Wipro Navigates Q2 FY26 with Strategic AI Push and Robust Bookings

Wipro Limited has reported its financial performance for the second quarter of fiscal year 2026, ending September 30, 2025, showcasing a quarter marked by strategic advancements in AI and strong deal wins, even as it managed specific industry headwinds. The company's IT services revenue stood at ₹22,640.5 crore, reflecting a sequential growth of 0.7% in reported currency. While the operating margin faced a one-off impact, the adjusted figure demonstrated resilience and a slight year-on-year improvement, underscoring Wipro's focus on operational discipline amidst its growth investments.

The quarter's performance highlights Wipro's dual strategy of driving growth through large deal acquisitions and enhancing efficiency via AI-powered solutions. Total bookings surged by an impressive 30.9% year-on-year in constant currency, reaching $4,688 million. This robust demand is further evidenced by a 90.5$2,853 million. These figures suggest Wipro is effectively capitalizing on market opportunities, particularly the trend of vendor consolidation and clients' increasing need for digital transformation.

Sectoral and Geographical Performance

From a sectoral perspective, Wipro experienced varied performance. The BFSI (Banking, Financial Services, and Insurance) sector showed sequential growth of 2.2%, with management noting a strong pipeline and momentum, particularly in Europe and APMEA. Healthcare also demonstrated resilience with a 3.9% year-on-year growth, benefiting from structural changes driving modernization and cost takeout. However, the Consumer and EMR (Energy, Manufacturing, and Resources) sectors faced challenges, reporting sequential and year-on-year de-growth, primarily due to tariff uncertainties and clients re-evaluating their supply chains. Technology and Communications also saw sequential growth but a year-on-year decline.

Geographically, Americas 1 continued its strong performance, growing 0.5% sequentially and 5% year-on-year, driven by robust activity in Healthcare, Technology, and Communication. Europe returned to sequential growth after several quarters, with the Phoenix deal expected to contribute revenue from Q3. APMEA also delivered strong sequential and year-on-year growth, fueled by results in India, Australia, and Southeast Asia. Americas 2, however, saw a sequential decline.

Strategic Initiatives and Future Outlook

Wipro's strategic focus remains firmly on its 'Consulting-led, AI-powered' approach. The company introduced 'Wipro Intelligence,' a unified suite of AI platforms and solutions designed to help clients scale with confidence in an AI-first world. This initiative aims to embed productivity gains, assure business outcomes, and build responsible AI guardrails across various sectors, with examples like AutoCortex, WealthAI, and Payer AI already showing tangible client benefits. The company's five strategic priorities, including building large accounts, sourcing and winning large deals, differentiating with fields of play, building talent at scale, and client centricity, are all geared towards accelerating execution and driving profitable growth.

Looking ahead, Wipro projects IT services revenue for the quarter ending December 31, 2025, to be in the range of $2,591 million to$2,644 million, translating to a sequential growth of -0.5% to +1.5% in constant currency. Management aims to maintain adjusted operating margins within a narrow band of 17% to 17.5%. Despite the one-off margin impact and sector-specific challenges, the strong bookings and strategic investments in AI position Wipro to convert its robust pipeline into future revenue, reinforcing its commitment to sustained growth and operational excellence.