Why did Wipro stock tank 4.5% even as profit jumped 2%?

Shares of IT major Wipro Ltd today fell by 4.5% after the company's March quarter earnings failed to enthuse investors.

The stock made a weak opening and further lost 4.51% to Rs 552.65 at the BSE.

On the NSE, it was down 4.5% to Rs 552.10.

The stock was the top loser among the bluechip Sensex and Nifty scrips.

"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.

Wipro Ltd had yesterday elevated its Chairman Azim Premji's son Rishad to the company Board in an apparent succession planning on a day it reported 2.1 per cent increase in March quarter profits.

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% higher than Rs 2,239.1 crore a year ago.

Revenues from IT services business increased six per cent year-on-year to Rs 11,240 crore (up 3.2% to $1.77 billion) in the reported quarter.

However, the company has forecast its IT services revenues for the April-June 2015 period to be in the range of $1.76 billion to $1.79 billion.

This is lower by 0.5% to a growth of one per cent from the earnings of January-March 2015 quarter.