infosys in reporting a decline in their Q3 FY26 results due to the provisions for gratuity and leave adjustments due to the updated laws.
Wipro’s net profit stood at ₹3,119 crore for the quarter ended December 31, 2025, down from ₹3,357 crore in the same period last year. At the same time, its revenues increased 5.5% to ₹23,821 crore, slightly ahead of market expectations.
Though many clients have been holding off non essential tech spends, some clients have been investing in enhancing their IT infrastructure. The company signed $3.34 billion in large deals, down from $4.69 billion in the previous quarter but higher than the $3.5 billion in the same quarter a year earlier.
“In Q3, we delivered broad-based growth in line with our expectations. As AI becomes a strategic imperative, Wipro Intelligence is emerging as a differentiator and contributed to several wins this quarter. We saw greater adoption of our AI-enabled platforms and solutions, scaled AI-led delivery through WINGS and WEGA, and expanded our innovation network across global locations.” Srini Pallia, CEO and Managing Director, said in a press release.
“Our IT services operating margins at 17.6% expanded both sequentially and on a year-on-year basis. This is our best margin performance in last few years. Our continued focus on execution rigour also reflects in our strong operating cash flow of 135% of net income in Q3. We are also pleased to share that the Board has declared an interim dividend of ₹6 per share which will take the total payout for the year to $1.3 Bn.” Aparna Iyer, Chief Financial Officer, added.
