Wipro Q4FY26 earnings in focus: India’s fourth-largest IT services firm, Wipro, is expected to remain on investors’ radar this week as the company is set to announce its January–March quarter (Q4FY26) earnings on Thursday, 16 April. The company will also consider a proposal to buy back equity shares on the same day.
Brokerages expect Wipro to report a weak and mixed quarter, with modest growth largely driven by acquisitions while organic performance remains subdued, margins face pressure from wage hikes and low-margin businesses, and near-term guidance is likely to stay cautious despite a stable deal pipeline and support from currency tailwinds.
Wipro Q4 results 2026 preview
Domestic brokerage firm, Kotak Securities, expects the company’s overall revenue to grow 0.9% quarter-on-quarter (QoQ) in constant currency (CC) terms, which includes a 160-bps contribution from the DTS acquisition. On an organic basis, it projects a revenue decline of 0.7% QoQ and broadly stable EBIT margins.
Headwinds from one month of wage revision and the DTS acquisition are likely to be offset by rupee depreciation. The brokerage expects revenue guidance in the range of -2% to 0% growth. The loss of a large deal and pricing pressure are likely to lead to a weak quarter.
Kotak Securities also noted that Wipro had distributed excess cash in the past through buybacks. Even as the company has increased its dividend payout ratio, the brokerage does not expect any change in its approach to distributing excess cash.
Equiris Securities expects 0.8% QoQ growth in IT services US dollar sales in CC terms, with an organic decline of 0.8% QoQ in CC terms (versus consolidated growth guidance of flat to 2% QoQ in CC terms).
Recurring IT Services EBIT margins are expected to dip 35 bps QoQ due to wage hikes (effective 1 March 2026), large deal ramp-up costs, and full-quarter consolidation of the low-margin Harman DTS M&A (effective early December 2025), which will be partly offset by tailwinds from currency and cost efficiencies.
It expects Wipro to guide for a decline of 1.5% to growth of 0.5% QoQ in IT services US dollar sales in CC terms for Q1FY27E. The brokerage also expects order intake, especially for large deals, to remain healthy, given Wipro’s continued aggressiveness in pursuing large deals.
Axis Securities expects revenue to grow by 3% QoQ, driven by a higher contribution from the Harman acquisition. The EBIT margin is expected to improve by 138 bps QoQ due to higher topline growth and currency tailwinds, despite the impact of wage hikes.
Motilal Oswal expects IT services revenue to report around 1% CC growth, driven by a two-month inorganic contribution from the Harman acquisition, while organic growth may decline by around 0.5% QoQ in Q4.
The brokerage added that BFSI and healthcare segments are likely to remain stable, while the consumer and EMR segments may continue to be impacted by tariff uncertainty and delayed decision-making.
Margins are expected to contract by around 50 bps QoQ to approximately 16% due to dilution from the Harman DTS acquisition, potential wage hikes, and slower growth.
Stock slides 23% YTD, lags Nifty’s 9% decline
Wipro shares have dropped about 23% this year so far, declining from ₹264 apiece to ₹203, while eroding ₹64,311 crore in market value and bringing its total market capitalisation down to ₹2.12 lakh crore.
The decline reflects significant underperformance compared to the 9% fall in the benchmark NSE Nifty 50 Index. Sentiment around the tech services giant has been weighed down by AI developments, including Meta Platforms Inc’s latest model launch and Anthropic’s new tools for building AI agents.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
