Genpact 3Q profit fell; shares rise on outlook
The Associated PressBusiness process services outsourcer Genpact Ltd. said on Wednesday that its third-quarter profit fell slightly from a year ago as competitive pricing continued. But it upheld its full-year revenue guidance, and its shares rose.
The company said it earned $33.1 million during the quarter that ended Sept. 30, down 1.7 percent from $33.6 million a year earlier. Earnings per share were 15 cents in both periods. Revenue rose 5 percent to $284.4 million, from $270.8 million a year earlier.
The profit matched the expectation of analysts surveyed by Thomson Reuters, who were expecting 15 cents per share on revenue of $282.9 million.
The company reaffirmed its expectation for full-year revenue growth of 6 percent to 9 percent
"We see encouraging signs in the market. Client demand is coming back, decision-making is improving and our pipeline is strong," said President and CEO Pramod Bhasin.
Genpact, formerly a unit of General Electric Co., said its revenue from non-GE clients grew 17.4 percent from a year ago, and now represent almost 61 percent of its total revenue. GE revenue declined 4.2 percent from a year ago.
Genpact shares rose 52 cents, or 4.3 percent, to $12.66 in afternoon trading.