WNS(WNS) - 2025 Q3 - Quarterly Results

Financial Performance - Revenue for Q3 fiscal 2025 was $333.0 million, a 2.1$48.6 million, compared to $41.5 million in Q3 of the previous year and$41.8 million in the previous quarter[5] - Adjusted Net Income (ANI) for Q3 was $47.0 million, down from$58.5 million in Q3 of last year and $51.5 million in the previous quarter[7] - Revenue (GAAP) for the three months ended December 31, 2024, was$333.0 million, reflecting a growth of 2.1% compared to $326.2 million for the same period in 2023[30] - Revenue less repair payments (non-GAAP) increased to$319.1 million, up 1.0% from $315.9 million year-over-year[30] - Adjusted operating income (non-GAAP) for the three months ended December 31, 2024, was$61.7 million, with an adjusted operating income margin of 19.3%[31] - Net income (GAAP) rose to $48.6 million for the three months ended December 31, 2024, compared to$41.5 million in the same period last year, marking a year-over-year increase of 17.0%[32] - Adjusted net income (non-GAAP) was $47.0 million, down from$58.5 million in the prior year, resulting in an adjusted net income margin of 14.7%[32] - The company reported an adjusted diluted earnings per share (non-GAAP) of $1.04 for the three months ended December 31, 2024[32] Client Acquisition and Relationships - The company added 7 new clients and expanded 52 existing relationships during the quarter[6] Cash Flow and Debt - WNS ended Q3 with$231.5 million in cash and investments and $199.6 million in debt[8] - The company generated$88.7 million in cash from operations during the quarter[8] Guidance and Projections - WNS updated its fiscal 2025 guidance, expecting revenue less repair payments to decline by 2% to 1% on a reported basis[10] - Expected ANI for fiscal 2025 is projected to range between $205 million and$209 million, down from $218.0 million in fiscal 2024[13] - The company anticipates adjusted diluted earnings per share for fiscal 2025 to be in the range of$4.46 to $4.55, compared to$4.42 in fiscal 2024[13] Balance Sheet Changes - Total assets decreased from $1,434.1 million as of March 31, 2024, to$1,409.8 million as of December 31, 2024, representing a decline of approximately 1.7%[20] - Current liabilities decreased from $312.0 million to$285.8 million, a reduction of about 8.4%[20] - Total shareholders' equity decreased from $787.3 million to$763.1 million, a decline of approximately 3.1%[21] Acquisition-Related Expenses - The company highlighted the impact of acquisition-related expenses, which included a reversal of contingent consideration related to acquisitions in 2024[32] Days Sales Outstanding - Days sales outstanding (DSO) improved to 34 days, compared to 35 days in Q3 of last year[8]