Earnings

Genpact Raises Earnings Outlook As $405 Million Technology Business Grows 30.3%

Core services revenue stayed flat, while Genpact lifted its full-year gross-margin and adjusted earnings forecasts.

Matteo Parrino Jonathan Ponciano

Matteo Parrino, Jonathan Ponciano

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Genpact Raises Earnings Outlook As $405 Million Technology Business Grows 30.3%

Genpact, which provides technology, consulting and outsourced business services, raised its 2026 margin and adjusted earnings forecasts Thursday as its technology business delivered $405 million in sales, up 30.3% from a year earlier. The company announced the results in an earnings statement accompanying its 8-K filing.

Technology grows, core services stand still

Advanced Technology Solutions supplied 29% of third-quarter revenue. The much larger Core Business Services operation produced $980 million, unchanged from a year earlier, and accounted for 71% of sales.

Companywide revenue reached $1.385 billion, with reported growth of 7.3%, or 7.5% excluding currency effects. Genpact now expects full-year technology revenue growth of at least 25%, alongside continued year-over-year growth in core services.

The company helps clients handle accounting, supply chains, customer service and insurance claims, selling data and AI services as well as software support. Technology solutions represented 23.7% of its 2025 revenue; core services supplied 76.3%.

Genpact describes its shift toward Agentic Operations as putting AI agents in charge of work while human experts remain responsible for outcomes. “We continue to invest significantly in Agentic Operations,” said Sumita Pandit, Genpact's chief financial officer, in the results statement.

Higher margins, $4.14 adjusted earnings outlook

Gross profit—the money left after service-delivery costs—rose 12.1% to $527 million, yielding a 38.0% margin. Operating profit increased 10.1% to $211 million, with a 15.2% margin; the adjusted measure rose 7.7% to $247 million, with a 17.8% margin.

Net profit grew 4.0% to $152 million. Diluted earnings reached $0.89 a share, up 7.2%, while adjusted earnings increased 10.3% to $1.07. Genpact's adjusted earnings exclude stock-based pay and amortization of purchased intangible assets, with associated tax adjustments.

Management lifted its full-year gross-margin forecast to approximately 36.9%, about 0.90 percentage points above a year earlier. It raised expected adjusted earnings-per-share growth to at least 13%, with adjusted earnings of $4.14 against $3.55 under standard accounting.

Genpact expects a full-year adjusted operating margin of approximately 17.7%, up about 0.25 percentage points year over year. Its revenue outlook calls for reported growth of at least 7%, or 6.8% excluding currency effects.

$246 million returned to shareholders

Third-quarter operations generated $93 million in cash. Genpact spent approximately $31 million buying back about 870,000 shares at an average price of $35.49 and paid approximately $31 million in dividends. Buybacks and dividends totaled approximately $246 million for the year to date.

Cash generation for the first nine months was $142.021 million, compared with $526.161 million a year earlier. The cash-flow statement recorded a $405.832 million increase in accounts receivable, versus $80.303 million in the comparable period.

G shares rose about 4% to $42.74 in Friday trading, when Genpact's market value was $6.9 billion.

Genpact's full-year forecast pairs at least 25% growth in technology revenue with continued growth in core services—the business that remained flat in the third quarter.

Sources

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