Mumbai: Shares of IT major Wipro Wednesday slumped 6 percent, wiping-out Rs 8,591 crore from its market valuation, after its March quarter earnings failed to enthuse investors.
After falling 6.4 percent to Rs 541.75 at the BSE in intra-day trade, the stock finally ended at Rs 544, down 6.01 percent.
On the NSE, it fell by 5.81 percent to settle at Rs 544.55.
Following the decline in the stock, the company's market valuation fell by Rs 8,591.17 crore to Rs 1,34,316.83 crore.
The stock was the biggest loser among the Sensex and Nifty scrips.
"Wipro posted a net profit of Rs 2,286 crore, however the stock cracked on the street owing to under-expected rise in PAT (profit after tax)," Bonanza Portfolio Ltd Senior Vice President Rakesh Goyal said.
The country's third-largest software services firm posted a net profit of Rs 2,286.5 crore in January-March 2015 quarter, 2.1 percent higher than Rs 2,239.1 crore a year ago.
Revenues from IT services business increased six percent year-on-year to Rs 11,240 crore (up 3.2 percent to USD 1.77 billion) in the reported quarter.
"While Q3 FY'15 had seen strong performance, Q4 FY'15 disappointed owing to weakness in the energy vertical," Edelweiss Financial Services said in a report.
Other IT stocks also closed in the red with Infosys falling by 0.28 percent, HCL Tech by 0.79 percent and Hexaware Technologies by 2.70 percent.
The BSE IT index ended at 10,861.19, down 0.67 percent.
The benchmark BSE Sensex settled 214.09 points higher at 27,890.13.
