EX-99.6 7 d263503dex996.htm EX-99.6 EX-99.6

Exhibit 99.6

Wipro Limited

Results for the Quarter ended September 30, 2016

Operating Metrics Pertaining to IT Services Segment

A. IT Services

 

        FY 16-17     FY 15-16  
        Q2     Q1     FY     Q4     Q3     Q2     Q1  

Revenue & OM%

  IT Services Revenues ($M)     1,916.3        1,930.8        7,346.3        1,882.0        1,838.3        1,831.9        1,794.1   
  Sequential Growth     -0.8     2.6     3.7     2.4     0.3     2.1     1.1
 

Sequential Growth in Constant Currency*

    0.9     2.0     7.6     2.7     1.4     3.1     0.2
  Operating Margin%**     17.8     17.8     20.2     19.7     19.9     20.4     20.7

Service Line MIx

  Practices^              
  Analytics     7.3     7.4     7.4     7.2     7.4     7.5     7.5
  Application Services     43.8     44.7     46.6     45.3     46.7     46.8     47.5
  Business Process Services     13.4     12.9     9.8     10.6     9.8     9.8     9.3
  Global Infrastructure Services     28.2     27.9     28.3     28.9     28.1     28.0     28.0
  Product Engineering     7.3     7.1     7.9     8.0     8.0     7.9     7.7

SBU MIx

  Strategic Business Units***              
  Communications     7.5     7.6     7.6     7.7     7.7     7.6     7.4
  Consumer     15.7     15.8     16.3     16.4     16.5     16.2     16.2
 

Energy, Natural Resources & Utilities

    12.9     13.2     14.6     14.0     14.4     14.7     15.2
  Finance Solutions     25.5     25.6     26.3     25.4     26.2     26.7     26.8
 

Healthcare, Life Sciences & Services

    16.0     15.3     12.0     13.3     12.0     11.4     11.2
  Manufacturing & Technology     22.4     22.5     23.2     23.2     23.2     23.4     23.2

Geography MIx

  Geography              
  Americas     54.8     53.5     52.7     52.5     52.8     53.0     52.5
 

APAC and Other Emerging Markets

    10.8     10.7     11.2     10.9     11.4     11.2     11.3
  Europe     24.0     25.4     25.3     25.6     24.8     25.2     25.6
  India & Middle East business     10.4     10.4     10.8     11.0     11.0     10.6     10.6

Guidance

  Guidance ($MN)     1,931-1,950        1,901-1,939          1,875-1,912        1,841-1,878        1,821-1,857        1,765-1,793   
 

Guidance restated based on actual currency realized ($MN)

    1,899-1,918        1,912-1,950          1,869-1,906        1,821-1,858        1,803-1,839        1,781-1,809   
  IT Services Revenues ($M)     1,916.3        1,930.8        7,346.3        1,882.0        1,838.3        1,831.9        1,794.1   

Customer Relationships

 

Customer size distribution (TTM)

             
  > $100M     8        9        9        9        9        10        10   
  > $75M     19        19        18        18        17        17        17   
  > $50M     33        33        33        33        32        31        30   
  > $20M     91        91        89        89        85        85        86   
  > $10M     171        170        160        160        154        154        151   
  > $5M     258        252        248        248        247        244        244   
  > $3M     341        336        331        331        325        321        314   
  > $1M     571        565        550        550        536        533        537   
 

Revenue from Existing customers %

    98.6     99.7     98.1     96.5     97.9     98.5     99.6
  Number of new customers     47        50        261        119        39        67        36   
Customer Metrics  

Total Number of active customers

    1180        1208        1223        1223        1105        1100        1071   
 

 

Customer Concentration

             
  Top customer     2.6     2.5     3.1     2.7     3.2     3.1     3.3
  Top 5     10.1     10.3     11.6     11.0     11.5     11.7     12.2
  Top 10     17.5     17.6     19.3     18.2     19.3     19.8     20.1

 

* Constant currency revenues for a period is the product of volumes in that period times the average actual exchange rate of the corresponding comparative period.
** Effective April 1, 2016, the segment results is measured after including the amortization charge for acquired intangibles to the respective segments. Such costs were classified under reconciling items till the year ended March 31, 2016. Comparative information has been restated to give effect to the same.
*** Effective April 1, 2016, we realigned our industry verticals. The Communication Service Provider business unit was regrouped from the former GMT industry vertical into a new industry vertical named “Communications”. The Media business unit from the former GMT industry vertical has been realigned with the former RCTG industry vertical which has been renamed as “Consumer Business Unit” industry vertical. Further, the Network Equipment Provider business unit of the former GMT industry vertical has been realigned with the Manufacturing industry vertical to form the “Manufacturing and Technology” industry vertical.
^ We have re-classified some portions of work amongst Service lines effective April 1, 2016 and therefore the growth rates (YoY) may not be comparable.

 

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        FY 16-17     FY 15-16  
        Q2     Q1     FY     Q4     Q3     Q2     Q1  

Currency Mix

 

% of Revenue

             
 

USD

    61     60     60     60     60     60     61
 

GBP

    10     11     12     11     12     13     14
 

EUR

    9     9     8     9     8     8     7
 

INR

    8     8     7     7     7     7     6
 

AUD

    4     4     4     4     4     4     4
 

CAD

    2     2     2     2     2     2     2
 

Others

    6     6     7     7     7     6     6

Employee Metrics

 

 

Closing Head Count - IT Services

    174,238        173,863        172,912        172,912        170,664        168,396        161,789   
 

 

Utilization

             
 

(IT Services excl BPS, IFOX, Designit, cellent, HPS and India & Middle East)

             
 

Gross Utilization

    71.2     69.9     68.8     68.1     66.4     69.5     71.3
 

Net Utilization (excl Support)

    80.2     78.8     76.6     76.1     73.8     77.2     79.4
 

Net Utilization (Excluding Trainees)

    82.8     79.7     79.9     77.5     78.0     82.3     81.9
 

 

Attrition

             
 

IT Services excl BPS, Designit, cellent and HPS

             
 

Voluntary TTM

    16.6     16.5     16.1     16.1     16.3     16.3     16.4
 

Voluntary Quarterly Annualized

    17.2     17.9     16.1     14.9     16.3     17.0     16.4
 

BPS % - Quarterly

    12.2     11.7     11.0     11.1     9.9     10.2     12.0
 

BPS % - Post Training Quarterly

    10.8     9.0     9.3     9.9     8.8     8.5     9.3
 

 

Sales & Support Staff - IT Services (avg)

    14,543        14,324        13,140        13,737        13,239        13,068        12,517   

B. IT Services (Excluding Infocrossing, BPS, Designit, cellent, HPS and India & Middle East Business)

  

Service delivery

 

Revenue from FPP

    56.4     56.0     55.2     56.9     55.9     53.4     54.5
 

Onsite Revenue - % of Services

    53.9     54.4     54.1     54.2     53.8     53.9     54.6
 

Off shore Revenue - % of Services

    46.1     45.6     45.9     45.8     46.2     46.1     45.4

 

C. Growth Metrics For Quarter ended September 30, 2016   
                 Constant     Constant  
     Seq %     YoY%     Currency     Currency  
         Seq %     YoY %  

IT Services

     -0.8     4.6     0.9     7.2

Verticals

        

Communications

     -1.4     3.7     1.1     8.2

Consumer Business Unit

     -1.0     1.6     0.4     3.7

Energy, Natural Resources & Utilities

     -3.5     -8.2     1.3     -1.8

Finance Solutions

     -1.2     -0.3     0.7     2.8

Healthcare, Life Sciences & Services

     3.9     46.3     4.3     46.9

Manufacturing and Technology

     -1.3     0.3     -1.0     0.5

Geography

        

Americas

     1.6     8.1     1.8     8.4

APAC and Other Emerging Markets

     0.3     1.0     -0.1     0.2

Europe

     -6.0     -0.4     0.3     9.0

India & Middle East business

     -1.1     2.8     -1.1     4.3

Practices^

        

Analytics

     -2.1      

Application Services

     -2.6      

Business Process Services

     3.3      

Global Infrastructure Services

     0.4      

Product Engineering

     0.7      

 

D. Annexure to Datasheet   

Segment-wise breakup of Cost of Revenues, S&M and G&A

Particulars

   Q2 FY 16-17 (INR Mn.)  
   IT
Services
     IT
Products
     Reconciling
Items
     Total  

Cost of revenues

     90,767         7,010         31         97,808   

Selling and marketing expenses

     9,510         128         -24         9,614   

General and administrative expenses

     7,717         826         2         8,545   
  

 

 

    

 

 

    

 

 

    

 

 

 

Total

     107,994         7,964         9         115,967   
  

 

 

    

 

 

    

 

 

    

 

 

 

 

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