Thoughts on Frontend Development, Jamstack, UI Design & Fintech.
Frontend web developer and UI designer. Currently working on projects related to Jamstack, Gatsby, Ghost, and other Headless CMSs.
Wipro – 2020 Annual Report Takeaways
An IT, consulting and business process services company.
Expected growth in next generation technologies:
5G, Robotics, Blockchain,
Digital strategy and transformation, consulting, IoT
Cloud hosting, cloud migration, App development and maintenance (ADM) DevOps
Key Financial Highlights
Revenue: 61,340.1 cr
Net income: 9,771.8 cr
Operating margin: 17.2%
IT Services Operating Margin: 18.1 %
Net Income Margin: 15.8%
Current ratio: 2.4
Three main business segments – IT services, IT products, ISRE segments.
This includes digital strategy, design, IT consulting, custom application development, maintenance, business process services, hardware and software design.
Application Services: Digital product development and Cloud enterprise platforms.
Cloud and IT infrastructure services, DevOps
Industrial and engineering services
Cybersecurity and risk services
Revenue: 59,404.1 cr Operating margin: 18.1 %
Banking, financial services and insurance (BFSI)
Consumer business unit (CBU)
Energy, natural resources and utilities (ENU)
Focus is on providing IT products as a complement to IT services offerings rather than selling standalone IT products.
Revenue: 1,101 cr (1.8 % of total revenue) Operating margin: -2.6%
ISRE segment consists of IT Services offerings to departments or ministries of the GoI and/or the Indian State Governments, as well as to corporate entities where more than 51% of the paid-up capital is held by the GoI.
Revenue: 840 cr (1.4 % of total revenue) Operating margin: -21.7 %
Key Risks Assessment
Wipro’s 57% of IT services revenue is from Americas, and 24% is from Europe. If economy in these areas remain volatile, then companies in these areas may reduce or postpone their technology spending.
Topcoder: It enables Talent as a service (TaaS).
Top three areas where customers are prioritizing their spending:
Wipro HOLMES: Helps enterprises automate processes and offload specific cognitive tasks to the AI. It helps businesses adopt a hybrid mode of operation i.e., pairing automation and human effort.
Wipro Ventures: It is the investment arm of Wipro investing in early to mid stage startups in enterprise software field.
Disclaimer: This is not an investment advice. This is just research done by me for my own personal investments. I am in no way associated with these companies. Although best efforts are made to ensure that all information published is accurate and up to date, occasionally unintended errors and misprints may occur.
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