Financial Data and Key Metrics Changes - Revenue for Q2 2025 reached $1,250 million, up 7% year over year, with adjusted EPS growing 11% year over year to $0.88, exceeding guidance [7][23] - Gross and adjusted operating income margins improved by 50 and 40 basis points year over year, respectively [7][22] - Operating cash flow was $177 million, down from $209 million in the prior year [23] Business Line Data and Key Metrics Changes - Advanced technology solutions revenue was $293 million, up 17% year over year, representing 23% of total revenue [20] - Core business services revenue was approximately $962 million, up 4%, primarily driven by digital operations [20] - Data, Tech, and AI accounted for 48% of total revenue, growing 10% year over year [19] Market Data and Key Metrics Changes - Revenue growth was led by High-tech and Manufacturing at 13%, followed by Financial Services at 6%, and Consumer and Healthcare at 1% [22] - Non-FTE revenue accounted for 46% of Q2 revenue, consistent with the previous year [22] Company Strategy and Development Direction - The company introduced "Genpact Next," a strategy aimed at establishing itself as a leader in advanced technology solutions, focusing on capabilities, clients, and catalysts for growth [8] - Partnerships contributed significantly to growth, with partner-related revenues growing over 70% year over year, representing 10% of total revenue [15] Management's Comments on Operating Environment and Future Outlook - Management raised full-year revenue guidance to 4% to 6% growth, up from 2% to 5%, and adjusted operating income margin expectations to 17.4% [17][24] - The company is excited about its future as it transitions to an AI-first model, leveraging advanced technology solutions to enhance its competitive position [18][92] Other Important Information - The company closed four large deals in Q2, with a strong pipeline for future growth [21] - The AI Gigafactory is operational across all verticals, with over 45 clients onboarded and more than 270 GenAI solutions in production [11] Q&A Session Summary Question: Insights on pipeline conversion and new bookings - Management noted that inflow and conversion remain healthy, with several large deals closed in Q2 and ongoing discussions for others [32][33] Question: Impact of Gen AI on traditional contracting - Management indicated that Gen AI is a tailwind for the business, with incremental revenue from expanded scope and new clients [34][36] Question: Advanced technology solutions pipeline and project length - The pipeline for advanced technology solutions is growing rapidly, with faster conversion rates and a significant portion being amortized and non-FTE [42][43] Question: Growth rates across segments - Management reported strong growth across all segments, with high-tech and manufacturing leading at 13% [45] Question: Sequential trends and guidance implications - Management expressed confidence in achieving the full-year guidance, emphasizing a strong pipeline and execution [51][52] Question: AI adoption across processes and verticals - AI adoption is broad-based across sectors, with strong demand from both existing and new clients [69] Question: Pricing environment and irrational pricing behavior - Management did not observe any irrational pricing behavior, noting a shift towards value-focused pricing models [70][71] Question: Midterm growth targets and pipeline confidence - Management remains confident in achieving midterm growth targets, citing a healthy pipeline and strong execution [78][79] Question: Convergence of IT services and BPO due to AI - Management acknowledged a convergence in client needs, focusing on value delivery rather than traditional service categories [81][82]