A little over two years as the Wipro CEO, Abidali Neemuchwala has managed to turnaround the company through a series of aggressive mergers and acquisitions over the past several months.
His efforts seem to have yielded fruit after Wipro won a $1 billion outsourcing contract from an American company, Alight Solutions, it has acquired. Wipro acquired this company with a captive IT business for $117 million on Friday, the company confirmed in a press statement.
This new acquisition, industry sources said would bring in an additional revenue of $70 million per annum to Wipro. This is good news for the company and its employees as the firm had been struggling of late with problems with clients.
The company, however, reported significant gains from its banking, financial services and insurance business as demand for these was strong. This BSFI sector today amounted to 30 per cent of the company's revenues and its performance on the profit front beat analysts' forecasts by recording a two per cent increase in net profit.
Bengaluru-based Wipro said it expected revenue from its key IT services business for the quarter ending September to be in the range of $2.01 billion to $2.05 billion.
This will also be a large deal for Wipro after almost four years, according to the business daily.
Neemuchwala is being credited with this turnaround.
When he assumed charge of Wirpo, first as COO in 2015 and later as CEO last year, Neemuchwala was confident of lifting the company on the growth track and pace that would be comparable to the industry standards.
Neemuchwala works out of Dallas and had set himself a punishing schedule to overhaul the approach and processes of the company and reworked its business model. It comprised simplifying internal processes, hyper automation and aggressive mergers and acquisition. Slowly, the strategy began to show results.
Wipro has managed to improve its dollar growth and was poised to regain its position as the leader in the industry, company officials said with an optimism that augurs well for the company that has lived through four tough years on a trot.
