Genpact Q3 2026 Revenue Rises 7.3% as Advanced Technology Solutions Grows 30.3%

Genpact (NYSE: G) reported a 7.3% year-over-year increase in third-quarter 2026 net revenue, driven by 30.3% growth in Advanced Technology Solutions as the company continued shifting toward AI-led, recurring and non-headcount-based work. Gross margin expanded by 160 basis points to 38.0%, while adjusted diluted earnings per share rose faster than revenue.

Net revenue reached $1.385 billion, up from $1.291 billion a year earlier. Net income increased 4.0% to $152 million, and GAAP diluted EPS rose 7.2% to $0.89. Income from operations was $211 million, representing a 15.2% margin.

On a non-GAAP basis, adjusted income from operations increased to $247 million from $229 million, while the adjusted operating margin edged up 10 basis points to 17.8%. Adjusted net income was $181 million, with a 13.0% margin, and adjusted diluted EPS climbed 10.3% to $1.07.

Advanced technology drives growth

Advanced Technology Solutions generated $405 million of third-quarter revenue, an increase of 30.3%, and accounted for 29.2% of Genpact’s total revenue. That compared with 24.1% of revenue in the prior-year quarter. The business includes digital technologies advisory, data and AI, and agentic solutions.

Core Business Services revenue was flat at $980 million. Genpact said the segment’s growth rate included a nearly three-percentage-point drag from its transition away from work that does not align with its Agentic Operations strategy. The same transition reduced total third-quarter revenue growth by about two percentage points.

By industry segment, Consumer and Healthcare recorded the strongest growth, with revenue rising 10.7% to $476 million. Financial Services revenue increased 7.4% to $368 million, while High Tech and Manufacturing grew 4.4% to $542 million.

Genpact said its agentic total contract value is expected to exceed $1 billion by the end of 2026, up from more than $200 million in 2025. More than half of cumulative agentic contract value through the third quarter came from new clients. The company described agentic solutions as recurring offerings built with its own intellectual property to run mission-critical business processes without linking revenue to headcount.

The changing revenue mix was also reflected in workforce trends. Average headcount declined 3.5% year over year to 141,700 in the third quarter even as revenue increased 7.3%. Genpact’s trailing-12-month productivity index rose to 1.06 from 0.99 a year earlier.

Margin expansion and capital returns

The third quarter marked Genpact’s 14th consecutive quarter of year-over-year gross-margin expansion. Gross profit increased to $527 million, with the 38.0% gross margin up from 36.4% in the corresponding period of 2025.

The company had $499 million in cash and cash equivalents and had returned $246 million to shareholders during the first nine months of 2026.

2026 outlook

For full-year 2026, Genpact expects revenue growth of at least 7%. Advanced Technology Solutions revenue is projected to increase by at least 25%, while Core Business Services is expected to grow year over year. The company said its move away from work that does not fit its strategy will reduce full-year total revenue growth by nearly two percentage points and Core Business Services growth by roughly two points.

Management expects a full-year gross margin of 36.9%, representing 90 basis points of year-over-year expansion. The adjusted operating margin is projected at 17.7%, up 25 basis points, while adjusted diluted EPS is expected to grow by at least 13%. The outlook reconciliation indicates GAAP diluted EPS of $3.55 and adjusted diluted EPS of $4.14 for 2026.

Genpact’s outlook depends in part on demand for advanced technology and agentic offerings, execution of its strategic transition, the expansion of its addressable market and the effect of AI on client spending. The company cautioned that forward-looking expectations are subject to risks and uncertainties that could cause actual results to differ materially.