Genpact Reports Third Quarter 2025 Results

Net Revenues of $1.291 billion, Up 6.6% (6.0% constant currency) 1

Advanced Technology Solutions Net Revenues 2 of $311 million, Up 20.0%

Core Business Services Net Revenues 2 of $980 million, Up 3.0%

Data-Tech-AI Net Revenues of $622 million, Up 9.3% (8.9% constant currency) 1

Digital Operations Net Revenues of $669 million, Up 4.3% (3.4% constant currency) 1

Diluted EPS of $0.83, Up 12.2%; Adjusted Diluted EPS 3 of $0.97, Up 14.1%

NEW YORK, Nov. 6, 2025 /PRNewswire/ -- Genpact Limited (NYSE: G), an agentic and advanced technology solutions company recognized for its deep industry knowledge, process intelligence, and last-mile expertise, today announced financial results for the third quarter ended September 30, 2025.

"We delivered strong third quarter results, above the high end of our guidance range. Revenue grew 7% year-over-year with adjusted diluted EPS up 14% year-over-year. GenpactNext continues to drive better than expected results, with another quarter of accelerating growth in Advanced Technology Solutions, up 20% year-over-year," said Balkrishan "BK" Kalra, Genpact's President and CEO. "Genpact is defining the future of Agentic Operations, rapidly integrating Advanced Technology Solutions, and strengthening our position as an ideal partner for clients looking to lead in the age of AI."

Key Financial Highlights – Third Quarter 2025

Outlook

Genpact's outlook for the fourth quarter of 2025 is as follows:

Genpact's updated outlook for the full year 2025 is as follows:

Third Quarter 2025 Earnings Call

Genpact's management will host a conference call on November 6, 2025, at 5:00 PM ET to discuss the company's performance for the third quarter ended September 30, 2025. Participants are encouraged to register here to receive a dial-in number and unique PIN for seamless access. It is recommended to join 10 minutes before the call starts, although registration and dial-in will be available at any time. A live webcast will be available on the Genpact Investor Relations website. For those unable to attend the live call, an archived replay and transcript will be available on the website shortly after the call.

About Genpact

Genpact (NYSE: G) is an agentic and advanced technology solutions company. We leverage process intelligence and artificial intelligence to deliver measurable outcomes. With a strong partner ecosystem and decades of client trust, we provide innovative solutions that transform how businesses run. Powered by a team with an active learning mindset and client centricity at its core, we deliver lasting value for the world's leading enterprises.

Safe Harbor

This press release contains certain statements concerning our future growth prospects, including our outlook for 2025, financial results and other forward-looking statements, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those in such forward-looking statements. These risks, uncertainties, and other factors include but are not limited to macroeconomic uncertainty, U.S. and global trade and tariff policies and general economic conditions, any deterioration in the global economic environment and its impact on our clients, our ability to develop and successfully execute our business strategies, technological innovation, including AI technology and future uses of agentic AI, generative AI and large language models, and our ability to invest in new technologies and adapt to industry developments at sufficient speed and scale, our ability to effectively price our services and maintain pricing and employee utilization rates, general inflationary pressures and our ability to share increased costs with our clients, wage increases in locations in which we have operations, our ability to attract and retain skilled professionals, our ability to protect our and our clients' data from security incidents or cyberattacks, the economic and other impacts of geopolitical conflicts and any related sanctions and other measures that have been or may be implemented or imposed in response thereto, as well as any potential expansion or escalation of existing conflicts or economic disruption beyond their current scope, a slowdown in the economies and sectors in which our clients operate, a slowdown in the sectors in which we operate, the risks and uncertainties arising from our past and future acquisitions or divestitures, our ability to convert bookings to revenues, our ability to manage growth, factors which may impact our cost advantage, changes in tax rates and tax legislation and other laws and regulations, our ability to effectively execute our tax planning strategies, claims and lawsuits, including by clients, employees or other third parties, risks and uncertainties regarding fluctuations in our earnings, foreign currency fluctuations, political, economic or business conditions in countries in which we operate, as well as other risks detailed in our reports filed with the U.S. Securities and Exchange Commission, including Genpact's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. These filings are available at www.sec.gov. Genpact may from time to time make additional written and oral forward-looking statements, including statements contained in our filings with the Securities and Exchange Commission and our reports to shareholders. Although Genpact believes that these forward-looking statements are based on reasonable assumptions, you are cautioned not to put undue reliance on these forward-looking statements, which reflect management's current analysis of future events and should not be relied upon as representing management's expectations or beliefs as of any date subsequent to the time they are made. Genpact undertakes no obligation to update any forward-looking statements that may be made from time to time by or on behalf of Genpact.

Contacts

Investors

Investor.Relations@genpact.com

Media

PublicRelations@genpact.com

GENPACT LIMITED AND ITS SUBSIDIARIES

Consolidated Balance Sheets

(Unaudited)

(In thousands, except per share data and share count)

As of December 31,

2024

As of September 30,

2025

Assets

Current assets

Cash and cash equivalents

$ 648,246

$ 740,763

Short-term investments

23,359

—

Accounts receivable, net of allowance for credit losses of $12,094

and $25,241 as of December 31, 2024 and September 30, 2025,

respectively

1,198,606

1,280,938

Prepaid expenses and other current assets

209,893

190,791

Total current assets

$ 2,080,104

$ 2,212,492

Property, plant and equipment, net

207,943

180,654

Operating lease right-of-use assets

182,190

180,332

Deferred tax assets

269,476

253,980

Intangible assets, net

26,950

71,369

Goodwill

1,669,769

1,783,800

Contract cost assets

200,900

204,138

Other assets, net of allowance for credit losses of $7,320 and $8,294 as of

December 31, 2024 and September 30, 2025, respectively

349,821

477,387

Total assets

$ 4,987,153

$ 5,364,152

Liabilities and equity

Current liabilities

Short-term borrowing

—

Current portion of long-term debt

26,173

375,871

Accounts payable

36,469

34,790

Income taxes payable

35,431

54,071

Accrued expenses and other current liabilities

812,994

945,438

Operating leases liability

52,672

51,471

Total current liabilities

$ 963,739

$ 1,461,641

Long-term debt, less current portion

1,195,267

827,046

Operating leases liability

153,587

154,401

Deferred tax liabilities

15,908

16,488

Other liabilities

269,041

360,046

Total liabilities

$ 2,597,542

$ 2,819,622

Shareholders' equity

Preferred shares, $0.01 par value, 250,000,000 authorized, none issued

—

Common shares, $0.01 par value, 500,000,000 authorized, 174,661,943

and 172,409,091 issued and outstanding as of December 31, 2024 and

September 30, 2025, respectively

1,740

1,718

Additional paid-in capital

1,945,261

1,991,774

Retained earnings

1,236,696

1,373,512

Accumulated other comprehensive income (loss)

(794,086)

(822,474)

Total equity

$ 2,389,611

$ 2,544,530

Total liabilities and equity

$ 4,987,153

$ 5,364,152

GENPACT LIMITED AND ITS SUBSIDIARIES

Consolidated Statements of Income

(Unaudited)

(In thousands, except per share data and share count)

Three months ended September 30,

Nine months ended September 30,

2024

2025

2024

2025

Net revenues

$ 1,210,949

$ 1,291,257

$ 3,518,398

$ 3,760,601

Cost of revenue

779,511

821,601

2,274,104

2,411,883

Gross profit

$ 431,438

$ 469,656

$ 1,244,294

$ 1,348,718

Operating expenses:

Selling, general and administrative expenses

243,315

262,105

717,988

769,582

Amortization of acquired intangible assets

6,495

8,285

19,980

16,922

Other operating (income) expense, net

(22)

7,624

(5,561)

7,468

Income from operations

$ 181,650

$ 191,642

$ 511,887

$ 554,746

Foreign exchange gains, net

1,133

3,678

4,424

5,343

Interest income (expense), net

(12,387)

(12,785)

(36,167)

(37,716)

Other income (expense), net

5,091

6,817

14,128

18,940

Income before income tax expense

$ 175,487

$ 189,352

$ 494,272

$ 541,313

Income tax expense

42,669

43,521

122,517

131,913

Net income

$ 132,818

$ 145,831

$ 371,755

$ 409,400

Earnings per common share

Basic

$ 0.75

$ 0.84

$ 2.07

$ 2.35

Diluted

$ 0.74

$ 0.83

$ 2.06

$ 2.31

Weighted average number of common shares used in

computing earnings per common share

Basic

177,595,400

173,576,957

179,221,213

174,572,169

Diluted

179,714,223

176,104,577

180,854,682

177,197,356

GENPACT LIMITED AND ITS SUBSIDIARIES

Consolidated Statements of Cash Flows

(Unaudited)

(In thousands)

Nine months ended September 30,

2024

2025

Operating activities

Net income

$ 371,755

$ 409,400

Adjustments to reconcile net income to net cash (used for) provided by operating activities:

Depreciation and amortization

51,830

52,004

Amortization of debt issuance costs

1,749

1,665

Amortization of acquired intangible assets

19,980

16,922

Write-down of property, plant and equipment

—

710

Write-down of operating right-of-use assets

—

7,024

Allowance for credit losses

12,395

18,208

Unrealized (gain)/loss on revaluation of foreign currency assets/liabilities

(7,909)

4,000

Stock-based compensation expense

47,276

64,055

Deferred tax expense

14,509

11,729

Others, net

386

280

Change in operating assets and liabilities:

Increase in accounts receivable

(95,790)

(80,303)

Increase in prepaid expenses, other current assets, contract cost assets, operating lease right-of-use

assets and other assets

(5,752)

(71,083)

Increase in accounts payable

(8,021)

(236)

Increase (Decrease) in accrued expenses, other current liabilities, operating lease liabilities and other

liabilities

(5,056)

73,036

Increase in income taxes payable

14,825

18,750

Net cash provided by operating activities

$ 412,177

$ 526,161

Investing activities

Purchase of property, plant and equipment

(63,049)

(60,544)

Payment for internally generated intangible assets (including intangibles under development)

(1,787)

(6,125)

Payment for business acquisitions, net of cash acquired

—

(80,384)

Proceeds from sale of property, plant and equipment

128

Proceeds from maturity of short-term investments

—

23,359

Net cash used for investing activities

$ (64,708)

$ (123,636)

Financing activities

Repayment of finance lease obligations

(8,238)

(6,552)

Payment of debt issuance and refinancing costs

(4,123)

—

Proceeds from long-term debt

400,000

—

Repayment of long-term debt

(26,500)

(19,875)

Proceeds from short-term borrowings

50,000

85,000

Repayment of short-term borrowings

(60,000)

(85,000)

Proceeds from issuance of common shares under stock-based compensation plans

12,170

14,347

Payment for net settlement of stock-based awards

(21,307)

(31,829)

Dividend paid

(81,768)

(88,701)

Payment for stock repurchased and retired (including expenses related to stock repurchased)

(167,656)

(183,020)

Net cash (used for) provided by financing activities

$ 92,578

$ (315,630)

Net increase in cash and cash equivalents

440,047

86,895

Effect of exchange rate changes

(1,070)

5,622

Cash and cash equivalents at the beginning of the period

583,670

648,246

Cash and cash equivalents at the end of the period

$ 1,022,647

$ 740,763

Supplementary information

Cash paid during the period for interest

$ 39,180

$ 37,571

Cash paid during the period for income taxes, net of refund

$ 77,983

$ 98,742

Non-GAAP Financial Measures

To supplement the consolidated financial statements presented in accordance with GAAP, this press release includes the following non-GAAP financial measures:

These non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. Accordingly, these non-GAAP financial measures, the financial statements prepared in accordance with GAAP and the reconciliations of Genpact's GAAP financial statements to such non-GAAP financial measures should be carefully evaluated.

Given Genpact's acquisitions of varying scale and size, and the difficulty in predicting expenses relating to acquisitions and the amortization of acquired intangibles thereof, since July 2012 Genpact's management has used financial statements that exclude all acquisition-related expenses and amortization of acquired intangibles for its internal management reporting, budgeting and decision-making purposes, including comparing Genpact's operating results to those of its competitors. For the same reasons, since April 2016, Genpact's management has excluded the impairment of acquired intangible assets from the financial statements it uses for internal management purposes. Acquisition-related expenses are excluded in the period in which an acquisition is consummated. Genpact's management also uses financial statements that exclude stock-based compensation expense. Because of varying available valuation methodologies, subjective assumptions and the variety of award types that companies can use when adopting ASC 718 "Compensation-Stock Compensation," Genpact's management believes that providing non-GAAP financial measures that exclude such expenses allows investors to make additional comparisons between Genpact's operating results and those of other companies.

Additionally, in its calculations of non-GAAP financial measures, Genpact's management has adjusted foreign exchange gains and losses, interest income and expense and income tax expenses from GAAP net income, and other income and expenses from GAAP income from operations, because management believes that the Company's results after taking into account these adjustments more accurately reflect the Company's ongoing operations. In its calculations of adjusted diluted earnings per share, Genpact's management adds back adjusted stock-based compensation expense, amortization and impairment of acquired intangible assets, acquisition-related expenses and the related tax impact of such adjustments from GAAP diluted earnings per share. For the purpose of calculating adjusted diluted earnings per share, the combined current and deferred tax effect is determined by multiplying each pre-tax adjustment by the applicable statutory income tax rate.

Genpact's management provides information about revenues on a constant currency basis so that the revenues may be viewed without the impact of foreign currency exchange rate fluctuations compared to prior fiscal periods, thereby facilitating period-to-period comparisons of the Company's true business performance. Revenue growth on a constant currency basis is calculated by restating current-period activity using the prior fiscal period's foreign currency exchange rates adjusted for hedging gains/losses in such period.

Accordingly, Genpact believes that the presentation of adjusted income from operations, adjusted income from operations margin, adjusted diluted earnings per share and revenue growth on a constant currency basis, when read in conjunction with the Company's reported results, can provide useful supplemental information to investors and management regarding financial and business trends relating to its financial condition and results of operations.

A limitation of using adjusted income from operations and adjusted income from operations margin versus income from operations, income from operations margin, net income and net income margin calculated in accordance with GAAP is that these non-GAAP financial measures exclude certain recurring costs and certain other charges, namely stock-based compensation expense and amortization and impairment of acquired intangible assets. Management compensates for this limitation by providing specific information on the GAAP amounts excluded from adjusted income from operations and adjusted income from operations margin.

The following tables show the reconciliation of these non-GAAP financial measures to the most directly comparable GAAP measures for the three and nine months ended September 30, 2024 and 2025:

Reconciliation of Net Income/Margin to Adjusted Income from Operations/Margin

(In thousands)

Three months ended

September 30,

Nine months ended

September 30,

2024

2025

2024

2025

Net income

$ 132,818

$ 145,831

$ 371,755

$ 409,400

Foreign exchange (gains), net

(1,133)

(3,678)

(4,424)

(5,343)

Interest (income) expense, net

12,387

12,785

36,167

37,716

Income tax expense

42,669

43,521

122,517

131,913

Stock-based compensation expense

19,726

22,221

47,276

64,055

Amortization of acquired intangible assets

6,494

8,227

19,963

16,860

Acquisition-related expenses

—

1,310

Adjusted income from operations

$ 212,961

$ 228,907

$ 593,254

$ 655,911

Net income margin

11.0 %

11.3 %

10.6 %

10.9 %

Adjusted income from operations margin

17.6 %

17.7 %

16.9 %

17.4 %

Reconciliation of Income from Operations/Margin to Adjusted Income from Operations/Margin

(In thousands)

Three months ended

September 30,

Nine months ended

September 30,

2024

2025

2024

2025

Income from operations

$ 181,650

$ 191,642

511,887

$ 554,746

Stock-based compensation expense

19,726

22,221

47,276

64,055

Amortization of acquired intangible assets

6,494

8,227

19,963

16,860

Other income (expense), net

5,091

6,817

14,128

18,940

Acquisition-related expenses

—

1,310

Adjusted income from operations

$ 212,961

$ 228,907

$ 593,254

$ 655,911

Income from operations margin

15.0 %

14.8 %

14.5 %

14.8 %

Adjusted income from operations margin

17.6 %

17.7 %

16.9 %

17.4 %

Reconciliation of Diluted EPS to Adjusted Diluted EPS 7

(Per share data)

Three months ended

September 30,

Nine months ended

September 30,

2024

2025

2024

2025

Diluted EPS

$ 0.74

$ 0.83

$ 2.06

$ 2.31

Stock-based compensation expense

0.11

0.13

0.26

0.36

Amortization of acquired intangible assets

0.04

0.05

0.11

0.10

Acquisition related expenses

—

0.01

Tax impact on stock-based compensation expense

(0.02)

(0.03)

(0.07)

Tax impact on amortization of acquired intangible assets

(0.01)

(0.03)

(0.02)

Adjusted diluted EPS

$ 0.85

$ 0.97

$ 2.37

$ 2.68

The following tables show the reconciliation of forward-looking non-GAAP financial measures to the most directly comparable GAAP measures for the year ending December 31, 2025:

Reconciliation of Outlook for Net Income Margin to Adjusted Income from Operations Margin 8

Year ending December 31, 2025

Net income margin

10.8 %

Estimated interest (income) expense, net

1.0 %

Estimated income tax expense

3.5 %

Foreign exchange (gains), net

(0.1) %

Estimated stock-based compensation expense

1.7 %

Estimated amortization of acquired intangible assets

0.5 %

Acquisition-related expenses

— %

Adjusted income from operations margin

17.4 %

Reconciliation of Outlook for Income from Operations Margin to Adjusted Income from

Operations Margin 8

Year ending December 31, 2025

Income from operations margin

14.8 %

Estimated stock-based compensation expense

1.7 %

Estimated amortization of acquired intangible assets

0.5 %

Estimated other income (expense), net

0.4 %

Adjusted income from operations margin

17.4 %

Reconciliation of Outlook for Diluted EPS to Adjusted Diluted EPS 8

(Per share data)

Year ending December 31, 2025

Lower

Upper

Diluted EPS

$ 3.09

$ 3.10

Estimated stock-based compensation expense

0.50

Estimated amortization of acquired intangible assets

0.14

Estimated acquisition expense

0.01

Estimated tax impact on stock-based compensation expense

(0.09)

Estimated tax impact on amortization of acquired intangible assets

(0.04)

Adjusted diluted EPS

$ 3.60

$ 3.61

The following tables show the reconciliation of forward-looking non-GAAP financial measures to the most directly comparable GAAP measures for the quarter ending December 31, 2025:

Reconciliation of Outlook for Net Income Margin to Adjusted Income from Operations Margin 9

Quarter ending December 31, 2025

Net income margin

10.5 %

Estimated interest (income) expense, net

1.1 %

Estimated income tax expense

3.4 %

Estimated stock-based compensation expense

1.8 %

Estimated amortization of acquired intangible assets

0.5 %

Adjusted income from operations margin

17.4 %

Reconciliation of Outlook for Income from Operations Margin to Adjusted Income from

Operations Margin 9

Quarter ending December 31, 2025

Income from operations margin

14.8 %

Estimated stock-based compensation expense

1.8 %

Estimated amortization of acquired intangible assets

0.5 %

Estimated other income (expense), net

0.2 %

Adjusted income from operations margin

17.4 %

Reconciliation of Outlook for Diluted EPS to Adjusted Diluted EPS 9

(Per share data)

Quarter ending December 31,

2025

Lower

Upper

Diluted EPS

$ 0.78

$ 0.80

Estimated stock-based compensation expense

0.14

Estimated amortization of acquired intangible assets

0.04

Estimated tax impact on stock-based compensation expense

(0.02)

Estimated tax impact on amortization of acquired intangible assets

(0.01)

Adjusted diluted EPS

$ 0.93

$ 0.94

Net Revenues from Advanced Technology Solutions and Core Business Services 10

(In thousands)

Three months ended

March 31, 2023

June 30, 2023

September 30, 2023

December 31, 2023

Advanced Technology Solutions

$ 236,102

$ 257,161

$ 248,124

$ 243,326

Core Business Services

$ 853,217

$ 848,363

$ 887,668

$ 902,927

Total

$ 1,089,319

$ 1,105,524

$ 1,135,792

$ 1,146,253

Three months ended

March 31, 2024

June 30, 2024

September 30, 2024

December 31, 2024

Advanced Technology Solutions

$ 239,849

$ 249,461

$ 259,184

$ 280,639

Core Business Services

$ 891,388

$ 926,750

$ 951,766

$ 968,102

Total

$ 1,131,237

$ 1,176,212

$ 1,210,949

$ 1,248,741

Three months ended

March 31, 2025

June 30, 2025

September 30, 2025

Advanced Technology Solutions

$ 277,627

$ 292,655

$ 310,986

Core Business Services

$ 937,299

$ 961,763

$ 980,271

Total

$ 1,214,926

$ 1,254,418

$ 1,291,257

________________________________

Revenue growth on a constant currency basis is a non-GAAP measure and is calculated by restating current-period activity using the prior fiscal period's foreign currency exchange rates adjusted for hedging gains/losses in such period.

Advanced Technology Solutions net revenues include revenues from solutions and services focused on data and AI, digital technology, advisory and agentic solutions. Core Business Services net revenues include revenues from decision support services and technology services as well as Digital Operations.

Adjusted diluted earnings per share is a non-GAAP measure. A reconciliation of GAAP diluted earnings per share to adjusted diluted earnings per share is attached to this release.

Adjusted income from operations and adjusted income from operations margin are non-GAAP measures. Reconciliations of each of GAAP income from operations and GAAP net income to adjusted income from operations and GAAP income from operations margin and GAAP net income margin to adjusted income from operations margin are attached to this release.

Adjusted income from operations margin is a non-GAAP measure. A reconciliation of the outlook for each of GAAP net income margin and GAAP income from operations margin to adjusted income from operations margin is attached to this release.

Adjusted diluted earnings per share is a non-GAAP measure. A reconciliation of the outlook for GAAP diluted earnings per share to adjusted diluted earnings per share is attached to this release.

Due to rounding, the numbers presented in this table may not add up precisely to the totals provided.

SOURCE Genpact