Slide 1: Presentation to Investors Jul-Sep 2009
Wipro Limited Presentation to Investors Jul-Sep, 2009 1
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 •What is our track record on performance? •What is the overall Market Opportunity? •What differentiates us today? •What is our strategy to remain differentiated tomorrow? 3
Slide 4: Wipro has grown revenue at a 34% CAGR and Net Income at a 30% CAGR
Wipro Ltd has grown revenue at a 34%* CAGR and Net Income at a 30%* CAGR for the last 5 years 1. Incorporated in 1945 – Businesses include • IT Business; • Consumer Care & Lighting; • Infrastructure Engineering 2. Total Employees ~100,000 3. IT Services revenue touches $4.3 billion •Wipro Corporatio
Slide 5: Wipro's IT Services Business has grown at a CAGR of 34% in the last 5 years
Wipro’s IT Services Business has grown at a CAGR of 34% in the last 5 years Rev for IT Services IT Services ($M) + Products is 4323 $4.9B in 2008-09 3647 2611 1952 1458 1011 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 Partner to Industry Leaders 840 active global clients as of September 30,
Slide 6: Highlights of the Quarter ended Sept 30, 2009
Highlights of the Quarter ended Sept 30, 2009 Revenue Highlights • Wipro Limited Revenue grew by 6% YoY to Rs. 69.17Bn, 10% sequential growth • IT Services Reported Revenue at $1,065Mn, sequential growth of 3.2%. Constant currency revenue came at $1,052Mn, sequential growth of 1.9% • Among verticals
Slide 7: Agenda
Agenda •What is our track record on performance? •What is the overall Market Opportunity? •What differentiates us today? •What is our strategy to remain differentiated tomorrow? 7
Slide 8: Off-shoring to India Still Remains a Very Small Part of the Overall Spend
Off-shoring to India Still Remains a Very Small Part of the Overall Spend Global Technology Related Spend & India’s Current Exports ($ Billion) 1558 Indian Exports As % of Global Spend 886 ~5% ~11% ~1% ~3% 557 46.3 26.5 115 12.7 7.1 IT Services BPO R&D / Engineering Total 2008 India IT exports FY09
Slide 9: India Off-shoring market is expected to grow at a CAGR of ~13-19% through 2020
India Off-shoring market is expected to grow at a CAGR of ~13-19% through 2020 ~225-310 India’s offshore IT and BPO exports ($B) With Focused CAGR of Initiatives 29% ~175 & Innovation ~60 46.3 25.0 40.3 12.8 31.4 10.9 23.6 8.4 With Current 17.7 6.3 Initiatives 4.6 34.5 35.0 6.2 29.4 23.0 0.9 13.1 17
Slide 10: Agenda
Agenda •What is our track record on performance? •What is the overall Market Opportunity? •What differentiates us today? •What is our strategy to remain differentiated tomorrow? 10
Slide 11: What differentiates Wipro today?
What differentiates Wipro today? 1• Broad based portfolio across Verticals, Geographies, Service Lines and Customers 2• Strong ($1B) and Established (20+ years) presence in some of the key growth markets – India & Middle East 3• A complete, integrated portfolio of services 4• Leadership in R&D – wor
Slide 12: Strength of a broad based portfolio
1 Strength of a broad based portfolio Revenue contribution of Top Vertical Distribution customers for Q2’09-10 Technology, Media 9.0% & Telecom 26.4% Customer Concentration (% of revenue) Financial Services 15.2% Top customer 2.7% Manufacturing Top 5 11.3% 8.1% Healthcare & Services Top 10 19.7% Ret
Slide 13: India & Middle East – A comprehensive IT Services Portfolio
2 India & Middle East – A comprehensive IT Services Portfolio 1. Revenue of Rs. 47 billion ($1.1 billion*) ;Yoy Consulting Process, IT Governance, e- revenue growth of 34% and EBIT growth of 35% Governance, Security, Strategic Cost Reduction 2. Leadership position in India, pioneer in Middle Busines
Slide 14: Global TOS – A complete, integrated portfolio of services
3 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 Sys Services Hosting Services Services Mgmt Services Integration • Transformational Outsourcing IFOX Chan
Slide 15: Leadership in R&D
4 Leadership in R&D Leadership in R&D business Revenue of $867 million for 2008-09 18000+ 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 th
Slide 16: Agenda
Agenda •What is our track record on performance? •What is the overall Market Opportunity? •What differentiates us today? •What is our strategy to remain differentiated tomorrow? 16
Slide 17: How do we see the Market Evolving?
How do we see the Market Evolving? The only constant is change 1.Reducing the structural cost of IT will be among the top CIO priorities 2. Move from Information Technology to Business Technology offerings with increased focus on transformation through consulting, system integration Changing 3. IT c
Slide 18: We continue to invest in our people, in our capabilities and in new technologies
We continue to invest in our people, in our capabilities and in new technologies while always keeping the customer first Horizon – 1 Horizon – 2 Horizon – 3 12-18 months 15-36 months 24-48 months Focus on new Business Models/Technologies - Cloud, Automation, etc Build Deliver & Expand Transformation
Slide 19: We will execute on our strategy by driving 5 key tracks
We will execute on our strategy by driving 5 key tracks 1• Incubation 2• Globalization 3• Adaptation 4• Game Changers 5• Account Focus 19
Slide 20: Incubation: Investing early for a strong future
1 Incubation: Investing early for a strong future Horizon – 2 • Services: Productized • Domains: Healthcare 15-36 months Services/ solutions • Services: • Markets: Latam Security, Productized • Technology: Tech Services • Domains: themes ( Cloud/ Green • Markets: India- ME Defense, Homeland Security
Slide 21: Globalization – Continue to globalize our markets, delivery centers, teams and leadership
2 Globalization – Continue to globalize our markets, delivery centers, teams and leadership • HORIZON 1 • Scaling up our Strategic Delivery Centers e.g. Atlanta, China • Hiring and building of Best in Class Global Leadership • HORIZON 2 • Focus on Localization • HORIZON 3 • Focus on developing New M
Slide 22: Adaptation: Continue to evolve to meet customer needs
3 Adaptation: Continue to evolve to meet customer needs over time as well across Industries and verticals • HORIZON 1 • Build the Factory Model • Focus on building Flexible Models (activity based), CIGMA* (Process Based); GCC* • HORIZON 2 • Continue to build IP’s, Solutions, Frameworks • Offer Produ
Slide 23: Game Changers: Focus on Large Deals through investments in Consulting
4 Game Changers: Focus on ‘Large Deals’ through investments in Consulting and our Global Programs Team Consulting 1. Consulting aligned to accelerate growth GEO GO-TO-MARKET CONSULTING 2. Dedicated MEGA / GAMA account alignment Upstream Business Transformation SERVICES 3. Single services channel for
Slide 24: Game Changers: Continued focus on our M&A strategy and Mega Alliances
4 Game Changers: Continued focus on our M&A strategy and Mega Alliances M&A Strategy 1. Infocrossing 1. Enhancing domain and technology competence • Infocrossing’s Pan-US Local Hosting Capabilities with a Managed Services Layer providing a significant 2. Expanding Service Line portfolio competitive
Slide 25: Account Focus
5 ACCOUNT FOCUS Client Engagement Manager (CEM) leads the account with full ownership Focus across Service-Lines, Geographies & Verticals to drive growth from MEGA & GAMA Restructure the client-facing team to add domain richness and consulting Account Management include – Account strategy
Slide 26: Annexures
ANNEXURES 26
Slide 27: Highlights for the Quarter ended Sept 30, 2009
Highlights for the Quarter ended Sept 30, 2009 IT Products Wipro Consumer Care and Lighting • IT Products business recorded Revenues of Rs. 11.83 • Consumer Care and Lighting business recorded billion, a growth of 18% YoY Revenues of Rs. 5.87 billion, a growth of 11% YoY • PBIT grew by 39% YoY to Rs
Slide 28: Thank You
Thank You WIPRO Applying Thought 28