- Earnings call transcript Q3 2022

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, ladies and gentlemen. Welcome to the 2022 Third Quarter Genpact Limited Earnings Conference Call. My name is Michelle, and I will be your conference moderator today. [Operator Instructions] As a reminder, this call is being recorded for replay purposes. The replay of the call will be archived and made available on the IR section of Genpact's website. to Investor call Relations like Sachs, to now of Head at would turn over the Roger I Genpact. Please proceed.

Roger Sachs

Officer. current Thank call for afternoon, third XX, you, everybody, and Tiger agenda will to year Mike you've be hope on the welcome good provide financial performance Michelle, of had as to which back our for update President we and to come then thoughts Speakers Financial XXXX. the XXXX. release, a We our quarter strategic call are through will and to follows. today's our period some the take our on an and Today's outlook full Tiger closing results section for Weiner, initiatives, of earnings on earnings our results for you our discuss remarks, ended our IR was will September then will posted and the review overview Tyagarajan, our well CEO; as as walk and then Mike genpact.com. our questions. will an Tiger your website, quarter provide chance our Chief

call We an last hour. to roughly expect the

Such matters press a and factors actual our are today's discuss will looking and risks uncertainties differ materially and in forward to results are forth release. such involve Some in statements. that in the number of forward-looking uncertainties we risks, cause set of call other could those from

of enhance we management understanding we way call, our provide of today's during to performance to non-GAAP the measures addition, refer the operating business. views believe In certain financial additional information will that the

the with section earnings those to me measures the that, of call release reconciliation our a posted GAAP to find And of in can Tiger. turn over let website. today's IR to You

Tiger Tyagarajan

we quarter us line all and operating and you, expectations. third for with with solid Demand our XXXX for cost clients continue Good their diluted We as believe long-term makes everyone, Operation our of our clients. joining growth, Data-tech-AI for Services EPS, today these both around resiliency in afternoon, to nondiscretionary remains mitigating adjusted adjusted pressing income and quarter Roger. us margin earnings challenges In delivered and of even address of our essential you models. nature productivity, we call. help results times, operating strong services another thank Thank more valuable most revenue, our the risk and in building and Digital to

during up share per a million, constant the Services XX Data-tech-AI Overall constant revenue margin remains Specifically on constant our quarter billion, on X% $XXX a a of basis; third up million, up basis; total of and currency XX% expanding basis currency income XX.X%, Digital year-over-year; high-quality delivered $XXX in reflected of pipeline. as revenue healthy XXXX, adjusted XX% of of Operations we $X.XXX our services XX% adjusted on points demand $X.XX, of operating diluted up basis; currency year-over-year. earnings revenue

a for running model streams resilient across designing, our segments. of set our have revenue made annuity-like chosen and clients of up We transforming building, and from primarily mission-critical durable industry derived operations business

behaving are clients cautiously. many environment, macro unprecedented the Given

in funding cost their offering cost agenda strategic preserve across driving all that We a seen transformational we payback increase seen medium-sized ways transformational into initiatives, large-scale What return the is have dramatic and being long-term industry aggressive are multistage which in to them investment. segments time, have finding are the deals deliver through we some we many and clients importance up same broken serve. doing At deals on programs partner. of faster

with half being many already annuity-based in and sole-sourced, higher bookings As supported the consistent quarter the and medium of were a approximately levels two-third of result, the small quarters. with almost past by deals total

June of and industry segments more across and was new manufacturing to excited XX services double-digit Performance a sight broad-based growth, in all currency start relationships services, transform period growth clients clients' and year. as to the revenue supply basis commercial driven services grew that of are to solutions the up engagement XX-month across for our once logos range up before where emerging sales a on constant all by the including XX% segments. services run good steady Many We of and and of client last line transform continue on delivered to increasing XX% tech also where than for Digital operations constant particular, we XX have the our our growth. an expand the during three we quarter some through we Total our AI of face there's industry deliver operations services stages these X% design a of continued win of have was beyond year-over-year progressing our latter on we basis. initial added XX% Data-tech-AI these another data momentum ongoing a quarter. currency of scope basis. our again through initial was I'm chain year-over-year this was then our In several XX large risk financial various that quarter quarter, digitally of year-over-year hi-tech of the this pipeline businesses today. to and for currency services stage strong and a management, and globally constant variety close the engagements of average relevant with the to year-end. challenges and the during the set compared that

the on initiatives strategic Investor During June we at outlined the execute to our quarter, we continued Day.

organic driving expanding at than historical long-term meaningful and pace more our ourselves a We profitability levels financial are XXXX. through growth of positioning plus to revenue goals top line XX% achieve

a highlights our of share progress. Let few me

XX% First, revenue year-over-year accounts and revenue. priority grew XX% of our from represents total

see drive interlink are for significant in to opportunities many We areas are investing We disproportionately outcomes of these accounts our that that transformation multiple meaningful journeys. them. undertaking

drive these an entire engagements, instance, we are holistic In chain that service. with and supply For multiple finance to throughout accounting connected customer financial crime reimagining change risk and organization. processes buying centers or with

and analytics, large global helped For improved we we purchases. diversify supply to inventory of their example, digital price analysis resilience. semiconductor technology their base timing company supplier spot forecasting and forecasting, a enabled demand and optimize Leveraging to build supply long-term chain global

are will now planning relationship run into their deal, long-term our new where a expanding for digital opportunities. demand operations we all operations We growth

clients and resources, Second, to with outcome to capital and targets bandwidth represent on sharpening they of margins total allow best consumption-based revenue priority expand more towards XXXX. opportunities. where long-term to accounts. Interestingly, we and XX% our by deploying higher have have and see risk-reward our value third, to commercial relationships, our outcomes construct. constructs better to models areas us our our leadership XX% now align focus also performance that they path for And particularly and given deliver a we tend our are These

and in is as such, expected we last environment participate As considerations are we with a us to The that further for rapidly clients forefront. be opportunities quarter. we at the macro time. growth small a changing our continues progressing expand help navigate current creates We designated as held plans landscape underpenetrated to over for with cost business sale market our to a divest

first have are time seeing to environment. open become more the new with We for this response partnerships who in clients transform uncertain to themselves this change and to

buyers because we emerging those $X also with kinds relationships transformation, deals several are back-office the with Many X for We're new services, of our out and all that now past seeing million. of looking verticals. our logos, utilizing months, had process of for operations. including greater than XX started accounting, in and data Over deals insurance foundational have won cost chosen across our services, as new KPI of existing nine who procurement, services banking engagements our sole-sourced expanded finance leveraging transformation are and areas depth we domain such that these

a examples that trends. couple share me of Let these demonstrate

partnering office lower help transform are first-time European such client, pharmaceutical costs and We flows. outcomes, a better growth, outsourcer, as the to cost drive cash back support with their and digitally to future

We to platform. the as and Cora, This as great digital such accounting that and rapid be Process as ServiceNow designing example technologies account given as opportunities become of a has a finance and Robotic IT a implementing are new significant anticipated a Genpact leveraging common priority implementing represents well we'll relationship Automation business workflow growth. services, and running

of client, for total our improving the chain our supply positioned success has operations demand planning us their industrial to manufacturing procurement size transformation spend. deal expand of for transformation, recent of forecasting for are and a sourcing in digital dynamics long-term relationships. Data-tech-AI their supply operations and many savings large helping Next, the sole-sourced a drive These

a than ending revenue revenue $X saw over the from XX% of XX% revenue more quarter. with than increased with September with XXX XXX. Clients in attrition from XXXX, XX, annual $XX relationships from XX number XX. quarterly to XX the last in XX. XX versus period increased million XX-month grew to We in to million we million to annual our the reported more Clients During decrease

While our meet that be in where path too continues demand. to have level, our during to decline continued organizational early a rate fill we successive to are on October. quarter attrition improved end throughout are we majority say more each the to concentrated of to and able pyramid attrition our normalized lower month The a roles of at to quickly the

our less attrition third includes As employees rate or last as than tenure will XX%. of involuntary reasons. all leave Adjusting both attrition quarter attrition months regardless as would discussed of been company three quarter, employees with service, the our for have well

values the we and to world and all career a purpose, better grow our pursuit opportunity team During in welcomed globe to across quarter, for of levels as the our market. learn the attract great that at competitive XX,XXX talent a works new relentless more members strong a people, with combined than one's continue

reskilled leveraging successfully over of the our our Talent Match, support employees redeployed redeployment clients. to we've platform, X,XXX needs changing internal Additionally,

be includes to data During analytics that leveraging program employees million completed global team training and cross-skill generate for our proprietary was to recently their training. rapidly recognized members our X.X for operating develop vast ability continues to Innovation a certification the demand the hours sets. platform. us all from This critical is available our program unique our upskill Genome data to expertise differentiator Business approximately the Showcase to This quarter, learning NASSCOM and provide online and at insights our

the least are that themselves given competitive active company is particularly environment than on who team members clients and advantage Throughout with models. this help We've initiative, wage non-FTE and attrition roles made adjustments in meeting pricing advantage lower talent. to clients take attrition of higher-than-normal average. engaging right the change a found have bring implementing our opportunities struggling year, who commercial that year. at from This our and in today's employees off-cycle to are the been earlier Genome impact of find rate our internally, have XX% we've macro we of on set out offset to initial progress a combination the pressure actively the good clients to targets We

performance and and resilience value which believe analytics create call year-to-date take to of scale. Our clients to for them me The the these over market. over and to the challenges expertise is that, durable the in macro the navigate clients. nimbleness, At strategic the different our these turn more and our to to our we let highlights domain process at business combination lasting to the clients even with speed services is in model digital partner investments relevant We this technologies competitive choices of in times help with in Mike. many allows positioned us With of made and well agility us environment. core deep the years the advantage our

Mike Weiner

and currency which Digital represents XX% focused including which by of XX% I'll currency Tiger, in our and up both revenue, and engagements commercial increased financial or chain, our X% leveraging revenue, X% Total on with management operations data and currency year-over-year Data-tech you, and XX% by constant tech driven perspective, total cloud-based our primarily areas, outlook. constant strong to on XX% was clients. good revenue, chain constant vertical update fintechs, year-over-year X% our third existing with increased risk and care demand engagements. data and our X% or year largely commercial, deal recent from manufacturing sales traditional XX% and on sales a analytics and and Today, $X.XXX driven Services year-over-year, due quarter AI our results you services basis services analytics. afternoon, both revenue, From driven revenue increased on new ramps and of review solutions Health continued sales from supply total continued Consumer billion, primarily for XX%, by services our accounting and services. high-tech financial growth supply supply AI, and largely data, and or line represents in chain and largely banks XXXX a and Thank existing everybody. our increased increased XX% finance across year-over-year and full And basis, due expectations. risk a commercial year-over-year, basis, and and to wins. a

progressing we that earlier, our with plans quarter to the in for for sale designated the As held Tiger we are year. mentioned business this divest of second

the the a leverage charge, we quarter margin reflecting initiatives. recorded largely growth and year-over-year operating operating other to XX.X%, our points this operating million value of of due cost-containment third P&L, reflected to in recent Adjusted As net pretax line our expense to the basis income $XX expected realizable business. expanded XX impact in related

sale for moment third Gross charge quarter for and quarter declined impact the the basis I the points for nonstrategic the year-over-year a to to XX excluding performance from Our margins classifying XX.X%. held ago. the referred business includes

basis was ongoing points the of data quarter. second expansion better pricing to of and off-cycle the largely sequentially quarter-on-quarter XXX tech services our The adjustments. increased and benefit demand utilization due from sequential However, from AI

$X.XX reminder, compared year, $X.XX, and leverage. operating strategic third point year-over-year, the basis impact by in we from to last related outstanding points year. a same primarily higher recorded Adjusted revenue from XX that impact quarter largely the lower G&A net costs XX was increase of the of SG&A gains year-over-year gross in was $X.XX. down the basis in actions $X.XX, of taxes This to EPS up to period income last included as offset margin took related quarter shares to of of due expense remeasurement by period. a $X.XX driven second higher and of $X.XX XX% FX percentage As adjusted XX.X%, a higher the partially $X.XX was negative interest quarter in restructuring

the increase to XX.X% year. recorded was XX.X% lower Our rate effective current last of primarily benefits tax to in compared mix due The was the year.

flow our our cash to Turning sheet. balance and

During continues days compared at high last $XXX management the instead Overall, to cash same of low the compared early margin interest our quarter, from in of was $XXX will driven million quarter. XXs, from cash portfolio rates exit That and year. sequential given unchanged. and by generated DSOs end we as this $XXX quality adjusted to year operating the from the of in strong XXXX. XX the clients' in range expectations elevated. and believe in of XX the higher second improvement credit income second be DSOs we quarter XX million practices million million Cash operations. a the cash $XXX to very The remain We increase now primarily our period equivalents totaled with to of days

X.Xx. continue to growth last capacity, Our execute net allocation four was With liquidity existing on balances, debt-to-EBITDA pursue the rolling opportunities our we undrawn capital cash for quarters have ample and ratio strategy. debt to

will ratio of to Xx in Xx. net expect our our to debt-to-EBITDA continue remain range We preferred

that XX% rate. debt fixed our market of we is the pleased total current Given are almost environment,

we of a the our cadence approximately a During quarter, XXX,XXX price share an total million at $XX.XX. program of repurchases shares on $XX regular more and share bought average of cost continued per for of back

X.X% hybrid be more approximately quarter. year XXXX delivery as use in the of to We XXXX expectations earlier we due for model. end shares, with now X% which year. more that this to line of We full also expenditures the forth discussed Through quarter, the percentage $XXX we the paid repurchased than the is full totaling in this effective a out revenue of the Capital $XX dividends, a million set year expect of million. was for third to percentage we X%

to we level to of to anticipate forward, X% various X% Going normal in geographies. facilities more returning related of a expansion our

let me to turn Now the outlook. year full

with expected incorporates to expect XXXX. U.S. our more the of expect expect and billion we of a a be strength between headwind outlook of $X.XXX growth reported continued X.X%. total quarter. the currency between year million business full year X.X% basis and billion associated outlook than revenue on to provided year-over-year This Given the currency includes update held of last dollar, we $X.XXX $XX now in incremental full constant $XX representing in an We to to compared our we XX%, revenue sale, the for down XX% $XX be revenue on from provided now X.X% also total million million. This of XX% to to

our and income We of year outlook XXXX net high full XX.X%. the XX% higher margins FX headwind higher share the towards continue to to to takes $X.XX $X.XX impact at of for our end expect year $X.XX of to We earnings outlook end XXXX offset updated expect gains. remeasurement account of expense, slightly $X.XX. operating be now below-the-line full between our adjusted to range and currency per our the year-to-date by to incremental outlook top compared This into interest revenue be

DSO we flow from to generate not business This Lastly, given a With to turn our now demand as that, call is over full cash year we lower strong. to overall cash Tiger. closer million. expectation revised operations expect the $XXX remains slowdown related to outlook, back flow

Tiger Tyagarajan

Thank performance. our in organically capabilities us reflected acquisitions built marketplace clients. of to through This continue our we to meet and needs the own quickly resonate agility in Mike. changing you, and the our enables year-to-date targeted is The

and of improved for interesting across to our want that data than digital actions have data predictions program in reskilling their more are are people team used operations the clients. services, and Manufacturing promotion that outcomes. completed One price consumer in build their and points. renewal predicting most to for A organizations our drive insights and propensity to we few deliver models care, financial to prediction seeing at leverage things And in their then increasingly XX,XXX is and More customer clients SaaS better health a consumer's better Hi-Tech, building products. In and predicting for demand satisfaction, driving various predicting maintenance rates examples outcomes pay. are to meaningful include:

our XXX,XXX We the We've for for as of shareholders. America's index. and as continue recognized named to the thank communities clients, be a of commitment Forbes of been inclusive in the global row Best second Employers value acknowledged ESG to current recognized the to to exempt most our one by for initiatives Best Forbes macroeconomic recently are to World's also drive again have team Employers. lower want thrilled and and than year members List companies an of I to inclusion environment, commitment Against backdrop the the in for Veterans their continued more for

tenacity, me Your let our meet to ability success. new resilience and is to turn back head to long-term challenges the the call on that, Roger. With key

Roger Sachs

Thank you, questions. up now We'd you please the our Michelle, Tiger. open like provide for your instructions? call can to

Operator

Thank our from comes question Koning R.W. with Instructions] you And [Operator David first Baird.

Your open, is ahead. line go please

David Koning

nice Yes, again hi quarter? job guys this

Tiger Tyagarajan

Thank you, David.

David Koning

just maybe good, my yes first And revenue yes, Yes, as been good. very - has question my thanks. question. or Year-to-date,

I XX%, year, that, there think mid-single constant deals, some currency. currency maybe some you're we of digits know And right? And if like year. through talk the constant so is of up kind little full - of into if full saying of I a of or that but about the there's into said smaller really XX% breaking driving that? seems it QX, anything I'm now thinking but bit back you for the is that pieces

Tiger Tyagarajan

pipeline David. we And good. that we let the is and by off quality quarter, What about we deals. of been large see great saying this remains this a question, the start to have prior seeing, it's our and transformational continue really so in talked me Yes, overall,

into want the good. approach, breaking medium which I the continue are I why interestingly I those down be by is them and and deals good a speed, which driven faster are news, is on payback smaller cycle actually think phased clients down to want primarily really

into requires we relates about to when it and outsourcers, People said, through do more careful from And and play a But first-time this. taking moving forward deals, As way more feedback pipeline are those that particularly larger deals, seeing and navigate are our many through as are are medium-sized the longer. interesting It time from I they getting nicely. many are those in very we much you trigger. broken of up very pull people. buying as

that, a are generated churn industry that also cost-related on a saw fresh agenda. on growth-related bit seen a pipelines, back refocusing of we've pipeline while has agenda slower. our gone in all agenda segments. We to of some by the and the And growth customers across new cost, little from Very way, Data-Tech-AI set has quickly,

as and into slows churn that in list. back wait pipeline down cycle the our then through So go we

David Koning

the usual as would feel different is And thanks tell? you I suggest into year it tell like mean, or right churn year? the kind does makes tougher early no, to both pipeline segments now a that to we a it now pretty it Got does that. of for right look a little anything little next and normalized in than support

Tiger Tyagarajan

early Yes, conditions David, to it's so current the conditions, I would say Under I would have think tell. I too under early too tell. it's world, of said certainly to normal the

think outlook get I we quarter the full the we results the talk when for got - our in about announced we've time first XXXX. we year full year So and February to by

I much visibility. think we'll better have

visibility. have I have - think will much world we'll better the

of total priority that ground do the anything up with of terms We building starting want as to you a add our are plan that? up in process, clients. usual, to in Mike, particularly client-by-client

Mike Weiner

more Tiger, on that given we'll as Yes to, basis for a planning a time growth to of building agenda, pivot said environment. We're Tiger at have notable Data-Tech-AI One we'll have a our agenda that. account-by-account strategic mind, in into doing sense right? about basis more rolling our So next things. And our that makes complete color with year seeing what we keep forecast, on is which visibility two from up. top, and roll in you macroeconomic on on earlier, are XX% we any layering alluded a cost level a

in which to the year, really given XX% have year-on-year. This organization, year targeting And our between growth to about we've we're laid any be out XXXX higher. our us so, and strategy long-term XX%. guiding XX% for could And Blueprint

bit we'll year next higher. So be little higher, lower by potentially or definitely, a to be

little clarity we'll building year-to-date in bit but that from you're what fourth on the full marketable to more to the for have a that, year? guidance nothing pull from So seeing quarter, XQ

Tiger Tyagarajan

off, important a we've Yes the David, question it the markets that mean, historically very because call round probably weathered that financial a goes in pandemic, clearly, the we is really in is down crisis through and well. we work as the one shown just what global macro to are I to can round what that off. cycle, that whether it's or

may growth of overall the type down down come us, not the services we the strength And is with. we our us for the for relative board While we across did. as did that as reflection diversity come way have because a of the and provide the work kind everyone that including of well was others difference clients

months, itself out few to will by play continue environment have The about the good get the visibility I think over that. we next February. we overall So and better time to feel we'll

David Koning

well you, job. guys, Got nice thanks

Tiger Tyagarajan

Thank you, David.

Operator

Thank you, question. for next one and our moment

comes of BMO. Bradley with question Clark Our line the next from

ahead. Your line is open, please go

Bradley Clark

much thank environment. get trying parties. how outcome on both understand best increasing about et you DSO the Hi, working Genpact minimize clients I perhaps longer for cash a customers nice some payments? cash, for how and to my And follow-up interest I'm to And are your specifically the with taking and can of of what flow cetera, are do the this rate to wanted cash commentary, results. higher impact to evolves as preserving during you question

dynamic Just want understand Thank this is out playing you. to how more?

Mike Weiner

Yes here so anybody. if off - on can and you let add me kick then it

normal that we right, our us We essentially is cash flow. DSO gone reverting us that a and what's essentially, had So historically. that a pay exacerbated more clients we're on had which prepay drove of down pattern number to or early,

gave upon feel we of in marketable between quarter mindful became that the when set a We as that flow probably management. original we second first cash and the guidance model. more out So churn built of our saw behavior, lot a -

need. we're on perspective. way I T seeing fundamentally, back more of it days, what five-quarter focus our our basis, the of right has of about back as reverting we is collection have credit minus them be Well, agreements But which think XX, just that. So kind payments more historical from far of a are. from XX, now that we'll is doesn't with working that as to work for But at with And all interestingly, night up collection, that me been it clients, we - XX. And keep all regarding rolling quality phenomenal. a where I to at

Tiger Tyagarajan

as key That has always this we been the Yes, to our this to of I on through there back mean think down. have said the benefits some note got benefit Mike the We what given year. case, back navigated DSOs, to actually has coming a through is reversion that is pre-pandemic. which been pandemic the DSOs the

Bradley Clark

clarification. Great. Thank the Appreciate you.

Tiger Tyagarajan

Bradley. you, Thank

Operator

one and question. next our moment you, Thank for

from line with question William Our Blair. next comes the Maggie Nolan of

open, is line please Your ahead. go

Unknown Analyst

has in quickly if driven if wanted Hi, in think Maggie. for that you attrition what the sustainable to improvement it's this on kind dive is could guys ask And I Grunstein] [Kate you about improvement? into levels. the of And long-term?

Tiger Tyagarajan

have down that the their is We it and own in talk well of arenas it as start-ups analytics macro technology announced various as about Philippines, has hiring, slowed I'll the that as as by some And enterprises the to Yes, and is I the last whether macro reality a we is quarter. layoffs. data in to a large companies India, not did number in to that have think talked and in start U.S., Europe, role play change, saying beginning say in the here. that about

start attrition expected we I think levels come to coming or down. down

geographies, remarks, all in As level I levels. pre-pandemic think a don't declare kinds higher we I board, They're come across and seen all down prepared the hurry. should than We've all said skills the attrition still of in my victory levels.

it's were going go continues So quarters. few attrition the down through next would going continue we now. right expect if to place the to forward, to cycle through If into this world to the come one

talent, So - proud that practices that been But great the the last XX to match, XXX in to we've been making our learn. to right clients things reskilling, around doing sure macro always are has opportunities things employees add days. get And those no changed value all the is that question of. we've talent and there

Unknown Analyst

in thank quick you're helpful impacting have one follow-up. now? of that That's been given you. And great Has current to macro And is if demand Okay I then clients? full-time so, color. number really on that right employees the the automation deploy higher able

Tiger Tyagarajan

you're higher I understood demand for right, right demand that impacting guess there is for as is that fact the the automation? I question? and right in talent get question Did saying is that the question - I If a

Unknown Analyst

Yes, yes.

Tiger Tyagarajan

mean, for Yes, so transformation our a I called demand industry in out. there's would that not say, everyone I has just business but secular us, been

is want productivity those would call to their for they - other I a of desire various about, in got that parts that And In deploying business. further our preserve. one the way strategic some spoken our fact, areas as migrating transformation with on of the they out that clients workflows to number learning And included digital through improvement, machine technologies, clients. driving every continues talked pandemic. robotic and cloud. my transformation preserve process of accelerated the about that the the remarks, In processes AI clients do one of automation, has prepared of the and And efficiency that journeys. further our cost journey and by cloud, through I technologies

parts. further by automation those actually in accelerating Sometimes

business they because up undertake this being all they scale, tailwind clients expertise want So those they a and when journeys, want want speed. of for ends our

talent. for we as And reskilled actually, talent great data bring And technologies well we constantly partner, our it's bring and As as scale, is overall, bring digital expertise, both we being in our a speed. analytics.

to for able be will We clients. our provide that

Unknown Analyst

a Okay you great, congrats thank and on nice quarter.

Tiger Tyagarajan

Thank very you much.

Operator

Thank for one our you, and next question. moment

Our of line Bryan next question Bergin comes from with the Cowen.

is line please open, Your go ahead.

Zach Ajzenman

on Zach is this thanks, Hi, for Ajzenman Bryan.

us bucket? give more the back And bit growth can of versus can to cater peel insight initiatives into implied further the sense dig Data-Tech-AI for underlying of cost-focused? to into a growth the XQ versus areas dynamics Looking high-level specific cost-focused a the which Just the the more? areas that bucket we you guide, of segment the are mix looking

Tiger Tyagarajan

No, at And emerging sales and services out I'll at and how solutions for agenda. Day Supply we we've three our and and both Investor have look if as services that are of conversation same them services we by the on three driving and pivoted look a as on saying, on of can cost arenas called commercial all have calls done. in start customers other Data-Tech-AI, pick subsequent those let's on risk. growth the those chain, as that you each well solutions that of limited are that and

of clearly, there transportation, availability materials. a take chain. supply and is in still for supply Let's situation energy costs mean a raw where geopolitics, I significant demand improving chain

transportation drive that demand have transportation pick and flip in sciences goods, me those Let's high all I optimizing allows I chain Now manufacturing to just lower clients demand is are navigate companies material companies. I customers to consumer Create in retail products my available in cost an sure highly inflationary four looking to high-energy, volatile. in and forecast where my right of product to supply to that available environment topics. make the shelf the my for be in how, agenda. two chain order in and by growth drive supply environment And do in is, How cost challenges order therefore, my chain ability in environment? for that environment, you life with my supply a and raw supply an for. And things optimize what do

is a And I can cost seeing set the and of three commercial a cost, a articulate and we focus fulfillment all conversations of some risk similar solutions, the where and story cost were focus rise of there's sales some satisfaction are on areas. most up. in and on on months importance on agenda on of a customer supply supply are a share in important, So balance the market six agenda of From and we rise seeing about chain. chain growth, it's balance and which more back in

Zach Ajzenman

operating on calendar that contracting XX.X discuss and be? been you here there's And Okay here. needs the hold some in helps the nice thanks. it margins you adjusted It be remain? of does improvement sounds how 'XX year But this follow-up mindful progress change pricing margin calendar XX.X% considerations Can a like to getting of 'XX the for Any the next to base the the that or curious guide. up? operating to build set informs can expectation point off where starting

Mike Weiner

Yes, let me kind of off. kick that

pricing to I diligently we base with what consider going that we work through cost as we line off-cycle what sides so remains, concert it here the think in year. the on to our value to this through our was more and get that alluded work of get in what with ago right, a to adjustments, provide out were year both that year, working or clients inflationary

that towards We back we'd trajectory of I don't business we're the that of linear that you or might we've to successfully that off time, know, in benefit build of that being player report process. we of the well have be, the actions business inherent be move to business XX.X. taken. the natural I we'll XX.X, when a margin, as the at the models like about their think how operating that. of in And everyone of but all did I all thinks expanding XXXX said would and With as can bigger leverage the and what an

are that's ago fits what the truly we well. So in but and macroeconomic really starts is got and of We've nine environment, playing out this months quite a lot point. said at deviations

Zach Ajzenman

Great, thank you.

Operator

next you question. our One moment Instructions] [Operator Thank for

Keane Our with Bryan Bank. Deutsche next comes from the question of line

line is go Your please ahead. open,

Bryan Keane

the growth But from mid-single-digit the constant guide well it's that bit understand figure is exactly still that Hi guide. and trying lower to guys range? bit the estimates it? I'm I'm was you currency that incredibly and of guide? ahead conservatism congrats I the that kind your cycles. of XX% What quarter payback solid, on I trying part? out is some quarter. on the our lower can much quarter heard consensus. a a quite quantify cost much at about And versus just fourth macro, fourth the if in resulting that's to little How But of is that growth that look of quarter, When How

Mike Weiner

kick off and go I'll this on, Tiger. Yes

Tiger Tyagarajan

ahead. ahead. ahead. Go go Go No,

Mike Weiner

right? tough going thing, on year seven So of don't year-over-year - just where basis was again, to just the versus agenda we're very let's were quarter we maybe with a some growth strong with, six, build a certainly say, very, a be to but Tiger mindful that and this predictability what I sitting for want last type it of are No, point to November with comp comp. that X weeks. made year-over-year and cost which now with our extensively, the of upon we had I sales, know next And seeing the in fourth wonderful, start Data-Tech-AI license in

Bryan Keane

it, it. Got got

Tiger Tyagarajan

we to of just quarters. overall Bryan to said, results our appreciate three your by thank Mike for have three we we that. had that the really year-to-date the own through our compliments. I quarters across add feel about good No three what do I'll saying start exceeded expectations and you off quarters, the where

around we period, clearly three-quarter that the has in Now us changed. that world recognize must

hadn't I need They I business, resize business have bit they until to I grappled that months cut geography. three grabbed instances, with back, to need this many is clients four which layoffs more of particular little or on cautious. own down need my to have, in to back Our that topics here. announce or a in become investment

recognize environment. that, longer relates particularly translation bit sell pause typically, that a see wouldn't are within that. being larger the a in think think we about seen We we agendas, a particularly so view making, being really to we being and client that bigger say asked these of as because quarter off As decision-making feel with taking they it or bigger We've end just expectations. see are in deals good having being people through and the realistic. the takes And I We will to all deal realistic our big to of very down. about little we I cycles, that. just a go a we I conservative. decision year more that balance the And are sign we're year. met

set we expectations beginning of world In through the last the our end all has changed fact, the that months. at getting the and to out year higher of XX the

it what agendas is are churning yes, their also not from A And important. that going through. is clients most and So actually recognition they're a saying our important A) of

have. Good we we had, bit make solutions the a agenda we agenda to have is Let's of do an extra have news takes solutions and B). When that cycle churn the happens, time little for happen. it churn actually original we that new for

Bryan Keane

of jumping looking that that a and side so business you're is was for Yes little of the encouraging help it some new bit I the logos on new getting for more thought cost people things? the actually

Tiger Tyagarajan

about That's convinced becoming right, those Bryan. be longer-term sets it couple I'm And accounts the for things much will absolutely now, priority of many is one of for that years of good actually from A those of us. priority some growth that with a up accounts.

Bryan Keane

helpful, Okay, for color. the thanks

Tiger Tyagarajan

Thank you, Bryan.

Operator

at any this time. no And further you. I'd back for conference showing over Roger to questions I'm further Thank Sachs hand remarks. And like to the

Roger Sachs

we you us for quarter. again next forward today, look everybody, you, to to and joining Thank speaking

Operator

concludes This program. today's

all disconnect. have Everyone, You day. can a great

Genpact Limited (G) 10 Nov 222022 Q3 Earnings call transcript