Genpact, one of the largest business outsourcing companies in India has announced their quarterly results. As per the company officials, Genpact has registered a growth of 32% in revenue over the last quarter, which is more than the reported revenue figures last year over the same period. Along with the increase in revenue, the company has also reported a 6.7% increase in profit over the last year.Genpact is targeting 36.9% of growth in the next quarter. The company has also thrown light on some of their strategic plans and initiatives for the coming quarter. The company recently acquired Accounting Plaza, a firm specializing in finance , accounting and human resource services. The company is optimistic about the future trends, and they are seeing long terms demand for their decision support services and IT services.
As per the top management, the market is also on a recovery mode and the company is geared up to leverage the benefits coming out of it over the next few months. NYSE listed company has increased its annual revenue forecast to 1.9 billion $ after seeing their growth during the last quarter. The company grew both organically as well as inorganically to an impressive growth rate in revenue and margins.As per the financial statements , revenue from global clients grew by 46%, which contributes to 74% of their total revenue. Remaining 26% revenue comes from their marquee client, GE. If we compare the financial reports over the previous quarters, revenue from IT services has shown an increase from around 12% to 24%. Revenue from business process outsourcing services has come down from 88% to 76% over the same time. The company also reported that their total head count has gone up to 54, 000 as compared to 45, 000 one year. The company did well in employee retention as attrition rate come down to 23%, from their attrition rate of 29% last year.
However, there is a decline in the cash position from operations. With an increase in working capital and tax payments, the company could generate only 4.1 million $ cash from their operations as compared to 21.1 million $ during the same quarter of the previous year.
There is no doubt that Genpact is on move forward as reflected by strong figures in their quarterly financial results.