Nov 5, 2026, 4:11 PM ETTechnology

Genpact — Third Quarter 2026 Earnings Summary

GGENPACT LTD

Financial Performance

Net revenues reached $1.385 billion for the quarter, representing a 7.3% year-over-year increase and 7.5% on a constant currency basis.
Gross profit was $527 million, up 12.1% year-over-year, with a gross margin of 38.0%.
Net income was $152 million, up 4.0% year-over-year, with a net income margin of 10.9%.
Income from operations was $211 million, up 10.1% year-over-year, with a margin of 15.2%.
Adjusted income from operations was $247 million, up 7.7% year-over-year, with a margin of 17.8%.
Diluted earnings per share (EPS) were $0.89, up 7.2% year-over-year.
Adjusted diluted EPS was $1.07, up 10.3% year-over-year.
Cash generated from operations was $93 million.
As of September 30, 2026, total assets were $5.639 billion, total liabilities were $2.931 billion, and total shareholders' equity was $2.709 billion.
Cash and cash equivalents stood at $499.1 million as of September 30, 2026, down from $853.8 million at December 31, 2025.
Long-term debt was $1.148 billion as of September 30, 2026, compared to $1.166 billion at December 31, 2025.

Full-year 2026 net revenue growth guidance is raised to at least 7% year-over-year on an as-reported basis, or 6.8% on a constant currency basis.
Advanced Technology Solutions revenue is expected to grow at least 25% year-over-year in 2026.
Core Business Services is expected to continue growing year-over-year in 2026.
Gross margin outlook for 2026 is increased to approximately 36.9%, up approximately 90 basis points year-over-year.
Adjusted income from operations margin outlook for 2026 is approximately 17.7%, up approximately 25 basis points year-over-year.
Adjusted diluted EPS growth for 2026 is raised to at least 13% year-over-year.

Advanced Technology Solutions net revenues were $405 million, up 30.3% year-over-year, representing 29% of total net revenues.
Core Business Services net revenues were $980 million, flat year-over-year, representing 71% of total net revenues.
Management highlighted the pivot to "Agentic Operations" as a key driver, noting that agents run the work while experts own outcomes.

Management described the market as rapidly expanding and stated the company is building a fundamentally new Genpact.
The company emphasizes differentiation and execution in driving organic growth and winning high-quality revenue.

Forward-looking statements cite risks including macroeconomic uncertainty, U.S. and global trade/tariff policies, and general economic conditions.
Risks include the ability to develop and execute business strategies, transition away from non-aligned work, and successfully implement technological innovations like agentic AI and generative AI.
Challenges include pricing services, maintaining employee utilization rates, inflationary pressures, wage increases, and attracting/retaining skilled professionals.
Other risks involve data security, geopolitical conflicts, client slowdowns, acquisition conversion risks, ERP system implementation impacts on cash flows, and foreign currency fluctuations.

President and CEO Balkrishan "BK" Kalra stated Q3 was a "clear proof point" that the pivot to Agentic Operations is working and the flywheel is accelerating.
Kalra emphasized that the pace of growth is matched by quality, noting the company is driving organic growth and winning high-quality revenue.
CFO Sumita Pandit noted that results reflect the strength of differentiation and execution, citing strong revenue growth, significant gross margin expansion, and adjusted diluted EPS growth.
Pandit confirmed the raising of full-year 2026 gross margin and adjusted diluted EPS guidance to reflect these results.

Genpact repurchased approximately 870,000 common shares during the quarter for a total consideration of approximately $31 million at an average price of $35.49 per share.
The company returned approximately $31 million in dividends to shareholders during the quarter.
Year-to-date, Genpact returned approximately $246 million to shareholders through share repurchases and dividends.
The company hosts a conference call on November 5, 2026, at 5:00 PM ET to discuss results.
Non-GAAP financial measures used include adjusted diluted EPS, adjusted income from operations, and revenue growth on a constant currency basis, with reconciliations provided in the release.