TRANSFORMATION HAPPENING HERE?

We are living in an age, and in a business year, where not the whole pie but the slices of the pie define a strong company. The sizes of these slices decide who is a long-runner in the ever-toughening race of IT deals and margins. Thankfully, for Genpact, the slices of tech AI and digital operations are pulling the weight of a difficult business year pretty well.

- Pratima H

TIGER TYAGARAJAN

President and CEO

RANK 19 GENPACT

In its financial results for the fourth quarter and full year ended December 31, 2022, we can see that Total revenue of Genpact was US$4.37 billion, up nine per cent year-over-year (11 per cent on a constant currency basis). Net income was US$353 million, which was down four per cent year-over-year, with a corresponding margin of eight per cent. What's worth zooming in on are new bookings. This is an operating measure, and represents the total contract value of new contracts and certain renewals, extensions and changes to existing contracts. So, new bookings were approximately US$3.9 billion, up six per cent year-over-year.

As per financial results for the first quarter ended March 31, 2023, the company claimed it hit a record level of first quarter bookings and near record pipeline. Total revenue was US$1.09 billion, up two per cent year-over-year (four per cent constant currency). As per its CEO, it views generative AI as an opportunity to expand its services to clients and increase the total addressable market. It also provides an opportunity for internal efficiency and margin enhancement.

As per its Full Year 2023 Outlook, the company expects total revenue in the range of US$4.64 billion to US$4.71 billion, up six per cent to 7.5 per cent, or 6.5 per cent to eight per cent year-over-year on a constant currency basis.