Wipro Limited · NSE:WIPRO
Wipro — Investor Presentation (January 2011)
32 slides from Wipro's investor presentation, Jan 21, 2011
Slide 1: Wipro – Presentation to Investors
Wipro – Presentation to Investors January 21, 2011 © 2011 Wipro Ltd - Confidential
Slide 2: Safe Harbor
Safe Harbor This presentation may contain certain “forward looking” statements, which involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those that may be projected by these forward looking statements. These uncertainties have been de
Slide 3: Agenda
Agenda 1 Our Vision? 2 Our track record on performance 3 Overall Market Opportunity 4 Our differentiation today 5 Strategy to remain differentiated tomorrow 3 © © 2011 2009 Wipro Wipro Ltd Ltd -- Confidential Confidential
Slide 4: Our Vision
Our Vision 4 © 2011 Wipro Ltd - Confidential
Slide 5: Our Vision
Our Vision VISION STATEMENT To be among the Top 10 Global IT & Business Process Outsourcing Services OBJECTIVES STATEMENT 1. Be a Trusted Partner to our clients by providing Transformation and SI Services. 2. Achieve Thought Leadership in emerging Technology areas. 3. Be perceived as a leader by rel
Slide 6: Track Record on Performance
Track Record on Performance 6 © 2011 Wipro Ltd - Confidential
Slide 7: Wipro Ltd has grown revenue at a 29% CAGR and Net Income at a 28% CAGR
Wipro Ltd has grown revenue at a 29% CAGR and Net Income at a 28% CAGR for the last 6 years 5,762 5,881 4,963 3,325 2,391 1,820 1,270 996 652 816 880 223 363 465 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 Revenue(in $ Mn.) Net Income(in $ Mn.) 1 Incorporated in 1945 Wipro Corporation
Slide 8: Wipro's IT Services Business has grown at a CAGR of 28% in the last 6 years
Wipro‟s IT Services Business has grown at a CAGR of 28% in the last 6 years IT Services ($ Mn.) Revenue For IT Services + Products is $5.2 billion 4,390 4,323 3,647 2,611 1,952 1,458 1,011 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 Partner to Industry Leaders Global footprint Diverse ta
Slide 9: Highlights of the Quarter ended December 31, 2010
Highlights of the Quarter ended December 31, 2010 Revenue Highlights Wipro Limited Revenue grew by 12% YoY to Rs. 78.29Bn IT Services Revenue at $1,344 Mn, sequential growth of 5.6%. Constant Currency IT Services Revenue was $1,325 Mn Strong Seq. growth across verticals – Energy and Utilities
Slide 10: Overall Market Opportunity
Overall Market Opportunity 10 © 2011 Wipro Ltd - Confidential
Slide 11: Indian IT Industry Today
Indian IT Industry Today Indian IT-BPO Sector1: Revenue Aggregate and Share of GDP 60 6% 6.10% 7.00% 5.20% 5.50% 50 6.00% 4.60% 47.5 50.1 4.10% 5.00% 40 3.60% 40.9 31.7 4.00% 30 24.2 23 22 21.9 3.00% 18.2 16.2 20 13.4 13.2 9.9 2.00% 8.2 10 1.00% 0 0.00% FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY20
Slide 12: India Off-shoring market is expected to grow at a CAGR of ~13-20% through 2020
India Off-shoring market is expected to grow at a CAGR of ~13-20% through 2020 India‟s offshore IT and BPO exports ($B) ~ 225-310 CAGR With 22% Focused ~175 Initiatives & Innovation ~ 56-57 47.1 49.7* 40.3 31.4 With 23.6 Current 17.7 Initiatives Long Term Fundamentals of the India Off- CAGR of 13% t
Slide 13: Our Differentiation Today
Our Differentiation Today 13 © 2011 Wipro Ltd - Confidential
Slide 14: What differentiates Wipro today?
What differentiates Wipro today? Broad based portfolio across Verticals, Geographies, 1 Service Lines and Customers Strong ($1B) and Established (20+ years) presence in 2 some of the key growth markets – India & Middle East 3 A complete, integrated portfolio of services Leadership in R&D – w
Slide 15: Strength of a broad based portfolio
Strength of a broad based portfolio Vertical Distribution Revenue contribution of Top customers for Q3’10-11 Energy & Utilities 10% Technology, Media Retail & Transportation & Telecom Diversified Vertical Customer Concentration (% of revenue) 15% 24% portfolio, with no Healthcare & Top customer 3%
Slide 16: India & Middle East – A comprehensive IT Services Portfolio
India & Middle East – A comprehensive IT Services Portfolio 1. Revenue upwards of a billion dollars Strategic Partnerships 2. Leadership position in India, pioneer in Middle East 3. Best of breed partnerships 4. Transformational customer engagements – Some of the largest deals won by Wipro like Airc
Slide 17: Global TOS – A complete, integrated portfolio of services
Global TOS – A complete, integrated portfolio of services TIS – A Complete Portfolio of Services Consulting Technical Enterprise Managed & Managed Managed Main-frame Support Service Security System Services Hosting Services Services Mgmt Services Integration IFOX Changing the IT landscape of our c
Slide 18: Leadership in R&D
Leadership in R&D Leadership in R&D business 15000+ talent pool engaged in R&D Services Largest player based on headcount World‟s largest independent team of Hardware Design Engineers of 1,900 Leaders in Telecom OEM Addressing new segments through this differentiated capability with lot of
Slide 19: Strategy to remain differentiated tomorrow
Strategy to remain differentiated tomorrow 19 © 2011 Wipro Ltd - Confidential
Slide 20: Our Strategy is aligned to the needs of the 21st century corporation
Our Strategy is aligned to the needs of the 21st century corporation Providing Expectations transforma- of the 21st Wipro tional Century Strategy outcomes to Corporation customers Transformation Partner Building SI & Transformational Capability One Who Enabled by Enables business outcomes rather 1
Slide 21: Structured and focused client engagement program
Structured and focused client engagement 1 program CEM as CEO of the Account Large Consulting CEM as CEO Account focus led of MEGA & Transforma- the Account GAMMA tional PROGRAM Engagements Advisor Relationships 21 © © 2011 2011 Wipro Wipro Ltd Ltd -- Confidential Confidential
Slide 22: Domains and Solutions
2 Domains and Solutions Building Domain Competency Business Advisory Groups in SBUs Domain flavors for Service Lines Solutions and Stacks Continue strong focus on Package Apps Vertical/Horizontal Specific Productized Solutions E.g. - Sustainable Manufacturing, Telecom Stacks, Smart Meterin
Slide 23: Technology Investments
3 Technology Investments Cloud Environments Transforming enterprise applications & infrastructure to operate in hybrid cloud Collaboration Deliver business process efficiency & enhanced user experience for global enterprises Green Technologies Achieve sustainability goals of enterprises using a comb
Slide 24: Stacks and Cloud
4 Stacks and Cloud Strategy Initiative STACK Create complete stacks with vendors – Wipro to own process and provide Best of breed System Integration (SI) services around stack services approach Leverage Mega alliances (Cisco, Microsoft, EMC, SAP, Oracle) – to create and address opportunities a
Slide 25: Growth Engine
5 Growth Engine • Incubate high growth • Public Sector/Govt in geographies like China, US, Europe(UK) & Latin America, Africas APAC. • Leverage India New Government/ experience Geographies Public Sector Inorganic Horizon Growth • Continue to invest Strategy Initiatives • Focused initiatives with in
Slide 26: Operational Excellence
6 Operational Excellence • Alternative Commercial Models • Flex Delivery • Differentiated Service • Lifecycle Accelerators Offerings – Business • IP/ Frameworks/ Platforms Solutions Non Differentiated • IP/ Frameworks/ Delivery Solutions Linearity Paradigms • Flex Delivery Employee Globalization • U
Slide 27: In Summary
In Summary New Normal 21st Century Corporation Investing to meet the needs of tomorrow Technology Markets Domains Stacks / Cloud China Govt Industry/ Green Latam Horizontal Collaboration Africas Solutions 27 © © 2011 2011 Wipro Wipro Ltd Ltd -- Confidential Confidential
Slide 28: Full Year Highlights and Key Highlights of Other Businesses
Full Year Highlights and Key Highlights of Other Businesses 28 © 2011 Wipro Ltd - Confidential
Slide 29: Highlights for the year ended March 31, 2010
Highlights for the year ended March 31, 2010 Revenue Highlights Wipro Limited Revenue grew by 6% YoY to Rs. 271Bn Constant currency IT Services Revenue was $4,399 Mn,YoY growth of 1.8%. IT Services Reported Revenue at $4,390Mn, a YoY growth of 1.6%. Operational Highlights Profit After Tax was
Slide 30: Highlights – Other Businesses for the Quarter Ended December 31, 2010
Highlights – Other Businesses for the Quarter Ended December 31, 2010 Wipro Consumer Care and Lighting (WCCL) 1. Our thrust in rural areas has helped to grow well in Santoor. In Yardley we have been able to transition our brand successfully to attract the youth - See good potential in the brand. 2.
Slide 31: Key Financial Ratios
Key Financial Ratios Ratios Mar-10 Mar-09 Mar-08 Mar-07 Mar-06 Financial Performance - Growth(%) Revenue 6 28 33 41 30 Profit Before Interest and Tax 18 25 16 35 24 Profit After Tax 19 19 12 42 27 Financial Position Cash and Investments to Capital Employed 43 36 34 53 58 Current Ratio 2.13 1.72 2.12
Slide 32: Thank You
Thank You © 2011 Wipro Ltd - Confidential