콘센트릭스(CNXC) 2026 회계연도 3분기 실적 발표 콘퍼런스 콜: AI 매출 50% 돌파

콘센트릭스(NASDAQ: CNXC)가 2026 회계연도 3분기 매출이 고정 환율 기준 0.5% 감소한 약 24억 5,000만 달러를 기록했다고 발표했습니다. AI 자동화 도입 가속화, 고객 지원 축소, 저비용 지역으로의 업무 이전에 따른 약 3%의 매출 역풍에도 불구하고 수익성은 개선되었습니다.

핵심 요약

• 3분기 매출은 약 24억 5,000만 달러로, 고정 환율 기준 0.5% 감소하며 지난 6월 회사가 제시한 가이던스 하단을 살짝 밑돌았습니다.
• 비GAAP(Non-GAAP) 영업이익은 3억 900만 달러를 기록했고, 비GAAP 영업이익률은 전년 동기 대비 30bp 상승한 12.6%를 나타냈습니다. 조정 EBITDA 마진 역시 30bp 상승한 14.8%를 기록했습니다.
• 경영진은 AI 기반 전환, iX 스위트(iX Suite) 기반 서비스, 새로운 고부가가치 제품 등을 포함해 지난 3년간 창출된 사업에서 전체 매출의 50% 이상이 나오고 있다고 밝혔습니다.
• 조정 잉여현금흐름(FCF)은 2억 1,800만 달러로, 2020년 콘센트릭스 분사 이후 회계연도 3분기 기준 최대치를 기록했습니다. 회사는 해당 분기 동안 총부채를 2억 1,100만 달러 줄였습니다.
• 4분기 매출에 대해 경영진은 24억 1,000만 달러에서 24억 6,000만 달러를 예상했으며, 이는 고정 환율 기준 3%~5% 감소를 의미합니다. 이번 전망은 자동화 가속화와 2개 하이퍼스케일러 고객사의 특정 고객군에 대한 지원 활동 축소를 반영한 것입니다.
• 콘센트릭스는 2026 회계연도 조정 잉여현금흐름을 6억 3,000만 달러에서 6억 5,000만 달러로, 연말 기준 조정 EBITDA 대비 순레버리지를 약 2.6배로 예상하고 있습니다.

주요 재무 실적

GAAP 실적에는 해당 분기 주가 거래 범위 영향으로 발생한 10억 5,000만 달러의 비현금성 영업권 손상차손이 포함되었습니다.

사업 및 영업 성과

경영진은 콘센트릭스의 매출 중 50% 이상이 지난 3년 동안 창출된 사업에서 발생하는 시점에 도달했다고 말했습니다. 회사는 이러한 신규 매출원을 AI 기반 전환 또는 관련 고객 업무 30억 달러, iX 스위트 AI 플랫폼을 통해 효율화된 기존 서비스 관련 순매출 13억 달러, 리스크 및 컴플라이언스 등 신규 고부가가치 서비스 7억 달러로 분류했습니다.

경영진에 따르면 이러한 매출원은 2026 회계연도에 전년 대비 약 30% 성장할 것으로 예상됩니다. 또한 이들 사업은 기존 사업에 비해 수익성이 더 높고 고객 유지율도 4배 높습니다. 콘센트릭스는 2027 회계연도에 신규 사업 매출이 60억 달러를 넘어설 것으로 전망하고 있습니다.

AI 관련 순신규 고객 수주는 전분기 대비 63% 증가했습니다. 가장 규모가 컸던 4건의 iX 스위트 수주 건 중 3건은 사용 범위를 확장한 기존 고객사에서 나왔습니다. 3분기 동안 콘센트릭스는 61개의 영업 기회와 3만 명 이상의 상담사를 플랫폼에 신규 적용했습니다.

회사는 2026 회계연도 말까지 iX 스위트를 통한 소프트웨어 라이선스 연간 반복 매출(ARR) 약 1억 2,000만 달러를 달성한다는 목표를 순조롭게 진행 중입니다. 경영진은 현재 약 13억 달러의 매출이 해당 플랫폼을 통해 처리되고 있으며, 기존 매출보다 빠른 성장세와 높은 마진을 기록하고 있다고 밝혔습니다.

전체 고객 기준 고객 유지율은 98%를 유지했습니다. 상위 5개 고객사 전체와 상위 100개 고객사의 90% 이상이 2023 회계연도 초 이후 새로운 서비스로 영역을 확장했습니다.

경영진 가이던스

4분기 수익성 가이던스의 중간값은 비GAAP 영업이익률 약 12.9%를 의미하며, 이는 전년 동기 대비 20bp 상승한 수치입니다.

콘센트릭스는 2026 회계연도에 5억 5,000만 달러 이상의 총부채를 상환하고 순부채를 약 38억 달러로 줄일 계획입니다. 이 전망에는 회사의 리스크 및 컴플라이언스 역량을 강화하기 위한 캐슬힐(CastleHill) 인수 자금이 포함되어 있습니다. 경영진은 또한 분기 배당금을 주당 0.37달러로 인상하여 11월에 지급할 예정입니다.

경영진은 정식 2027 회계연도 가이던스를 제시하지 않았습니다. 경영진은 현재 신규 사업 성장이 자동화로 인한 매출 영향의 전부 또는 상당 부분을 상쇄할 것으로 기대하고 있으며, 마진은 안정적이거나 개선되고 하반기에는 성장에 더욱 탄력이 붙을 것으로 예상합니다. 조정 잉여현금흐름은 2026 회계연도 수준을 상회할 것으로 예상되어, 총부채 5억 5,000만 달러 이상 추가 감축과 2027 회계연도 말까지 순부채 33억 달러 미만(조정 EBITDA 대비 약 2.2배) 달성을 뒷받침할 것으로 보입니다.

리스크 및 주요 관전 포인트

2개 하이퍼스케일러 고객사가 예상보다 일찍 특정 고객군에 대한 지원을 종료하고 있습니다. 경영진은 현재 이 프로세스가 4분기 말까지 거의 완료될 것으로 예상하며, 이에 따라 4분기 매출에 더 큰 영향을 미치고 2027 회계연도 상반기까지 압박이 지속될 것으로 보고 있습니다. 다만 이들 동일 고객사는 다른 서비스 영역에서 콘센트릭스와의 협력을 확장하고 있습니다.

서비스 제공 지역의 변경으로 인해 3분기 매출에 약 3%의 역풍이 발생했습니다. 경영진은 2027 회계연도 영향도 다소 낮아질 수는 있으나 비슷한 수준을 유지할 수 있다고 밝혔습니다. 2026 회계연도 말까지 해외 이전 대상이 될 수 있는 업무 비중은 전체 매출의 약 10%~11%만 남을 것으로 예상되므로, 이러한 압박은 시간이 지남에 따라 완화될 것으로 전망됩니다.

AI 도입 가속화 역시 기존 매출의 일부를 압축하고 있습니다. 경영진은 이를 일시적인 역풍으로 보고 있으며, 시간이 지남에 따라 고객과의 관계가 더욱 견고해지고 성장이 빨라지며 마진이 높아지는 효과를 가져올 것으로 평가하고 있습니다.

애널리스트 Q&A 주요 내용

경영진은 2027 회계연도 성장이 하반기에 집중될 것으로 예상되는 이유로 2개 하이퍼스케일러 고객사의 전환 완료, AI 자동화 도입 가속화 영향의 흡수, 연말 예정된 업계 통합 기회 가능성 등 세 가지 요인을 꼽았습니다.

에이전트 AI(Agentic AI)와 관련해 경영진은 메타의 뮤즈(Muse)나 오픈AI의 닷츠(Dots)와 같은 서비스가 업계 진화의 또 다른 단계를 보여준다고 말했습니다. 콘센트릭스는 고객사가 이러한 채널을 활용하고 지원하는 방법을 이해하도록 돕고 있으며, 에이전트 커머스 인프라와 관련된 기회를 포착하고 있습니다.

경영진은 지속적인 5% 안팎의 성장은 단기적인 2027 회계연도 결과라기보다는 2028 회계연도에 더 고려될 가능성이 높다고 밝혔습니다. 하지만 신규 매출원으로의 전환은 회사의 당초 예상보다 약 1~2분기 빠르게 진행되고 있습니다.

마진과 관련해 경영진은 신규 매출원이 차별화된 제품 덕분에 안정적이고 높은 수익성을 보유하고 있다고 밝혔습니다. 콘센트릭스는 가격 책정 기준 미만의 범용화된 기존 사업을 추진하지 않을 방침이며, 신규 매출과 자동화의 기여도 증가가 2027 회계연도의 마진 안정을 뒷받침할 것으로 기대하고 있습니다.

실적 발표 컨퍼런스 콜 전문

전체 실적 발표 컨퍼런스 콜 녹취록

경영진 발표

Operator

Hello, everyone. Thank you for joining us, and welcome to the Concentrix Third Quarter 2026 Financial Results Conference Call. [Operator Instructions]

I will now hand the conference over to Elise Brassell, Corporate Communications and Investor Relations. Elise, please go ahead.

Elise Brassell

Thank you, operator, and welcome, everyone, to Concentrix' Third Quarter 2026 Earnings Call. This call is the property of Concentrix and may not be recorded or rebroadcast without the written permission of Concentrix.

This call contains forward-looking statements that address our expected future performance and that, by their nature, address matters that are uncertain. These uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements as a result of new information or future expectations, events or developments. Please refer to today's earnings release and our most recent filings with the SEC for additional information regarding uncertainties that could affect our future financial results. This includes the risk factors provided in our annual report on our Form 10-K and in our other public filings with the SEC.

Also, during the call, we will discuss non-GAAP financial measures, including adjusted free cash flow, non-GAAP operating income, non-GAAP operating margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, non-GAAP EPS and constant currency revenue growth. A reconciliation of these non-GAAP measures is available in the news release and on the company Investor Relations website under Financials.

With me on the call today are Chris Caldwell, our President and Chief Executive Officer; and Andre Valentine, our Chief Financial Officer. Chris will provide a summary of our operating performance and growth strategy, and Andre will cover our financial results and business outlook. Then we'll open the call for your questions.

Now I'll turn the call over to Chris.

Christopher Caldwell

Thank you, Elise. Hello, everyone, and thank you for joining us for our third quarter 2026 earnings call. I'm proud to start this call by recognizing a milestone that speaks to how far Concentrix has come over the last few years since generative AI was released and concerns for the viability of the services industry started. Over the last 3 years, we've steadily expanded the services we offer and invested in deployments of AI technology to evolve our business.

This quarter, we crossed the mark that 50% of our revenue now comes from businesses that we generated in the last 3 years that is very different than our traditional business. These new revenue sources are comprised of: $3 billion of revenue that is coming from new and existing clients that have either gone through heavy transformation or has AI influencing the revenue; $1.3 billion of net revenue resulting from the compression of our traditional services using our iX Suite AI platform; and finally, $700 million of revenue from new high-value services we brought to the market across growing segments like risk and compliance.

Compared to our traditional business, this revenue is growing faster at an expected 30% year-over-year growth rate in fiscal 2026, is more profitable and is stickier with a revenue retention rate 4x higher. We laid this out in more detail in the Q3 investor summary presentation you can find on our website under Investor Relations Events and Presentations.

We're planning more investor outreach in the early part of 2027 to break down how we are looking at our business in more detail. But as an introduction, let me share a few other stats that make me confident and excited about the future. We expect our new business revenues to exceed $6 billion in 2027. As we have talked about, we are seeing the margin progression we've expected in our overall business with a 30 basis point improvement year-on-year in Q3.

We are winning new clients and also evolving our existing clients to new services. As an example, all of our top 5 clients and more than 90% of our top 100 clients have expanded into new services and offerings with us since the start of fiscal 2023. Our average tenure with our clients remains strong at more than 16 years with our top 25 clients and 15 years for our top 50 clients, with a 98% retention rate across our entire client base. Together, these stats show we are building on a solid foundation, and we are pushing the evolution of our business as quickly as possible.

Turning to our third quarter, we can see these same themes reflected. We're continuing to prove that as clients scale AI, we create more opportunities to grow our business, expand profitably and deepen client relationships. We are actively focused on disrupting our own traditional business to take advantage of our momentum.

Our sales pipeline continues to be stable, with net new logo sales involving AI growing 63% quarter-over-quarter. Three of our four largest iX Suite wins this quarter came from clients who are already using the product and are now expanding their use cases because of the results we've helped them achieve. We also brought 61 opportunities, including more than 30,000 advisers live on our iX Suite this quarter, contributing to our margin expansion we delivered in Q3 and the impact to our revenue growth in our traditional business.

Our strategy, vision and execution is getting recognized by the market. We're building an identity for Concentrix as a partner that bridges the gap between AI ambition and operational reality through our New Realities marketing campaign that is resonating with clients, partners and the industry. We were recognized by research firms as a leading partner with multi disciplines and in strategy and vision.

As an example, this month, Everest Group recognized us as a leader in customer experience management with growth in vision and capability across every geography. We earned Best of Category honors from Globee for human-AI teaming and conversational AI. And together with our strategic partner, NiCE, we received an International CX Excellence Award for our work with U.K. technology retailer, Currys.

Our technology-powered consumer experience solution delivered double-digit improvements in customer satisfaction. And just as importantly, we exceeded our profitability guidance for the quarter and expect that momentum to continue into Q4. As a reminder, this marks our second consecutive quarter of record adjusted free cash flow while continuing to reduce leverage.

While AI is expanding our growth opportunities, we're also navigating industry shifts like hyperscaler spend priorities, which will have a larger impact than previously expected on our revenue in the fourth quarter. In addition, shore mix created about a 3% headwind this quarter, as we talked about in our second quarter earnings call.

As clients shift budgets and shores, we continue to use a combination of technology, rightshoring and services to create a balance for growth and long-term profitability in our traditional business. It's important to note that while the business is evolving, we are doing what we can to accelerate our rollout of AI. This causes temporary headwinds that result in [ growing ], stickier and higher-margin revenue and relationships.

While this evolution progresses, we're staying disciplined in how we allocate capital. This quarter, we strengthened our balance sheet by reducing net debt by approximately $211 million. And by the end of our fiscal 2026 year, we expect to have completed $900 million of debt paydown in the last 3 years. This puts us on track to reduce our net leverage to approximately 2.6x at year-end, with further significant debt and leverage reduction planned in 2027 to approximately 2.2x. At the same time, we're continuing to invest in our future by upskilling our people and expanding specialized AI talent to grow new capabilities.

Looking ahead to Q4, we are pushing accelerated deployments of AI, but we remain confident in the growth opportunity of our new business revenues and the overall market opportunities. We are focused on being the partner of choice to help transform operating models with the right mix of automation, technology, global talent and deep domain expertise. We're seeing a healthy, stable pipeline of complex, high-value opportunities where clients are looking for practical solutions that deliver measurable business outcomes.

While not providing guidance for 2027, we currently expect the growth of our new business revenue to offset much, if not all of our automation efforts in 2027 while driving stable to improved margins across our entire business. We expect the overall business to benefit from consolidation in the industry, with growth momentum to be more in the back half of the year. We expect our free cash generation to be above our 2026 levels.

Before I hand it over to Andre, I want to thank our Gamechangers around the world for their commitment to our clients and to each other. Their expertise and innovation make our success possible. And I'd also like to thank our clients for their trust they place in us as they navigate an increasingly complex business environment.

With that, Andre will take you through more details on our quarterly performance and outlook for the rest of the year. Andre?

Andre Valentine

Well, thank you, Chris, and hello, everyone. I'll begin with a review of our financial results for the third quarter and then discuss our outlook for the fourth quarter and full year 2026. In the third quarter, we delivered revenue of approximately $2.45 billion. On a constant currency basis, this represented a decrease of 0.5%, which is slightly below the lower end of the guidance we provided in June. Our revenue for the quarter reflects an acceleration of our deployment of AI for clients, as well as client decisions to reduce support for certain customer sets that we have supported.

Turning to profitability. Our non-GAAP operating income was $309 million, above the high end of the guidance range we provided in June. Adjusted EBITDA in the quarter was $363 million. Our non-GAAP operating income margin was 12.6%, and our adjusted EBITDA margin was 14.8%, with both measures up 30 basis points from the third quarter last year. This increase in margins demonstrates our focus on winning the right business, as well as our discipline and execution in aligning our business investments to areas that we have identified for profit-enhancing growth while reducing costs in other areas. This is consistent with our commentary throughout 2026 that we would see year-over-year margin expansion in the second half of the year.

Non-GAAP diluted EPS was $2.92 per share, above the guidance range we provided in March and June and up $0.14 from the third quarter of 2025. Our GAAP results for the third quarter reflect a $1.05 billion noncash goodwill impairment charge triggered by the trading range of our stock during the quarter. Complete reconciliations of non-GAAP measures to comparable GAAP measures are provided in today's earnings release.

Adjusted free cash flow was $218 million in the third quarter, the highest level we've achieved in the third quarter of any year since our spin-off in 2020. We returned approximately $23 million to shareholders in the quarter through our quarterly dividend. Consistent with our commitment to reducing net leverage at the end of the year, we did not repurchase any shares in the quarter.

In the quarter, we reduced total debt by $211 million. Our debt reduction in the quarter included the repayment of $200 million in senior notes that matured in August. At the end of the third quarter, cash and cash equivalents were approximately $256 million. Total debt was approximately $4.375 billion, and net debt was approximately $4.119 billion.

At the end of the quarter, our liquidity was nearly $1.5 billion, including our $1.1 billion undrawn revolving credit facility. Included in our outstanding debt at the end of the quarter is $375 million in term loan borrowings that mature in December 2026. We expect to repay these borrowings using free cash flow generated over the balance of the year and existing sources of liquidity. In total, we expect to repay over $550 million in gross debt this year and reduce net debt to approximately $3.8 billion by the end of the year.

Now I'll turn to our outlook. For the fourth quarter and full year 2026, we expect the following: fourth quarter revenue of $2.41 billion to $2.46 billion. Based on current exchange rates, these expectations assume an approximate 65 basis point negative impact of foreign exchange rates in Q4 compared with the prior year period. The guidance implies a constant currency revenue decrease in the fourth quarter ranging from 3% to 5%. This leads to fiscal year 2026 revenue of $9.827 billion to $9.877 billion based on based on current exchange rates, which we assume an approximate 80 basis point positive impact of foreign exchange rates compared with the prior year. As such, we expect revenue for the full year to decrease by 0.8% to 0.3% on a constant currency basis.

For the fourth quarter, we expect non-GAAP operating income of $310 million to $320 million. This drives full year non-GAAP operating income of $1,206 million to $1,216 million. The midpoint of our profitability expectations for the fourth quarter implies a non-GAAP operating income margin of approximately 12.9%, up 20 basis points from the fourth quarter last year. This is consistent with our expectation all year that we would generate year-over-year margin expansion in the second half of the fiscal year.

This guidance translates into an expected non-GAAP earnings per share of $2.86 to $2.98 for Q4, assuming approximately $63.5 million in interest expense, 61.2 million diluted common shares outstanding and approximately 4.9% of net income attributable to participating securities. For fiscal year 2026, we expect non-GAAP EPS of $10.97 to $11.09, assuming non-GAAP interest expense for the year of $265 million, approximately 61.1 million diluted common shares outstanding and approximately 4.9% of net income attributable to participating securities. The non-GAAP effective tax rate is expected to be approximately 24% for both Q4 and for the full year.

We continue to expect to generate between $630 million and $650 million in adjusted free cash flow this year. With this cash generation, we expect to reduce our outstanding debt balance by over $550 million in the year. This expectation includes the funding of our acquisition of CastleHill to further strengthen our risk and compliance offering in the fourth quarter. We are committed to reducing our net leverage to approximately 2.6x adjusted EBITDA by the end of fiscal 2026.

Looking at cash flow beyond 2026, we expect adjusted free cash flow in fiscal 2027 to exceed the amount we generate in 2026. Our confidence in our cash generation in 2027 reflects an expectation of reduced restructuring costs, lower cash interest expense and that our newer growing sources of revenue require less capital expenditures than our traditional business. Our 2027 cash flow expectation would allow us to reduce our gross outstanding debt by over $550 million once again in fiscal 2027 and bring our net debt to below $3.3 billion, or roughly 2.2x adjusted EBITDA, by the end of fiscal 2027. Our confidence in the continued strong cash flow generation of the business is reflected in our increased dividend to $0.37 per share, payable in November.

In summary, our overall demand environment remains stable. We're confident in our ability to drive margin expansion in the business. We're confident in the continued strong free cash flow generation of the business and our plan to pay down debt and reduce net leverage in 2026 and beyond. And we're in a strong competitive position to drive long-term outperformance.

Now operator, please open the line for questions.

Operator

[Operator Instructions] Your first question comes from the line of Ruplu Bhattacharya with Bank of America.

질의응답

Ruplu Bhattacharya

Christopher, on your comment that growth in 2027 is going to be more back half-weighted, what is driving that? What specifically are you seeing in the sales cycle? You had talked about some hyperscale customers who might be reducing some support to their end customers, and you've also talked about offshore moves that could be impacting revenues. So help us kind of understand what is driving that back-end loaded nature of revenues in the next year? And I have a follow-up.

Christopher Caldwell

No problem. Ruplu, it's Chris. So thank you for the question. So two things. Just in terms of what we're seeing right now, just to put some perspective and size what we're looking at, the hyperscale customers we're talking about are 2 specific clients who, as we talked about in our Q2 call, are looking at stopping support for certain client sets. Originally, that was going to impact us in Q3 and flow through until sort of Q2 of next year.

Right now, the decision is really to have that completely finished by the end of Q4. And so you're seeing an oversized impact in Q4 and then clearly some impact in Q1 and Q2 from that. That, again, is only 2 clients. It's very defined. And those clients are actually growing with us in other areas of the business and other services. And so it's, again, a very, very confined part.

The second thing that we've talked about is our increase in AI automation sales that we've been doing. Not only did we have a very strong AI pipeline -- sales pipeline in Q2 which we called out, we also had another one in Q3. And what we talked about in Q2 was the ability to deliver on these AI automations at pace. We've been really happy with how the team has reacted in Q3. And we've been able to deploy those automations much faster than what we originally expected, which I think is a really good thing. And so we're seeing that impact in kind of Q4 and which will also impact into Q1.

And so really, when we talk about back-end growth opportunity in 2027, we're getting through these 2 clients who are looking at removing support for their base. We're catching up on the automation deployments that we're doing, and we're also looking at what we're going to be consolidating within the marketplace as we look at sort of Q3 and Q4, really, Q2, Q3, Q4 in 2027. So that just gives you some of the color around what we're seeing from a growth profile perspective.

Ruplu Bhattacharya

Okay. As a follow-up, can I ask you for your thoughts on Meta's new Muse offering, as well as agentic AI in general? And how are you thinking about your own spend on the iX Suite? And what revenue and margin targets do you have for that?

Christopher Caldwell

For sure. So clearly, Meta announced a Muse product. OpenAI announced a product they call Dots. We're seeing more and more companies looking at this type of technology. And in fact, we built our own technology internally just for ourselves that's very, very similar to this that we're finding productivity gains.

We're helping clients right now understand how to engage with it. We're helping clients understand how to support these channels. And we do see agentic shopping becoming more and more prevalent in the marketplace and see opportunities for us to grow with that, supporting our clients, supporting this infrastructure. And so we just see it as part of the evolution of the business.

In terms of how we're thinking about spending money on our iX Suite, as we've talked about, we are benefiting from some of the ability to lower our cost base with AI internally on our development. And so we brought down our expenditures on our iX Suite. We're seeing the growth that we've talked about. We've talked about exiting 2026 with an ARR of just kind of software licensing around $120 million. We're on pace to do that.

And then what we've also talked about is how it influences revenue that runs through this platform. And that was the number that I called out of the $1.3 billion that's running through our platform, which, as we've talked about before, is growing faster than our traditional revenue because we're getting optimized work out of it, and it's at a higher profit margin out of it. And so we expect that margin profile to continue to build up. And at some point, at critical mass, we expect iX Hero to have effectively SaaS-type margins, but that's a fair bit away.

Operator

Your next question comes from the line of Vincent Colicchio with Barrington Research.

Vincent Colicchio

Yes, Chris, congrats on the milestone that you reached. Is there a way to think about what level you need to reach before you can consistently achieve solid growth, say, in the mid-single digits?

Christopher Caldwell

Yes, that's a great question. So Vince, we expected to reach this 50% milestone really at the end of Q4, maybe middle of Q1. And so we've moved it forward 1.5 quarters, which is fantastic from a momentum perspective.

Our belief is that we need a couple more quarters to continue to kind of drive automation in our traditional business. We believe that there's some consolidation that happens. But if you -- and again, not guiding for 2027. If you kind of read between the lines on 2027, we expect that, that momentum is not really going to happen until the back half of the year. So that's probably more a 2028 comment. But again, we're moving a couple of quarters faster than we expected right now. So hopefully, we can maintain that momentum.

Vincent Colicchio

And as a follow-up, are you able to articulate how large a headwind you'll see from offshoring in fiscal '27?

Andre Valentine

Yes. We're not really guiding yet to fiscal '27, Vince, but we'll provide some color on it. So we have talked about this year, seeing that accelerate to being about a 3-point headwind on growth for us. We see it in that same sort of range. We don't see it being higher, but possibly a touch lower. But so included in what we're seeing right now is our revenue expectations for next year, I probably think it's right in that same range.

Operator

Your next question comes from the line of Jacob Haggarty with Robert W. Baird & Co Inc.

Jacob Haggarty

So just thinking about the revenue headwind from offshoring, does that start to abate as you get more and more AI revenues? Do people bring some of that work back onshore because it's AI-assisted and they're getting cost benefits there? Or how do you kind of see that evolving over time?

Andre Valentine

Jacob, I'm really glad you asked that question because it was actually kind of the second part of the answer to Vince's question that I didn't give. We do see it abating over time, but maybe not for the reason that you indicated so much as -- we're really getting to the point where we only, as we exit this year, have 10%, 11% of revenue that we see is as kind of in the pool of stuff that is likely over time to be movable offshore. So we do see it abating over time more because there's just not that much of it left to move as opposed to anything else. Chris, any impact from the AI playing any role there or not?

Christopher Caldwell

Yes, Jacob, we're not really seeing that. We're seeing clients who are moving the work. And the belief is that as we put an AI to it, they'll continue to leave it where it resides versus pulling it back into a higher-cost region.

Jacob Haggarty

No, that totally makes sense. And then can you just talk maybe about your confidence in margin stability, especially as we go into F 2027 and maybe even beyond?

Christopher Caldwell

So on the newer revenue that we talked about that we're just kind of crossing the 50% mark on, the margins are actually very stable. And it's competitive, but because we're bringing unique offerings to it, it's at an elevated level. Where we kind of look at margin pressure, for lack of a better term, is more of the traditional business that might be commoditized.

And we will only go to a certain price point. We're not going to chase price in that type of the business. And so our belief is that as we continue to add more and more of the new revenues, as we continue to automate more and more of our traditional revenues that we've got that margin stability, as we talked about in the prepared remarks, certainly in 2027.

Operator

[Operator Instructions] There are no further questions at this time. This concludes today's call. Thank you for attending. You may now disconnect.