Wipro will consider buyback of shares on April 20

India's third largest software service firm Wipro informed stock exchanges on Tuesday that on April 20, the day of its fourth quarter results the board of directors will consider a proposal for buyback of equity shares of the company. The current promoter holding stands at 73.35 percent, while institutions and non-institutions hold 15.52 percent and 10.53 percent, in the company, respectively.

Wipro in a filing to stock exchanges on Tuesday said “With reference to the earlier announcement dated March 29, 2016 regarding intimation of board meeting to be held from April 19-20, 2016, we are now informing that the board of directors will consider a proposal for buyback of equity shares of the company on April 20, 2016”.

On financial front the consolidated net revenue from operations of Wipro reached to Rs 12952 crores in Q3FY16 compared to Rs 12567 crores in Q2FY16, an increase of 3.06 per cent Quarter on Quarter (QoQ). The EBITDA stands at Rs 2763 crores this quarter compared to Rs 2782 crores in Q2FY16, a decrease of 0.68 per cent QoQ. The EBITDA margin stands at 21.33 per cent this quarter compared to the margin of 22.13 per cent in Q2FY16. The decrease in EBITDA is attributed to increase in technical fees of company by 9.63 per cent this quarter, standing at Rs 1741 from Rs 1588 crores in Q2FY16. The net profit stands at Rs 2234 crores in Q3FY16 compared to Rs 2235 crores in Q2FY16, a decrease of 0.05 per cent QoQ.

On valuation front the stock of company is trading at Trailing Twelve Month (TTM) P/E of 15.72 as compared to industry P/E of 21.88. The stock of the company is trading at Rs 588.20, an increase of 3.52 per cent from previous close.