Trade War Between the US And China Impacts Wipro Business

Headwinds from the US-China trade war sting business deals of Indian software major Wipro, it’s Chief Executive Abidali Neemuchwala said on Tuesday.

Neemuchwala said that the company’s business in the US market grew 9.4 percent year-on-year while Europe was weak.

“Some of our customers and their supply chains are impacted in certain sectors by the overhang of macro-uncertainty arising out of the trade war between the US and China,” he told reporters. He also added stating – “We see a robust pipeline and the momentum of the order book in the second quarter was better than in the first quarter.”

Also, the growth in the BFSI segment decelerated is what he feels which is due to the softness in the spending by the banking and capital market clients in some pockets.

The structuring of the company’s business operations in India and the Gulf region was on track as evident from some of the deals it won, like ICICI Bank.

He also gave a message of hope for the health and manufacturing sector stating “early signs of recovery”.

“Instead, we have been building a cadre, with a strong bench strength over the last eight quarters,” he said. The firm hired 9,000 techies in the first two quarters of 2019-20.

“Our focus is to hire people from campuses and train a new cadre. It is not about just in time hiring,” said Mr. Govil. Also, the Chief Operating Officer Bhanu Murthy said the focus was on hiring more locals to build the cadre across its development and delivery centers.