{"url_path":"/sec/wit/10-k/2026/item-5","section_key":"item-5","section_title":"Item 5 Operating and Financial Review and Prospects","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-06-02","source_url":"https://www.sec.gov/Archives/edgar/data/1123799/0001193125-26-253514-index.html","accession_number":"0001193125-26-253514","cik":"0001123799","ticker":"WIT","issuer_name":"WIPRO LTD","edgar_url":"https://www.sec.gov/Archives/edgar/data/1123799/0001193125-26-253514-index.html","primary_entity_key":"0001123799","primary_entity_name":"WIPRO LTD"},"word_count":10991,"has_tables":true,"body_markdown":"Item 5. Operating and Financial Review and Prospects\n\nManagement’s Discussion and Analysis of Financial Condition and Results of Operations\n\nThe following discussion and analysis should be read in conjunction with the Consolidated Financial Statements and the notes thereto included in Item 8 of this Annual Report on Form 20-F. This section and other parts of this Annual Report on Form 20-F contain forward-looking statements that involve risks and uncertainties. The forward-looking statements contained herein are identified by the use of terms and phrases such as “ambition,” “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “objectives,” “outlook,” “plan,” “probably,” “project,” “seek,” “target,” “will” and similar terms and phrases. Forward-looking statements are not guarantees of future performance and our actual results may differ significantly from the results discussed in the forward-looking statements. Factors that might cause such differences include, but are not limited to those discussed in the subsection entitled “Risk Factors” above.\n\nOverview\n\nWipro Limited is a leading AI powered technology services and consulting company focused on building innovative solutions that address clients’ most complex digital transformation needs. Leveraging our consulting-led approach and the Wipro Intelligence™ unified suite of AI-powered platforms, solutions and transformative offerings, we help clients realize their boldest ambitions to build intelligent and sustainable businesses. The Wipro Innovation Network, part of the Wipro Intelligence™ suite, underpins our commitment to client-centric co-innovation and co-creation by bringing together capabilities from the innovation labs and partner labs, academia, and global tech communities.\n\nWith over 240,000 dedicated employees across six continents, we deliver on the promise of helping our customers, colleagues and communities thrive in an ever-changing world. Our transformation continues as we become an AI-first organization. With our Wipro Intelligence™ solutions, platforms and innovation network we help our clients unlock business value from AI, all within responsible AI guardrails.\n\nTrend Information\n\nThe business environment demonstrated resilience in the fiscal year 2026, as economic growth became moderated amid declining inflation and evolving trade and geopolitical dynamics. While inflation eased, services inflation remained persistent, resulting in a gradual and uneven pace of monetary policy normalization. Growth in advanced economies remained modest, while emerging economies continued to outperform supported by capital flows, local policies and domestic demand. Supply chains remained under strain due to ongoing geopolitical fragmentation, trade and tariff friction.\n\nEnterprises adopted a cautious approach to discretionary spending, prioritizing cost discipline, productivity improvement, and risk management. Clients increasingly focused on cost takeout initiatives, vendor consolidation, AI-led transformation, impacting decision cycles and deal structures. Demand for technology-led transformation remained resilient where investments were linked to operational efficiency, regulatory compliance, resilience, and customer experience, prioritizing investments in digital, cloud, and AI technologies.\n\nEnterprises globally continued to focus on addressing evolving regulatory requirements and enhancing customer experience. Banking, financial services, and insurance sectors increasingly invested in process and experience‑led innovation to meet rising digital expectations and regulatory scrutiny. Manufacturing, energy, automotive, and consumer sectors focused on efficiency and margin protection through supply chain optimization, asset performance, and automation initiatives. Across industries, heightened cyber risk and regulatory scrutiny sustained demand for cybersecurity, governance, and data protection capabilities.\n\nThese trends resulted in measured but sustained IT spending, with investments increasingly concentrated in foundational and productivity‑enhancing technologies, including cloud platforms, data modernization, AI‑enabled automation, and cybersecurity. As enterprises progressed from pilot deployments to scaled adoption of AI technologies, greater emphasis was placed on governance, cost optimization, and workforce upskilling to support long‑term operational effectiveness.\n\nIT Services\n\nGlobal IT service providers are equipped to support enterprises across various industries with a wide range of offerings for digital transformation cutting across consulting, application development, maintenance and support, R&D, technology infrastructure, and business process services.\n\nAccording to the NASSCOM Report, in fiscal year 2026 global IT services growth will be driven by rising investments in AI deployments & enabling initiatives in data management, legacy modernization, process transformation over the longer term. Growth will be segment-specific driven by depth of industry expertise, advanced AI capabilities and ability to attract AI native talent. Industry strategies are likely to consolidate around core strengths while differentiating through platform‑led offerings, services-to-solutions\n\n-46-\n\n[Table of Contents](#toc_page)\n\n \n\nmodels, outcome‑based pricing, micro‑verticalization, and selective M&A. Hiring will shift from volume to skills, emphasizing AI fluency, domain expertise, and productivity-based workforce models.\n\nWe have defined five strategic priorities to accelerate growth in the IT Services segment: (1) building large accounts in profitable markets, prioritized sectors; (2) sourcing, shaping and winning large deals with a consulting-led, AI-powered approach; (3) differentiating with Wipro Intelligence™; (4) building talent at scale; and (5) five pillars of client centricity. Our growth will be supported by our focus on AI and M&A.\n\nIn fiscal year 2026, our IT Services segment revenue increased by 3.71%. In constant currency, our IT services segment revenue declined by 1.6% for fiscal year 2026 in comparison to fiscal year 2025. Our revenue from top five and top ten IT Services customers increased by 1.2% and 1.1% year-over-year, respectively.\n\nOur large deal (i.e., deals greater than or equal to U.S.$ 30 million in total contract value) order booking in total contract value terms in fiscal year 2026 was U.S.$ 7,829 million as compared to U.S.$ 5,368 million in fiscal year 2025, an increase of 45.8% year-over-year. Our order booking in total contract value terms in fiscal year 2026 was U.S.$ 16,449 million as compared to U.S.$ 14,315 million in fiscal year 2025, an increase of 14.9% year-over-year.\n\nOperating profit as a percentage of revenue in our IT Services segment for the year ended March 31, 2026 was 17.22%. We are focusing on the following levers to improve our operating profit:\n\n \n\n•\nContinuously reviewing our pyramid structure and optimizing span of control of the management team;\n\n•\nUsing next-generation technology including GenAI to drive automation, superior customer experience and maximizing returns;\n\n•\nReskilling and redeploying existing resources and optimizing utilization of our existing talent pool over a variable workforce (i.e., sub-contractors);\n\n•\nOptimizing costs relating to travel, facilities and other discretionary spending like marketing events;\n\n•\nImproving price realization to combat inflationary environment;\n\n•\nDifferentiating our offerings by providing premium services using our consulting-led, AI-powered approach;\n\n•\nAligning our resources to expected demand and pivoting ourselves to meet new opportunities;\n\n•\nMoving towards higher valued transformation projects and reduced low margin projects;\n\n•\nDriving revenue and cost synergies of acquired businesses;\n\n•\nInvesting in non-linearity through our IP portfolio that de-links the linear relationship between revenue and efforts expended; and\n\n•\nOptimizing our support headcount and other administrative overheads.\n\nHowever, we anticipate challenges in improving our operating profits, largely due to the following reasons:\n\n•\nLimited ability of the market to accept increases in prices for our offerings to fully offset incremental costs;\n\n•\nInvestments in acquisitions with onsite capabilities that can potentially contribute to lower margins;\n\n•\nIncreased competitive intensity and elevated customer expectations on productivity due to AI advancements can potentially put pressure on our current revenue base and also result in lower revenue realization in new contracts.\n\n•\nAnnual increases in salaries, progressions and bonuses;\n\n•\nInvestments in consulting talents, domain architects, deep subject-matter experts including AI and diversified local leadership;\n\n•\nLower utilization of our resources arising from a slowdown in the economic environment, resulting in weak demand for our services from customers or a reduction in discretionary spending;\n\n•\nLoss of revenue due to vendor consolidation or insourcing at the customer end; and\n\n•\nThe impact of exchange rate fluctuations on our Indian Rupee realizations.\n\n-47-\n\n[Table of Contents](#toc_page)\n\n \n\nIT Products\n\nAccording to the NASSCOM Report, the revenue for the Indian IT hardware segment is expected to reach U.S.$ 21 billion in fiscal year 2026, with the market estimated to grow by approx. 11% compared to fiscal year 2025, driven by localized innovation, government‑led design and manufacturing initiatives, and expanding digital infrastructure, with additional momentum from electrification, clean‑tech programs, and a deep‑tech ecosystem creating new engineering‑led opportunities.\n\nIn our IT Products segment, we continue to experience pricing pressures due to increased competition among IT companies. Our IT Products segment is subject to seasonal fluctuations. Our IT Products revenue is driven by the capital expenditure budgets and spending patterns of our clients, who often delay or accelerate purchases in reaction to tax depreciation benefits on capital equipment and macroeconomic factors. We provide IT products as a complement to our IT services offerings rather than sell standalone IT products, and our focus continues to be on consulting and digital engagements, with a more selective approach in bidding for system integration engagements. Accordingly, our revenue, operating income and profit for our IT Products segment have varied significantly in the past and we expect that they are likely to vary in the future.\n\nShareholder Returns\n\nWe have always strived to enhance shareholder value for our investors. The Company’s policy has been to provide regular, stable and consistent distributions of return. Effective beginning fiscal year 2026, the capital allocation policy was revised and with this change, the Company expects to return 70% or more of the net income cumulatively over a three-year period through a combination of dividends, special dividends and/or share buyback, subject to applicable laws and requisite approvals, if any.\n\nIssue of Bonus Equity Shares: During the fiscal year ended March 31, 2025, we issued a stock dividend, which is commonly known as an issuance of bonus shares in India, in the proportion of one equity share for every one equity share held (including ADS holders) as of December 3, 2024, the record date fixed for this purpose. This issue of stock dividend was approved by the shareholders of the Company via a resolution dated November 21, 2024. The Company allotted 5,233,369,207 equity shares for the bonus issuance.\n\nCash Dividends: The cash dividend paid for the year ended March 31, 2025 was ₹ 6 per equity share. The cash dividend paid during the year ended March 31, 2026 was an interim dividend of ₹ 5 and ₹ 6 per equity share. The Board recommended the adoption of the aggregate interim dividend of ₹ 11 per equity share as the final dividend for the year ended March 31, 2026.\n\nBuyback of equity shares: In the recently concluded Board meeting on April 16, 2026, the Company's Board approved a buyback proposal, subject to the approval of our shareholders through postal ballot, for purchase by the Company of up to 600,000,000 equity shares of ₹ 2 (U.S.$ 0.02*) each (being 5.7% of total paid-up equity share capital) from the shareholders of the Company on a proportionate basis by way of a tender offer at a price of ₹ 250 (U.S.$ 2.71*) per equity share for an aggregate amount not exceeding ₹ 150,000 million (U.S.$ 1,626 million*), in accordance with the provisions contained in the SEBI (Buy-back of Securities) Regulations, 2018 and the Companies Act, 2013 and rules made thereunder. Transaction costs due on the buyback of equity shares will be paid separately. This proposal was approved by the shareholders of the Company by way of a special resolution dated May 21, 2026, passed through postal ballot by e-voting.\n\n*Based on the certified foreign exchange rates published by the Federal Reserve Board of Governors on April 8, 2026, which was ₹ 92.25 per U.S.$ 1\n\nResults of Operations\n\nThe below discussion of our results of operations omits a comparison of our results for the years ended March 31, 2024 and March 31, 2025. Such omitted discussions can be found in Item 5 of our Annual Report on Form 20-F for the year ended March 31, 2025, filed with the SEC on May 22, 2025.\n\n-48-\n\n[Table of Contents](#toc_page)\n\n \n\nOur revenues and profits for the years ended March 31, 2025 and 2026 are provided below:\n\n \n\n \n\nWipro Limited and subsidiaries\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions, except earnings per share data)\n\n \n\n \n\n \n\n \n\n \n\nRevenue (1)\n\n \n\n \n\n890,916\n\n \n\n \n\n \n\n928,093\n\n \n\n \n\n \n\n4.17\n\n%\n\n \n\nCost of revenue\n\n \n\n \n\n(617,802\n\n)\n\n \n\n \n\n(656,192\n\n)\n\n \n\n \n\n6.21\n\n%\n\n \n\nGross profit\n\n \n\n \n\n273,114\n\n \n\n \n\n \n\n271,901\n\n \n\n \n\n \n\n(0.44\n\n)%\n\n \n\nSelling and marketing expenses\n\n \n\n \n\n(64,378\n\n)\n\n \n\n \n\n(59,216\n\n)\n\n \n\n \n\n(8.02\n\n)%\n\n \n\nGeneral and administrative expenses\n\n \n\n \n\n(57,465\n\n)\n\n \n\n \n\n(61,434\n\n)\n\n \n\n \n\n6.91\n\n%\n\n \n\nOperating income\n\n \n\n \n\n151,271\n\n \n\n \n\n \n\n151,251\n\n \n\n \n\n \n\n(0.01\n\n)%\n\n \n\nProfit attributable to equity holders\n\n \n\n \n\n131,354\n\n \n\n \n\n \n\n131,974\n\n \n\n \n\n \n\n0.47\n\n%\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAs a percentage of revenue:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nSelling and marketing expenses\n\n \n\n \n\n7.23\n\n%\n\n \n\n \n\n6.38\n\n%\n\n \n\n(85)bps\n\n \n\n \n\nGeneral and administrative expenses\n\n \n\n \n\n6.45\n\n%\n\n \n\n \n\n6.62\n\n%\n\n \n\n17bps\n\n \n\n \n\nGross margins\n\n \n\n \n\n30.66\n\n%\n\n \n\n \n\n29.30\n\n%\n\n \n\n(136)bps\n\n \n\n \n\nOperating margin\n\n \n\n \n\n16.98\n\n%\n\n \n\n \n\n16.30\n\n%\n\n \n\n(68)bps\n\n \n\n \n\nEarnings per share\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nBasic\n\n \n\n \n\n12.56\n\n \n\n \n\n \n\n12.60\n\n \n\n \n\n \n\n \n\n \n\nDiluted\n\n \n\n \n\n12.52\n\n \n\n \n\n \n\n12.56\n\n \n\n \n\n \n\n \n\n \n\n \n\n(1)\nFor segment reporting, we have included the impact of exchange rate fluctuations in revenue. Excluding the impact of exchange rate fluctuations, revenue, as reported in our statement of income, is ₹ 890,884 million and ₹ 926,240 million for the years ended March 31, 2025 and 2026, respectively. Please see Note 33 of the Notes to the Consolidated Financial Statements for additional details.\n\n \n\nSegment Information\n\nWe are organized into the following operating segments: IT Services and IT Products.\n\nIT Services: Our IT Services segment is organized in four SMUs - Americas 1, Americas 2, Europe and APMEA.\n\nAmericas 1 and Americas 2 are primarily organized by industry sector, while Europe and APMEA are organized by countries. Americas 1 includes the entire business of LATAM and the following industry sectors in the United States of America: Communication, Media and Networks, Technology Software and Gaming, Technology New Age, Health, and Consumer. Americas 2 includes the entire business in Canada and the following industry sectors in the United States of America: Banking and Financial services, Energy, Manufacturing and Resources, Capital markets and Insurance, and Hi-tech. Europe consists of the United Kingdom and Ireland, Switzerland, Germany and Western Europe. APMEA consists of Australia and New Zealand, Southeast Asia, Japan, India, the Middle East, and Africa.\n\nEffective April 1, 2026 the customers across LATAM and Canada will be aligned with the respective industry sectors in Americas 1 and Americas 2. Additionally, Hi-tech sector and airports as a sub-sector for Americas will be reported under Americas 1.\n\nRevenue from each customer is attributed to the respective SMUs based on the location of the customer’s primary buying center of such services. With respect to certain strategic global customers, revenue may be generated from multiple countries based on such customer’s buying centers, but the total revenue related to these strategic global customers is attributed to a single SMU based on the geographical location of key decision makers.\n\nIT Products: The Company is a value-added reseller of security, packaged and SaaS software for leading international brands. In certain total outsourcing contracts of the IT Services segment, the Company delivers hardware, software products, and other related deliverables. Revenue relating to these items is reported as revenue from the sale of IT Products.\n\n \n\n-49-\n\n[Table of Contents](#toc_page)\n\n \n\nOur revenue and segment results are as follows:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nRevenue:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIT Services\n\n \n\n \n\n888,224\n\n \n\n \n\n \n\n921,153\n\n \n\n \n\n \n\n3.71\n\n%\n\n \n\nIT Products\n\n \n\n \n\n2,692\n\n \n\n \n\n \n\n6,940\n\n \n\n \n\n \n\n157.80\n\n%\n\n \n\nReconciling Items\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n890,916\n\n \n\n \n\n \n\n928,093\n\n \n\n \n\n \n\n4.17\n\n%\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nSegments results:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIT Services\n\n \n\n \n\n151,639\n\n \n\n \n\n \n\n158,646\n\n \n\n \n\n \n\n4.62\n\n%\n\n \n\nIT Products\n\n \n\n \n\n(173\n\n)\n\n \n\n \n\n559\n\n \n\n \n\n \n\n423.12\n\n%\n\n \n\nReconciling Items\n\n \n\n \n\n(195\n\n)\n\n \n\n \n\n(7,954\n\n)\n\n \n\n \n\n(3978.97\n\n)%\n\n \n\n \n\n \n\n151,271\n\n \n\n \n\n \n\n151,251\n\n \n\n \n\n \n\n(0.01\n\n)%\n\n \n\n \n\nAnalysis of Results\n\nResults of operations for the years ended March 31, 2026 and 2025\n\nRevenue: Our revenue increased by 4.17% for fiscal year 2026 compared to fiscal year 2025.\n\nOur IT Services segment revenue increased by 3.71% for fiscal year 2026 compared to fiscal year 2025. This growth was driven primarily by the depreciation of the Indian Rupee against major foreign currencies, including the Euro, Pound Sterling, U.S. Dollar, Australian Dollar, and Canadian Dollar, revenue from acquisitions completed during the year ended March 31, 2026 and an increase in new deal wins, especially large contracts. The growth was impacted by reduction in discretionary spends by our clients arising out of microeconomic challenges and geopolitical dynamics. In constant currency, our IT Services segment revenue declined by 1.6% for fiscal year 2026 in comparison to fiscal year 2025.\n\nRevenue of the IT Products segment increased by 157.80%. This growth was driven by revenue from acquisitions completed during the year and higher revenue from a few select customers in India.\n\nThe table below gives our revenue by country for the years ended March 31, 2025 and 2026:\n\n \n\n \n\nPercentage of revenues\n\n \n\nYear ended March 31,\n\n \n\n2025\n\n \n\n \n\n2026\n\nUnited States of America\n\n \n\n \n\n59\n\n%\n\n \n\n \n\n60\n\n%\n\n \n\nUnited Kingdom\n\n \n\n \n\n11\n\n%\n\n \n\n \n\n10\n\n%\n\n \n\nIndia\n\n \n\n \n\n2\n\n%\n\n \n\n \n\n3\n\n%\n\n \n\nRest of the world\n\n \n\n \n\n28\n\n%\n\n \n\n \n\n27\n\n%\n\n \n\n \n\n-50-\n\n[Table of Contents](#toc_page)\n\n \n\nCost of revenues: Cost of revenues increased by 6.21% in absolute terms. This rise was primarily due to an increase in employee compensation, subcontracting and technical fees, software licenses expenses for internal use, and the cost of hardware and software. Employee compensation increased primarily on account of acquisitions completed during the year ended March 31, 2026, salary increases including promotions, depreciation of the Indian Rupee against major foreign currencies, including the Euro, Pound Sterling, U.S. Dollar, Australian Dollar, and Canadian Dollar and employee restructuring costs incurred in fiscal year 2026. Sub-contracting and technical fees increased primarily on account of costs incurred to fill vacant positions. Higher software expenses for internal use is primarily due to new technology investments made during the year. Increased costs of hardware and software is due to higher product sales. This increase in cost of revenue was partially offset by a decrease in the depreciation charge for our property, plant and equipment and right-of-use assets. The following table presents our cost of revenues:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\nCost of revenues\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nEmployee compensation\n\n \n\n \n\n452,800\n\n \n\n \n\n \n\n480,122\n\n \n\n \n\n \n\n27,322\n\n \n\n \n\n \n\n6.03\n\n%\n\n \n\nCost of hardware and software\n\n \n\n \n\n3,169\n\n \n\n \n\n \n\n5,934\n\n \n\n \n\n \n\n2,765\n\n \n\n \n\n \n\n87.25\n\n%\n\n \n\nSub-contracting and technical fees\n\n \n\n \n\n98,363\n\n \n\n \n\n \n\n105,926\n\n \n\n \n\n \n\n7,563\n\n \n\n \n\n \n\n7.69\n\n%\n\n \n\nTravel\n\n \n\n \n\n7,842\n\n \n\n \n\n \n\n7,996\n\n \n\n \n\n \n\n154\n\n \n\n \n\n \n\n1.96\n\n%\n\n \n\nDepreciation, amortization and impairment\n\n \n\n \n\n19,645\n\n \n\n \n\n \n\n18,135\n\n \n\n \n\n \n\n(1,510\n\n)\n\n \n\n \n\n(7.69\n\n)%\n\n \n\nFacility expenses\n\n \n\n \n\n9,699\n\n \n\n \n\n \n\n9,503\n\n \n\n \n\n \n\n(196\n\n)\n\n \n\n \n\n(2.02\n\n)%\n\n \n\nSoftware license expense for internal use\n\n \n\n \n\n18,183\n\n \n\n \n\n \n\n20,953\n\n \n\n \n\n \n\n2,770\n\n \n\n \n\n \n\n15.23\n\n%\n\n \n\nCommunication\n\n \n\n \n\n2,998\n\n \n\n \n\n \n\n2,687\n\n \n\n \n\n \n\n(311\n\n)\n\n \n\n \n\n(10.37\n\n)%\n\n \n\nOthers\n\n \n\n \n\n5,103\n\n \n\n \n\n \n\n4,936\n\n \n\n \n\n \n\n(167\n\n)\n\n \n\n \n\n(3.27\n\n)%\n\n \n\n \n\n \n\n617,802\n\n \n\n \n\n \n\n656,192\n\n \n\n \n\n \n\n38,390\n\n \n\n \n\n \n\n6.21\n\n%\n\n \n\n \n\nAs a result of the foregoing factors, our gross profit as a percentage of our total revenue decreased by 136 basis points (“bps”).\n\nSelling and marketing expenses: Our selling and marketing expenses as a percentage of total revenue decreased from 7.23% for the year ended March 31, 2025 to 6.38% for the year ended March 31, 2026. In absolute terms, selling and marketing expenses decreased by 8.02% due to a decrease in our total employee compensation costs as a result of lower average headcount and a reduction in per employee cost in fiscal year 2026 as compared to fiscal year 2025, partially offset by the impact of salary increase and promotions and a one-time employee restructuring expense of ₹1,083 million in fiscal year 2026. The following table presents our selling and marketing expenses:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\nSelling and marketing expenses\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nEmployee compensation\n\n \n\n \n\n47,788\n\n \n\n \n\n \n\n43,060\n\n \n\n \n\n \n\n(4,728\n\n)\n\n \n\n \n\n(9.89\n\n)%\n\n \n\nTravel\n\n \n\n \n\n1,899\n\n \n\n \n\n \n\n1,905\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n0.32\n\n%\n\n \n\nDepreciation, amortization and impairment\n\n \n\n \n\n8,285\n\n \n\n \n\n \n\n8,358\n\n \n\n \n\n \n\n73\n\n \n\n \n\n \n\n0.88\n\n%\n\n \n\nFacility expenses\n\n \n\n \n\n961\n\n \n\n \n\n \n\n877\n\n \n\n \n\n \n\n(84\n\n)\n\n \n\n \n\n(8.74\n\n)%\n\n \n\nSoftware license expense for internal use\n\n \n\n \n\n27\n\n \n\n \n\n \n\n26\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(3.70\n\n)%\n\n \n\nCommunication\n\n \n\n \n\n385\n\n \n\n \n\n \n\n413\n\n \n\n \n\n \n\n28\n\n \n\n \n\n \n\n7.27\n\n%\n\n \n\nMarketing and brand building\n\n \n\n \n\n3,591\n\n \n\n \n\n \n\n3,480\n\n \n\n \n\n \n\n(111\n\n)\n\n \n\n \n\n(3.09\n\n)%\n\n \n\nOthers\n\n \n\n \n\n1,442\n\n \n\n \n\n \n\n1,097\n\n \n\n \n\n \n\n(345\n\n)\n\n \n\n \n\n(23.93\n\n)%\n\n \n\n \n\n \n\n64,378\n\n \n\n \n\n \n\n59,216\n\n \n\n \n\n \n\n(5,162\n\n)\n\n \n\n \n\n(8.02\n\n)%\n\n \n\n \n\n-51-\n\n[Table of Contents](#toc_page)\n\n \n\nGeneral and administrative expenses: Our general and administrative expenses as a percentage of total revenue increased from 6.45% for the year ended March 31, 2025, to 6.62% for the year ended March 31, 2026. In absolute terms, general and administrative expenses increased by 6.91%. This was primarily on account of impact of implementation of a new labor code in India (₹ 2,599 million included in employee compensation), an increase in lifetime expected credit loss provisions in fiscal year 2026, and receipt of a one-time insurance claim of ₹ 1,805 million in fiscal year 2025. This increase in expenses was partially offset by a reduction in staff recruitment expenses and reduction in average headcount during the fiscal year 2026 arising out of cost optimization initiatives. The following table presents our general and administrative expenses:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\nGeneral and administrative expenses\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nEmployee compensation\n\n \n\n \n\n32,889\n\n \n\n \n\n \n\n32,673\n\n \n\n \n\n \n\n(216\n\n)\n\n \n\n \n\n(0.66\n\n)%\n\n \n\nTravel\n\n \n\n \n\n4,354\n\n \n\n \n\n \n\n3,981\n\n \n\n \n\n \n\n(373\n\n)\n\n \n\n \n\n(8.57\n\n)%\n\n \n\nFacility expenses\n\n \n\n \n\n5,406\n\n \n\n \n\n \n\n5,506\n\n \n\n \n\n \n\n100\n\n \n\n \n\n \n\n1.85\n\n%\n\n \n\nSoftware license expense for internal use\n\n \n\n \n\n1,128\n\n \n\n \n\n \n\n741\n\n \n\n \n\n \n\n(387\n\n)\n\n \n\n \n\n(34.31\n\n)%\n\n \n\nLegal and professional fees\n\n \n\n \n\n6,523\n\n \n\n \n\n \n\n6,943\n\n \n\n \n\n \n\n420\n\n \n\n \n\n \n\n6.44\n\n%\n\n \n\nStaff recruitment expenses\n\n \n\n \n\n3,799\n\n \n\n \n\n \n\n2,555\n\n \n\n \n\n \n\n(1,244\n\n)\n\n \n\n \n\n(32.75\n\n)%\n\n \n\nLifetime expected credit loss\n\n \n\n \n\n324\n\n \n\n \n\n \n\n2,838\n\n \n\n \n\n \n\n2,514\n\n \n\n \n\n \n\n775.93\n\n%\n\n \n\n(Gain)/loss on sale of property, plant and equipment, net\n\n \n\n \n\n(553\n\n)\n\n \n\n \n\n(272\n\n)\n\n \n\n \n\n281\n\n \n\n \n\n \n\n50.81\n\n%\n\n \n\nOthers\n\n \n\n \n\n3,595\n\n \n\n \n\n \n\n6,469\n\n \n\n \n\n \n\n2,874\n\n \n\n \n\n \n\n79.94\n\n%\n\n \n\n \n\n \n\n57,465\n\n \n\n \n\n \n\n61,434\n\n \n\n \n\n \n\n3,969\n\n \n\n \n\n \n\n6.91\n\n%\n\n \n\n \n\nOperating income: As a result of the foregoing factors, our operating income marginally decreased from ₹ 151,271 million for the year ended March 31, 2025 to ₹ 151,251 million for the year ended March 31, 2026, and our results from operating activities as a percentage of revenue (operating margin) decreased by 68 bps from 16.98% to 16.30%.\n\n \n\nFinance expenses: Our finance expenses decreased from ₹ 14,770 million for the year ended March 31, 2025 to ₹ 14,577 million for the year ended March 31, 2026. The decrease is primarily due to lower loans and borrowings and a gain on remeasurement of written put options which was offset by an increase in interest on lease and tax liability during the year ended March 31, 2026.\n\nFinance and other income: Our finance and other income decreased from ₹ 38,202 million for the year ended March 31, 2025 to ₹ 36,491 million for the year ended March 31, 2026. The decrease is primarily due to a decrease in dividend income of ₹ 2,296 million during the year ended March 31, 2026 compared to the year ended March 31, 2025.\n\nIncome taxes: Our income taxes decreased by ₹ 2,010 million from ₹ 42,777 million for the year ended March 31, 2025 to ₹ 40,767 million for the year ended March 31, 2026, and our effective tax rate decreased from 24.45% for the year ended March 31, 2025 to 23.51% for the year ended March 31, 2026. Please refer to Note 21 of the Notes to the Consolidated Financial Statements for further information.\n\nProfit attributable to non-controlling interest: Our profit attributable to non-controlling interest decreased from ₹ 826 million for the year ended March 31, 2025 to ₹ 681 million for the year ended March 31, 2026.\n\nProfit attributable to equity holders: As a result of the foregoing factors, our profit attributable to equity holders increased by ₹ 620 million or 0.47%, from ₹ 131,354 million for the year ended March 31, 2025 to ₹ 131,974 million for the year ended March 31, 2026.\n\nAnalysis of Revenue and Results by Segment\n\nIT Services\n\nOur IT Services segment provides a range of AI-powered IT and IT-enabled services including AI advisory, industry & functional consulting, AI native development, customer centric design, modernization, custom application development, infrastructure services, cybersecurity services, data and analytics services, business process services, R&D, and hardware and software design. Through AI-powered, consulting-led solutions, we help our clients transform their businesses to drive better efficiencies and generate new growth opportunities.\n\n-52-\n\n[Table of Contents](#toc_page)\n\n \n\nInformation by SMUs for the IT Services segment for the years ended March 31, 2025 and 2026 is as follows:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nRevenue:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIT Services Strategic Market Units\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAmericas 1\n\n \n\n \n\n281,824\n\n \n\n \n\n \n\n305,571\n\n \n\n \n\n \n\n8.43\n\n%\n\n \n\nAmericas 2\n\n \n\n \n\n271,972\n\n \n\n \n\n \n\n269,077\n\n \n\n \n\n \n\n(1.06\n\n)%\n\n \n\nEurope\n\n \n\n \n\n240,077\n\n \n\n \n\n \n\n244,165\n\n \n\n \n\n \n\n1.70\n\n%\n\n \n\nAPMEA\n\n \n\n \n\n94,351\n\n \n\n \n\n \n\n102,340\n\n \n\n \n\n \n\n8.47\n\n%\n\n \n\n \n\n \n\n888,224\n\n \n\n \n\n \n\n921,153\n\n \n\n \n\n \n\n3.71\n\n%\n\n \n\nSegments Result:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIT Services Strategic Market Units\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAmericas 1\n\n \n\n \n\n58,186\n\n \n\n \n\n \n\n62,896\n\n \n\n \n\n \n\n8.09\n\n%\n\n \n\nAmericas 2\n\n \n\n \n\n61,326\n\n \n\n \n\n \n\n53,138\n\n \n\n \n\n \n\n(13.35\n\n)%\n\n \n\nEurope\n\n \n\n \n\n29,434\n\n \n\n \n\n \n\n31,083\n\n \n\n \n\n \n\n5.60\n\n%\n\n \n\nAPMEA\n\n \n\n \n\n12,850\n\n \n\n \n\n \n\n14,955\n\n \n\n \n\n \n\n16.38\n\n%\n\n \n\nUnallocated\n\n \n\n \n\n(10,157\n\n)\n\n \n\n \n\n(3,426\n\n)\n\n \n\n \n\n66.27\n\n%\n\n \n\n \n\n \n\n151,639\n\n \n\n \n\n \n\n158,646\n\n \n\n \n\n \n\n4.62\n\n%\n\n \n\n \n\n \n\nPlease see Note 33 of the Notes to the Consolidated Financial Statements for additional details regarding our operating segments.\n\n \n\nOur IT Services segment accounted for 99.7% and 99.3% of our total revenue for the years ended March 31, 2025 and 2026, respectively and 100.2% and 104.9% of our operating income for the years ended March 31, 2025 and 2026, respectively.\n\nOperating results of the IT Services segment are as follows:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nRevenue (1)\n\n \n\n \n\n888,224\n\n \n\n \n\n \n\n921,153\n\n \n\n \n\n \n\n3.71\n\n%\n\n \n\nCost of revenue\n\n \n\n \n\n(614,754\n\n)\n\n \n\n \n\n(646,024\n\n)\n\n \n\n \n\n5.09\n\n%\n\n \n\nGross profit\n\n \n\n \n\n273,470\n\n \n\n \n\n \n\n275,129\n\n \n\n \n\n \n\n0.61\n\n%\n\n \n\nSelling and marketing expenses\n\n \n\n \n\n(64,305\n\n)\n\n \n\n \n\n(57,988\n\n)\n\n \n\n \n\n(9.82\n\n)%\n\n \n\nGeneral and administrative expenses\n\n \n\n \n\n(57,526\n\n)\n\n \n\n \n\n(58,495\n\n)\n\n \n\n \n\n1.68\n\n%\n\n \n\nSegment results\n\n \n\n \n\n151,639\n\n \n\n \n\n \n\n158,646\n\n \n\n \n\n \n\n4.62\n\n%\n\n \n\nAs a percentage of revenue:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nSelling and marketing expenses\n\n \n\n \n\n7.24\n\n%\n\n \n\n \n\n6.30\n\n%\n\n \n\n(94)bps\n\n \n\n \n\nGeneral and administrative expenses\n\n \n\n \n\n6.48\n\n%\n\n \n\n \n\n6.35\n\n%\n\n \n\n(13)bps\n\n \n\n \n\nGross margins\n\n \n\n \n\n30.79\n\n%\n\n \n\n \n\n29.87\n\n%\n\n \n\n(92)bps\n\n \n\n \n\nSegment results\n\n \n\n \n\n17.07\n\n%\n\n \n\n \n\n17.22\n\n%\n\n \n\n15bps\n\n \n\n \n\n \n\n(1)\nFor the purpose of segment reporting, we have included the impact of exchange rate fluctuations gains/(losses), net amounting to ₹ 32 million and ₹ 1,853 million for the years ended March 31, 2025 and 2026, respectively, in revenue. Please see Note 33 of the Notes to the Consolidated Financial Statements for additional details.\n\nOur IT Services segment revenue increased by 3.71% compared to fiscal year 2025. This growth was driven primarily by the depreciation of the Indian Rupee against major foreign currencies, including the Euro, Pound Sterling, U.S. Dollar, Australian Dollar, and Canadian Dollar, revenue from acquisitions completed during the year ended March 31, 2026 and an increase in new deal wins, especially large contracts. The growth was impacted by reduction in discretionary spends by our clients arising out of microeconomic challenges and geopolitical dynamics.\n\n-53-\n\n[Table of Contents](#toc_page)\n\n \n\nConstant currency (non-IFRS measure): We report revenue growth both in reported currency terms and in constant currency terms. Revenue growth in reported currency terms includes impact of currency fluctuations. We additionally report the revenue growth in constant currency terms which represents the growth in business excluding the impact of currency fluctuations. Constant currency growth is determined by comparing current period revenues in respective local currencies converted using prior-period exchange rates and comparing the same to our prior period reported revenues. In constant currency, our IT services segment revenues declined by 1.6% for fiscal year 2026 in comparison to fiscal year 2025. The performance was impacted by reduction in discretionary spends by our clients arising out of microeconomic challenges and geopolitical situations. Additionally, revenue in Americas 2 was impacted by delayed ramp up in some large deals and certain client specific issues. In constant currency the revenue from Americas 1 and APMEA grew, while revenue from Americas 2 and Europe declined during fiscal 2026.\n\nOur revenue by SMUs within the IT Services segment, expressed in terms of percentages, are provided below:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n \n\nPercentage\nof revenues\n\n \n\n \n\nPercentage\nof revenues\n\n \n\n \n\nStrategic Market Units\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAmericas 1\n\n \n\n \n\n31.7\n\n%\n\n \n\n \n\n33.2\n\n%\n\n \n\nAmericas 2\n\n \n\n \n\n30.6\n\n%\n\n \n\n \n\n29.2\n\n%\n\n \n\nEurope\n\n \n\n \n\n27.1\n\n%\n\n \n\n \n\n26.5\n\n%\n\n \n\nAPMEA\n\n \n\n \n\n10.6\n\n%\n\n \n\n \n\n11.1\n\n%\n\n \n\n \n\nOur IT Services segment revenue by sectors, expressed in terms of percentages, is provided below:\n\n \n\n \n\nYear ended March 31,\n\n \n\n2025\n\n \n\n \n\n2026\n\nSector\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nBanking, Financial Services and Insurance\n\n \n\n \n\n34.3\n\n%\n\n \n\n \n\n34.1\n\n%\n\n \n\nConsumer\n\n \n\n \n\n19.1\n\n%\n\n \n\n \n\n18.4\n\n%\n\n \n\nHealth (1)\n\n \n\n \n\n14.1\n\n%\n\n \n\n \n\n14.5\n\n%\n\n \n\nEnergy, Manufacturing and Resources\n\n \n\n \n\n17.2\n\n%\n\n \n\n \n\n17.0\n\n%\n\n \n\nTechnology and Communications (1)\n\n \n\n \n\n15.3\n\n%\n\n \n\n \n\n16.0\n\n%\n\n \n\n__________________________\n\n(1)\nEffective October 1, 2024, the Company has reorganized its sectors by merging “Technology” and “Communications” into “Technology and Communications” sector, and by merging “Energy, Natural Resources and Utilities” and “Manufacturing” into “Energy, Manufacturing and Resources” sector. Comparative period revenue by sectors information has been restated to give effect to this change.\n\nIT Services results of operations for the years ended March 31, 2026 and 2025\n\nOur gross profit as a percentage of revenue from our IT Services segment decreased by 92 bps. This decline was primarily driven by an increase in employee compensation by ₹ 23,552 million due to the impact of salary increases, including promotions, and increase in average headcount, including through acquisitions completed in fiscal year 2026 as compared to fiscal year 2025. Additionally, incremental sub-contracting costs of ₹ 7,559 million were incurred to fill vacant positions, and software license expenses increased by ₹ 2,529 million for internal use due to the implementation of new technology. Further, the expenses increased on account of depreciation of the Indian Rupee against major foreign currencies, including the Euro, Pound Sterling, U.S. Dollar, Australian Dollar, and Canadian Dollar. This is partially offset by decrease in the depreciation charge for our property, plant and equipment and right-of-use assets of ₹ 1,504 million.\n\nSelling and marketing expenses as a percentage of revenue from our IT Services segment declined from 7.24% for the year ended March 31, 2025 to 6.30% for the year ended March 31, 2026. In absolute terms, these expenses fell by ₹ 6,317 million. Employee compensation costs decreased by ₹ 5,900 million due to lower average headcount and a reduction in per employee cost in fiscal year 2026 as compared to fiscal year 2025 and was partially offset by the impact of salary increase and promotions.\n\nGeneral and administrative expenses as a percentage of revenue from our IT Services segment decreased from 6.48% for the year ended March 31, 2025, to 6.35% for the year ended March 31, 2026. In absolute terms, general and administrative expenses increased by ₹ 969 million. This increase was primarily due to an increase in lifetime expected credit loss of ₹ 2,401 million and receipt of a one-time insurance claim of ₹ 1,805 million in fiscal year 2025. This was partially offset by reduction in total employee compensation costs of ₹ 3,101 million arising out of cost optimization initiatives. in fiscal year 2026 compared to fiscal year 2025. Staff requirement expenses decreased by ₹ 1,244 million during the year ended March 31, 2026.\n\n-54-\n\n[Table of Contents](#toc_page)\n\n \n\nAs a result of the above, segment results as a percentage of our revenue from our IT Services segment increased by 15 bps, from 17.07% to 17.22%. In absolute terms, the segment results of our IT Services segment increased by 4.62%.\n\nOur segment results by SMUs within the IT Services segment, expressed in terms of percentages, are provided below:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\nPercentage of Segment\nresults\n\n \n\n \n\nPercentage of Segment\nresults\n\n \n\nStrategic Market Units\n\n \n\n \n\n \n\n \n\n \n\n \n\nAmericas 1\n\n \n\n \n\n38.4\n\n%\n\n \n\n \n\n39.7\n\n%\n\nAmericas 2\n\n \n\n \n\n40.4\n\n%\n\n \n\n \n\n33.5\n\n%\n\nEurope\n\n \n\n \n\n19.4\n\n%\n\n \n\n \n\n19.6\n\n%\n\nAPMEA\n\n \n\n \n\n8.5\n\n%\n\n \n\n \n\n9.4\n\n%\n\nUnallocated\n\n \n\n \n\n(6.7\n\n)%\n\n \n\n \n\n(2.2\n\n)%\n\nIT Products\n\nOur IT Products segment provides a range of third-party IT products including computing platforms and storage, networking solutions, enterprise information security, and software products such as databases and operating systems. These products allow us to offer comprehensive IT system integration services as a complement to our IT services offerings. Revenue from the hardware products and software licenses sold is recorded under the IT Products segment.\n\nOur IT Products segment accounted for 0.3% and 0.7% of our revenue for the years ended March 31, 2025 and 2026, respectively, and (0.1)% and 0.4% of our operating income for the years ended March 31, 2025 and 2026, respectively.\n\nOperating results of the IT Products segment are as follows:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\n \n\n \n\n \n\n \n\n \n\nRevenue\n\n \n\n \n\n2,692\n\n \n\n \n\n \n\n6,940\n\n \n\n \n\n \n\n157.80\n\n%\n\n \n\nCost of revenue\n\n \n\n \n\n(2,833\n\n)\n\n \n\n \n\n(6,128\n\n)\n\n \n\n \n\n116.31\n\n%\n\n \n\nGross profit/(loss)\n\n \n\n \n\n(141\n\n)\n\n \n\n \n\n812\n\n \n\n \n\n \n\n675.89\n\n%\n\n \n\nSelling and marketing expenses\n\n \n\n \n\n(59\n\n)\n\n \n\n \n\n(175\n\n)\n\n \n\n \n\n196.61\n\n%\n\n \n\nGeneral and administrative (expenses)/credit\n\n \n\n \n\n27\n\n \n\n \n\n \n\n(78\n\n)\n\n \n\n \n\n388.89\n\n%\n\n \n\nSegment results\n\n \n\n \n\n(173\n\n)\n\n \n\n \n\n559\n\n \n\n \n\n \n\n423.12\n\n%\n\n \n\nAs a percentage of revenue:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nSelling and marketing expenses\n\n \n\n \n\n2.19\n\n%\n\n \n\n \n\n2.52\n\n%\n\n \n\n33bps\n\n \n\n \n\nGeneral and administrative expenses/(credit)\n\n \n\n \n\n(1.00\n\n)%\n\n \n\n \n\n1.12\n\n%\n\n \n\n212bps\n\n \n\n \n\nGross margins\n\n \n\n \n\n(5.24\n\n)%\n\n \n\n \n\n11.70\n\n%\n\n \n\n1694bps\n\n \n\n \n\nSegment results\n\n \n\n \n\n(6.43\n\n)%\n\n \n\n \n\n8.05\n\n%\n\n \n\n1448bps\n\n \n\n \n\nIT Products results of operations for the years ended March 31, 2026 and 2025\n\nOur revenue from the IT Products segment increased by 157.80% for the year ended March 31, 2026 compared to our revenue for the year ended March 31, 2025. This growth was primarily driven by revenue from acquisitions completed during the year and higher revenue from a few select customers in India.\n\nOur gross profit as a percentage of our IT Products segment revenue increased by 1694 bps for the year ended March 31, 2026 compared to the year ended March 31, 2025. In absolute terms, gross profit increased by ₹ 953 million primarily due to incremental profit from acquisitions and more profitable contracts executed during the year.\n\nSelling and marketing expenses as a percentage of revenue from our IT Products segment increased from 2.19% for the year ended March 31, 2025 to 2.52% for the year ended March 31, 2026. In absolute terms, selling and marketing expenses increased by ₹ 116 million.\n\n-55-\n\n[Table of Contents](#toc_page)\n\n \n\nGeneral and administrative expenses/(credit) as a percentage of revenue from our IT Products segment increased from (1.00)% for the year ended March 31, 2025 to 1.12% for the year ended March 31, 2026. In absolute terms, general and administrative expenses increased by ₹ 105 million primarily due to an increase in lifetime expected credit loss on trade receivables during the year ended March 31, 2026 as compared to write-back in lifetime expected credit loss on trade receivables during the year ended March 31, 2025.\n\nAs a result of the above, segment results as a percentage of our revenue from our IT Products segment increased by 1448 bps, from (6.43)% to 8.05%. In absolute terms, the segment profit of our IT Products segment increased by ₹ 732 million.\n\nReconciling Items\n\n \n\n“Reconciling Items” for the year ended March 31, 2026 was ₹ 7,954 million, includes restructuring costs of ₹ 5,139 million and a ₹ 2,756 million impact from past service cost on gratuity, remeasurement of leave encashment due to the implementation of the new labor code in India and certain other corporate costs. For the year ended March 31, 2025, “Reconciling Items” includes ₹ 202 million towards certain corporate costs.\n\n \n\nAcquisitions\n\nRefer to Item 4 of this Annual Report on Form 20-F and Note 7 of the Notes to the Consolidated Financial Statements for a description of the acquisitions during the reported period.\n\nDivestitures\n\nThere were no divestitures for the years ended March 31, 2025 and 2026.\n\nForeign exchange gains, net\n\nOur net foreign exchange gains for the years ended March 31, 2025 and 2026 were ₹ 32 million and ₹ 1,853 million, respectively.\n\nOur foreign exchange gains, net, comprise of:\n\n•\nexchange differences arising from the translation or settlement of transactions in foreign currency, except for exchange differences on debt denominated in foreign currency (which are reported within finance expenses and finance and other income); and\n\n•\nthe changes in fair value for derivatives not designated as hedging derivatives and ineffective portions of the hedging instruments.\n\nFor forward foreign exchange contracts which are designated and effective as cash flow hedges, the mark to market gains and losses are deferred and reported as a component of other comprehensive income in shareholder’s equity and subsequently recorded in the income statement when the hedged transactions occur, along with the hedged items. Refer to Note 19 of the Notes to the Consolidated Financial Statements for additional information.\n\nAlthough our functional currency is the Indian Rupee, we transact a significant portion of our business in foreign currencies, including the U.S. Dollar, the Pound Sterling, the Euro, the Canadian Dollar and the Australian Dollar. The exchange rate between the Indian Rupee and these currencies has changed substantially in recent years and may fluctuate substantially in the future. Consequently, the results of our operations are affected as the Indian Rupee fluctuates against these currencies. Our exchange rate risk primarily arises from our foreign currency revenues, cash balances, payables, lease liabilities and debt. We enter into derivative instruments to primarily hedge our forecasted cash flows denominated in certain foreign currencies, foreign currency debt and net investment in overseas operations. Please refer to Notes 14 and 19 of the Notes to the Consolidated Financial Statements for additional details on our foreign currency exposure.\n\n-56-\n\n[Table of Contents](#toc_page)\n\n \n\nThe following table sets forth the currencies in which our IT services revenues for fiscal year 2025 and fiscal year 2026 were denominated:\n\n \n\n \n\nYear ended March 31,\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n% of Revenues\n\nU.S. Dollar (U.S.$)\n\n \n\n \n\n62\n\n%\n\n \n\n \n\n61\n\n%\n\n \n\nPound Sterling (GBP)\n\n \n\n \n\n10\n\n%\n\n \n\n \n\n11\n\n%\n\n \n\nEuro (EUR)\n\n \n\n \n\n10\n\n%\n\n \n\n \n\n9\n\n%\n\n \n\nIndian Rupee (INR)\n\n \n\n \n\n4\n\n%\n\n \n\n \n\n5\n\n%\n\n \n\nAustralian Dollar (AUD)\n\n \n\n \n\n4\n\n%\n\n \n\n \n\n4\n\n%\n\n \n\nCanadian Dollar (CAD)\n\n \n\n \n\n3\n\n%\n\n \n\n \n\n3\n\n%\n\n \n\nOthers\n\n \n\n \n\n7\n\n%\n\n \n\n \n\n7\n\n%\n\n \n\n \n\nThe following table sets forth information on the foreign exchange rates in Indian Rupees per U.S. Dollar, Pound Sterling, Euro, Australian Dollar and Canadian Dollar for fiscal year 2025 and fiscal year 2026:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nAppreciation /\n(Depreciation)\n\nAverage exchange rate during the year:\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\nof INR in\npercentage\n\nU.S. Dollar (U.S.$)\n\n \n\n \n\n84.54\n\n \n\n \n\n \n\n88.23\n\n \n\n \n\n \n\n(4.36\n\n)%\n\n \n\nPound Sterling (GBP)\n\n \n\n \n\n107.81\n\n \n\n \n\n \n\n118.10\n\n \n\n \n\n \n\n(9.54\n\n)%\n\n \n\nEuro (EUR)\n\n \n\n \n\n90.72\n\n \n\n \n\n \n\n102.12\n\n \n\n \n\n \n\n(12.57\n\n)%\n\n \n\nAustralian Dollar (AUD)\n\n \n\n \n\n55.15\n\n \n\n \n\n \n\n58.31\n\n \n\n \n\n \n\n(5.73\n\n)%\n\n \n\nCanadian Dollar (CAD)\n\n \n\n \n\n60.79\n\n \n\n \n\n \n\n63.80\n\n \n\n \n\n \n\n(4.95\n\n)%\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n2025\n\n \n\n \n\n2026\n\nExchange rate at the beginning of the year:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nU.S. Dollar (U.S.$)\n\n \n\n \n\n83.40\n\n \n\n \n\n \n\n85.46\n\n \n\n \n\nPound Sterling (GBP)\n\n \n\n \n\n105.20\n\n \n\n \n\n \n\n110.46\n\n \n\n \n\nEuro (EUR)\n\n \n\n \n\n89.96\n\n \n\n \n\n \n\n92.05\n\n \n\n \n\nAustralian Dollar (AUD)\n\n \n\n \n\n54.31\n\n \n\n \n\n \n\n53.78\n\n \n\n \n\nCanadian Dollar (CAD)\n\n \n\n \n\n61.54\n\n \n\n \n\n \n\n59.66\n\n \n\n \n\nExchange rate at the end of the year:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nU.S. Dollar (U.S.$)\n\n \n\n \n\n85.46\n\n \n\n \n\n \n\n94.78\n\n \n\n \n\nPound Sterling (GBP)\n\n \n\n \n\n110.46\n\n \n\n \n\n \n\n125.43\n\n \n\n \n\nEuro (EUR)\n\n \n\n \n\n92.05\n\n \n\n \n\n \n\n108.87\n\n \n\n \n\nAustralian Dollar (AUD)\n\n \n\n \n\n53.78\n\n \n\n \n\n \n\n65.01\n\n \n\n \n\nCanadian Dollar (CAD)\n\n \n\n \n\n59.66\n\n \n\n \n\n \n\n68.09\n\n \n\n \n\nAppreciation / (Depreciation) of INR in percentage\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nU.S. Dollar (U.S.$)\n\n \n\n \n\n(2.47\n\n)%\n\n \n\n \n\n(10.91\n\n)%\n\n \n\nPound Sterling (GBP)\n\n \n\n \n\n(5.00\n\n)%\n\n \n\n \n\n(13.55\n\n)%\n\n \n\nEuro (EUR)\n\n \n\n \n\n(2.32\n\n)%\n\n \n\n \n\n(18.27\n\n)%\n\n \n\nAustralian Dollar (AUD)\n\n \n\n \n\n0.98\n\n%\n\n \n\n \n\n(20.88\n\n)%\n\n \n\nCanadian Dollar (CAD)\n\n \n\n \n\n3.05\n\n%\n\n \n\n \n\n(14.13\n\n)%\n\n \n\n \n\nIncome taxes\n\nOur profits for the period earned from providing services outside India may be subject to tax in the country where we perform the work. Most of our taxes paid in countries other than India can be applied as a credit against our Indian tax liability to the extent that the same income is subject to taxation in India.\n\nCurrently, we benefit from certain tax incentives under Indian tax laws. These tax incentives include a tax holiday from payment of Indian corporate income taxes for our businesses operating from specially designated SEZs. Units in designated SEZs which began providing services on or after April 1, 2005 are eligible for a deduction of 100% of profits or gains derived from the export of services for the first five years from commencement of provision of services and 50% of such profits or gains for a further five years. A 50% tax deduction is available for a further five years, subject to the SEZ unit meeting certain defined conditions. Profits from certain other undertakings are also eligible for preferential tax treatment. New SEZ units set up on or after April 1, 2021 are not eligible for the\n\n-57-\n\n[Table of Contents](#toc_page)\n\n \n\naforesaid deduction. We are also eligible for exemptions from certain other taxes, including customs duties in the Software Technology and Hardware Technology Parks.\n\nDue to these tax incentives, a substantial portion of our pre-tax income has not been subject to a significant tax in India in recent years. When our tax holiday and income tax deduction/exemptions expire or terminate, our tax expense will increase. The expiration period of the tax holiday for each unit within a SEZ is determined based on the number of years since commencement of production by that unit for a maximum of 15 years. The tax holiday period currently available to the Company expires in various years through fiscal years 2034-35. The impact of tax holidays has resulted in a decrease of current tax expense of ₹ 11,798 million and ₹ 13,092 million for the years ended March 31, 2025 and 2026, respectively, compared to the effective tax amounts that we estimate we would have been required to pay if these incentives had not been available. The per share effect of these tax incentives for the years ended March 31, 2025 and 2026 is ₹ 1.13 and ₹ 1.25, respectively.\n\nThe Company’s assessments in India are completed for the years up to March 31, 2022. The Company has received demands on multiple tax issues. These claims are primarily arising out of denial of deduction under section 10A of the Income Tax Act, 1961 in respect of profit earned by the Company’s undertaking in Software Technology Park in Bengaluru. The appeals filed against said demand before the Appellate authorities have been allowed in favor of the Company by the second appellate authority for the years up to March 31, 2008, which either has been or may be contested by the Income tax authorities before the Hon’ble Supreme Court of India. Other claims relate to disallowance of tax benefits on profits earned from Software Technology Park and SEZ units, capitalization of R&D expenses, transfer pricing adjustments on intercompany or inter-unit transactions, and other issues.\n\nIncome tax claims against the Company amounting to ₹ 99,431 million and ₹ 104,613 million are not acknowledged as debt as of March 31, 2025 and 2026, respectively. These matters are pending before various appellate authorities and management expects its position will likely be upheld on ultimate resolution and will not have a material adverse effect on the Company’s financial position and results of operations.\n\nAlthough we currently believe we will ultimately prevail in our appeals, the result of such appeals, and any subsequent appeals, cannot be predicted with certainty. Should we fail to prevail in our appeal, or any subsequent appeals, in any reporting period, the operating results of such reporting period could be adversely affected materially.\n\nOur sustainability vision and key highlights for the fiscal year ended March 31, 2026:\n\nWipro’s approach to corporate responsibility is anchored in its fundamental values, attitudes, and practices. The Company’s responsible business framework integrates internal and external viewpoints, facilitating thorough, collaborative and boundary-less engagement with customers, employees, investors, suppliers, and communities.\n\nWe operationalize our vision through the principle of “double materiality”: (i) our business’ impact on our stakeholders and the environment and (ii) the converse impact of environmental change and stakeholders on our business. While the latter is framed in terms of risks and opportunities for the Company, our business’ impact on the environment and stakeholders is based on fiduciary principles of trust, stewardship, and social responsibility.\n\n \n\nBelow are the key features of our sustainability initiatives:\n\n \n\na.\nEnvironment\n\nOur sustainability program goes back nearly 20 years and comprises an established yet dynamically evolving set of initiatives that address our entire value chain on four key dimensions: energy and climate change, water, waste, and biodiversity. Our environment goals are to:\n\ni.\nContribute effectively to addressing climate change: We are committed to achieving net-zero greenhouse gas emissions by 2040, which is in line with the Paris Agreement’s objective of limiting the global temperature increase to 1.5°C. We have set an intermediate target of a 59% reduction in absolute emission levels for Scopes 1 and 2 by 2030 (baseline year 2017) and a 55% reduction in Scope 3 (baseline year 2020).\n\nNote: Scope 1 refers to direct emissions from sources owned or controlled by us; Scope 2 refers to indirect emissions from the generation of purchased electricity, steam, heating, and cooling consumed by us; and Scope 3 covers all other indirect emissions that occur in our value chain. These targets are based on the globally accepted SBTi and reflect significant decarbonization and operational changes we will be implementing. The primary levers of our decarbonization strategy are:\n\na.\nimproving the energy efficiency of our facilities for sustained reduction in energy consumption;\n\n-58-\n\n[Table of Contents](#toc_page)\n\n \n\nb.\nincreasing the use of renewable energy in our owned facilities in India through private power purchase agreements and captive solar power; and\n\nc.\ncombining behavioral, technological, and collaborative approaches that help reduce the carbon footprint of air travel, commuting and purchased goods and services.\n\nAs of March 31, 2026, we have achieved a 90% reduction in Scopes 1 and 2 and expect to achieve net zero of the target year of 2040. Our progress has been powered by our investments in best-in-class sustainable building design and infrastructure practices coupled with the continued expansion of our renewable energy footprint which currently stands at 90% for all our owned facilities. We are making strategic investments in this space to be able to reach our 2030 target of 100% Renewable Energy across our campuses. We plan to achieve this target well before the deadline.\n\nSimultaneously, we expect to achieve proportionate reductions in the carbon footprint associated with our business travel, employee commuting and supply chain.\n\nii.\nResponsible stewardship of scarce water resources: We are committed to responsibly managing the use of scarce water resources by (a) reducing the absolute consumption of freshwater year-on-year by 3% in all operationally-controlled facilities; (b) increasing the utilization of treated water to the extent of 45% of total water requirements by 2030; and (c) contributing to a deeper understanding of the systemic challenges of urban water in the major cities in which we operate.\n\nOur water consumption is primarily on account of drinking water, air conditioning, cooking and washing in canteens, toilets and landscape gardening. Our approach to reduce dependence on freshwater has been through increased wastewater recycling, minimizing pipe losses and expanding rainwater harvesting. We have purchased treated water in some of our campuses to supplement the treated water generated and reduce our dependence on freshwater. We have also operationalized a 40 Mn litre rainwater harvesting pond at our Kodathi campus.\n\nOur freshwater efficiency for the fiscal year ended March 31, 2026 stood at 63 liters per capita per day (“Lpcd”), representing a 26% improvement in the last two years. Our freshwater efficiency was in part due to recycling and reusing 33% of treated wastewater.\n\n \n\niii.\nMinimize waste generation from operations and its impact on communities: We are committed to ensuring 100% of organic waste is recycled and to ensure that less than 2% goes to landfills (excluding construction and demolition waste). During the year ended March 31, 2026, we sent less than 1% of our waste to landfills. We continue to maintain the highest standards of solid waste management in all the four categories: food and organic, inorganic, hazardous materials and construction debris. We ensure reuse and certify recycling for between 98%-100% of all our waste.\n\niv.\nEnhance the biodiversity quotient of owned campuses: We are committed to incorporating biodiversity as a key element in the design and maintenance of all our owned campuses. In addition to our flagship biodiversity campuses in Bengaluru and Pune, all our new campuses have incorporated biodiversity principles. In Hyderabad, around eight acres has been developed into a mini-forest, housing nearly 128 different species of plants and wildlife, with plans to expand it further. These biodiversity areas have become levers of employee engagement, with several events being organized across our five campuses to identify and document biodiversity. In total, around 1170+ species of plants and wildlife have been documented on these five campuses.\n\nb.\nWorkplace and Communities\n\nWe are committed to enhancing workplace diversity and fostering a culture of inclusion, continuous learning, open communication, holistic well-being - focusing on mind, body and community, and ethical conduct. Our social and community initiatives led by the Wipro Foundation span a wide thematic spread in the domains of education, primary healthcare, urban ecology, disaster response, and cities and public spaces, also include employee volunteering as an integral part. Key highlights against our social goals are articulated below:\n\ni.\nBuilding and promoting a culture of inclusion by nurturing diversity and shaping behaviors through (a) initiatives aimed at enhancing diversity across the workforce, including at leadership levels; and (b) shaping behaviors with the reinforcement of the Spirit of Wipro - our longstanding values shaped over 80 years and reflected in the Five Habits, leadership mindsets, and the Code of Business Conduct.\n\nAs of March 31, 2026, our workforce included (i) 37.5% women; (ii) 18% women in senior leadership roles; (iii) 25.4% women across all management positions; (iv) 2,537 employees with disabilities; and (v) 1,663 employees from the LGBTQIA+ community.\n\nii.\nEmpowering employees through a culture of continuous learning opportunities through open communication by (a) providing opportunities for employees to reskill themselves to meet open client demands; and (b) delivering leadership skills programing at every stage of the career life cycle.\n\n-59-\n\n[Table of Contents](#toc_page)\n\n \n\nOur talent development strategy is built on the philosophy of “Skill as a Currency,” ensuring a future‑ready workforce capable of meeting rapidly evolving client and industry demands. Through a combination of enterprise‑scale learning ecosystems, AI‑driven skill development, and role‑based capability building, we enable continuous upskilling, reskilling, and cross‑skilling across all job families.\n\nWe have established a multi‑modal, scalable skilling infrastructure that blends virtual and classroom training, hands‑on labs, assessments, partner certifications, and domain‑focused academies to build both breadth and depth of competencies. This includes the MySkill‑Z initiative, which encourages every associate to learn at least one high‑demand skill annually, supported by robust frameworks within each service line that define top skill priorities and tailored learning paths.\n\nSkilling hours as a metric reflects our commitment to developing more skilled and ready talent. This initiative is pivotal in maximizing internal demand fulfilment and fostering a culture of continuous learning within our organization.\n\nWe recorded 79.1 skilling hours per associate during fiscal year ended March 31, 2026. This is a significant leap from when we introduced skilling hours as a key performance indicator in fiscal year ended March 31, 2026, to encourage proactive skilling efforts.\n\nDedicated account academies address deep skilling needs in domain, process, behavioral skills, leadership, and technical upskilling. In fiscal year 2026, there were established 139 account academies with an overall skilling coverage of 91.8% (78k/85k) associates.\n\nWe began with 16 hours per associate in the first quarter of fiscal year 2026, and we successfully reached 79.1 hours per associate by the fourth quarter of fiscal year 2026. This remarkable progress is a testament to our collective effort and dedication.\n\nWe have embedded AI as a pervasive capability across all talent processes through the ai360 ecosystem, which drives large-scale skilling in GenAI and Agentic AI. Over 2,12,663 associates have completed GenAI training across three tiers - (i) 33,000+ at the basic level; (ii) 85,000+ at the advanced level; and (iii) 93,000+ at the master level - strengthening our workforce for next‑generation AI, cloud, and automation initiatives.\n\niii.\nPrioritizing health, well-being and safety at all times by adopting a holistic life-cycle approach that emphasizes employee safety, physical health and mental well-being.\n\niv.\nContributing in a deep, meaningful manner to a more equitable, humane and sustainable society by working on the dimensions of education, ecology and primary healthcare. We also support proximate communities in times of extreme crisis. We choose to work on societal issues that are fundamental and foundational enablers of essential well-being in an individual’s life.\n\nOur community initiatives are designed to respond to persistent gaps in education, health, and urban ecosystems where long‑term, systems‑oriented support is required to improve equity and access. During the fiscal year ended March 31, 2026, our work spanned 26 states and 4 union territories in India, as well as 20 countries globally, in partnership with nearly 188 organizations across education, primary healthcare, digital skilling, urban ecology, and cities and public spaces.\n\nAcross our education programs, we reached 2.89 million children, including 148,467 children with disabilities supported through inclusive education pathways. Our education efforts begin with early childhood education and extend across school improvement, equity‑focused engagements, STEM and computer science education, digital skilling at the collegiate level, and sustainability education as an integrative theme.\n\nThrough TalentNext, our India‑wide skilling program we supported 77,397 students during the fiscal year ended March 31, 2026, bringing our cumulative reach to 367,058 students since fiscal year 2021, including through the Future Skills Program in collaboration with NASSCOM.\n\nAcross ecology‑focused initiatives, we supported 13 participatory water management practices, five climate resilience initiatives, and five community ecology grants, where we planted 50,000 trees and engaged with communities across 12 cities, strengthening local stewardship of natural resources.\n\nIn health, we continued to strengthen primary healthcare systems serving vulnerable urban communities by improving access, building local capacity, and training public health workers. Through these efforts, our programs reached 1.7 million children. Our portfolio includes 22 health projects across major cities, with a focus on reproductive, maternal, newborn, child, and adolescent health. Collectively, these initiatives reached one million women in the reproductive age group and 7,600 children with disabilities.\n\nEmployee participation remains a critical enabler of this work. During the fiscal year ended March 31, 2026, 31,238 employees from 22 employee chapters in India and across 20 countries engaged through volunteering and/or monetary contributions, contributing a combined 35,314 volunteering hours across India and globally.\n\n-60-\n\n[Table of Contents](#toc_page)\n\n \n\nIn India alone, volunteering efforts reached 60,158+ people, supporting education, healthcare, inclusion, and environmental sustainability initiatives. Globally, employees supported 138 volunteering‑led projects and 22 grants‑based projects through 26 employee chapters, reinforcing community programs across global locations.\n\nFigures reflect cumulative outcomes since the fiscal year ended March 31, 2021.\n\nv.\nEngagement with suppliers by collaboratively developing and enhancing a sustainable and responsible supply chain by proactively expanding the diversity of our supplier base with an active focus on women-owned enterprises and micro, small and medium enterprises. Our commitment to ensure responsible supplier conduct with respect to environmental and human rights in the supply chain led us to launch “WISE” – the Wipro Initiative for Supplier Engagement. Through WISE, we are working with around 150 of our strategic small and medium suppliers on measuring and reporting their carbon footprint as well as other aspects related to ESG. Our transparent supplier governance process guarantees fair practices and zero tolerance for corruption.\n\nc.\nGovernance\n\nWe recognize the critical salience of good governance, ethical business conduct and transparent disclosures in ensuring the effectiveness of all our sustainability initiatives. We keep track and closely monitor the number of employees who have completed the mandatory training such as code of business conduct and cybersecurity.\n\n \n\nFor more information on our ESG initiatives, please visit our website at www.wipro.com.\n\n \n\nLiquidity and Capital Resources\n\nThe Company’s cash flow from its operating, investing and financing activities, as reflected in the Consolidated Statement of Cash Flows, is summarized in the table below:\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear-over-Year change\n\n \n\n2025\n\n \n\n \n\n2026\n\n \n\n \n\n2026-25\n\n \n\n(₹ in millions)\n\nNet cash generated from /(used in):\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nOperating activities\n\n \n\n \n\n169,426\n\n \n\n \n\n \n\n149,316\n\n \n\n \n\n \n\n(20,110\n\n)\n\n \n\nInvesting activities\n\n \n\n \n\n(80,730\n\n)\n\n \n\n \n\n(33,423\n\n)\n\n \n\n \n\n47,307\n\n \n\n \n\nFinancing activities\n\n \n\n \n\n(63,963\n\n)\n\n \n\n \n\n(141,260\n\n)\n\n \n\n \n\n(77,297\n\n)\n\n \n\nNet change in cash and cash equivalents\n\n \n\n \n\n24,733\n\n \n\n \n\n \n\n(25,367\n\n)\n\n \n\n \n\n(50,100\n\n)\n\n \n\nEffect of exchange rate changes on cash and cash equivalents\n\n \n\n \n\n290\n\n \n\n \n\n \n\n8,948\n\n \n\n \n\n \n\n8,658\n\n \n\n \n\n \n\nAs of March 31, 2026, we had cash and cash equivalent and short-term investments of ₹ 543,235 million. Cash and cash equivalent and short-term investments, net of loans and borrowings, were ₹ 375,361 million.\n\nIn addition, we have unutilized credit lines in various currencies aggregating to ₹ 41,108 million as of March 31, 2026. To utilize these lines of credit, we require the consent of the lender and compliance with certain financial covenants. We have historically financed our working capital and capital expenditures through our operating cash flows and through bank debt, as required.\n\nCash generated from operating activities for the year ended March 31, 2026 decreased by ₹ 20,110 million while profit for the year increased by ₹ 475 million during the same period. The decrease in cash generated from operating activities is primarily due to increased working capital requirements, contributed by net increases in trade receivables, unbilled receivables and contract assets, and other assets. Such decreases were partially offset by net increases in trade payables, accrued expenses, other financial liabilities, other liabilities and provisions and contract liabilities.\n\nCash generated from operating activities for the year ended March 31, 2025 decreased by ₹ 6,790 million while profit for the year increased by ₹ 21,059 million during the same period. The decrease in cash generated from operating activities is primarily due to increased working capital requirements, contributed by net increases in trade receivables, unbilled receivables and contract assets, and other assets. Further, income taxes paid, net of refund increased by ₹ 10,815 million during the year ended March 31, 2025.\n\nCash used in investing activities for the year ended March 31, 2026 was ₹ 33,423 million. Cash is primarily used towards purchases of investments (net of sale) amounting to ₹ 21,074 million and purchases of property, plant and equipment amounting to ₹ 15,603 million, which was primarily driven by the growth strategy of the Company. Further, there was a cash outflow of ₹ 26,033 million\n\n-61-\n\n[Table of Contents](#toc_page)\n\n \n\ntowards the business acquisition consummated during the year ended March 31, 2026. These were partially offset by an inflow of ₹ 28,881 million from interest and dividends received and an inflow of ₹ 758 million from sale of property, plant and equipment during the year ended March 31, 2026.\n\nCash used in investing activities for the year ended March 31, 2025 was ₹ 80,730 million. Cash is primarily used towards purchases of investments (net of sale) amounting to ₹ 95,062 million and purchases of property, plant and equipment amounting to ₹ 14,737 million, which was primarily driven by the growth strategy of the Company. Further, there was a cash outflow of ₹ 964 million towards the business acquisition consummated during the year ended March 31, 2025. These were partially offset by an inflow of ₹ 28,511 million from interest and dividends received and an inflow of ₹ 1,822 million from sale of property, plant and equipment during the year ended March 31, 2025.\n\nCash used in financing activities for the year ended March 31, 2026 was ₹ 141,260 million. This is primarily on account of outflow for payment of dividends amounting to ₹ 115,206 million, payment of lease liabilities including interest of ₹ 11,561 million, payment of interest and finance expenses of ₹ 6,336 million and repayment of loans and borrowings of ₹ 6,752 million during the year ended March 31, 2026.\n\nCash used in financing activities for the year ended March 31, 2025 was ₹ 63,963 million. This is primarily on account of outflow for payment of dividends amounting to ₹ 62,750 million, payment of lease liabilities including interest of ₹ 10,474 million and payment of interest and finance expenses of ₹ 8,689 million. These were partially offset by an inflow of ₹ 17,923 million from loans and borrowings during the year ended March 31, 2025.\n\nWe maintain a borrowing level that we have established through consideration of a number of factors including cash flow expectations, cash required for operations and investment plans. We continually monitor our funding requirements, and strategies are executed to maintain sufficient flexibility to access global funding sources, as needed. Please refer to Note 14 of our Notes to the Consolidated Financial Statements for additional details on our borrowings.\n\nAs of March 31, 2026, we had contractual commitments of ₹ 9,416 million (U.S.$ 100 million) related to capital expenditures on the construction or expansion of software development facilities and ₹ 52,214 million (U.S.$ 556 million) related to other purchase obligations. Plans to construct or expand our software development facilities are determined by our business requirements.\n\nAs discussed above, cash generated from operations is our primary source of liquidity. We believe that our cash and cash equivalents, short-term investments along with cash generated from operations will be sufficient to meet our working capital requirements as well as repayment obligations with respect to debt and borrowings for the next 12 months and beyond. Our choices of sources of funding will be driven with the objective of maintaining an optimal capital structure.\n\nWe will rely on funds generated from operations and external debt to fund potential acquisitions. We expect that our cash and cash equivalents, investments in short-term mutual funds and the cash flows expected to be generated from our operations in the future will generally be sufficient to fund our growth aspirations, as applicable.\n\nWe completed our acquisition of Mindsprint, Olam Group’s IT services arm on May 15, 2026 for a total cash consideration of U.S.$ 375 million.\n\nIn the normal course of business, we transfer certain accounts receivables, unbilled receivables and net investments in finance leases (financial assets) to banks on a non-recourse basis. The incremental impact of such transactions on our cash flow and liquidity for the years ended March 31, 2025 and 2026 is not material. Please refer to Note 19 of our Notes to Consolidated Financial Statements.\n\nOur liquidity and capital requirements are affected by many factors, some of which are based on the normal ongoing operations of our businesses and some of which arise from uncertainties related to global economies and the markets that we target for our services. We cannot be certain that additional financing, if needed, will be available on favorable terms, if at all.\n\nAs of March 31, 2025 and 2026, our cash and cash equivalents were primarily held in U.S. Dollars, Canadian Dollars, Euros, Pound Sterling, Indian Rupees, Australian Dollars, Chinese Yen, and Swiss Franc. Please refer to “Financial risk management” under Note 19 of our Notes to the Consolidated Financial Statements for more details on our treasury activities.\n\n-62-\n\n[Table of Contents](#toc_page)\n\n \n\nThe table of future payments due under known contractual commitments as of March 31, 2026, aggregated by type of contractual obligation, is given below:\n\n \n\n \n\nTotal\n\n \n\n \n\nPayments due in\n\nParticulars\n\n \n\ncontractual\npayment\n\n \n\n \n\n2026-27\n\n \n\n \n\n2027-31\n\n \n\n \n\n2031-32 onwards\n\n \n\n \n\n(₹ in millions)\n\n \n\n \n\nLoans, borrowings and bank overdrafts (1) (2)\n\n \n\n \n\n169,724\n\n \n\n \n\n \n\n167,648\n\n \n\n \n\n \n\n2,076\n\n \n\n \n\n \n\n—\n\n \n\n \n\nLease Liabilities (3)\n\n \n\n \n\n42,813\n\n \n\n \n\n \n\n10,686\n\n \n\n \n\n \n\n22,454\n\n \n\n \n\n \n\n9,673\n\n \n\n \n\nContingent consideration (4)\n\n \n\n \n\n2,020\n\n \n\n \n\n \n\n467\n\n \n\n \n\n \n\n1,553\n\n \n\n \n\n \n\n—\n\n \n\n \n\nLiability on written put options to non-controlling interests (4)\n\n \n\n \n\n6,064\n\n \n\n \n\n \n\n2,689\n\n \n\n \n\n \n\n3,375\n\n \n\n \n\n \n\n—\n\n \n\n \n\nOther liabilities\n\n \n\n \n\n10,766\n\n \n\n \n\n \n\n8,273\n\n \n\n \n\n \n\n2,493\n\n \n\n \n\n \n\n—\n\n \n\n \n\nCapital commitments (5)\n\n \n\n \n\n9,416\n\n \n\n \n\n \n\n6,063\n\n \n\n \n\n \n\n3,353\n\n \n\n \n\n \n\n—\n\n \n\n \n\nPurchase obligations\n\n \n\n \n\n52,214\n\n \n\n \n\n \n\n25,887\n\n \n\n \n\n \n\n25,138\n\n \n\n \n\n \n\n1,189\n\n \n\n \n\n \n\n(1)\nFor further information on currency and interest rate structures, refer to Note 14 of the Notes to Consolidated Financial Statements.\n\n(2)\nIncludes future cash outflow towards estimated interest on borrowings. Interest payments for long-term fixed rate debts have been calculated based on applicable rates and payment dates. Interest payments on floating rate debt have been calculated based on the payment dates and implied forward interest rates as of March 31, 2026 for each relevant debt instrument.\n\n(3)\nIncludes future cash outflow toward deferred interest on lease liabilities and certain committed leases which have not yet commenced. For further information on lease liabilities, refer to Note 5 and Note 19 in the Notes to Consolidated Financial Statements.\n\n(4)\nThe fair value of the contingent consideration and liability on written put options to non-controlling interests is estimated by applying the valuation techniques which include inputs relating to risk-adjusted revenue and operating profit forecast. The amount in the table above is the undiscounted fair value.\n\n(5)\nRepresents contractual commitments related to capital expenditures on construction or expansion of software development facilities.\n\nOther non-current liabilities and non-current tax liabilities in the statement of financial position include ₹ 23,042 million in respect of employee benefit obligations and certain statutory and other liabilities and ₹ 48,195 million towards uncertain tax positions, respectively. For these amounts, the timing of repayment/settlement cannot be reliably estimated or determined at present and accordingly these amounts have not been disclosed in the table above.\n\nOff-Balance Sheet Arrangements\n\nPerformance and financial guarantees are provided by banks on behalf of the Company to the Indian government, customers and certain other agencies, as part of the banks’ line of credit arrangements. These arrangements are sometimes referred to as a form of off-balance sheet financing. Please refer to Notes 14 and 32 of the Notes to the Consolidated Financial Statements for more details.\n\nResearch and Development\n\nWe make disciplined R&D investments to strengthen the Wipro Innovation Network, our global, interconnected ecosystem for client-centric co-innovation, and to advance frontier technologies that address our clients’ transformation and growth priorities. The Wipro Innovation Network brings together innovation labs, partner labs, AI-native partners, Wipro Ventures, Topcoder, academic and research institutions, startups, subject matter experts and our deep technology talent to convert emerging technologies into scalable, market-relevant solutions. In addition, we continue to invest in developing & scaling industry platforms, delivery platforms , industry and cross industry solutions with the objective of building AI native capabilities including industry small language models, agents and AI solutions.\n\nDuring fiscal year 2026, we expanded our work across priority technology areas including agentic AI and autonomous enterprises, physical AI and robotics, quantum computing, distributed ledger technologies and digital trust, and quantum-safe cyber resilience. We built dedicated innovation practices in quantum computing, with applied research across areas such as materials science, biomedical and drug discovery research, supply chain optimization, financial services, and post-quantum security. We also advanced applied physical AI research, in collaboration with Wipro’s engineering, consulting, industry and delivery teams, focusing on dynamic robotics and orchestration across robots, machines and intelligent devices in a wide span of retail, healthcare and other operational environments.\n\n-63-\n\n[Table of Contents](#toc_page)\n\n \n\nDuring fiscal year 2026, we launched the global Wipro Innovation Network and opened our Innovation Lab at the Kodathi campus in Bengaluru as a key hub for immersive client workshops, rapid prototyping, and co-creation. We deepened our external innovation ecosystem through alliances and engagements with academic and research institutions, including Indian Institute of Science, Massachusetts Institute of Technology and Indian Institute Of Technology Delhi, and through collaborations with our global partners and startups. Our participation at the India AI Impact Summit in February 2026 reflect our focus on demonstrating applied AI and frontier technologies in real-world, high-impact settings.\n\nOur R&D expenses for the years ended March 31, 2024, 2025 and 2026 were ₹ 4,332 million, ₹ 4,307 million and ₹ 4,499 million, respectively.\n\nMaterial accounting policies, estimates and judgments\n\nPlease refer to Notes 2(iv) and 3 of the Notes to Consolidated Financial Statements for a description of material accounting policies, estimates and judgments.\n\n-64-\n\n[Table of Contents](#toc_page)"}