BackGenpact’s net profit up 40% on higher revenue
Genpact’s net profit up 40% on higher revenue
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New Delhi: NYSE-listed Genpact Ltd, the country’s largest business process outsourcing firm, reported a 40% increase in net profit to $39.0 million in the three months ended June from the year-ago period. Revenue rose 29.3% to $397.6 million.
The company’s standalone revenue - excluding that of Headstrong, its latest acquisition - grew 15% from last year. Genpact acquired Headstrong, an information technology (IT) consulting and services company, in April for $550 million.
Revenue from clients other than GE, referred to as ‘global clients’ by the company, grew 44.1%, including two months of Headstrong’s revenue. Global clients now contribute about 69.2% of Genpact’s total revenue, with the remaining 30.8% coming from GE, its former parent.
“We continue to expect full-year revenue growth of 23-25% and our adjusted income from operations margin to be in the range of 16% to 16.5%," said N.V. Tyagarajan, president and CEO, Genpact. “Given our strong performance during the first half of the year and the diversity of our business, despite ongoing concerns in the global economy, we now expect to be at the higher end of both ranges."
Genpact had about 51,300 employees worldwide as of 30 June.
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