Wipro on Wednesday missed estimates when it reported a 9.27 per cent drop in consolidated net profits for the second quarter September 30.

Net profit of the Bangalore-based firm stood at Rs 2,659 crore against Rs 2,930.7 crore in the same period of the previous year.

Brokerages like Axis Securities had expected the company to post a net profit of Rs 2,800 crore.

During the period, its revenue came in line with analyst projections as it rose to Rs 22,539.7 crore over Rs 19,667.4 crore in the year-ago period.

Wipro’s IT services revenue stood at $2,797.7 million, a rise of 8.4 per cent over the corresponding period in the previous fiscal. This is lower than its earlier guidance of $2,817-2,872 million.

Wipro has now forecast that revenue from its IT services business will come in the range of $2,811-2,853 million in the third quarter of this fiscal.

While this translates to a sequential growth of 0.5-2 per cent, it is lower than analyst expectations of growth of up to 3 per cent.

Thierry Delaporte, CEO and managing director of Wipro, said the strong performance during the quarter has shown that its strategy is yielding the intended results.

“The solid growth in our bookings, large deal signings, and revenues underscores our improved market competitiveness and enhanced value proposition.” “Our ongoing investments in high-growth strategic areas have allowed us to steadily increase our win rate and enhance the quality of our pipeline.”

“As a result of these efforts and our sharp focus on operational excellence, we are now seeing an improvement in our margins We continue to invest in and upskill our talent to stay ahead of our clients’ evolving needs. In the second quarter, we promoted more than 10,000colleagues and increased salaries across bands’’, Delaporte said.

HCL results

HCL Technologies on Wednesday reported a 7 per cent rise in consolidated net profit for the second quarter ended September 30.

The IT services firm posted a net profit of Rs 3,489 crore against Rs 3,259crore in the same period of the previous year.

While these numbers were in line with analyst estimates, HCL Technologies raised the revenue guidance for the year to 13.5-14.5 per cent in constant currency terms from 12-14 percent earlier.

During the quarter, its revenues came in at Rs 24,686crore-a rise of 19.5 per cent over the same period in the previous year.