Top Indian business process outsourcing firm Genpact has increased its full-year revenue guidance on the back of strong third-quarter growth.
The company now expects a sales increase of between 30% and 32% in 2007, having previously forecast growth between 28% and 30%. Revenue for the three months to the end of September rose 32% to $214.6m, while net income grew 27% to $16.3m. The announcement sent Genpact shares up over 10% to $15.50 in early trading on the New York Stock Exchange.
Revenue from General Electric, Genpact’s former parent company, rose 11% to $122.9m, equivalent to 57% of total sales. Business from other customers was up an impressive 80% at $91.6m and, during the quarter, Genpact also announced contract wins with, amongst others, an international hotel and hospitality company and a global manufacturer of audio, video, and communications technology.
Genpact said the ongoing credit squeeze in the US had had little impact on its performance. The company added that, while its mortgage services business had seen sales decline slightly, revenues from its mortgage services business do not impact Genpact’s overall performance and [the fall in sales] has been more than offset by growth in other areas.
Genpact now has 31,700 employees worldwide, up 8% from the previous quarter of 2007. The company’s attrition rate fell slightly to 29% from 32% a year ago.