Wipro stocks declined over 4 per cent after the country’s third-largest software firm said it expects revenue from IT services to remain flat in the July-September quarter.
The company has reported an 18.37 per cent increase in consolidated net profit at Rs 1,580.2 crore for the first quarter ended June 30, 2012.
The scrip opened on a weak note and then slumped 4.33 per cent to Rs 341 on the BSE. Similarly on the NSE, it opened at Rs 353, then sank 4.44 per cent to a low of Rs 340.60.
Analysts attributed the decline in stock to muted IT services revenue guidance.
IT services revenue, which accounted for 78 per cent of the total revenue, grew 30 per cent year-on-year in rupee terms to Rs 8,314 crore.
The company had targeted its IT services revenue to be in the range of $1,520 million to $1,550 million for the April-June 2012 quarter.
For the quarter ending September 30, 2012, the company has maintained its revenue outlook to be in the same range, assuming that the exchange rate of dollar will be at Rs 54.76.