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MIRA
INFORM REPORT
|
Report Date : |
14.04.2007 |
IDENTIFICATION
DETAILS
|
Name : |
WIPRO INFOTECH
(DIVISION OF WIPRO LIMITED) |
|
|
|
|
Registered
Office : |
Doddakannelli, Sarjapur Road, Bangalore - 560035 |
|
|
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|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2006 |
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Date of
Incorporation : |
10.07.1996 |
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|
|
|
Com. Reg. No.: |
08-20800 |
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|
CIN No.: [Company
Identification No.] |
L99999KA1996PLC020800 |
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|
|
|
TAN No.: [Tax Deduction
& Collection Account No.] |
BLRW00415C |
|
|
|
|
Legal Form : |
Public Limited
Liability Company. The company’s
shares are listed on the Stock Exchanges. |
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|
|
|
Line of
Business : |
Software exports,
software & services, consumer care, lighting and healthcare. Providing
services of IT and IS consulting for E-business transformation, electronic
commerce, web enabling, data warehousing and customer relation's management. |
RATING &
COMMENTS
|
MIRA’s Rating
: |
Aa |
RATING
|
STATUS |
PROPOSED
CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution
needed for credit transaction. It has above average (strong) capability for
payment of interest and principal sums |
Large |
|
Maximum Credit
Limit : |
USD 250000000 |
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|
|
|
Status : |
Good |
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Payment
Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a
well-established and reputed company having excellent track. Available information indicates high
financial responsibility of the company.
Financial position is good.
Payments are always correct and as per commitments. The company can
be considered normal for business dealings at usual trade terms and
conditions |
LOCATIONS
|
Registered/Corporate
Office : |
Doddakannelli,
Sarjapur Road, Bangalore - 560 035, India |
|
Tel. No.: |
91-80-28440011 |
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Fax No.: |
91-80-28440054 |
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E-Mail : |
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Website : |
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Software
Technology Parks: |
·
Bangalore,
Karnataka ·
Chennai,
Tamilnadu ·
Secunderabad,
Andhra Pradesh ·
Pune,
Maharashtra ·
Gurgaon,
Haryana ·
Hyderabad,
Andhra Pradesh ·
Mumbai,
Maharashtra |
|
|
|
|
Factory : |
> Sigma Infotech Park, Whitefield,
Bangalore, Karnataka, India > S B Towers, 88, M G Road, Bangalore -
560 001, Karnataka, India > 608-610, Carlton Towers, No. 1
Airport Road, Bangalore - 560 001,
Karnataka, India > Information Technology Park,
Whitefield, Bangalore - 560 066,
Karnataka, India > 271-27 1 A, Sri Ganesh Complex, Hosur
Main Road, Bangalore - 560
068, Karnataka, India > 26, Sri Chamundi Complex, Madivala
II, Bommanahalli, Hosur Main
Road, Bangalore - 560 068, Karnataka, India > No. l, 2, 3, 4 and 54/1, Survey No.
201/C, Madivala III, Bangalore - 560
068, Karnataka, India > No. l, 2, 3, 4 and 54/1, Survey No.
201/C, Madivala III (Research &
Development), Bangalore - 560 068, Karnataka, India > No. 1 , 2, 3, 4 and 54/3, Survey No.-
201/C, Madivala IV, Bangalore –
560 068, Karnataka, India > 3rd Floor, Ahmed Plaza,
No.38/l&2, Bertenna Agrahara, Hosur Main
Road, Bangalore - 560 068, Karnataka, India > Subramanya Arcade, Bannergatta Main
Road, Bangalore, Karnataka,
India > K-3 1 2, Koramangala Industrial
Layout, Bangalore - 560 095,
Karnataka, India > V Block, Koramangala, Bangalore - 560
095, Karnataka, India > Electronics City 1 - No. 72, Keonics
Electronic City, Hosur Road,
Bangalore - 561 229, Karnataka, India > Electronics City - II, Tower IV, No.
72, Keonics Electronic City, Hosur
Road, Bangalore - 561 229, Karnataka, India > No.92, 2nd Main Road, KEONICS
Electronic City – SIRI, Bangalore –
561 229, Karnataka, India > S. No. 70/1, 2, 3, 4(P) &. 84/1,
2, 3, 4(P) Doddathogur Village, Begur Hobli,
' Bangalore - 561 229, Karnataka, India > Capitale, 552 &. 555, Anna Salai,
Teynampet, Chennai, Tamilnadu > 475A, Shollinganallur, Old
Mahabalipuram Road (CDC-III), Chennai –
600 019, Tamilnadu > 111, Mount Road, Guindy, Chennai -
600 032, Tamilnadu > No. 105, Guindy, Mount Road, Chennai
- 600 032, Tamilnadu > Infotech Park, SDF Building, 4th
Floor, Kusumagiri, Kakkanad, Cochin > Infotech Park, 4th Floor, Vismaya
Building, Kakkanad, Cochin > 239, Okhla Industrial Estate, Delhi,
India > Plot No.27/28, Phase IV, Udyog Vihar,
Gurgaon - 122 016 > Plot No. 281,Phase II, Udyog Vihar,
Gurgaon - 122 106, Haryana > No. 480-481, Udyog Vihar, Phase-Ill,
Gurgoan - 122015, Haryana > S. No. 203/1, Manikonda Jagir
Village, Rajendranagar Mandal, RR
District, Hyderabad > Survey Nos. 64, Serilingampali
Mandal, Madhapur, Hyderabad - 500
033 > Queens Plaza, S P Road, Hyderabad -
500 033, Andhra Pradesh > Plot No. 1, 7, 8 & 9, Block-DM,
Sector- V, Saltlake, Kolkata - 700 091,
West Bengal > 146/147, Mettagalli Industrial Area,
Mettagalli, Mysore > Vashi, Navi Mumbai, Mumbai,
Maharashtra, India > Plot No. 2, MIDC, Infotech Park,
Hingewadi, Pune - 411 027,
Maharashtra > 1-8-448, Lakshmi Buildings, S P Road,
Begumpet, Secunderabad - 500
016 |
|
|
|
|
Overseas
Offices : |
1300, Crittenden
Lane, # 200, Mountain View, CA 94043, U.S.A. Tel. No. :
91-650-3163555 Fax No. :
91-650-3163467 Mimet House, Sa
Praed Street, London W2 INJ, U.K. Tel. No. : +44
[020] 70873770 Fax No. : +44
[020] 72625360 Yokohama Landmark
Tower, 9F # 911A, 2-2-1-1, Minato – Mirai, Nishi-Ku, Yokohama-shi, Kanagawa,
220-8109, Japan Tel. No. : +81
[45] 650 3950 Fax No. : +81
[45] 650 3951 Wipro Technologies
1995, El Camino
Real, Suite 200, Santa Clara, CA 95050, USA Tel. No.: (408)
249 6345 Fax No.: (408)
6157174 / 6157178 15455 N. W.,
Greenbrier Parkway, Suite 210, Beaverton, OR 97006, USA Tel. No.: (503)
4390825 Fax No.: (503)
4398426 10655 N. E., 4th
Street, Suite 400, Bellevue, WA 98004, USA Tel. No.: (425)
4553486 Fax No.: (425)
6880973 833, East Arapaho
Road, Suite 202, Richardson, TX 75081, USA Tel. No.: (972)
6716130 Fax No.: (972)
6716134 2432, W. Peoria
Avenue, Suite 1323, Phoenix, AZ 85029, USA Tel. No.: (602)
8705780 Extn.: 101 100, W. 22nd
Street, Suite 106, Lombard, IL 60148, USA Tel. No.: (630)
8899860 Fax No.: (630)
8899187 8901, Lyndale
Avenue, South Suite 106, Bloomington, MN 55420, USA Tel. No.: (952)
9489683 Fax No.: (952)
9489684 12081, Lafayett
Street, Thornton, CO 80241, USA Tel. No.: 303-254
2457 Fax No.: 720-244
4872 33 Woodcock
Avenue, #23 Haverhill, MA 01832, USA Tel. No.: 978-372
9531 Fax No.: 978-372
9560 345, Buckland
Hills, Dr. Suite 7213, Manchester, CT 06040, USA Tel. No.: 860-644
3657 Fax No.: 860-644
3667 220, Old New
Brunswick Road, Suite 202, Piscataway, NJ 08854, USA Tel. No.: (732)
4650401 Fax No.: (732)
4650420 Top Floor, Kings
Court, 185, Kings Road, Reading RG 14 EX, United Kingdom 2432, W Peoria
Ave, Suite 1323, Phoenix, Arizona, USA AZ 85029 Room no. 1064,
Hatanpaankatu 1 (Kulma-Sarvis), Tampere, Finland Chrysler
Building, 6th Floor, 1 Riverside Drive West, Windsor ONN5A5K4,
Canada Web Campus,
Kaistrasse, 101 Kiel 24114, Germany |
|
|
|
|
Branches : |
Wipro Infotech Software & Service
88, M.
G. Road, Bangalore – 560 001, Karnataka
Tel. No. 91-80-2558 8422 Fax No. 91-80-2558 6657 Wipro Consumer Care & Lighting Group
Nirmal, 241-242,
Nariman Point, Mumbai – 400 021, Maharashtra Tel. No. 91-22-22029254 Fax No. 91-22-2284 1143 Wipro Fluid Power
9B/10A Peenya
Industrial Area, Bangalore – 560 058, Karnataka Tel. No. 91-80-2839 4982 Fax No. 91-80-2839 6450 Wipro Biomed
903/904 Prakash
Deep, 7, Tolstoy Marg, New Delhi – 110 001 Tel. No. 91-11-2332 5677 Fax No. 91-11-2373 8675 Wipro Lighting
Tulsi Chambers,
Opp. St. Francis D’Sales High School, Jalna Road, Aurangabad – 431 001,
Maharashtra Tel. No. 91-240-2333 351 Fax No. 91-240-2334 001 |
DIRECTORS
|
Name : |
Mr. Azim Hashmi
Premji |
|
Designation : |
Chairman |
|
Date of
Appointment : |
01.09.1968 |
|
|
|
|
Name : |
Dr. Ashok Ganguly |
|
Designation : |
Chairman, ICICI
OneSource Limited. Former Chairman, ICI India Limited |
|
Date of
Appointment : |
01.01.1999 |
|
|
|
|
Name : |
Mr. B. C.
Prabhakar |
|
Designation : |
Practitioner of Law |
|
Date of
Appointment : |
20.02.1997 |
|
|
|
|
Name : |
Mr. Vivek Paul |
|
Designation : |
Vice Chairman and Executive Officer |
|
Date of
Appointment : |
26/07/1999 |
|
|
|
|
Name : |
Mr. Narayan
Vaghul |
|
Designation : |
Chairman, ICICI Bonk Limited |
|
Date of
Appointment : |
09.06.1997 |
|
|
|
|
Name : |
Professor Eisuke
Sakakibara |
|
Designation : |
Professor of
Economics, Keio Universityjapan |
|
Date of Appointment
: |
01/01/2002 |
|
|
|
|
Name : |
Mr. P. M. Sinha |
|
Designation : |
Former Chairman, PepsiCo India Holdings |
|
Date of
Appointment : |
01.01.2002 |
|
|
|
|
Name : |
Dr. Jagdish N Sheth |
|
Designation : |
Professor of
Marketing, Emory University, USA |
|
Date of
Appointment : |
01.01.1999 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
CATEGORY
|
NO. OF SHARES
|
PERCENTAGE (%)
|
Promoters ' Holdings
|
|
|
|
Promoters |
|
|
|
Promoters in his
capacity as partner of Partnership firms |
975520800 |
68.42 |
|
Promoter in his
capacity as director of Private Limited Companies |
128137800 |
8.99 |
|
Promoter in his
individual capacity |
56043060 |
3.93 |
|
Promoter
Director’s Relatives |
1434600 |
0.10 |
|
Sub Total |
1161136260 |
81.44 |
|
|
|
|
Non
Promoter's Holdings
|
|
|
|
Mutual Funds and
UTI |
8161139 |
0.57 |
|
Banks, Financial
Institutions and Insurance Companies |
14024057 |
0.98 |
|
FIIs |
66695330 |
4.68 |
|
Sub
Total |
88880526 |
6.23 |
|
|
|
|
Others
|
|
|
|
Private Corporate
Bodies |
33197511 |
2.33 |
|
Indian Public |
98080601 |
6.88 |
|
NRIs / OCBs |
14944157 |
1.05 |
|
Directors and
Relatives |
23000 |
0.00 |
|
Trusts |
8007415 |
0.56 |
|
ADR’s |
21484797 |
1.51 |
|
Sub Total |
175737481 |
12.33 |
|
Total |
1425754267 |
100.00 |
BUSINESS DETAILS
|
Line of
Business : |
Software exports,
software & services, consumer care, lighting and healthcare. Providing
services of IT and IS consulting for E-business transformation, electronic
commerce, web enabling, data warehousing and customer relation's management. |
|
|
|
|
Products : |
Item code no (ITC
Code) 84713010 Product
description Personal Computer ii) Item code no
(ITC Code) 85249113 Product
description I.T.
Software iii) Item code no
(ITC Code) 15162011 Product description Vegetable fats and oils (Edible Grade) |
|
|
|
|
Exports to : |
USA (75%),
Indonesia, Japan, The Netherlands, Sweden, Taiwan and Thailand. |
|
|
|
|
Imports from : |
Germany, Japan,
Singapore, UK and USA |
PRODUCTION STATUS
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
|
Vanaspati/Hydrogenated oils |
TPA |
144000 |
45000 |
5257 Tons |
|
Toilet soaps |
TPA |
64000 |
47930 |
38404Tons |
|
Leather shoe uppers, leather shoes and
allied articles |
Pairs / Nos. [1000s] p.a. in millions |
750 |
750 |
375 |
|
Fatty acids |
TPA |
20000 |
20000 |
20767 Tons |
|
Glycerine |
TPA |
2000 |
1800 |
919 Tons |
|
GLS lamps |
000s |
50000 |
50000 |
-- |
|
TL shells |
000s |
12694 |
12694 |
-- |
|
Fluorescent tube lights |
000s |
10694 |
10694 |
9283 |
|
CFL |
Nos. in 000s |
6658 |
6658 |
-- |
|
Mini computers/micro processor based
systems and data communication systems |
NPA |
180000 |
180000 |
104748 Nos. |
GENERAL INFORMATION
|
Suppliers : |
Ř Atco Controls India Private Limited Ř Arya Filaments Private Limited Ř Bhargava Rotopack Private Limited Ř Bombay Oil Seals Company Ř Capart Industries Private Limited Ř Everlite Corporation Ř Exerlite Industries Ř Fluo-Lite Private Limited Ř Glostar Electricals Private Limited Ř Har-Hal Plastic Engineering Private
Limited Ř Infocontral Systems Inc. Ř Karthiks Ř Kay Pee Industries Ř Kasa Luminaties Private Limited Ř Maharashtra Industries Ř Meet Engineering Private Limited Ř Mercury Lamps Private Limited Ř Prachi Industries Ř Prospects Industries Ř Punjab Anand Lamp Industries Ř R C Industries Ř Regal Luminaries Ř Rotam Commercials Ř Sandesh Electricals Ř SOBO Technology Ř South India Auto Engineering Works Ř Starlite Components Limited Ř Sujatha Wood Industries Ř Superstars Ř Triumph Pack Private Limited Ř Ujas Electricals Private Limited Ř Unilux Ř Unique Wires Private Limited Ř Vijay Halo Coils Private Limited Ř Vijay Litetronics Comp Limited Ř Vossloh-Schabe India Private Limited |
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|
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|
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|
Customers : |
Ř 3COM Ř ABN Amro Ř Alcatel Ř Allianz Church & General Ř Analog Devices Ř Aristasoft Ř AT & T Ř Baxter Ř BSI Ř BT Ř Cisco Ř Compaq Ř ContentGuard Ř Corel Ř Cox & Kings Ř Daiwa Ř Energy.com Ř Epson Ř Ericsson Ř Esupportnow.com Ř Farmers insurance Ř Franklin Templeton Ř Fujitsu Ř General Motors Ř Genuity Ř Geoutilities.com Ř Home Depot Ř HP Ř IBM Ř Japan Travel Bureau Ř JP Morgan Ř KPN Ř Lucent Ř Magneti Marelli Ř Marconi Ř Menlo Logistics Ř Microsoft Ř Mitsubishi Ř Morgan Stanley Ř NCR Ř NEC Ř Newbridge Ř Nike Ř Nortel Ř Npower Ř NTL Ř OTIS Ř PacifiCorp Ř Pepco Energy Services Ř Pindar Ř Seagate Ř Sharp Ř Skandia Ř Sonera Ř Sony Ř Spice Ř Sun Ř Sunquest Ř Telstra Ř Texas Instruments Ř Thames Water Ř Thomas Cook Ř Trafalgar Tours Ř Transco Ř Tufts Healthplan Ř TIBCO Ř United Technologies Ř US Wireless Ř VLSI Ř Weyerhaeuser Ř
Winterthus |
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|
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|
No. of
Employees : |
14000 |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
Bankers : |
Ř Canara Bank, Bangalore, Karnataka Ř State Bank of India, Madame Cama Road,
Nariman Point, Mumbai – 400 021 Ř Citibank N.A., Kanak Building, 41,
Chowringhee Road, Kolkata – 700 071, West Bengal Ř
American
Express Banking Corporation, Bangalore, Karnataka |
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|
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|
Facilities : |
|
|
|
|
|
Banking Relations : |
Satisfactory |
|
|
|
|
Auditors : |
N. M. Raiji &
Company Chartered
Accountants |
|
|
|
|
Subsidiaries : |
v
Wipro Japan KK v
Enthink Inc. v
Wipro Inc. v
Wipro Chandrlka Limited v
Wipro Trademarks Holding Limited v
Wipro Travel Services Limited v
Wipro Fluid Power Limited v
Wipro HealthCare IT Limited v
Wipro BPO Solutions Limited v
Wipro Holdings (Mauritius) Limited v
Wipro Holdings UK Limited v
Wipro Technologies (UK) Limited v
Wipro Shanghai Limited v
Wipro Consumer Care Limited v
Cygnus Nigri Investments Private Limited v Wipro Infrastructure Engineering Limited v Spectramind Inc v mPower software Services Inc. v mPower Software Services (India) Private
Limited v Mpact Technologies Services Private
Limited v BVPENTE Beteiligungsverwaltung GMBH v New Logic Technologies AG v New Logic Technologies Inc. v New Logic Technologies SARL v New Logic Technologies S.A. v
Wipro Equity
Reward Trust |
|
|
|
|
Associates : |
Wipro GE Medical
Systems Private Limited WeP Peripherals
Limited |
|
|
|
|
Membership : |
Confederation of Indian Industry |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1650000000 |
Equity Shares |
Rs. 2 each |
Rs. 3300.000
millions |
|
25000000 |
10.25% Redeemable Cumulative Preference Shares |
Rs. 10/- each |
Rs. 250.000
millions |
|
|
Total
|
|
Rs.
3550.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1425754267 |
Equity Shares |
Rs. 2 each |
Rs. 2851.510
millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF
FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
SHAREHOLDERS FUNDS
|
|
|
|
|
1] Share Capital |
2851.510 |
1407.140 |
465.519 |
|
2] Share Application Money |
74.860 |
12.050 |
0.000 |
|
3] Reserves & Surplus |
61353.010 |
47517.290 |
34610.396 |
NET
WORTH
|
64279.380 |
48936.480 |
35075.915 |
|
|
|
|
|
|
LOAN FUNDS |
|
|
|
|
1] Secured Loans |
450.580 |
215.890 |
947.466 |
|
2] Unsecured Loans |
51.030 |
405.030 |
59.408 |
|
TOTAL BORROWING |
501.610 |
620.920 |
1006.874 |
|
|
|
|
|
TOTAL
|
64780.990 |
49557.400 |
36082.789 |
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
11182.520 |
9079.610 |
6550.174 |
|
Capital work-in-progress |
6123.580 |
2502.390 |
1397.121 |
|
|
|
|
|
|
INVESTMENTS |
34592.030 |
28595.110 |
24560.332 |
|
Deferred Tax Assets |
381.380 |
318.560 |
315.533 |
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
Inventories |
1486.510 |
1273.740 |
1020.791 |
|
Sundry Debtors |
19680.670 |
14065.140 |
10623.367 |
|
Cash & Bank Balances |
8230.020 |
5368.960 |
2900.940 |
|
Loans & Advances |
10988.170 |
5975.190 |
5523.442 |
|
Total
Current Assets |
40385.370 |
26683.030 |
20068.540 |
|
Less : |
|
|
|
|
CURRENT LIABILITIES AND PROVISIONS |
|
|
|
|
Current Liabilities |
17768.340 |
12084.350 |
8563.202 |
Provisions
|
10115.550 |
5236.950 |
8245.709 |
Total
Current Liabilities
|
27883.890 |
17321.300 |
16808.911 |
|
Net Current Assets |
12501.480 |
9061.730 |
3259.629 |
|
|
|
|
|
|
MISCELLANEOUS EXPENDITURE |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
TOTAL
|
64780.990 |
49557.400 |
36082.789 |
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
103795.260 |
73266.950 |
52596.727 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
23404.300 |
17570.230 |
10822.668 |
Provision for Taxation
|
3199.500 |
2622.020 |
1673.868 |
Profit/(Loss) After Tax
|
20204.800 |
14948.210 |
9148.800 |
|
|
|
|
|
Export Value
|
70832.940 |
53736.900 |
40.878 |
|
|
|
|
|
Import Value
|
3863.830 |
3237.350 |
2707.311 |
|
|
|
|
|
Total Expenditure
|
80390.960 |
55696.720 |
41774.059 |
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2006 [1st Qtr.] |
30.09.2006 [2nd Qtr.] |
31.12.2006 [3rd Qtr.] |
|
Sales Turnover |
30016.000 |
33211.000 |
35693.000 |
|
Other Income |
503.000 |
542.000 |
818.000 |
|
Total Income |
30519.000 |
33753.000 |
36511.000 |
|
Total Expenditure |
22536.000 |
25269.000 |
27250.000 |
|
Operating Profit |
7983.000 |
8484.000 |
9261.000 |
|
Interest |
1.000 |
26.000 |
29.000 |
|
Gross Profit |
7982.000 |
8458.000 |
9232.000 |
|
Depreciation |
811.000 |
888.000 |
925.000 |
|
Tax |
980.000 |
918.000 |
918.000 |
|
Reported PAT |
6191.000 |
6652.000 |
7389.000 |
Notes:
2006-06 Quarter 1
Expenditure
Includes Cost of Sales / Services - Consumption of Raw Materials* Rs 3510.00
million - Other expenditure Rs 15710.00 million Selling & Marketing
Expenses Rs 1957.00 million General & Administrative expenses Rs 1359.00
million Details of Expenditure Items exceeding 10% of total expenditure Staff
Cost Rs 12769.00 million * Includes Increase/(Decrease) in finished and
processed stocks Rs (126.00) million EPS is Basic Status of Investor Complaints
for the quarter ended June 30, 2006 Complaints Pending at the beginning of the
quarter Nil Complaints Received during the quarter 133 Complaints disposed off
during the quarter 133 Complaints unresolved at the end of the quarter Nil 1.
The above audited financial results were approved by the Board of Directors of
the Company at its meeting held on July 19, 2006. 2. Effective April 01, 2006,
the Company through its subsidiaries acquired 100% equity of cMango Inc and
subsidiaries (cMango). cMango is a provider of Business Service Management
(BSM) solutions. The consideration includes cash payment of Rs 884 Million and
an earn-out of USD 12 Million to be determined and paid in the future based on
specific financial metrics being achieved over a two year period. 3. Effective
June 01, 2006, the Company through its subsidiaries acquired 100% equity of
RetailBox BV and subsidiaries (Enabler). Enabler is in the business of
providing comprehensive IT solutions and services. The consideration includes
cash payment of Rs 2,425 Million and an earn-out of Euro 11 Million to be
determined and paid in the future based on specific financial metrics being
achieved over a two year period. 4. On June 29, 2006, the Company through its
subsidiaries acquired 100% equity of Saraware Oy (Saraware) for an aggregate
consideration of Rs 975 Million. Saraware provides design and engineering
services to telecom companies. In addition, the Company would pay an earn-out
of Euro 7 Million to be determined based on financial targets being achieved
over a period of 18 months. 5. The Company has been granting restricted stock
units (RSUs) since October 2004. The RSUs generally vest equally at annual
intervals over a five year period. The stock compensation cost is computed
under the intrinsic value method and amortized on a straight line basis over
the total vesting period of five years. As permitted by generally accepted
accounting principles in the United States (US GAAP), the Company applies a
similar straight line amortization method for financial reporting under US
GAAP. The Company has been advised by external counsel that the straight line
amortization complies with SEBI guidelines. However, an alternative
interpretation could result in amortization of the cost on an accelerated
basis. Under this approach, the amortization in the initial years would be
higher with a lower charge in subsequent periods (though the overall charge
over the full vesting period will remain the same). If the Company were to
amortize the cost on an accelerated basis, profit before tax and profit after
tax for the quarter ended June 30, 2006 would have been lower by Rs 28 Million
& Rs 24 Million respectively. Similarly, the profits before tax and profit
after tax for the quarter ended June 30, 2005 and year ended March 31, 2006
would have been lower by Rs 213 Million & Rs 197 Million and Rs 490 Million
& Rs 449 Million respectively. This would effectively increase the profit
before and after tax in later years by similar amounts.
2006-09 Quarter 2
Expenditure
Includes Cost of Sales / Services - Consumption of Raw Materials* Rs 4201.00
million - Other expenditure Rs 17364.00 million Selling & Marketing
Expenses Rs 2035.00 million General & Administrative expenses Rs 1669.00
million Details of Expenditure Items exceeding 10% of total expenditure Staff
Cost Rs 14234.00 million *Includes Increase/(Decrease) in finished and
processed stocks Rs (100.00) million EPS is Basic Status of Investor Complaints
for the quarter ended September 30, 2006 Complaints Pending at the beginning of
the quarter Nil Complaints Received during the quarter 357 Complaints disposed
off during the quarter 357 Complaints unresolved at the end of the quarter Nil
1. The above audited financial results were approved by the Board of Directors
of the Company at its meeting held on October 18, 2006. 2. Effective April 01,
2006, the Company through its subsidiaries acquired 100% equity of cMango Inc
and subsidiaries (cMango). cMango is a provider of Business Service Management
(BSM) solutions. The consideration includes cash payment of Rs 884 Million and
an earn-out of USD 12 Million to be determined and paid in the future based on
specific financial metrics being achieved over a two year period. 3. Effective
June 01, 2006, the Company through its subsidiaries acquired 100% equity of
RetailBox BV and subsidiaries (Enabler). Enabler is in the business of
providing comprehensive IT solutions and services. The consideration includes
cash payment of Rs 2,442 Million and an earn-out of Euro 11 Million to be
determined and paid in the future based on specific financial metrics being
achieved over a two year period. 4. On June 29, 2006, the Company acquired 100%
equity of Saraware Oy (Saraware). Saraware provides design and engineering
services to telecom Companies. The consideration includes cash payment of Rs
947 million and an earn-out of Euro 7 Million to be determined based on
financial targets being achieved over a period of 18 months. In addition, the
purchase price payable to the sellers includes an amount payable equivalent to
the amount collected against certain specific reward / incentives estimated to
be receivable as on the acquisition date. 5. In July 2006, the Company acquired
100% equity of Quantech Global Services LLC and Quantech Global Services
Limited (Quantech). Quantech provides Computer Aided Design and Engineering
services. The consideration includes upfront cash payment of Rs 142 Million, a
deferred cash payment of USD 3 Million and an earn-out to be determined and
paid in the future based on financial targets being achieved over a period of
36 months. 6. In December 2005, the Company through its subsidiaries acquired
100% equity of BVPENTE Beteiligungsverwaltung GmbH and its subsidiaries (New
Logic) for an aggregate consideration of Rs 1,156.54 Million and earn-out of
Euro 26 Million to be determined and paid in future on financial targets being
achieved over a 3 year period. The consideration paid was subject to certain
working capital adjustments. In the period ended September 30, 2006, the
Company has completed the working capital adjustments and paid an additional
consideration of Rs 68.76 Million, which has resulted in additional goodwill.
7. The Company has been granting restricted stock units (RSUs) since October
2004. The RSUs generally vest equally at annual intervals over a five year
period. The stock compensation cost is computed under the intrinsic value
method and amortized on a straight line basis over the total vesting period of
five years. As permitted by generally accepted accounting principles in the
United States (US GAAP), the Company applies a similar straight line
amortization method for financial reporting under US GAAP. The Company has been
advised by external counsel that the straight line amortization complies with
SEBI guidelines. However, an alternative interpretation could result in
amortization of the cost on an accelerated basis. Under this approach, the
amortization in the initial years would be higher with a lower charge in
subsequent periods (though the overall charge over the full vesting period will
remain the same). If the Company were to amortize the cost on an accelerated
basis, profit before tax and profit after tax for the quarter ended September
30, 2006 would have been lower by Rs 18 Million & Rs 15 Million respectively
and the profit before tax and profit after tax for the six months ended
September 30, 2006 would have been lower by Rs 45 Million & Rs 39 Million
respectively. Similarly, the profits before tax and profit after tax for the
quarter ended September 30, 2005 would have been lower by Rs 206 Million &
Rs 191 Million respectively and the profit before tax and profit after tax for
the six months ended September 30, 2005 would have been lower by Rs 419 Million
& Rs 388 Million respectively. Profit before tax and profit after tax for
the year ended March 31, 2006 would have been lower by Rs 490 million and Rs
449 million respectively. This would effectively increase the profit before and
after tax in later years by similar amounts. In July 2005, the Company
established Wipro Restricted Stock Unit Plan (WRSUP 2005). The Company is
authorized to issue up to 12,000,000 Restricted Stock Units (RSUs) under the
plan to eligible employees. In July 2006, the Company granted 2,482,560 RSUs
under WRSUP 2004 and 918,130 options under WARSUP 2004. The Company also
granted 3,556,466 options under WRSUP 2005. For the quarter ended September 30,
2006 the Company recorded stock compensation expense of Rs. 448 Million in
respect of these grants.
2006-12 Quarter 3
Expenditure
Includes Cost of Sales / Services - Consumption of Raw Materials* Rs 5231.00
million - Other expenditure Rs 18136.00 million Selling & Marketing
Expenses Rs 2062.00 million General & Administrative expenses Rs 1821.00
million EPS is Basic Status of Investor Complaints for the quarter ended
December 31, 2006 Complaints Pending at the beginning of the quarter Nil
Complaints Received during the quarter 419 Complaints disposed off during the
quarter 419 Complaints unresolved at the end of the quarter Nil 1. The above audited
financial results were approved by the Board of Directors of the Company at its
meeting held on January 17, 2007. 2. Effective December 01, 2005, the Company
through its subsidiaries acquired 100% equity of mPower Software Services Inc.
and its subsidiaries for an aggregate cash consideration of Rs 1,275 Million.
In the terms of the scheme of amalgamation filed with and endorsed by the State
of Delaware, USA, mPower Software Services Inc amalgamated with the Company's
subsidiary with effect from April 2006. 3. In December 2005, the Company
acquired 100% equity of BVPENTE Beteiligungsverwaltung GmbH and its
subsidiaries (New Logic) for an aggregate consideration of Rs 1,156.54 Million
and earn-out of Euro 26 Million to be determined and paid in future on
financial targets being achieved over a 3 year period. The consideration paid
was subject to certain working capital adjustments. In the period ended
December 31, 2006, the Company completed the working capital adjustments and
paid an additional consideration of Rs 69 Million. 4. Effective April 01, 2006,
the Company acquired 100% equity of cMango Inc and subsidiaries (cMango).
cMango is a provider of Business Service Management (BSM) solutions. The
consideration includes cash payment of Rs 884 Million and an earn-out of Rs 531
Million (USD 12 Million) to be determined and paid in the future based on
specific financial metrics being achieved over a two year period. 5. Effective
June 01, 2006, the Company acquired 100% equity of RetailBox BV and subsidiaries
(Enabler). Enabler is in the business of providing comprehensive IT solutions
and services. The consideration includes cash payment of Rs 2,442 Million and
an earn-out of Rs 642 Million (Euro 11 Million) to be determined and paid in
the future based on specific financial metrics being achieved over a two year
period. 6. On June 29, 2006, the Company acquired 100% equity of Saraware Oy
(Saraware). Saraware provides design and engineering services to telecom
companies. The consideration includes cash payment of Rs 947 Million and an
earn-out of Rs 408 Million (Euro 7 Million) to be determined based on financial
targets being achieved over a period of 18 months. In addition, the purchase
price payable to the sellers includes an amount payable equivalent to the
amount collected against certain specific reward / incentives estimated to be
receivable as on the acquisition date. During the period ended December 31,
2006 the Company paid Rs 68 Million towards earn out. 7. In July 2006, the
Company acquired 100% equity of Quantech Global Services LLC and Quantech
Global Services Limited (Quantech). Quantech provides Computer Aided Design and
Engineering services. The consideration includes upfront cash payment of Rs 142
Million, a deferred cash payment of Rs 132 Million (USD 3.00 Million) and an
earn-out to be determined and paid in the future based on financial targets
being achieved over a period of 36 months. 8. In November 2006, the Company
through its subsidiaries acquired 100% equity of Hydrauto Group AB (Hydrauto).
Hydrauto is engaged in the production, marketing and development of customized
hydraulic cylinders solution for mobile applications such as mobile cranes,
excavator, dumpers and trucks. The consideration comprises upfront cash payment
of Rs 1,365 Million and direct cost of Rs 47 Million. This acquisition will
give the Company an entry into Europe, access to a customer base built over the
past few decades and complementary engineering skills. 9. In November 2006, the
Company acquired 100% equity of the India, Middle East and SAARC operations of
3D Networks and Planet PSG. 3D Networks, a platinum partner of Nortel Networks,
provide business communication solutions that include consulting, voice, data
and converged solutions, and managed services. 3D Networks' specialized
solutions are deployed in ITES/IT, Telecom, Banking and Finance, Government and
Service verticals. Planet PSG is the sole GlobalNortel Technical Services
partner on Periphonics platform in APAC region and provides professional
services on voice and speech platforms in the region. The consideration
includes upfront cash payment of Rs 908 Million (USD 20 Million) and an
earn-out to be determined and paid in the future based on financial targets
being achieved over a period of 24 months. The maximum amount of earn out
payable under the agreement is USD 43.78 Million. This acquisition is a
strategic fit as it complements Wipro's existing practice capabilities and
differentiates Wipro as the most comprehensive IT Solutions provider across
verticals. 10. In August 2006, the Company entered into a venture with Motorola
Inc. to address the managed services requirement of public and private network
customers. WM NetServ Limited, a company in which Wipro holds 81.1% shares will
deliver public and private network customers with managed services focused on
planning, deployment, optimization, security, operations and support services.
11. In December 2006, the Company sold 4 million shares in WeP Peripherals at a
price of Rs 40 per share. Post this sale, the Company's holding in WeP
Peripherals is reduced to 15%. The Company has recorded a gain of Rs 106
Million on the sale of these shares. The carrying amount of the remaining
shares in WeP Peripherals is classified under long term investments. As a part of
the sale transaction, the Company has also acquired a put option to sell the
balance shares at Rs 40 per share at any time during January 2008 to December
2009. 12. The Company has been granting restricted stock units (RSUs) since
October 2004. The RSUs generally vest equally at annual intervals over a five
year period. The stock compensation cost is computed under the intrinsic value
method and amortized on a straight line basis over the total vesting period of
five years. As permitted by generally accepted accounting principles in the
United States (US GAAP), the Company applies a similar straight line
amortization method for financial reporting under US GAAP. The company has been
advised by external counsel that the straight line amortization complies with
SEBI guidelines. However, an alternative interpretation could result in
amortization of the cost on an accelerated basis. Under this approach, the
amortization in the initial years would be higher with a lower charge in
subsequent periods (though the overall charge over the full vesting period will
remain the same). If the Company were to amortize the cost on an accelerated
basis, profit before tax and profit after tax for the quarter ended December
31, 2006 would have been higher by Rs 47 Million & Rs 40 Million
respectively and the profit before tax and profit after tax for the nine months
ended December 31, 2006 would have been higher by Rs 1 Million respectively.
Similarly, the profits before tax and profit after tax for the quarter ended
December 31, 2005 would have been lower by Rs 43 Million & Rs 37 Million
respectively and the profit before tax and profit after tax for the nine months
ended December 31, 2005 would have been lower by Rs 462 Million & Rs 425
Million respectively. Profit before tax and profit after tax for the year ended
March 31, 2006 would have been lower by Rs 490 Million and Rs 449 Million
respectively. In July 2005, the Company established Wipro Restricted Stock Unit
Plan (WRSUP 2005). The Company is authorized to issue up to 12,000,000
Restricted Stock Units (RSUs) under the plan to eligible employees. In July
2006, the Company granted 2,482,560 RSUs under WRSUP 2004 and 918,130 options
under WARSUP 2004. The Company also granted 3,556,466 options under WRSUP 2005.
For the quarter ended December 31, 2006 the Company recorded stock compensation
expense of Rs 440 Million.
KEY RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt-Equity Ratio |
0.01 |
0.02 |
0.02 |
|
Long Term Debt-Equity Ratio |
0.00 |
0.01 |
0.00 |
|
Current Ratio |
1.46 |
1.33 |
1.60 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
4.97 |
4.70 |
4.16 |
|
Inventory |
74.37 |
63.42 |
57.82 |
|
Debtors |
6.12 |
5.90 |
5.60 |
|
Interest Cover Ratio |
748.50 |
316.29 |
308.37 |
|
Operating Profit Margin(%) |
25.67 |
26.77 |
23.84 |
|
Profit Before Interest And Tax Margin(%) |
22.83 |
24.21 |
20.92 |
|
Cash Profit Margin(%) |
22.53 |
23.10 |
20.56 |
|
Adjusted Net Profit Margin(%) |
19.68 |
20.54 |
17.63 |
|
Return On Capital Employed(%) |
41.01 |
41.15 |
30.98 |
|
Return On Net Worth(%) |
35.72 |
35.59 |
26.76 |
STOCK PRICES
|
Face Value |
Rs.10/- |
|
High |
Rs.624.45/- |
|
Low |
Rs.617.00/- |
LOCAL AGENCY
FURTHER INFORMATION
Wipro
is one of the leading players in providing IT services & Products business
globally. Wipro though started as a edible oil producer way back in 1945, under
the name Western India Vegetable Products, a private limited company has
transformed itself into leading player in FMCG and IT services & Products
business. It's FMCG business (or Wipro Consumer care and Lighting) with strong
brands in baby care, toilet soaps, personal wash, personal grooming, domestic
and industrial lighting has significant presence in domestic market. The
company also have presence in manufacture of hydraulic cylinders and medical
equipments through its subsidiary i.e. Wipro Fluid Power and JV affiliate Wipro
GE Medical Systems Private respectively.
Wipro provide comprehensive range of IT services, software solutions, IT
consulting, business process outsourcing and research and development services
in the areas of hardware and software design to leading companies worldwide.
This was done by combining the business/industry knowledge of domain
specialists and technical knowledge and implementation skills of delivery team
in its development centres located both in Indian and around the world. The
range of services includes IT consulting; custom application design,
development, re-engineering and maintenance, systems integration, package
implementation.
Wipro's BPO, which operated as a separate subsidiary earlier was consolidated
into Global IT services products division. The BPO provides Customer Interaction
Services, Industry Administration Services, Business Optimization Services and
Knowledge Services. The company also does Product Designing in Hardware, System
Software Development and Support services for industries like Automotive
Electronics, Computing Peripherals, Computing Platforms & Software
products, Consumer Electronics, Industrial Automation & Avionics, Medical
Devices, Mobile Devices & Application, semiconductors, Wireless Networks,
Space Communications and much more. The Company is the largest third party
R&D Service provider in the world with world's largest technology
infrastructure management practices and are among the top 3 offshore BPO
service providers by revenue.
Wipro has set up an overseas design center, Odyssey 21 for undertaking projects
and product developments in advanced technologies for overseas clients. Aviva
Plc has selected Wipro Technologies as a strategic partner for Offshore IT
Outsourcing. Under the agreement, Wipro will provide a range of IT services
covering Application Development and maintenance, Package implementation and
testing. The company launched its German operations based out of Frankfurt
which will address the requirements of the enterprise for business applications
as well as R & D outsourcing requirements of technology companies.
The company has chalked out plans to expand its operations in Tamil Nadu. The
company has set up a Campus Style facility at Sholinganallur, near Chennai as
part of Phase II expansion of the Campus Development Centre.
The company has invested in building ability in Wireless Domain like Global
Standards for Mobile (GSM), Code Device Multiple Access (CDMA) and General
Packet Radio Service (GRPS) and also in GigE Mac Core, Ethernet software
solution and Residential Gateway solutions for Customer Premise
Equipment.
The FMCG business of Wipro consist of products including hydrogenated cooking
oil, soaps and toiletries, light bulbs and fluorescent tubes and lighting
accessories. The umbrella brand of the company are 'Santoor', Wipro Active line
of talcum powers, Wipro Baby Soft line of infant and child care products and
Wipro Sanjeevani line of wellness products. The brand portfolio and market
share was strengthened/expanded by acquisition of Chandrika Ayurvedic soap and
Glucovita Glucose Powder during 2004-05. The company has also launched Wipro
Sanjeevani Honey, Wipro Sanjeevani Isabgol and Wipro Safewash liquid
detergents. The capacity of Toilet Soaps was expanded by 19930 TPA to 47,930
TPA, in Mar'05. The Company has also installed CFL during '04-'05 which stood
as 6658000 Nos in March 2005.
Wipro Lighting is a major diversification of Wipro, manufacturing and marketing
lighting products for households and the commercial and Industrial markets.
Wipro has set up a wholly owned subsidiary company viz. Wipro Consumer Care
Limited. This company will be engaged in the manufacture of consumer care and
lighting products.
The business restructuring exercises of the company to derive business synergy
has resulted in birth of Wipro e-Peripherals, Wipro Fluid Power, two of its
subsidiaries. In this context Wipro Infotech and Wipro Systems were amalgamated
with Wipro in April, 1994 and Wipro Infotech spun off its peripherals services
division into a new legal entity i.e. Wipro e-Peripherals on Sep 2000. Wipro
Net has been amalgamated with the company with effect from April 1, 2001, which
will enable it to synergize the customer offerings under one management and
enable it to offer the specialized telecom skills available within both the
companies.
Continuing that the company spin-off of its Fluid Power business unit into a
separate subsidiary company effective March 1, 2002. Netkracker, which was a
subsidiary of Wipro subsequent to acquisition of equity interest of ICICI and
the Fluid Power business was combined and renamed as Wipro Fluid Power
Limited.
Five of Wipro's manufacturing and development facilities secured the ISO 9001
certification during 1994-95. In February 2001, Wipro became the first software
technology and services company in India to be certified for ISO 14001
certification for complying with the international standards for Environmental
Management System (EMS) in three major software development and technology
centers in Bangalore. The company has strong software engineering processes
& also achieved ISO 9000 certification. Wipro is the first software company
to get SEI Level 5 & also implemented Six Sigma TQM practices to software
projects and support functions which represents a quality standard of less than
3.4 defects per million opportunities were a defect may arise. Wipro
Technologies has won the 'Banker Technology Award' for the year 2004 Instituted
by the Financial Times in the 'Risk Management Award' category. The company has
been selected for the award for its project for JP Morgan Chase to create an
operating risk management system.
In the fiscal 2004-05 the company has issued Bonus Shares in the ratio of 2:1
to its shareholders.
During December 2005, the
company has signed a definitive agreement to acquire mPower Inc., a US based
company with a development centre in Chennai and MPACT Technology Services,
which is based in Chennai.
In 2006, The Honorable High Court of Karnataka has approved the Scheme of
Amalgamation for the merger of the Spectramind Limited, Bermuda, Spectramind
Limited, Mauritius, & Wipro BPO Solutions Limited with the Company on April
05, 2006.
The company has issued bonus Shares in the ratio of 1:1 to its
shareholders.
The company has acquired mPower Software Services Inc, a Princeton, New Jersey,
US headquartered company with development Center in Chennai and MPACT
Technology services Private Limited, based in Chennai, for an all cash
Consideration of $28 million and New Logic Technologies AG, an Austrian Firm
was acquired an all cash consideration of Euro 26 Million.
The company has signed agreement in the current financial year to effectively
acquire the target company cMango Inc., a US based Technology Infrastructure
consulting firm in an all cash deal. The acquisition is effective in the next
financial year 2006-2007.
Schemes of Amalgamation
The Schemes of Amalgamation of Wipro BPO
Solutions Limited (formerly Wipro Spectramind Services Limited), Spectramind
Limited, Bermuda, Spectramind Limited, Mauritius with Wipro Limited have been
approved by the Hon'ble High Court of Kamataka on April 5, 2006. The erstwhile
Wipro BPO Solutions Limited, Spectramind Limited, Bermuda and Spectramind
Limited, Mauritius stands merged with Wipro Limited with the effect from April
1, 2005 being the appointed date. The Annual Report of Wipro Limited for the
year 2005-06, has been prepared after giving effect to the amalgamations. The
orders of the High Court have been filed with the Registrar of Companies,
Bangalore on April 29, 2006.
PERFORMANCE OF THE COMPANY
Sales of the Company for the year ended
March 31, 2006, were Rs. 102641 millions, up by 41% and Profit after Tax before
extraordinary items was Rs. 20205 millions an increase by 35% over the previous
year. Over the last 10 years, the Sales have grown at an average annual rate of
23% and Profit after Tax at 46%. The Company's earnings in Foreign Exchange
stood at Rs. 70833 millions and have registered a growth of 32% compared to the
previous year.
Increase in Share Capital
During the year, they issued 16290171 equity
shares pursuant to exercise of stock options by eligible employees under
Employee Stock Option Plans and 705893574 equity shares as Bonus shares,
aggregating to 722183745 equity shares. Due to these Corporate Actions, the
issued, subscribed and paid-up equity share capital increased from 703570522
(March 31, 2005) to 1425754267 equity shares as of March 31, 2006.
Fixed Assets :
Ř Land
Ř Buildings
Ř Railway siding
Ř Plant &
Machinery
Ř Furniture, Fixture
and Equipments
Ř Vehicles
Ř Technical Know-how
Ř Patents, Trademarks
& Rights
It also has a joint
venture with British Telecom for providing value-added network and VSAT
services.
The company has
been accredited with ISO 9001 and ISO 14001 Certification.
AS PER WEBSITE
News
Wipro appoints P R Chandrasekhar as Chief
Executive – Americas & Europe
%2014-Apr-2007_files/image003.gif){kind=small}
Bangalore, July 24, 2005
Wipro Limited (NYSE: WIT) today
announced the appointment of P R “Sekar” Chandrasekhar as the Chief Executive
of Americas and Europe. Sekar has been leading the European Operations for
Wipro.
Under his leadership Wipro’s
European operations have consistently grown ahead of the industry, driven by
wins in a number of key deals, deepening of client engagements and expansion of
service lines, including addition of a strategic consulting unit.
In his earlier roles in Wipro, Sekar
has been responsible for Global M&A, Channel Development and the Global
.Net Business. He led Wipro’s initiatives in M&A which have bolstered
Wipro’s position as a leading Global IT services and BPO provider. He has also
had a successful stint in Wipro GE Medical Systems in Sales. Prior to joining
Wipro, Sekar was responsible for M&A for GE India.
Rich Garnick, Head of Wipro’s
America Sales has resigned after four years at Wipro. Rich has contributed to
institutionalizing the sales processes in North America, and in making Wipro a
market leader across services lines.
Commenting on this change, Mr. Azim
Premji, Chairman, Wipro Limited said, “Sekar brings in a wealth of experience,
having worked in multiple strategic and sales roles. His ability to create a
win-win with customers is further enhanced by his deep prior experience in the
Americas and Europe. Increasingly, they find that their clients work with them
across multiple geographies and having a common head for Europe and the
Americas will align them better with this trend.” He added, “Rich has
contributed to building their sales engine in North America. They wish him
success in his future endeavors.”
Reflecting on his tenure at Wipro,
Rich Garnick said, “Wipro has grown tremendously in its ability to engage and
add value to customers, and it has been exciting to have been part of this
transformation. Given this phenomenal growth and the associated travel, I have
not been able to spend enough time with my family and there comes a time when
you need to focus on the family and that is the key driver of my decision to
leave Wipro. I am sure that the sales organization they have built will
continue to make significant progress, under the leadership of Sekar.”
Commenting on his new role, P R
Chandrasekar said, “North America is their largest market and I am very excited
by the opportunity to grow their business there. They have a great team in
place and I am confident that given their renewed focus on furthering the depth
of their services lines and increased investments in sales and marketing, they
will be able to drive market leadership.”
Rich will work with Sekar to
facilitate a smooth transition. Sekar will be relocating to the US, while
working very closely with the strong team that he leads in Europe.
About Wipro
Wipro Limited is
the first PCMM Level 5 and SEI CMM Level certified IT Services Company
globally. Wipro provides comprehensive IT solutions and services, including
systems integration, Information Systems outsourcing, package implementation,
software application development and maintenance, and research and development
services to corporations globally. In the Indian market, Wipro is a leader in
providing IT solutions and services for the corporate segment in India offering
system integration, network integration, software solutions and IT services.
Wipro also has profitable presence in niche market segments of consumer
products and lighting. In the Asia Pacific and Middle East markets, Wipro
provides IT solutions and services for global corporations.
Wipro's ADSs are listed on the New
York Stock Exchange, and its equity shares are listed in India on the Stock
exchange - Mumbai, and the National Stock Exchange, among others.
Wipro’s complete
range of IT Services addresses the needs of both technology and business
requirements to help organizations leverage leading-edge technologies for
business improvement. %2014-Apr-2007_files/image004.gif){kind=small}
Wipro takes charge of the IT needs of the
entire enterprise. The gamut of services extends from Enterprise Application
Services (CRM, ERP, e-Procurement and SCM), to e-Business solutions. Wipro’s
enterprise solutions have served and continue to serve clients from a range of
industries including Energy and Utilities, Finance, Telecom, and Media and
Entertainment.
A Cycle of Define,
Perform, Review and Refine
The client is the world’s third largest
water company, and provides clean and waste water services to over 69 million
customers around the world. The client had embarked on a journey to streamline
their IS operations to ensure better service delivery, improved customer
relationship and closer links with business. They also wanted to move to a
‘thin’ layer of IS. This was a challenge considering that the client consists
mostly of bespoke applications using a wide spectrum of technologies and
functional areas that cover all the business functionality of a typical water
utility.
Through a series of strategic initiatives
over a two year period, Wipro made the client realize significant cost savings
as well as remarkably improve the quality of the application estate. This was
done by following a cycle of define, perform, review and refine, for each of
the functions that Wipro was entrusted with. Wipro devised and implemented a
strategy for cost savings by leveraging on its Global Sourcing model. The
savings in the application support budget was also enabled through a system of
forecasting and reviewing service requirements with partners and third party
vendors.
They've
developed a model called "Extended Engineering” that leverages synergies
across the value chain
As product manufacturers and platform vendors across the world strive to make
better products with shorter development cycles and reduced total cost of
ownership, they at Wipro Technologies partner with them to provide
comprehensive solutions in product lifecycle management and product
realization. At Wipro, they've developed a model called "Extended
Engineering" that allows you to leverage synergies across the
value chain and progress swiftly from concept to market. They are now the
world's largest contract R&D house for telecom, auto and electronics.
Industries served
v
Computing
Platforms and Software Products
v
Industrial
Automation and Avionics
v
Semiconductors
Storage
Technologies
Telecommunication Solutions
v
Voice and
Next-Generation Networks
v
Wireless
Networks and Devices
Wipro plugs R&D Service into Innovation Networks
Wipro, the world’s
largest third party R&D services provider, has built a 10,000-strong
Product Engineering Solutions (PES) group that offers a complete range of
R&D services — from product strategy to hardware design to quality
consulting — to clients that sell electronics-based products. With more than
120 active clients in industries such as semiconductor, automotive, platforms
and peripherals, consumer electronics, and medical devices, PES revenues have
grown at 36% for the past three years. R&D services now accounts for 36% of
Wipro's total revenues. By putting its extended engineering capabilities on
play in global Innovation Networks, Wipro is making R&D services the next
battleground.
True value
from technology requires an in-depth understanding of business strategy.
Today’s businesses
need partners who can talk about strategy and technology in the same conversation.
At Wipro, they believe true value from technology requires an in-depth
understanding of business strategy. Their cross-industry consulting services
help you craft a vision for the organization and then provide a specific,
practical business and technology framework that will make that vision a
reality. Their consulting competencies spread across business, process, quality
and technology consulting.
Refining Business Strategy
The client is an
online financial services company that aggregates capital from small size
investments to access large size institutional-quality private investments. The
challenge was to build a private equity investment Net Market and generate a
significant volume of transactions while adhering to complex and restrictive
regulatory requirements and accommodating for multi-national users.
Wipro built the private equity Net Market adhering to complex and restrictive
regulatory requirements administered by the SEC and NASD and accommodating
multi-national users. Wipro achieved this through refining business strategy,
creating a new Internet-based business model, building the technology backbone
for the Net Market and providing thought leadership, business strategy, deep
technology, and user experience skills.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with Government
:
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.41.73 |
|
UK Pound |
1 |
Rs.83.11 |
|
Euro |
1 |
Rs.56.50 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
YES |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
81 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|