The country?s largest business process outsourcing (BPO) company Genpact on Wednesday posted a 4.5% increase in its net profit at $63.9 million, compared with $61.1 million in the year-ago period. Revenues were up 14.4% at $534.8 million, from $467.6 million in the second quarter of 2012. About 75.1% of Genpact?s revenues for the quarter came from business process management services with the rest coming from IT services.
Revenues from global clients (other than GE), which is 77.3% of the total, grew 19.8% led by growth in banking and financial services, consumer packaged goods, life sciences and healthcare and business services. GE revenues decreased 0.9% from the second quarter of 2012.
The company somewhat moderated its revenue guidance for 2013 by stating that it expects it to be in the lower range of $2.15-2.20 billion due to longer cycle times combined with more subdued GE revenues.
?The macro environment continues to be mixed: challenging for some industries and geographies, improving in others. Our pipeline is healthy and stable, with a significant uptick in larger, transformative deals. Large, transformational engagements are where we want to be, but they are complex and do have a longer decision cycle time,? said NV Tyagarajan, Genpact?s president and CEO, in a statement.
The company generated $76.1 million of cash from operations in the quarter, compared to $127.2 million in the second quarter of 2012. Genpact had approximately $535.9 million in cash and cash equivalents and short term deposits as of June 30, 2013.