Core Insights - Genpact has been awarded the Celonis® Game Changer Partner of the Year for 2025, highlighting its success in delivering value through process intelligence, AI, and automation [1][2]. Company Achievements - The partnership with Celonis enables global enterprises to transition from insight to action more rapidly, combining process intelligence, data, and AI to reshape business operations [3]. - Genpact's 'Client Zero' approach involves using Celonis internally to enhance its own operations, demonstrating strong executive alignment and commitment to innovation [3]. Client Success Stories - A global consumer packaged goods (CPG) company utilized the Genpact Transportation Costs & Performance app, analyzing approximately 700,000 annual shipments across 200 carriers, leading to expected savings of up to USD 6 million and a 15% improvement in on-time delivery [6]. - A global life sciences and laboratory technology leader improved accounts receivable performance and accelerated cash conversion by applying Celonis Process Intelligence alongside Genpact's analytics and automation expertise [6]. - A global beauty manufacturer enhanced processing cycle times and finance operations performance across its global business units through the deployment of Celonis with Genpact [6].

Group 1: Airline Sector - Major domestic airlines in China, including China Eastern Airlines, Air China, and China Southern Airlines, reported revenue growth and profitability for the third quarter of 2025, supported by summer travel and foreign exchange gains [1] - China Eastern Airlines (00670) rose by 4.65%, Air China (00753) increased by 6.31%, and China Southern Airlines (01055) gained 4.85% in early trading [1] Group 2: Infrastructure and Construction - China Liansu (02128) saw a rise of over 5.5% following the announcement of plans to construct and renovate over 700,000 kilometers of underground pipelines, with an investment demand exceeding 5 trillion yuan during the 14th Five-Year Plan [1] Group 3: Consumer Goods and Retail - Pop Mart (09992) surged over 6.64% as a report indicated a 245-250% increase in overall revenue for the third quarter of 2025, with domestic revenue growing by 185-190% and overseas revenue by 365-370% [1] - Wei Long (09985) increased by over 6.8% due to a Goldman Sachs report highlighting a favorable risk-reward profile after a 30% price correction since April [4] Group 4: Renewable Energy and Technology - Aidi New Energy (02623) rose by over 13.67% after announcing a change in control, with PIH becoming the new controlling shareholder [2] - Global energy storage battery shipments reached 428 GWh in the first nine months of 2025, marking a significant year-on-year increase of 90.7%, benefiting companies like Ruipu Lanjun (00666), which saw a nearly 8% rise [2] Group 5: Pharmaceuticals - Gilead Sciences-B (01672) increased by over 6.98% after being included in the MSCI Global Small Cap Index, effective November 24 [2] - Zhaoke Ophthalmology-B (06622) rose over 10.3% following a distribution agreement with a leading Indonesian pharmaceutical company for its innovative eye treatment [3] Group 6: Metals and Mining - Century Aluminum (CENX.US) reported a revenue of $632.2 million for Q3 2025, a 17.3% year-on-year increase, primarily driven by price increases in the Midwest [5] - Rare earth stocks saw significant gains, with MP Materials rising over 12.8% [5] Group 7: Technology and E-commerce - Airbnb (ABNB.US) reported Q3 2025 revenue of approximately $4.1 billion, a 10% year-on-year increase, with net profit around $1.4 billion [7] - Akamai (AKAM.US) saw a 14.71% increase after reporting a non-GAAP EPS of $1.86, exceeding market expectations [7]

Core Insights - Genpact Limited reported strong quarterly earnings, with shares closing nearly 16% higher, outperforming the S&P 500 index's 0.1% increase [1] Financial Performance - The company's net revenue for the third quarter was slightly over $1.29 billion, reflecting a nearly 7% improvement compared to the same quarter in 2024 [2][3] - Advanced technology solutions segment saw a 20% revenue increase to $311 million, while the core business services unit's revenue rose by 3% to $980 million [3] - Net income according to GAAP rose by almost 10% to $146 million, with adjusted earnings per share increasing by 14% to $0.97, surpassing analyst estimates [4] Growth Drivers - Demand for AI solutions is significantly boosting Genpact's fundamentals, with the CEO emphasizing the company's role in integrating advanced technology solutions [5] - Management raised its net revenue guidance for 2025 to a growth range of 6.1% to 6.4%, up from a previous estimate of 4% to 6% [5] - Adjusted earnings projection was also increased to a range of $3.60 to $3.61 per share, up from $3.51 to $3.58 [5]

Core Insights - The company, Jamburt (G.US), experienced a significant stock increase of over 14%, reaching $43.98 following the release of its Q3 2025 financial results [1] Financial Performance - Non-GAAP earnings per share (EPS) for Q3 were reported at $0.97, exceeding expectations by $0.07 [1] - Revenue for the quarter reached $1.291 billion, surpassing forecasts by $25 million [1] Segment Performance - Revenue from advanced technology solutions grew by 20% year-over-year to $311 million [1] - AI-related data technology revenue increased by 9.3%, indicating strong growth in AI-related business [1] Guidance Updates - The company raised its fiscal year 2025 sales guidance from a range of $4.958 billion to $5.053 billion to a new range of $5.059 billion to $5.071 billion, with expectations set at $5.024 billion [1] - The GAAP EPS guidance for fiscal year 2025 was also increased from a range of $2.98 to $3.05 to a new range of $3.09 to $3.10, while the average analyst expectation was $3.04 [1]

Core Viewpoint - The company experienced a significant stock increase of over 14%, closing at $43.98, following the release of its Q3 2025 financial results which exceeded expectations in both earnings and revenue [1] Financial Performance - Non-GAAP earnings per share for Q3 2025 were reported at $0.97, surpassing expectations by $0.07 [1] - Revenue reached $1.291 billion, exceeding forecasts by $25 million [1] - Revenue from advanced technology solutions grew by 20% year-over-year to $311 million [1] - AI-related data technology revenue increased by 9.3%, indicating strong growth in AI business [1] Guidance Update - The company raised its fiscal year 2025 sales guidance from a range of $4.958 billion to $5.053 billion to a new range of $5.059 billion to $5.071 billion, with the previous expectation being $5.024 billion [1] - The GAAP earnings per share guidance for fiscal year 2025 was also increased from a range of $2.98 to $3.05 to a new range of $3.09 to $3.10, while the average analyst expectation was $3.04 [1]

Financial Performance - Total net revenues for the three months ended September 30, 2025, increased to $1,291,257, representing a growth of 6.6% compared to $1,210,949 for the same period in 2024[11] - Gross profit for the nine months ended September 30, 2025, rose to $1,348,718, up from $1,244,294 in 2024, reflecting a year-over-year increase of 8.4%[11] - Net income for the three months ended September 30, 2025, was $145,831, a 9.8% increase from $132,818 in the same quarter of 2024[11] - Net income for the nine months ended September 30, 2025, was $409,400, an increase from $371,755 for the same period in 2024, representing a growth of approximately 10.4%[27] - The company reported a diluted earnings per share of $0.83 for the three months ended September 30, 2025, compared to $0.74 for the same period in 2024, indicating a growth of 12.2%[11] Assets and Liabilities - The company’s total assets grew from $4,987,153 as of December 31, 2024, to $5,364,152 as of September 30, 2025, marking an increase of 7.5%[8] - Current liabilities increased significantly from $963,739 as of December 31, 2024, to $1,461,641 as of September 30, 2025, representing a rise of 51.9%[8] - The company’s total equity increased from $2,389,611 as of December 31, 2024, to $2,544,530 as of September 30, 2025, marking an increase of 6.5%[8] - As of September 30, 2025, total equity amounted to $2,544,530, a decrease from $2,586,611 as of July 1, 2025, reflecting a comprehensive loss of $(95,007) and dividends paid of $(29,293)[21] Cash Flow and Operating Activities - Net cash provided by operating activities for the nine months ended September 30, 2025, was $526,161, up from $412,177 in 2024, indicating a growth of about 27.7%[27] - Cash and cash equivalents increased from $648,246 as of December 31, 2024, to $740,763 as of September 30, 2025, reflecting a growth of 14.2%[8] - Cash and cash equivalents at the end of the period were $740,763, down from $1,022,647 at the beginning of the period, reflecting a decrease of approximately 27.6%[27] Share Repurchase and Equity Changes - The company repurchased and retired 3,919,239 shares, resulting in a reduction of retained earnings by $(182,905) and total equity by $(182,944)[24] - The Company repurchased 4,720,308 and 3,919,239 common shares during the nine months ended September 30, 2024 and 2025, respectively[203] - The weighted average price per share for repurchases was $35.50 in 2024 and $46.68 in 2025, totaling $167,562 million and $182,944 million in cash, respectively[203] - Retained earnings were reduced by direct costs related to share repurchases of $294 million in 2024 and $978 million in 2025[204] - As of September 30, 2025, $464,061 million remained available for share repurchases under the existing program[205] - The Board of Directors has authorized repurchases of up to $2,750,000 million under the share repurchase program, including $500,000 million approved in Q1 2025[202] Expenses and Costs - Operating expenses for the nine months ended September 30, 2025, were $769,582, up from $717,988 in 2024, representing a year-over-year increase of 7.2%[11] - Stock-based compensation expense increased to $64,055 for the nine months ended September 30, 2025, compared to $47,276 for the same period in 2024, reflecting a rise of approximately 35.4%[27] - The net defined benefit plan costs for the nine months ended September 30, 2025, amounted to $15,798, compared to $15,032 for the same period in 2024[161] - The Company contributed a total of $38,861 to defined contribution plans during the three months ended September 30, 2025, compared to $34,722 for the same period in 2024[164] Intangible Assets and Amortization - Intangible assets are amortized over their estimated useful lives, with customer-related assets ranging from 1 to 9 years and technology-related assets from 2 to 10 years[51] - Amortization expenses for intangible assets acquired as part of business combinations for the three months ended September 30, 2025, were $8,285, compared to $6,495 for the same period in 2024[138] - The Company recorded $51,400 in customer-related intangibles and $6,000 in marketing-related intangibles from the acquisition, with a weighted average amortization period of five years[98] Credit Losses and Allowances - The company reported an increase in allowance for credit losses to $18,208 for the nine months ended September 30, 2025, compared to $12,395 in 2024, representing a rise of approximately 46.7%[27] - An allowance for credit losses is recognized for all debt instruments, with credit losses for accounts receivable estimated based on historical experience and forward-looking factors[76] - The Company recorded a charge for credit losses on deferred billings of $974 for the nine months ended September 30, 2025[102] Debt and Financing - The Company has a total outstanding long-term debt of $1,202,917 as of September 30, 2025, down from $1,221,440 as of December 31, 2024[155] - The term loan outstanding as of September 30, 2025, net of debt amortization expense, is $456,460, with quarterly payments of $6,625 required until maturity on December 13, 2027[147] - The Company issued $400,000 aggregate principal amount of 6.000% senior notes in June 2024, with an outstanding amount of $396,773 as of September 30, 2025, payable on June 4, 2029[151] - The Company utilized $1,257 of its $650,000 revolving credit facility as of September 30, 2025, with a commitment fee of 0.20% on the unutilized amount[143] Fair Value and Derivatives - As of September 30, 2025, the total fair value of financial assets increased to $87,036,000, with derivative instruments valued at $13,757,000 and deferred compensation plan assets at $73,279,000[107] - The total liabilities as of September 30, 2025, amounted to $246,232,000, with derivative instruments valued at $96,069,000 and deferred compensation plan liability at $72,663,000[107] - The fair value of deferred compensation plan assets increased from $60,991,000 in September 2024 to $73,279,000 in September 2025, reflecting a growth of approximately 20%[110] - The fair value of deferred compensation plan liabilities also increased from $60,354,000 in September 2024 to $72,663,000 in September 2025, indicating a rise of about 20%[113] Stock Options and Compensation Plans - The number of outstanding stock options decreased from 5,347,556 to 5,108,036 between January 1, 2025 and September 30, 2025[179] - The total remaining unrecognized stock-based compensation cost for options expected to vest as of September 30, 2025 was $2,060 thousand, to be recognized over 0.9 years[180] - The number of restricted share units (RSUs) outstanding increased from 2,134,269 to 2,264,642 between January 1, 2025 and September 30, 2025[183] - The total remaining unrecognized stock-based compensation cost related to RSUs as of September 30, 2025 was $56,833 thousand, to be recognized over 2.0 years[185] - The number of performance units (PUs) outstanding decreased from 3,257,804 to 2,686,881 between January 1, 2025 and September 30, 2025[192] - The total remaining unrecognized stock-based compensation cost related to PUs as of September 30, 2025 was $62,212 thousand, to be recognized over 1.9 years[196] - The compensation expense for the Employee Stock Purchase Plan (ESPP) for the three months ended September 30, 2024 and 2025 was $210 million and $227 million, respectively[201] - For the nine months ended September 30, 2024 and 2025, the compensation expense for the ESPP was $895 million and $720 million, respectively[201]

Core Insights - Genpact reported quarterly earnings of $0.97 per share, exceeding the Zacks Consensus Estimate of $0.90 per share, and showing an increase from $0.85 per share a year ago, resulting in an earnings surprise of +7.78% [1] - The company achieved revenues of $1.29 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 2.10% and up from $1.21 billion year-over-year [2] - Genpact has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Earnings Outlook - The sustainability of Genpact's stock price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $0.93 on revenues of $1.28 billion, and for the current fiscal year, it is $3.55 on revenues of $5.01 billion [7] Industry Context - The Computers - IT Services industry, to which Genpact belongs, is currently ranked in the top 30% of over 250 Zacks industries, indicating a favorable outlook for stocks within this sector [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked using tools like the Zacks Rank [5][6]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 increased by 7% year-over-year, reaching $1.291 billion, exceeding guidance by $21 million [4][16] - Gross margin improved to 36.4%, and adjusted operating income margin rose to 17.7%, reflecting healthy margin expansion [4][19] - Adjusted diluted EPS grew 14% year-over-year to $0.97, surpassing the high end of guidance by $0.07 [4][19] Business Line Data and Key Metrics Changes - Advanced technology solutions revenue surged 20% year-over-year to $311 million, now accounting for 24% of total revenue [17] - Core business services revenue grew 3% year-over-year to $980 million, driven by digital operations and technology services [17] - Data tech and AI revenue increased by 9.3% year-over-year to $622 million, while digital operations revenue rose by 4.3% to $669 million [17] Market Data and Key Metrics Changes - Revenue growth was strongest in high-tech and manufacturing at 14%, followed by financial services at 3%, and consumer and healthcare at 1% [18] - Non-FTE revenue accounted for 47% of total revenue, benefiting from advanced technology solutions [18] Company Strategy and Development Direction - The company is focused on establishing itself as a global leader in advanced technology solutions through its Genpact Next framework [5][24] - Investments in partnerships and AI talent are accelerating growth, with partner-related revenue increasing by 56% year-over-year [13] - The company aims to sharpen its go-to-market focus in decision support services to enhance execution and market share [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong demand signals across various client segments and the overall environment [26][28] - The company raised its full-year revenue guidance to a range of 6.1%-6.4% and adjusted diluted EPS to between $3.60 and $3.61, reflecting double-digit growth [15][23] - Management highlighted the importance of building trust with clients as they transition to agentic operations, emphasizing the need for process intelligence alongside AI [40] Other Important Information - The company returned $119 million to shareholders through share repurchases and dividends, representing 59% of free cash flow year-to-date [20] - The company is committed to returning at least 50% of cash flow to investors while maintaining flexibility for strategic investments [23] Q&A Session Summary Question: Can you comment on the bookings performance in Q3? - Management noted strong demand signals across new and existing clients, with five large deals closed in the quarter [26][27] Question: What are the primary reasons clients are not ready to launch agentic operations? - Clients often face issues with data readiness and process standardization, which are critical for implementing advanced technology solutions [31][32] Question: How is the competitive landscape evolving? - The company differentiates itself through last-mile expertise and a strong culture of client centricity and innovation [34][35] Question: Why is a significant portion of agentic work coming from new clients? - New clients are increasingly adopting agentic solutions, while existing clients are also absorbing these solutions, indicating a growing total addressable market [36][37] Question: How are contracts structured for agentic AI solutions? - The company is shifting towards non-FTE models and subscription-based structures for its software solutions [41][42]

Core Insights - Genpact reported Q3 CY2025 results that exceeded market revenue expectations, with a year-on-year sales increase of 6.6% to $1.29 billion, surpassing analyst estimates by 2% [1][7][8] - The company provided better-than-expected revenue guidance for the next quarter at $1.30 billion, which is 1.2% above analysts' estimates [1][7] - Non-GAAP profit per share was $0.97, which is 8% higher than analysts' consensus estimates [1][7] Company Overview - Genpact, originally spun off from General Electric in 2005, is a global professional services firm focused on transforming business operations through digital technology, AI, and data analytics solutions [3] Revenue Growth - Over the past 12 months, Genpact generated $5.01 billion in revenue, positioning it as one of the larger companies in the business services industry [4] - The company has achieved a compounded annual growth rate of 6.2% in sales over the last five years, indicating a consistent demand for its offerings [5] - Genpact's annualized revenue growth of 6.3% over the last two years aligns with its five-year trend, suggesting stable demand [6] Financial Highlights - Q3 CY2025 revenue was $1.29 billion, compared to analyst estimates of $1.27 billion, reflecting a 6.6% year-on-year growth [7] - Adjusted EPS was $0.97, beating analyst estimates of $0.90 by 8% [7] - Adjusted EBITDA was $222.1 million, with a margin of 17.2%, which was a 5.7% miss compared to analyst estimates [7] - Management raised its full-year Adjusted EPS guidance to $3.61, a 1.7% increase [7] - Operating margin remained stable at 14.8%, while free cash flow margin improved to 22.6%, up from 17.2% in the same quarter last year [7] Future Outlook - Management is guiding for a 4.5% year-on-year increase in sales for the next quarter [8] - Sell-side analysts expect revenue to grow 5.2% over the next 12 months, which is above average for the sector, indicating potential success for Genpact's newer products and services [9]

Revenue Performance - Net revenues for Q3 2025 were $1.291 billion, an increase of 6.6% year-over-year, and 6.0% on a constant currency basis[5] - Advanced Technology Solutions net revenues reached $311 million, up 20.0% year-over-year, accounting for 24% of total net revenues[5] - Core Business Services net revenues were $980 million, up 3.0% year-over-year, representing 76% of total net revenues[5] - Data-Tech-AI net revenues were $622 million, up 9.3% year-over-year, representing 48% of total net revenues[5] - Digital Operations net revenues were $669 million, up 4.3% year-over-year, representing 52% of total net revenues[5] - Full year 2025 net revenues are projected to be between $5.059 billion and $5.071 billion, indicating year-over-year growth of approximately 6.1% to 6.4%[8] - The company expects Q4 2025 net revenues in the range of $1.298 billion to $1.311 billion, representing year-over-year growth of approximately 4.0% to 5.0%[8] - Total revenue for the three months ended September 30, 2024, was $1,210,949, compared to $1,135,792 in 2023, marking an increase of 6.6%[38] Profitability Metrics - Diluted EPS was $0.83, up 12.2% year-over-year, while adjusted diluted EPS was $0.97, up 14.1% year-over-year[8] - Gross profit was $470 million, reflecting an 8.9% increase year-over-year, with a margin of 36.4%[5] - The estimated net income margin for the year ending December 31, 2025, is projected to be 10.8%[30] - The adjusted income from operations margin for the year ending December 31, 2025, is expected to be 17.4%[30] - The diluted EPS for the year ending December 31, 2025, is forecasted to be between $3.09 and $3.10, with an adjusted diluted EPS ranging from $3.60 to $3.61[33] - For the quarter ending December 31, 2025, the estimated diluted EPS is projected to be between $0.78 and $0.80, with an adjusted diluted EPS between $0.93 and $0.94[37] Operational Cash Flow - Cash generated from operations was $308 million, including a $45 million client prepayment, with net cash from operations up 15% year-over-year[8] - Net cash provided by operating activities for the nine months ended September 30, 2024, was $412,177, compared to $526,161 in 2025, indicating a decrease of 21.6%[17] - The company reported a net increase in cash and cash equivalents of $440,047 for the nine months ended September 30, 2024, compared to $86,895 in 2025[17] Year-over-Year Comparisons - Net revenues for the three months ended September 30, 2024, were $1,210,949, a decrease of 6.2% compared to $1,291,257 for the same period in 2025[15] - Gross profit for the nine months ended September 30, 2024, was $1,244,294, representing a 8.4% increase from $1,348,718 in 2025[15] - Net income for the three months ended September 30, 2024, was $132,818, compared to $145,831 in 2025, reflecting a decrease of 8.9%[15] - Basic earnings per share for the three months ended September 30, 2024, were $0.75, compared to $0.84 in 2025, a decrease of 10.7%[15] - Adjusted diluted earnings per share for the nine months ended September 30, 2024, were $2.06, compared to $2.31 in 2025, reflecting a decrease of 10.8%[26] Accounts Receivable and Revenue Growth - The company experienced an increase in accounts receivable by $95,790 for the nine months ended September 30, 2024, compared to an increase of $80,303 in 2025[17] - Advanced Technology Solutions revenue for the three months ended September 30, 2024, was $259,184, showing an increase from $248,124 in the previous year[38] - Core Business Services revenue for the three months ended September 30, 2024, was $951,766, up from $887,668 in the same period of 2023, indicating a growth of 7.2%[38] - The company expects to maintain a consistent growth trajectory in both Advanced Technology Solutions and Core Business Services moving forward[38]