Exhibit 12
Genpact Limited
Consolidated Ratio of Earnings to Fixed Charges
| Fiscal Year Ended December 31, | ||||||||||||||||||
| 2005 | 2006 | 2007 | 2008 | 2009 | ||||||||||||||
| (dollar in millions, except ratios) | ||||||||||||||||||
Earnings | ||||||||||||||||||
Income before provision for income taxes | $ | 10.7 | $ | 33.9 | $ | 81.6 | $ | 144.3 | $ | 161.1 | ||||||||
Add: Fixed charges | 8.6 | 11.8 | 14.3 | 8.8 | 4.4 | |||||||||||||
Add: Amortization of capitalized interest | — | — | 0.0 | 0.0 | 0.0 | |||||||||||||
Less: Interest capitalized | — | — | (0.1 | ) | (0.1 | ) | (0.1 | ) | ||||||||||
Less: Minority interest in pre-tax income of subsidiaries that have not incurred fixed charges | — | — | (8.4 | ) | (9.5 | ) | (7.7 | ) | ||||||||||
Total earnings | $ | 19.3 | $ | 45.7 | $ | 87.4 | $ | 143.6 | $ | 157.8 | ||||||||
Interest on debt and amortization of deferred financing costs | $ | 8.6 | $ | 11.8 | $ | 14.3 | $ | 8.8 | $ | 4.4 | ||||||||
Fixed Charges (1) | $ | 8.6 | $ | 11.8 | $ | 14.3 | $ | 8.8 | $ | 4.4 | ||||||||
Ratio of earnings to fixed charges | 2.25x | 3.88x | 6.1x | 16.28x | 35.92x | |||||||||||||
| (1) | Fixed charges consist of interest expense, the amortization of debt issuance costs and an estimate of interest as a component of rental expense. |
Genpact Limited
Consolidated Ratio of Earnings to Fixed Charges and Preference Dividends
| Fiscal Year Ended December 31, | ||||||||||||||||||||
| 2005 | 2006 | 2007 | 2008 | 2009 | ||||||||||||||||
| (dollar in millions, except ratios) | ||||||||||||||||||||
Earnings | ||||||||||||||||||||
Income before provision for income taxes | $ | 10.7 | $ | 33.9 | $ | 81.6 | $ | 144.3 | $ | 161.1 | ||||||||||
Add: Fixed charges | 8.6 | 11.8 | 14.3 | 8.8 | 4.4 | |||||||||||||||
Add: Amortization of capitalized interest | — | — | 0.0 | 0.0 | 0.0 | |||||||||||||||
Less: Interest capitalized | — | — | (0.1 | ) | (0.1 | ) | (0.1 | ) | ||||||||||||
Less: Noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges | — | — | (8.4 | ) | (9.5 | ) | (7.7 | ) | ||||||||||||
Total earnings | $ | 19.3 | $ | 45.7 | $ | 87.4 | $ | 143.6 | $ | 157.8 | ||||||||||
Fixed Charges (1) | $ | 8.6 | $ | 11.8 | $ | 14.3 | $ | 8.8 | $ | 4.4 | ||||||||||
Preference dividend (2) | 16.4 | 34.5 | 45.1 | — | — | |||||||||||||||
Fixed Charges (1) and preference dividend (2) | $ | 25.0 | $ | 46.3 | $ | 59.4 | $ | 8.8 | $ | 4.4 | ||||||||||
Ratio of earnings to fixed charges and preference dividend | — | (3) | — | (3) | 1.47x | 16.28x | 35.92x | |||||||||||||
| (1) | Fixed charges consist of interest expense, the amortization of debt issuance costs and an estimate of interest as a component of rental expense. |
| (2) | Our effective tax rate was a benefit of (59.7)% and (17.2)% for the years ended December 31, 2005 and 2006, respectively. The preference dividends for the years ended December 31, 2005 and 2006 assumes a 0% tax rate for those years as our effective tax was a benefit in these years. |
| (3) | Earnings for the years ended December 31, 2005 and 2006 were insufficient to cover fixed charges and preference dividend by $5.7 million and $0.6 million, respectively. |
