Full Year 2021 Wipro Ltd Earnings Call

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POC

Ladies and gentlemen good day, and welcome to the Wipro Limited Q4 FY 21 quarterly investor call.

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I now have the confidence Auto vice president and corporate restaurant. Thank you and love with you.

Welcome to install we will begin the call with business highlights and overview, but I'll see you in managing director Follow Me Love You by Justin Donati afterwards operator will open the bridge of your management. Let me draw your attention to the packaging the call. You may make forward-looking statements within the meaning of the private Securities litigation reform that 1995 in the statements are based on Management's current expectations often associated with unfortunate. He's in which may cause the actual results to differ materially from those filings with rep does not undertake any obligation to update the forward-looking statements to reflect the events and circumstances after the date of the conference call will be archived and a transcript. Yep.

Be made available or not this time over to you.

Oh, thank you. Good morning, or good evening everyone and and thank you for joining us today. It's it's definitely good to be able to speak to you again this quarter. I hope you've been saying safe perhaps some of you may now be vaccinated. But if not, I really hope you you have access to the vaccinations. In fact talking about that. I'm happy to share that for Aquatics based in India. We will be organizing vaccination campaign email campus campuses. I've got the guideline set by the government.

And we would reimburse.

The cost of vaccination for not just our employees but their families as well soon. Much-needed relief in a tough year for everyone around the world. But thanks to degrees and perseverance of our entire team. We are stronger and more resilient than ever before.

You would have seen.

A coupon performance was built on top of momentum. We saw in the last quarter. We have reported a solid growth in revenues healthy or the booking log in frankly great execution resulting in Robert. Margin the sets the stage for the next quarter and the next financial year as well. Now. Let me give you some more detail on the results, right? Let's start with the revenue.

Oh Revenue grew during the quarter was 3.9% in reporting tons and 3% on constant currency. Which is at the top corner for guidance range. I'm very pleased to tell you that this is the best for squat that results we have reported in the last ten years.

It was led by a good volume growth and despite the decline in the first quarter of the fiscal because of the pandemic we bounced back to finish the job is only a marginal decline of 1.4% sure on you.

So it's look at the demand the demand environment right now is robust and our overall pipeline is pretty healthy. In fact of total contract value of a book in the second half h221 grew by 33% John here.

That is the highest total with ever reported. You may ask what has led to this performance. First of all, I would say there's an increased activity job market that we have leveraged very well, but secondly our members reflect the large deal with being able to close we are closed 12:00 large deals resulting in a tcv of you know, the 1.4 billion.

PCV includes a make a deal that we close during the quarter in our America's pocket, which can shoot lead to revenue of authors billion daughter of the deal duration.

Approve you previously talked about how m&a is going to be an integral part of our business strategy. And you see that in the last two quarters with announced acquisition wage across several key markets including the US Europe in America, Australia, India.

These Acquisitions have strengthened our local presence and our service offering during the quarter. We also announced our largest-ever acquisition Capco with this acquisition of Capco.

will

Strengthened very significantly of position in the Global Financial Services Market. It's very clear. We are quite excited to involve some exceptional domain expertise and Leadership talent in that space will remain up for closing this transaction as early as possible.

William so you would have seen that amount your position of em p.m. And australian-based provider of cybersecurity devops and quality Engineering Services.

This acquisition will definitely expand our footprint in Australia and accelerate of package.

AWS strategy mergers and Acquisitions over the years have created a vibrant new age and diverse community of talent around the world. Some of you have faith that on April first twenty one. We retired some of our individual required Brands and we unite the nation such previous Acquisitions. Thereby, truly integrating every one of the one brand one identity and one mindset and ambition that now allows us to go to market as one Libra.

Operating margin during the quarter was 21%

It's a 340 basis points increase beyond our barometric shown consistent improvement with utilization option in the tires.

I'm pleased to share that, you know will release.

Australian salary increments and promotions covering Approximately 80% of our employees effective January 1st 2020. Are we are pleased with our with our Regal fiction, which also resulted in operating margin of 20.3% for the full year and expansion of two hundred basis points in a financial you

Know what speaks about Lucas is that we can do 4.

In an entirely new okay. This wasn't until the organization structure that if you remember I had announced in November 28th Century. We undertook the biggest Lego transformation of the company and so little to no disruption in our Market focus our results. There are

Change takes time, but I'm pleased to share that we are now well settled in the new ways of working with the spotlight verbally and our customer need.

He's not a new category of leadership that has joined the existing executive team.

Key positions have been filled.

I'm really proud to say that my son is three drivers and brings to each other kind of inclusive leadership. That is not so typical of our industry story house.

But it's imperative that we built local talent and improve ethnic and gender diversity. Of course a lot more needs to be done. But I want to take a moment to check on the progress we've made.

No, let's see some color to the underlying business before.

Forum members are in constant currency for ease of reference.

Significant traction across hold our Market which means our growth is broad-based and the for sustainable in America, we grew 3.5% off with most of the sectors showing some growth. Our deal closures will provide a solid platform for next year in America to we grew up 12% Sequentially that led by a surgeon volume.

The demand in the bfsi sector across all service off. The manufacturing business is recovering while our own business is likely to remain like Triple-A.

European market the sequential growth of 3.7%

On the back of that we've had to the Earth.

United Kingdom in Ireland been in Germany who collectively by 5.6%

finally our apnea market decline flight

it's going to be that you too conscious exit in some of the low quality businesses in the Middle East Market, but what I want to analyze is that all the other regions connectivity are grown now 3.6% sequential.

Blinking at home business lines the idea applications data and Engineering grew by 2.1% off.

It was a greater demand for service offerings digital experience and data and Engineering Services are also Global business and I grew by 4.3% quarter-over-quarter with or three service offerings that is to say digital operations platform Club infrastructure and our security practice growing well.

Another indicator of how broad-based are gross was is to not that top customers of the 5 top 10 customers not grown. Well ahead of your old company home now.

Let me give you a sense of the kind of deals. We are winning.

Battles will give you a picture of the current business and get one of the best examples what we already announced the five-year deal with telefonica O2 which we signed in February twenty one month.

as we look at our customers buying patterns truly represents a lot of what we are seeing across Industries and are willing to straight it through Thursday 1

all customers believe that now is the time for radical renovation of the it environment.

White many strategies and approaches to top to bottom all the order of the ipsa. The goals are similar to significantly change the speed the efficiency off the effectiveness of how it support business grows Innovation and customer.

We pull customers across this spectrum of ID transformation.

chicken

child is at the center of customer conversations cloud is in fact becoming the Computing platform for a large percentage of infrastructure and application whether the conversation is focused on cloud migration or Cloud native application multi-hybrid public or private Cloud customer are thinking we close partnership, Let them shift else as well as innovating across the Enterprise Value chain.

Sure. We are calling regarding business value and up come out come to our customers demonstrating our long-term commitment to them while back she bought in their funding button.

Deals becomes more integrated transformational and require greater Innovation across the ecosystem to expect more conversation in this area.

Not the deal that we have one with similar Contour is European mapping and location data company that are selected refer to partner in their cloud and digital transformation.

That's part of that engagement. We probably set up next gen High retail operation centers and big futuristic off the mapping domain. We will leverage our homes AI robotics platform to enable the fully dry land devops organization improving productivity and an M user experience for the customer.

And finally on to our outlook for the next quarter we have guided for a revenue growth to 4%

outside of Capco and ampia

this will translate into your on your double-digit growth of 11 to 13% for this quarter this guidance reflect the environment. We are operating in no down or increased focus on the market.

Nro, improved execution we go. We recognize that.

We have competing for Quality talent and we are fully prepared to lead the war for good time. We are investing in building Talent. We have implemented several interventions to retain diverse Talent as well.

Aparna measures are in place to ensure the supply chain does not slow down our pace of growth this includes, but it's not limited to one month promotion Cycles across bands, too.

Fuel there's different sheet bonus answer the rule out of the much-deserved salary increases for senior colleagues in June Twenty One.

On margins and you want me to reflect this investment for groups?

You summarized.

I would say that we are pleased with the current business momentum and the optimistic and we are optimistic about strengthening that momentum going into the new Financial or our six kids are growing under your on your basis. And that's the solid foundation. We are starting if y 22 long the final but a very important point that I must make two days.

He's on the field that we brought been passionately practicing for the last ten years that our business should not be detached from the dead or being climate crisis.

I want you to know that our gross Omission fully incorporates. Are they pick up our faults and built on our roadmap in the coming days. You will see your make some significant announcement on the strongs.

More on that later, but now let me hand over to Jack for his comments on the financials getting over to you.

Thanks a lot Theory and good morning. Good evening to all of you who are joining are earning call. Once again a great pleasure for us to host you. Let me give birth.

Emery of our performance s Theory spoke about be delivered our quarter for in the top quartile of our guidance range at 3% off in reported term. This is 3.9% sequential and this comes on the back of two good quarters where we delivered in quarter three 3% sequential 3.4% sequential growth and before that 2% So overall we are we are tracking a good trajectory as we complete this financial dead dead.

I would operating margin.

Income was 21% which is compared to 17.6% of quarter for of last year was 340 basis points up.

We feel quite well about the kind of execution that we were able to achieve in quarter for and deliver this operating margin.

Be delivered for the full year 20.3% operating margin for services. And this was a 220 basis-point expansion pack for the full year.

I speak about idiot.

For the full-year our ETR was twenty 1.8% The ATR was lower in quarter for because of couple of couple of Tax Matters page titled and we got some upsides on that but we deliver 21.8% of in quarter in the full year of Twenty-One compared to twenty point two months of fiscal 2020.

Resultant our net income for the full year grew 11% and our EPS growth 421 was 14.6% volume.

Let me speak a little bit about Forex.

We were able to achieve a healthy realization of 73.83 for every dollar in quarter for

he ended to your we had about three point two billion dollars of Forex edges of which about 450 for certain Capital Grille made in our subsidiaries and are not are not for the normal inflows for for our sales proceeds. So from that perspective, meaning the range of our historical range of 2.6 to two point eight billion dollars, but as I said, we have stopped it up with certain Capital protection Hedges that we have executed in quarter for

Let me speak about cash flow.

In quarter for our cash flows while a little lower.

If you know our dsos are are are significantly better in quarter three, and you know, they go up slightly in quarter for lunch typically in the beginning of the year. There is there is a little more time taker to issue fridge. And by the time you build against those pills, you know, the collections typical slightly into into April what should have come in March. So therefore typically in quarter for we we have we have a slightly higher dear so compared to quarterback so that has one impact, but I'm pleased to say that in this quarter for we have improved our DSO by about eight days compared to quarter for of last year. So effectively Your Own Boss. You still see a strong Improvement in in in cash collection. Second thing is that we have also because of the the bank holidays and a few other things.

that impact the

The cash payout for salaries in India in this quarter. Of course. This doesn't impact p&l in any manner but cash flow does get infected so you for cashing a slightly lower than what we would like, but I'm very pleased to say that for the full year. We have had very robust cash flow generation.

I would operating cash flow X percentage of net income is 137%

and our free cash flow as percentage of net income is 119%

You would have seen that our net cash neck of that has come down at the end of March and compared to December. It was five point two billion in December and which is 3.6 billion in at the end of March and that is pretty much reflective of the buyback that we have completed all of one point three billion dollars in the course of of water for overall. We have a strong balance sheet help me pnm, and we look forward to FY 22.

Bill guided for two to four percent Theory highlighted in his opening remarks at the constant currency exchange rate that are mentioned as part of our President Bush will be very happy to take your questions from here.

Thank you very much, sir. Ladies and gentlemen in the question-and-answer session.

Anyone who wishes to ask a question, may I please press * then 1 on the touch-tone telephone?

if he was to remove yourself from the question queue, you may press * then two participants are requested to use handsets while asking a question anyone who wishes to ask questions, please press * then 1

The first question is from the line of severe guntupalli from ICICI Securities, please go ahead.

Yeah, good evening. Gentlemen, thanks for giving me this opportunity clarification Metro AG any change in the integration timeline and after 2 to 4 % guidance for Monday June 2021. What is the contribution You're Expecting from Metro?

Yeah, so today thank you. Appreciate we are not we are not breaking out a specific deal or a customer contribution to guidance, but certainly took a deal where the large component of the ram pop principal component of ramp-up is happening from 1st April.

Okay, so the rambox is from first.

Yeah.

And my second question is in terms of the deal when if you can add further color on the renewal and net movies and what are these jobs which are not these?

Dissidia so, so if I look at the performance or let's say the the activity on the sales front in in the organization one, we've mentioned the fact that you know, if you look at our home use our our key account or large account, if you like the are driving growth, they are growing faster than the average of the organization which is what it should be. And so that's a reflection of the fact that in our existing account. We we are expanding our position through yours or through you know new URL. What we are doing in these accounts is suck you sleep reinforcing opposition, uh, you know by extending leveraging the different solutions and offerings we have in inside the organization. So increasing the number of our account that have more than one or two offerings and from we probe.

Supporting them besides that we have had a very solid strong performance in generation of new opportunities in accounts. We don't walk in new accounts. And so I would say frankly your right to be able to drive growth. You really need to work on two legs. We always say you need hunters and one side who are you know, I'm going after new accounts and you need to have farmers who are really growing existing relationship. And you know, I what we've seen over the last six months is that we had some good wins driven from Hunter so in new account, but over the last few months the acceleration no existing account has picked up as well. And so that's so that's a reflection of the good activity in the market.

Yeah, thanks. One last question for my side. It has been some time since you had put the organizational changes into effect and we have seen a lot of leadership changes over the past few months in the organization. So how do you think the employees of the company are taking these changes, uh, in terms of the satisfaction levels about the organizational changes any color on that will be helpful.

Sudhir every week. I organized a call with about twenty-five employees organization really selected based on their birthday. So it's really people in the organization often times that Junior levels too with whom you know to get a field but also obviously connect and know them but also you'll get a feel for you know, how things are perceived and you know, we are getting a lot of very good return on the direction taken. I think there's a great deal of energy in the system of ambition as well and I would say of confidence in the organization. So people are being really warm to the change and two new faces. I would say we have so, you know, obviously as you said, we've embodied, uh, quite a significant wage

number of

Senior leaders in in our innovation in very different Shores at the executive committee level five new members have joined the team over the last three months, but you know, I think what's what's happening is is really positive on one hand. They're very excited to join Wipro and and and get to know better the the culture and the values of the organization the spirit that makes it so special and but they're also bringing a different perspective at things from you know, from the different organizations that they work with and and you know, the the the way they are being welcomed by you know, the people relation is is really good. I can tell you very pleased with the way new people are integrating very rapidly and very actively in the organization.

Sure. Thank you. Thank you. Thank you. Thank you. Thank you. The next question is from the line of Brian Campbell from when I go ahead.

Bryan Campbell from wedbush your line is unmuted. Please go to the question.

Hey, it's Patrick. Can you hear me? Yes.

Hey, I should battery from would push a couple of follow-up questions here first. Did you disclose the mix from digital during the quarter and the growth rates? They're dead.

Moshe to be we have not shared that number as part of the part of the communication that we have done.

Yeah, but let me let me take that one maybe so so what what what we feel is that you know, I know that some of the companies continue to report. What do you Did you dial or what's not and what do we feel is that it's becoming a lot more and more blurred frankly. And so and and and frankly we are approaching a percentage is anyway where it's you know becoming the the majority of the organization so it's not really serving the way the evolution of Technology works. So what we are doing is I have picked more specific offerings the inside of your see the space around each dial and cloud and so on to really Drive hydros now to give you both of you on the cloud the cloud business for us. It's about a quarter of the uh, revenue of Wipro that's growing double-digits High double digits, right if you look at Birth

BD is growing WG if you look at a digital customer experience, this is growing double sheets.

We we see that growth everywhere. There is no doubt to your question. If I try to read the question is there is no doubt that the the pandemic as accelerated the transition of the rotation from I would say Legacy solution offerings to you know, digital and cloud and data and and and and that's been also one of the reason why we are getting an accident of birth because we are well-positioned in this space.

Okay. So if I if I if I ask the question a bit differently from from your estimate which part of the regular basis not growing or actually shrinking this point. What is what would be shrinking is, you know asset infrastructure business that is not in the cloud that would be non-differentiated, you know Services because by definition there is a there would be a a cost pressure on it that would you know that would suck on your on your Revenue line and those Services, you know, are are are certainly being uh, a rapidly replaced by you know off cloud data engineering security and so on. Okay, and then what part of the the booking for the quarter wage?

Actually from renewals and maybe there's a way to look at this also for the manual perspective for the fiscal year, which part of bookings came from a year old vs. New logos.

So, you know Jack, can you tell me if we have that but what I can tell you is that?

BD

peppermints in bookings over the last six months does not come from the I would say a pick-up of renewals wage. You will pick up a free rewards versus previous quarter's in fact, in fact, not not the case. A lot of the growth we've seen is coming from New Opportunities. We've we've driven either proactively in our existing account or you know, we start dinners in in in in in other accounts. And so frankly, I thought I would I would tend to feel that at least I would say and I would I would like to add but I would say that there is not more there's not a bigger proportion of the bookings. The 7.1 billion CC re-sign that is coming from than what we would have had typically in the previous quarters.

Absolutely Cheri. I mean you you articulated correct? I mean in terms of the texture of this and only additional data point Moshe is dead, you know, we haven't broken seven point. I mean we are not broken down this overall, uh PCV that we have booked but we we can talk about the one point four billion dollars of large-scale that we have signed and and most of it is new and very little of renewable that all to give you color of of uh, you know additional color as to how the business

That's great. And then

No question to Terry since he's announced the capital transaction. Did you have some more time maybe to look at it? Are you feeling more confident less, about the prospect here and any sort of incremental color will be helpful. Thanks a lot.

So landlady and I are connecting continuously. Okay. We are talking we are obviously impatient to go through all the different steps to complete the process. We will by the way complete the process on time in within the time frame that we had fine for it the Outlook, you know, I cannot, you know consider the deal is not done. You know, I I need to apply some reservation to uh, the view bath each positive. I can tell you it's positive to try and dispositive the opportunities identified two thousand Hockey League connect the capital and the liberal side bfsi business on on specific account as being you know, yep.

Is it on the list as you can imagine over the last month as we are talking to clients and and connect me with them, you know, they are absolutely expressing, uh, you know, Invasion start to engage with the cap per team and start to really reflect on what it means and how we can you know leverage are you know a new position and are you know capabilities off to save them more and so to your point which was get a sense for the feeling for my level of confidence one. I've never know. I mean we are and I know Richard our chairman share this view as well from a strategy standpoint. This was absolutely the right thing to do and second. I think the process leading to age of the deal is running well and and and everything. I've heard in terms of, you know momentum and marketing impact at the moment on the job.

Coe side is positive so, you know, hopefully soon more to come but it's it's it's exciting. Uh, you know outlook for us. Thank you.

Thank you.

The next question is on the line of money from GM Financial, please go ahead.

Yeah, please go ahead to my question is regarding the dog outside environment. Were you speaking about giving extra fees and stuff from this wanted to

I wanted to get

something's on the rejects item for

he's excited for the Google stuff for at 5:32.

I'm sorry. I've not been able to understand your question. It's it's reference to supply the surprise side, but can you repeat sure thankful. So my question is this regards to we take cycle for the overall stuff for a 522 any thoughts on when do we plan to rule out wage hikes for the entire staff? That's question. Number one choice. Second question was with regards to to pricing Trends in the market. Just wanted to understand. Are you seeing more progression towards skill-based pricing now, I'm on the fact that customers have got much more accustomed to do delivery. And do you think that will be a margin liver for the industry as a whole over the next few years. Thank you.

Okay. So let me take the point the question to answer up. I'll give you the first one on the on the compensation Evolution the hike Cena in in organization. So on the first one, which is the price Evolution, so definitely, you know, I think it was very clear at the beginning of the pandemic that you know the shark on the girls on the overall performance of a lot of companies in different Industries has led them to drive significant cost Reduction Program in there. I don't think they have no idea reduce the spending ninety. They've suddenly asked for a fault and discount and some you know, uh super at that time, but that was more, you know to home and Shelter From A A A from a novel a span. I don't think there is going to be a slow down in, Georgia.

In fact, there's going to be an increase of the Spain for technology over the next uh, a quarter's pricing. I would say, you know, it's what I would say, I have seen times where there was a tremendous pressure on price. I don't think we are in this. I have seen. Where you know

But I've never seen a period where there's no normal pressure. So, why would you say is of course if you are if you working on, you know life solutions that are differentiated, you know price client is ready to pay the right price to get the right service because transformation the the steak what is at stake in the transformation office lost more than what they potentially May save a little beating in the technology span. So I think at the end of the day to your question, I would say yes, there is a promotion on pricing but not more than you know, what we've seen for many many years frankly and second is you know when you are on the right offerings when you provide the right Talent

Declines are willing to pay.

Want to have the right Talent they want to have you know, the best capabilities you can you can offer and that is for sure a requirement. You want to maybe compliment that one and take the first one short. Thanks. Thanks Siri to Monaco your question on 4/22. Let me explain to you a bit in Q4 effective Force January of this calendar year. We have given hikes to 80% of our information. Did you need employees and for the balance people we are doing it effective 1st June. This is a normal cycle that in q1 off during a couple of other things. This is one is that we are doing bonuses for school-based bonus across the organization for the key skills wage.

Parts cuz a bit market today where you want to employees are doing and you'll have a across-the-board across the company off ocean cycle happening again in June. So number of interventions that happening for people as regards the normal cycle for f i twenty-two. We have just given it took months back. We will close Union employees will take a call as you know, we have called out that our supply chain will not be a constraint to manage the growth environment and at appropriate time. We will take a call when it should be good. But our Endeavor is to remain competitive and make sure we building fence the right skills critical and high school people in the organization.

Thank you for the response. I guess the press conference you mentioned that the wage hikes I could given by us in December what differentiated and ahead of time. So just want to get some thoughts there.

So yeah, so the what we have given four people in the in the January cycle, we believe that our increases for the key differentiator increases based on performance and criticality second on skill and whatever increases we have given two people are much more aggressive than what we have seen life. That's the point I wanted the vehicle.

Does that answer your question money? Yep. Thank you, sir. Thank you.

Thank you.

The next question is from the line of the page map from emkay Global, please go ahead. Thanks for the opportunity couple of questions. First of all, just want to get things about the game and now with the leadership team in place because what you indicated by Q4 and we will be largely done. So if you can provide some update on it from leadership perspective and order transition is largely behind us second question on the progress made on Global account executive. So empowered account manager related to me off that is I think one of the key Focus areas of the progress made so far and how we should look at playing out over the next few quarters. And the last question is very cocky and everything you indicated some seven billion billion tech for fiscal. So is it comparable with one point four billion, which we announced through Innkeeper, or how once a group that number? Thanks.

Okay, okay. Okay understood understood. So let me start all the first one which is the organization. So yes on January 1st. We have rotated the organization from a

Global sector model with three dimension and about twenty seven P & L's off to an organization by geographies and sectors inside geographies with four panels and two Global business page supporting those four years. So that's a much simpler organization that has implied a significant. We design a relation to work on the processes work on the whole of everyone and and obviously realign all people including leadership to this new model. We have set the objective to be returned by January 1st.

And what we have said about they're not communication. And our goal is that we would we would consider that by end of the quarter. We would broadly be armed with the transition if you like do have is that we have shifted to the new model on January 1st.

And we've probably by the end of January early February we've been at pretty much full speed in the new model for the spring. I'm personally myself. I've been also very impressed by the wage organization as adjusted to this new model and our leaders have jumped in the new old and they can and and and the reason for the success in my mind is that one there is a clear Spirit of what we process of people were want to work together and really dead share the successes and and and and work together with our clients second.

There is an absolute focus on the market. And from that standpoint. I think it's been a success. We've seen it in the sales performance month after month. And and so I was expecting a lot less people time spend on internal battles less internal frictions between silos less discussion about who's being a disease but a lot and maybe also last so not maybe but also less people focusing on operation see if you like and many more of our leaders in the market connecting with clients and focusing on closing deals and different things but that's on the organization. My view is you know, we are you know meet of April documentation changes behind us. Yes. There are on the things that we need to adjust and do but that's absolutely normal for Thursday.

The organization is up and running in the new set up and it's working. Your second point was on the account executive chef the global account executive the G80 hold that we developed as part of this new operating model on January 1st here, I would say, you know, certainly it's a it's a journey because you know four people eat is a change in the responsibility off in the scope of operations. They have a lot more accountability. They are more, you know accountable in front of the client but also in front of the company, but then they are giving power to really try this accountability and I would say the progress have been really good the fact that our accounts are large accounts are being driving the growth birth.

of the organization

Thank you for and will continue to do it into wants is a positive aspect of that. I want to say one thing also on the on this account on this the reaction a response from our clients and being very strong as well very positive and data differently helped because when you know, your clients are showing satisfaction in the way in the change, we are implemented internally, it gives a lot more.

Sames to the change and I guess people are you know, it's a lot easier to to to adjust to it. So it is the clarification on bookings understand your point. So you seven point 1 billion dollar is the tcv performance for H2. So that includes 234 and indeed this is that the io ever government in tcv for Wipro instrumental.

Okay, did I ever respond to all your situations. So one clarification on the last part? So large Bill 1.2 + 1.4 billion + 7.1 billion include everything off there someone else.

So on point fixes large tcv and total is 7.1 per month.

This is only for H2. We are we are not selling for full physical that is right. This is only for thanks God.

Thank you. The next question is from the line of nitin padmanabhan from investec, please go ahead.

Yeah, hi, good evening. And thanks for taking my question. The first question is will you be able to provide any tentative sort of assumption that you might have internet when Capco and um, uh ampion would sort of begin to revenue or when you put clothes.

We've said before the end of June and it will be before the end of June.

So that before the end of the quarter, they will be part of the family. We are confident that they will be part of the timing.

You know, this is you know, this is regulation steps, right? So this is also a process where you have to go through Different Page approval process in different countries, not something that we are running out of but it will get completed before the end of the quarter panel. And secondly, this one is like looking at I think in the prior quarter when we recorded one point two billion dollars in deal and I think Metro number 706 you had suggested that you know, it's uh, you said sort of deal with that sort of may not be replicable considering we had a large deal within that wage but this kind of actually uh, sort of Delaware at one point four billion now going forward based on the pipeline that you see do you think what you've achieved in the first half from these large bills due age,

that's something we should sort of expect from before going forward on a consistent basis Kia Pipeline and

Underlying momentum that would allow you to sort of at least the above billion consistently.

You know, this is this is certainly the objective. This is certainly the objective. That's why we are building this large deal team across got we brought with very very tall talents. We will really, you know, bring their experience or going to use and help us craft those opportunities of deals and build the pipeline. We have deals in Dubai. And so we may continue to close, you know, several large but it still may not be machine that we want to have that is producing systemically, uh certain number of largest Berkeley year. And so I think we are dead in the acceleration process. We are not there to the point where we say. Okay, the engine is working full speed and we will produce X number of these for you know, go. Yep.

So that's that's the most you know, that's the best answer I can give you.

Cole yes, we thank you. So when you look at the deals that are out there, he's Cloud licensing incrementally becoming a larger proportion of Bills versus what it was Prior year.

Can I all the old he's about a quarter of the business of we broke and it's growing?

Several times more than the average company of the company. So it is going to get a large proportion of our business. Sorry, I was referring to the cloud licensing Revenue per se which will actually split out into the product business. So just trying to understand that going if you look at the deals out there that are in the pipeline is cloud licensing incrementally becoming a larger proportion of the deal structures versus what was in the past.

It is but I will not differentiate in the buff numbers, but you know, we see that yet.

I sure that's pretty helpful. Thank you so much and all the best.

Thank you. Thank you. The next question is from the line of Sandeep Shah from Aquarius Securities Beast overhead.

Yeah, thanks for the opportunity. Just wanted to understand that in the first six months of you organizational level changes closing off guard usage impressive. So Theory just wanted to understand is it largely the operational simplification which is driving or if it's something else in terms of some flexibility on contractual terms or other things, which is also driving this kind of a mega deal with no no, no. No, I mean

It's hard to respond to.

Equation because you know, we we strategy and change our approach on legal terms or commercial terms. I don't think so. I think it is probably more that we are engaging more proactively with our clients on on larger opportunities. Just maybe something that we'd even pay enough attention to in the past. So it's really more, you know, the results of of connecting at multiple levels with our clients bought a leveraging our expertise of the industry and and our understanding of their landscape and priorities and really, you know be pro-active in crafting the opportunity that that's to me that way I see the the infection can't

Okay, this is help you so just a follow-up. How is the pipeline has been shaping up for the more proactive approach with the client as a home and is it resulting into material increase in your pipeline versus what it used to be earlier and just the last follow-up question for the cap for sources of life in any color or What proportion would be through that and what proportions could be through internal approvals. We are really looking at all options and and we'll finalize what time works best for us right now. So we have not yet finalized how you know, what would be the proportion that's the current position?

Okay. Yeah, I'm getting so so

On the largest. So yes, I said we certainly see more large deals that you know or larger possibilities than what you know, we will looking at in the pipeline in the in the last uh, you know, six or nine months what is dead still technically also is that we are having a lot more cxo engagement with our clients that you know, probably we had before and I mean, it's it it's obvious that you know, these large opportunities are generated in these 6 a.m. Until yeah, we all seem more opportunities in the pipeline is the pipeline big enough yet on luxury for me know that's that's cool.

Music that's why we are building this big deal team because you know, I know by experience that we can really take it to the next level and and and and turn it in.