On April 20, Indian IT whiz Wipro (NYSE:WIT) released fourth-quarter earnings for the period ended March 31.

  • Revenue increased by 46%, as its global IT service and product revenue grew by 37% year over year.
  • During the quarter, global IT services and products added 44 new clients, including seven Global 500 or Fortune 1000 companies.
  • Wipro carries a four-star rating in Motley Fool CAPS. Players who are bullish on Wipro also favor Indian companies Tata Motors (NYSE:TTM) and Infosys (NASDAQ:INFY).

(Figures in millions, except per-share data. 2005 data is presented in dollars from last year's financial statements.)

Income Statement Highlights

Q4 2006

Q4 2005

Change

Sales

$1,005.7

$687.0

46.4%

Net Profit

$199.9

$134.0

49.1%

EPS

$0.14

$0.09

55.6%

Diluted Shares

1,444.5

1,423.7

1.5%

Get back to basics with a look at the income statement.

Margin Checkup

Q4 2006

Q4 2005

Change*

Gross Margin

31.2%

31.2%

0.1

Operating Margin

18.9%

21%

(2.1)

Net Margin

19.9%

19.5%

0.4

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q4 2006

Q4 2005

Change

Cash + ST Invest.

$1,040.0

$881.0

18%

Accounts Rec.

$660.5

$463.0

42.7%

Inventory

$96.3

$46.4

107.5%

Liabilities

Q4 2006

Q4 2005

Change

Accounts Payable

$163.8

$93.2

75.8%

Long-Term Debt

$19.9

$0.0

N/A

Learn the ways of the balance sheet.

Cash Flow Highlights
The company included no cash flow data. Why, Wipro, why?

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