Premji optimistic on Indian IT industry prospects in FY 18

“Looking ahead we continue to see a volatile economic environment but the economic prospects for our main countries of exports are a little better," Azim Premji said

By: ENS Economic Bureau | Bengaluru | Published: July 20, 2017 6:35:16 am
Wipro Chief Azim Premji, Azim Premji, Wipro, Business News, Latest Business News, Indian Express, Indian Express News Wipro Chief Azim Premji (PTI Photo)

Wipro chairman Azim Premji has expressed optimism on the prospects of the Indian IT industry for the current fiscal despite global economic volatility, as the sector continues to bet on growing demand for digital technologies. Addressing Wipro’s 71st Annual General Meeting, Premji said, “Looking ahead we continue to see a volatile economic environment but the economic prospects for our main countries of exports are a little better.”

He remarked that the global political uncertainties weighed heavily on the business sentiment impacting the IT industry during FY17. Wipro’s optimism for the current fiscal is derived from the fact that marketplaces are looking to spend on technology as it is becoming a major differentiator.

“Over the last one year, we saw a further evidence of drastic change in expectations and experiences of consumers and business models. Digital is the central element driving this change. We believe that IT services companies are key to deliver digital to enterprises,” Premji said. According to the Wipro chairman, the company’s success will depend on its ability to redefine and align itself with the new global paradigm and the disruptive developments in the industry. Wipro ended FY7 with a consolidated revenue of Rs 55,040 crore recording a growth of 7.4 per cent.

The net profit during this period stood at Rs 8,514 crore, which was a decline of 4.7 per cent. The company is set to announce its first quarter results on Thursday. Premji said the company has made significant strides in preparing itself for the digital change which also included training 39,000 of its employees on these transformational technologies.

For Wipro, the digital ecosystem grew from being 17.5 per cent of its revenues in the first quarter of FY17 to 22.1 per cent of revenues in the fourth quarter. He also stressed on the fact that Wipro has made significant investments both in organic and inorganic fronts for transforming its business offerings to service the new requirements of customers. The Wipro chairman emphasised that the company goes beyond creating just financial capital with value in other spheres such as social, environmental, intellectual and human.

He said the company’s social sphere activities are not just limited to India alone but also to the overseas markets where it has its presence. He cited the example of providing science scholarships in US as a case in point. In the US geography, Wipro has already announced that locals now form over 50 per cent of its US workforce. FE

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