Genpact (NYSE:G) Posts Earnings Results, Beats Estimates By $0.03 EPS

Genpact (NYSE:G) announced its quarterly earnings results on Thursday. The business services provider reported $1.00 EPS for the quarter, topping analysts’ consensus estimates of $0.97 by $0.03, FiscalAI reports. The company had revenue of $1.34 billion during the quarter, compared to analyst estimates of $1.33 billion. Genpact had a return on equity of 23.53% and a net margin of 11.04%.The firm’s revenue was up 7.1% on a year-over-year basis. During the same quarter last year, the firm posted $0.88 earnings per share. Genpact updated its Q3 2026 guidance to 1.040-1.050 EPS and its FY 2026 guidance to 4.088- EPS.

Here are the key takeaways from Genpact’s conference call:

• Q2 revenue rose 7.1% to $1.343 billion, while adjusted diluted EPS increased 13.6% to $1.00, outpacing revenue growth. Gross margin expanded for the 13th consecutive quarter to 36.5%.
• Advanced Technology Solutions revenue grew 24.1% year over year to $363 million, reaching 27% of total revenue. Genpact raised its full-year ATS growth outlook to at least 25% and expects more than $1 billion in 2026 Agentic bookings.
• Demand indicators strengthened, with record quarterly bookings, 12 large deals signed in the first half—double last year’s pace—and growing backlog and pipeline. More than half of cumulative Agentic contract value has come from new clients, suggesting expansion into additional markets.
• Genpact is exiting small portions of lower-value content management and commoditized contact-center work that do not fit its Agentic Operations strategy. The transition is expected to reduce 2026 revenue growth by nearly two percentage points, with the impact concentrated in the second half and potentially larger in 2027.
• Despite the strategic transition, management maintained its outlook for at least 7% 2026 revenue growth, raised adjusted diluted EPS growth expectations to at least 12%, and projected continued expansion in gross and adjusted operating margins.

Genpact Stock Down 5.2%

Shares of G stock traded down $1.90 during mid-day trading on Friday, reaching $34.26. 3,930,685 shares of the company’s stock traded hands, compared to its average volume of 2,007,382. Genpact has a 12 month low of $26.85 and a 12 month high of $48.64. The company has a market cap of $5.81 billion, a P/E ratio of 10.17, a P/E/G ratio of 1.02 and a beta of 0.57. The company has a quick ratio of 1.69, a current ratio of 1.69 and a debt-to-equity ratio of 0.47. The company’s 50-day moving average price is $31.23 and its 200-day moving average price is $35.21.

Genpact Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Shareholders of record on Thursday, September 10th will be given a dividend of $0.1875 per share. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $0.75 annualized dividend and a yield of 2.2%. Genpact’s dividend payout ratio (DPR) is currently 23.01%.

Analyst Upgrades and Downgrades

G has been the subject of several research reports. Robert W. Baird decreased their price objective on shares of Genpact from $45.00 to $38.00 and set a “neutral” rating for the company in a report on Tuesday, July 7th. Needham & Company LLC cut their target price on shares of Genpact from $50.00 to $45.00 and set a “buy” rating on the stock in a research note on Friday. BMO Capital Markets reiterated a “market perform” rating and set a $40.00 price target on shares of Genpact in a research report on Friday. JPMorgan Chase & Co. increased their price target on shares of Genpact from $40.00 to $45.00 and gave the stock a “neutral” rating in a research note on Friday. Finally, Deutsche Bank Aktiengesellschaft set a $31.00 price objective on shares of Genpact in a report on Friday, July 10th. Two analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $39.33.

Key Genpact News

Here are the key news stories impacting Genpact this week:

• Positive Sentiment: Strong Q2 earnings and revenue: Genpact reported adjusted earnings of $1.00 per share, ahead of the $0.97 consensus estimate, while revenue reached $1.34 billion versus expectations of $1.33 billion. Revenue increased 7.1% year over year, and earnings rose from $0.88 per share a year earlier. Genpact Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Advanced Technology Solutions accelerated: The division’s revenue grew 24.1% year over year and was identified as the primary driver of quarterly performance, supporting management’s transition toward “Agentic Operations.” Genpact Reports Second Quarter 2026 Results
• Positive Sentiment: Outlook improved: Genpact raised its fiscal 2026 adjusted earnings-growth outlook and provided full-year EPS guidance of approximately $4.09, above the $3.99 analyst consensus. Third-quarter EPS guidance of $1.04–$1.05 also exceeds the $1.03 consensus estimate.
• Positive Sentiment: JPMorgan raised its price target to $45 from $40, while maintaining a Neutral rating, indicating potential upside based on the cited reference price. JPMorgan Genpact Price Target Update
• Neutral Sentiment: Analyst views remain mixed: Susquehanna increased its target to $37 from $33 but retained a Neutral rating, while the broader brokerage consensus remains Hold. Genpact Analyst Ratings
• Negative Sentiment: Needham reduced its price target to $45 from $50, although it maintained a Buy rating. The target cut may be weighing on sentiment despite the company’s stronger results. Needham Genpact Price Target Update

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of G. UMB Bank n.a. raised its stake in Genpact by 30.1% during the fourth quarter. UMB Bank n.a. now owns 2,022 shares of the business services provider’s stock valued at $95,000 after buying an additional 468 shares during the last quarter. Centaurus Financial Inc. increased its holdings in shares of Genpact by 9.9% during the third quarter. Centaurus Financial Inc. now owns 4,393 shares of the business services provider’s stock valued at $184,000 after acquiring an additional 396 shares in the last quarter. Advisory Services Network LLC bought a new position in shares of Genpact during the third quarter valued at $54,000. Quarry LP raised its position in shares of Genpact by 1,763.4% in the 3rd quarter. Quarry LP now owns 1,733 shares of the business services provider’s stock worth $73,000 after purchasing an additional 1,640 shares during the last quarter. Finally, WealthCollab LLC boosted its stake in Genpact by 19.6% in the 2nd quarter. WealthCollab LLC now owns 3,167 shares of the business services provider’s stock worth $139,000 after purchasing an additional 519 shares in the last quarter. 96.03% of the stock is currently owned by institutional investors.

About Genpact

Genpact is a global professional services firm specializing in digitally powered business process management and services. The company partners with clients across industries to design, transform and run key operations, leveraging data analytics, artificial intelligence, automation and domain expertise. Its offerings span finance and accounting, supply chain management, procurement, customer experience, risk and compliance, and other critical business functions.

Founded in 1997 as the business process outsourcing arm of General Electric and originally known as GE Capital International Services, the company rebranded as Genpact in 2005 and completed its initial public offering on the New York Stock Exchange in 2007 under the ticker symbol “G.” Over time, Genpact has expanded beyond traditional outsourcing to focus on digital transformation and innovation, helping organizations accelerate growth and improve operational efficiency.

Headquartered in New York City, Genpact serves clients in more than 30 countries across North America, Latin America, Europe and Asia Pacific.