Wipro Lands $500M Contract Under New CEO Srini Pallia's Leadership

Indian IT major Wipro has secured a $500-million contract with a US communication service provider. This five-year deal represents the company's first significant win since Srini Pallia assumed the role of CEO, signaling Wipro's resurgence after trailing behind its competitors.

According to an exchange filing, Wipro will deliver managed services for select products and industry-specific solutions. The company has yet to disclose further details about the contract.

Since taking on his new responsibilities, CEO Srini Pallia has focused on driving growth through large deals. During the Q4 results, he stated, “We will concentrate on revitalising the company, accelerating large deal growth momentum by working closely with clients and partners, strengthening relationships with large clients and partners, and further investing in accounts that have the potential to grow into large accounts.”

In Q4FY24, Wipro's total bookings reached $3.6 billion, slightly lower than the $3.8 billion recorded in the previous quarter. However, its large deal bookings were $1.2 billion, a $0.9 billion increase from the quarter before.

IT analyst Pareekh Jain, CEO of Pareekh Consulting and EIIRTrend, remarked, “Wipro has won a large deal after a long time. These deals are important. This is a welcome sign for the new CEO whose main task was to bring Wipro on the path of growth.” He emphasized that securing large deals is crucial for the growth of major companies.

Commenting on the deal size, Jain said, “$500 million for five years amounts to $100 million per year. Revenue growth might not be that significant, but overall, it sets the momentum for positivity and direction. It’s good to see Wipro catch momentum again. Whenever there is a transformation every time there is a new CEO, the metrics we look at are large deal signings. This is a good sign.”

HBL