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Wipro Limited announces results for first quarter and year ended June 30, 2010

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WIPRO LIMITED AND SUBSIDIARIES
CONDENSED CONSOLIDATED
INTERIM FINANCIAL
STATEMENTS UNDER IFRS
AS OF AND FOR THE THREE MONTHS ENDED JUNE 30, 2010
1


WIPRO LIMITED AND SUBSIDIARIES
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION
(Rupees in millions, except share and per share data, unless otherwise stated)
As of March 31,
As of June 30,
Notes
2010
2010
2010
Convenience
translation into
US$ in millions
(Unaudited)
Refer note 2 (iv)
ASSETS
Goodwill…………………………………………………………
…………
4
…… ……
……
……
………
53,802 …………
……

55,283
1
,191
Intangible assets…………………………………………………
…………
4 …………

……
……
……

……
4,011
………
……
……

……
3,949
85

Property, plant and equipment……………………………………
…………
3
……
……

……
……
53, ……
458 …………
……

……
52,557 …………
……

1
,132
Investment in equity accounted investees ………………………
…………
12 …… ……
……
……
……

……
2,345
……
……

……

……
2,502
……
……
……
……
……
54
Derivative assets…………………………………………………
…………
11 …… ……
……
……
……

……
1,201
……
……
……

………
2,139
46

Non-current tax assets……………………………………………
………………
……

……
……
……
3,464 …………
……
…………
3,436
……
74

Deferred tax assets…………………………………………………
………………

……
……
……
……
1,686 ………
……
……

……
1,909 …… 41

Other non-current assets…………………………………………
…………
8
…… ……
……
……

……
8,784 …………
……
…………
10,778
……

232

Total non-current assets……………………………………… …………………
……
……
……

…………
128,751
……
……
………
132,553 …………

2
,856


Inventories…………………………………………………………

…………
6
……

……
……
……
………
7,926
……
……
……

8,936
193

Trade receivables…………………………………………………
………………
……
……
……
……
50,9 …
28 …………
……
……
52,103 …… 1
,123
Other current assets…………………………………………………

………
8
……
……
……
……
……
21,1 ……
06
……

……
…………
21,132

455

Unbilled revenues…………………………………………………

………………
……
……
……

16, ……
708
……
……
……

……
21,095 …… 455

Available for sale investments……………………………………
………
5 …………

……
……
……
30, ……
420 …………
……

……
64,858 ……………
……
1
,398
Current tax assets……………………………………………………

………………

……
……
……
……
6,596 …………
……
………
6,675
… 144

Derivative assets…………………………………………………
…………
11 …… ……
……
……
……

……
2,615
……
……
……

………
1,242
27

Cash and cash equivalents………………………………………
…………
7 ………

……
……
……

……
64,878 …………
……
…………
34,195
……


737

Total current assets…………………………………………… …………………
……
……
……

……
201,177…………
……
…………
210,236
……
4
,530

-

TOTAL ASSETS…………………………………………………

………………

……
……
……

……
329,928…………

……

……
342,789 …… 7
,386

EQUITY

Share capital………………………………………………………
………………
………
……
……
……
2,936 …………
……
……
4,899
106

Share premium………………………………………………………

……………
……
……
……
……
29,1 ……
88
……

……

……
27,871 …
601

Retained earnings……………………………………………………

……………
……
……

……

…………
165,789
……
……
………
178,976 …… 3
,856
Share based payment reserve……………………………………
………………
……
……

……
……
3,140 …………
……
…………
2,683
……
……

58

Other components of equity…………………………………………

………………

……
……
……
(
4, …
3 ……
99)
……
……
……
(

……
4,327)
…………

(
93)
Shares held by controlled trust……………………………………

………………
……
……
……
……
(
5
……
42)
……
……

……
(
5
……
42)
……
……

(
12)
Equity attributable to the equity holders of the company……… …………………
……
……

…………
196,112
…………
……

……
209,560 …………

……
……
4
,
……
515
………………
Non-controlling Interest…………………………………………
……………… ……
……

……
……
437

…………
……
……

……
520
……

11

Total equity…………………………………………………………

………………

……
……
……………
196,549
……
……
………
210,080
4
,527


LIABILITIES


Long - term loans and borrowings…………………………………

…………
9
……

……

……
……
18,1 ……
07
……
……
……

……
21,733 ………
……
……

468

Deferred tax liabilities……………………………………………
………………
………
……
……
……
380

…………
……
……
360

…………
8

Derivative liabilities…………………………………………………

……
11…………

……
……
……

………
2,882
……
……
……

……
3,196
……
69

Non-current tax liability……………………………………………

………………


……
……
……

……
3,065
……
……
……

……
3,568 ………

77

Other non-current liabilities…………………………………………

…………
10
……

……

……
……

……
3,233
……
……
……

……
3,183
………
……
69

Provisions…………………………………………………………

…………
10
……
……
……
……
……

……
503
……
……


562

12

Total non-current liabilities……………………………………
………………
……
……
……
……
28,1 ……
70
………
……
…………
32,602
……
……

702



Loans and borrowings and bank overdrafts………………………
…………
9
……
……
……
……
……
44,4 ……
04
………
……

……
37,168 …………
……
……
……
801

……
Trade payables and accrued expenses………………………………

………………

……
……
……
38, ……
748 …………

……

……
41,294
…………
……
……

890
Unearned revenues………………………………………………
……………… ……
……
……
……

……
7,462
……
……

……

……
7,293
… 157

Current tax liabilities………………………………………………

………………

……
……
……
………
4,850
……
……
……
……
5,424 ………
117

Derivative liabilities…………………………………………………

……
11…………

……
……
……

………
1,375
……
……
……

……
1,326
……
29

Other current liabilities………………………………………………

……
10 …………

……

……
……

……
6,499
……
……
……

……
5,670
……

122

Provisions…………………………………………………………

…………
10
……
……
……
……
……

……
1,871
……
……


1,932
42

Total current liabilities…………………………………………
………………
…………

……
………
105,209 …………
……

…………
100,107
……

2
,157

TOTAL LIABILITIES……………………………………………

………………

……

……

…………
133,379
……
……
…………
132,709
…………
2
,859
TOTAL EQUITY AND LIABILITIES……………………… ……………………

……
……
………
329,928 …………
……
…………
342,789
……
……
……
……
7
,
……
386
The accompanying notes form an integral part of these condensed consolidated interim financial statements
As per our report attached
For and on behalf of the Board of Directors
for B S R & Co.
Azim Premji
B C Prabhakar
Girish S Paranjpe
Suresh Vaswani
Chartered Accountants
Chairman
Director
Jt CEO, IT Business &
Jt CEO, IT Business &
Firm Registration No:101248W
Director
Director
Akeel Master
Suresh C Senapaty
V Ramachandran
Partner
Chief Financial Officer
Company Secretary
Membership No. 046768
& Director
Bangalore
July 23, 2010

2



WIPRO LIMITED AND SUBSIDIARIES
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF INCOME
(Rupees in millions, except share and per share data, unless otherwise stated)
Three months ended June 30,
Notes
2009
2010
2010
Convenience
translation into
US $ in millions
(Unaudited)
Refer note 2 (iv)
Gross revenues……………………………………………………
15 ………
….
6
3,868
7
1,906
1
,549


Cost of revenues…………………………………………………
16 ……
…….
(43,

247)
( 48,647)
(1
,048)

Gross profit…………………………………………………… ………
…….
2
0,621
2
3,259
5
01

Selling and marketing expenses…………………………………
16 ………
……

(
4,239)
(5
,387)
(1
16)
General and administrative expenses…………………………………
16
………
..
(
3,552)
(3
,838)
(8
3)
Foreign exchange gains/(losses), net……………………………………

…………
(
1,406)
4
58
10


Results from operating activities…………………………………

………
………
1
1,4 ………
24
1
4,493
3
12

Finance expenses…………………………………………………….
17
(
640)
( 403)
( 9)
Finance and other income…….……………………….
18
9
95
1
,351
29

Share of profits of equity accounted associates..........................
12
1
14
1
57
3


Profit before tax…………………………………………………

………
…..
1
1,893
1
5,598
3
36

Income tax expense…………………………………………………
14
………

(
1,740)
(2
,345)
(5
1)

Profit for the period……………………………………………………

……
……………
1
0,153
. 1
3,253
2
86

Attributable to:

Equity holders of the company……………………………………

………
………
1
0 ……
,104 …….
1
3,186
2
84
Non-controlling interest……………………………………………

………
………
……
49

…. 67

1

Profit for the period…………………….................................. ..
1
0,153
1
3,253
2
86

Earnings per equity share:
19

Basic…………………………………………………………… ………
………
……
4
.1……
6
5.42

0
.12
Diluted………………………………………………………………

………
……
………
4
.14
. 5.42

0
.12


Weighted average number of equity shares used in
computing earnings per equity share:

Basic……………………………………………………………

………
………
2,426,9 ……
35,05 ..
3
2
,433,563,597
2
,433,563,597
Diluted………………………………………………………
………………
2
,44 ……
3,236 ………
,059
. 2
,434,085,523
2
,434,085,523
The accompanying notes form an integral part of these condensed consolidated interim financial statements
As per our report attached
For and on behalf of the Board of Directors
for B S R & Co.
Azim Premji
B C Prabhakar
Girish S Paranjpe
Suresh Vaswani
Chartered Accountants
Chairman
Director
Jt CEO, IT Business &
Jt CEO, IT Business &
Firm Registration No:101248W
Director
Director
Akeel Master
Suresh C Senapaty
V Ramachandran
Partner
Chief Financial Officer
Company Secretary
Membership No. 046768
& Director
Bangalore
July 23, 2010

3


WIPRO LIMITED AND SU BSIDIARIES
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE INCOME
(Rupees in millions, except share and per share data, unless otherwise stated)
Three months ended June 30,
Notes
2009
2010
2010
Convenience
Translation into
US $ in millions

(Unaudited) Refer
note 2(iv)
Profit for the period…………………………………………………………………… ……………………

.
1
0,153
13
,253
2
86


Other comprehensive income, net of taxes:
Foreign currency translation differences..…..……………………………………… ….
13
( 169) 1
,347
29

Net change in fair value of cash flow hedges……………………………..…………
….. 11,14
2
,538
(
1,237) (
27)
Net change in fair value of available for sale investments…….………………………

…..5, 14
2
04
(2
0)
-
Total other comprehensive income, net of taxes……………………...………

2
,573
89

2


Total comprehensive income for the period……………..……………………………

…………………



1
2,726
13
,342
2
87



Attributable to:


Equity holders of the company..………………………………………………………

….
1
2,697
13
,258
2
86
Non-controlling interest……………….....................................................................
29

84

2

1
2,726
13
,342
2
87
The accompanying notes form an integral part of these condensed consolidated interim financial statements
As per our report attached
For and on behalf of the Board of Directors
for B S R & Co.
Azim Premji
B C Prabhakar
Girish S Paranjpe
Suresh Vaswani
Chartered Accountants
Chairman
Director
Jt CEO, IT Business &
Jt CEO, IT Business &
Firm Registration No:101248W
Director
Director
Akeel Master
Suresh C Senapaty
V Ramachandran
Partner
Chief Financial Officer
Company Secretary
Membership No. 046768
& Director
Bangalore
July 23, 2010

4


WIPRO LIMITED AND SUBSIDIARIES
CONDENSED CONSOLIDTAED INTERIM STATEMENTS OF CHANGES IN EQUITY
(Rupees in millions, except share and per share date, unless otherwise stated )
Other components of equity
Share
Foreign
Equity
based
currency
Cash flow
Shares held
attributable to the
Non-
Share
Share
Retained
payment
translation
hedging
Other
by controlled
equity holders of
controlling
Particulars
No. of Shares
Capital
premium
earnings
reserve
reserve
reserve
reserves
trust
the company
Interest
Total equity
As at April 1, 2009…………………………….………………


1,4…
64…
,9 …
80 .
,746
2
,930
2
7,280
12

6,646
3
,745
1,533

(14

,533)
85

(
542)
14
7,144
2
37
14
7,381
Issue of equity shares on exercise of options …………………




6.77,140
1

407

( 407)
1

1

Profit for the period……………………………………………
………….
1
0,104
1
0,104
49

1
0,153
Other Comprehensive Income…………………………………
…..
(1
49)
2
,538
204

2
,593
( 20)
2
,573
Compensation cost related to employee share based
payment transactions.
3
59
359

359

As at June 30, 2009……………………………………………
1
,465,657,886
2
,931
2
7,687
13

6,750
3
,697
1,384

(11

,995)
289

(
542)
16
0,201
2
66
16
0,466

As at April 1, 2010……………………………………………


1
,…
46…
8 …
,21 …
1,1.89
2
,936
2
9,188
16

5,789
3
,140
258

(4,

692)
35

(
542)
19
6,112
4
37
19
6,549
Issue of equity shares on exercise of options …………………




1,4.36,497
3

642

( 641)
-

4

4

Issue of shares in form of stock dividend ……………………



9

79 …
,76 …
5 …
,12 …
4 … …

1
,960
(
1,960)
-
-
-

Profit for the period……………………………………………
………………
1
3,186
1
3,186
67

1
3,253
Other Comprehensive Income…………………………………
…..
1,330

(1,

237)
(
20)
72

17

89

Compensation cost related to employee share based
payment

1
84
184

184

As at June 30, 2010……………………………………………
2
,449,412,810
4
,899
2
7,871
17

8,976
2
,683
1,588

(5,

929)
14

(
542)
20
9,560
5
20
21
0,080
Convenience translation into US $ in million
(Unaudited) Refer note 2(iv)


106

601

3,856

58

34

( 128)
-
(
12)
4
,515
11

4
,527

The accompanying notes form an integral part of these condensed consolidated interim financial statements
As per our report attached
For and on behalf of the Board of Directors
for B S R & Co.
Azim Premji
B C Prabhakar
Girish S Paranjpe
Suresh Vaswani
Chartered Accountants
Chairman
Director
Jt CEO, IT Business &
Jt CEO, IT Business &
Firm Registration No:101248W
Director
Director
Akeel Master
Suresh C Senapaty
V Ramachandran
Partner
Chief Financial Officer
Company Secretary
Membership No. 046768
& Director
Bangalore
July 23, 2010

5


WIPRO LIMITED AND SUBSIDIARIES
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS
(Rupees in millions, except share and per share date, unless otherwise stated)
Three months ended June 30,
2009
2010
2010
Convinience
Translation into
US$ in millions
(Unaudited)
Refer note 2(iv)
Cash flows from operating activities:

Profit for the period……………………………………………………………
… …


10, …
15 …
3 ……


13, …
253
2
86
Adjustments to reconcile profit for the period to net cash generated
from operating activities:


Gain on sale of property, plant and equipment………………………………
… …



( …
6) ……



(
7…
) …






-
………
Depreciation and amortization……………………………………………… ……



1,86…
8 ……


1
, …
88 …
4 … …


41

Unrealised exchange (gain) / loss……………………………………………
……


( …
5 …
42) ……


3

6 …
6





8

Impact of cash flow / net investment hedging activities…………………………



9 …
88
1
,152
25

Loss/(gain) on sale of investments……………………………………………






6




(


100)……




(
2)
Share based compensation……………………………………………………




3…
59…
… …


1

84 ……

4

Income tax expense………………………………………………………………


……
1,740 .
2
,345
51

Share of profits of equity accounted investees………………………………
… …


( …
1 …
14) ……


(

15 …
7) …







(3)……
Dividend and interest (income)/expenses, net……………………………………



(

439).. (
1,106)
(
24)
Changes in operating assets and liabilities:

Trade and other receivables…………………………………………………
… …


4,9 …
61 ……


(1 …
,1 …
75) ……


(
25)
Unbilled Revenue……………………………………………………………




(
1…
, …
68

9)



(4, …
3 …
87)
(
95)
Inventories………………………………………………………………… ……



7
9…
5 ……

(
1,010)
(
22)
Other assets…………………………………………………………………
……


1
, …
90 …
3
… …

(
2,480)
(
53)
Trade payables and accrued expenses………………………………………
… …

(

1, …
46 …
4) …


2

,3 …
96 ……






52

Unearned revenue……………………………………………………………





2

89 ……


(

16 …
9)
(
4)
Other liabilities………………………………………………………………





( …
21 …
8)



(

645)
(
14)
Cash generated from operating activities before taxes………………………



18,
590……

10


,

344 ……






22
3 ……………
Income taxes paid, net……………………………………………………………


(
1…
, …
99

6)


(
1,333)
(
29)
Net Cash generated from operating activities…………………………………




16


,

594 ……


9
, …
01 …
1 ……




1
94
Cash flows from investing activities:

Expenditure on property, plant and equipment and intangible assets…………




(
2…
, …
52 …
2)



(2, …
9 …
51) ……






(6 …
4) …………………………
Proceeds from sale of property, plant and equipment…………………………






64 ……




86 ……







2
…………
Purchase of available for sale investments……………………………………
… …

(9 …
3,9 …
43 …
) …

(1 …
72 …
,14…
6) ……




(

3, …
70 …
9)
Proceeds from sale of available for sale investments…………………………
… …


71, …
878 ……


137 …
,8 …
69 ……





2, …
97 …
1 …………
Investment in inter-corporate deposits……………………………………………


2

,2 …
50 ……
. (
5,500)
(
119)
Refund of inter-corporate deposits……………………………………………
… …


-
………


8

,00…
0 ……




1
72
Payment for business acquisitions, net of cash acquired………………………





-
………


(

14 …
0) … …






(
3…
) ……………
Interest received……………………………………………………………………



44 …
5
… . . 1
,202
26

Dividend received…………………………………………………………………



2
6 …
0 …. . 4
51
10

Net cash used in investing activities……………………………………………



( …
21 …
,5 …
68)……

( …
33, …
12 …
9) ……




( 714)
Cash flows from financing activities:

Proceeds from issuance of equity shares………………………………………






1
……




4

……





-

Repayment of borrowings / loans…………………………………………………

(

11, …
51 …
3) …. (
23,922)
(
515)
Proceeds from borrowings / loans…………………………………………………


4
, …
99 …
3 ….
17

,672
3
81
Interest paid on loans and borrowings……………………………………………



(

397) …. (
80)
(
2)
Net cash used in financing activities………………………………………… ……


( 6 …
,

916) ……

(

6, …
3

26) … …




( 136)

Net decrease in cash and cash equivalents during the period……………… ……

(

11 …
,8 …
90) ……

(
3…
0, …
44 …
4) … …





(

65 …
6) …………………
Effect of exchange rate changes on cash and cash equivalents………………




(


11 …
8) …



4

63 ……







10
……………………
Cash and cash equivalents at the beginning of the period……………………





48, …
232 ……


63,…
55…
6 ……





1, …
36 …
9
………………
Cash and cash equivalents at the end of the period (Note 7)…………………




36,
224 ……


33,
57
5 ……






72
3
…………………

The accompanying notes form an integral part of these condensed consolidated interim financial statements
As per our report attached
For and on behalf of the Board of Directors
for B S R & Co.
Azim Premji
B C Prabhakar
Girish S Paranjpe
Suresh Vaswani
Chartered Accountants
Chairman
Director
Jt CEO, IT Business &
Jt CEO, IT Business &
Firm Registration No:101248W
Director
Director
Akeel Master
Suresh C Senapaty
V Ramachandran
Partner
Chief Financial Officer
Company Secretary
Membership No. 046768
& Director
Bangalore
July 23, 2010


6




WIPRO LIMITED AND SUBSIDIARIES
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
(Rupees in millions, except shar

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