Wipro Limited · NSE:WIPRO
Wipro — Q4 FY2009-10 Earnings Presentation
30 slides from Wipro's earnings presentation, April 2010
Slide 1: Presentation to Investors Jan-Mar, 2010
Wipro Limited Presentation to Investors Jan-Mar, 2010 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 Vision? •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: Vision and Objectives Statement
Agenda 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 relevan
Slide 5: Agenda
Agenda •What is our Vision? •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? 5
Slide 6: Wipro has grown revenue at a 29% CAGR and Net Income at 28% CAGR
Wipro Ltd has grown revenue at a 29% CAGR and Net Income at a 28% CAGR for the last 6 years 1.Incorporated in 1945 5,762 5,881 – Businesses include 4,963 • IT Business; • Consumer 3,325 Care & 2,391 Lighting; 1,820 1,270 816 880 996 • Infrastructure 363 465 652 223 Engineering 2003-04 2004-05 2005-0
Slide 7: 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 Revenue For IT Services + Products is $5.2 billion 4,323 4,390 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 845 active global clients as of March 31, 2
Slide 8: Highlights of the Quarter ended March 31, 2010
Highlights of the Quarter ended March 31, 2010 Revenue Highlights • Wipro Limited Revenue grew by 8% YoY to Rs. 69.83Bn • Constant currency IT Services Revenue came at $1,180 Mn, sequential growth of 4.7%. IT Services Reported Revenue at $1,166Mn, sequential growth of 3.5%. • Strong Seq growth acros
Slide 9: Agenda
Agenda •What is our Vision? •What is our track record on performance? •What is the overall Market Opportunity? •What differentiates us today? •What is our strategy to remain differentiated tomorrow? 9
Slide 10: Off-shoring to India Still Remains a Very Small Part of the Overall Spend
Off-shoring to India Still Remains a Very Small Part of the Overall Spend Global Technology Related Spend & India‟s Current Exports ($ Billion) Indian Exports As 1558 % 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 11: 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 With Focused CAGR of ~175 Initiatives 22% & Innovation ~56-57 47.1 49.7* 40.3 12.4 11.7 31.4 10.9 23.6 8.4 57.0 17.7 6.3 37.3 35.4 With Current 4.6 29.4 23.0 Initiatives 1
Slide 12: Agenda
Agenda •What is our Vision? •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? 12
Slide 13: 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 14: Strength of a broad based portfolio
Strength of a broad based portfolio Revenue contribution of Top customers for Q4‟09-10 Vertical Distribution 10% Technology, Media & Customer Concentration (% of revenue) 26% Telecom 15% Financial Services Top customer 2.5% Manufacturing Top 5 10.5% Healthcare & 9% Services Top 10 19.3% Retail & Tra
Slide 15: India & Middle East – A comprehensive IT Services Portfolio
India & Middle East – A comprehensive IT Services Portfolio 1. Revenue upwards of a billion dollars Consulting Process, IT Governance, e- Governance, Security, Strategic 2. Leadership position in India, pioneer in Cost Reduction Middle East Business Package Application, Business 3. Best of breed par
Slide 16: 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 Main- & Managed Managed Support Service Security frame Sys Services Hosting Services Mgmt Services Services Integration • Transformational Outsourcing IFOX Chang
Slide 17: Leadership in R&D
Leadership in R&D Leadership in R&D business 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 this differentiated capability with lot of
Slide 18: 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? 18
Slide 19: Our Strategy is aligned to the needs of the 21st century corporation
Our Strategy is aligned to the needs of the 21st century corporation Expectations of the 21st Century Wipro Strategy Corporation Transformation Partner Building SI & Transformational Capability One Who Enabled by • Enables business outcomes 1. Client Engagement Program rather than offering services
Slide 20: Structured and focused client engagement program
1 Structured and focused client engagement program CEM as CEO of Sales Process the Account Excellence Large Account focus MEGA & GAMMA PROGRAM Advisor Consulting led Relationships Transformational Engagements 20
Slide 21: Domains and Solutions
2 Domains and Solutions • Business Advisory Groups in SBUs Building Domain • Domain flavors for Service Competency Lines • Continue strong focus on Package Apps • Vertical/Horizontal Specific Solutions and Stacks Productized Solutions • E.g. - Sustainable Manufacturing, Telecom Stacks, Smart Meterin
Slide 22: Technology Investments
3 Technology Investments Transforming enterprise applications & infrastructure Cloud Environments 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 23: Stacks and Cloud
4 Stacks and Cloud Strategy Initiative • Create complete stacks with STACK vendors – Wipro to own process and provide services around stack • Best of breed System Integration (SI) services • Leverage Mega alliances (Cisco, approach Microsoft, EMC, SAP, Oracle) – to create and address opportunities a
Slide 24: Growth Engine
5 Growth Engine • Incubate high growth • Public Sector/Govt in geographies like China, US, Europe(UK) & APAC. Latin America, Africas • Leverage India experience Government New / Public Geographies Sector Inorganic Horizon Growth Initiatives • Continue to invest Strategy • Focused initiatives with in
Slide 25: Operational Excellence
6 Operational Excellence • Alternative Commercial • Flex Delivery Models • Differentiated Service • Lifecycle Accelerators Offerings – Business • IP/ Frameworks/ Platforms Solutions • IP/ Frameworks/ Non Differentiated Solutions Linearity Delivery • Flex Delivery Paradigms Employee Globalization • U
Slide 26: In Summary
In Summary New Normal 21st Century Corporation Investing to meet the needs of tomorrow Domains Technology Markets Govt Stacks / Cloud China Industry/ Green Latam Horizontal Collaboration Africas Solutions 26
Slide 27: Full Year Highlights and Key Highlights of Other Businesses
Fully Year Highlights and Key Highlights of Other Businesses 27
Slide 28: 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 29: Highlights – Other Businesses for the Quarter Ended March, 2010
Highlights – Other Businesses for the Quarter Ended March 31, 2010 Wipro Consumer Care and Lighting (WCCL) • Consumer Care and Lighting business recorded Revenues of Rs. 6.08 billion, an increase of 27% YoY and PBIT of Rs. 807 million, an increase of 16% YoY. • International Business had a great qua
Slide 30: Thank You
WIPRO Applying Thought Thank You 30