Overview
WNS, which is being bought by Capgemini, posts fiscal Q1 revenue grows 9.5% yr/yr, beating analyst expectations
Profit after tax and operating income missed analyst estimates, per LSEG data
Outlook
WNS declines to provide fiscal year 2026 guidance due to Capgemini acquisition
Result Drivers
NEW CLIENTS - Revenue growth driven by new client additions and expansion of existing relationships
ACQUISITION IMPACT - Acquisition of Kipi.ai contributed to revenue growth, offsetting some headwinds
CURRENCY MOVEMENTS - Favorable currency movements supported revenue, partially offsetting losses from a large Healthcare client
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Revenue | Beat | $353.80 mln | $328.10 mln (8 Analysts) |
Q1 Profit after Tax | Miss | $21.80 mln | $43 mln (7 Analysts) |
Q1 Operating Income | Miss | $33.10 mln | $53.70 mln (7 Analysts) |
Q1 Pretax Profit | Miss | $32.20 mln | $50.80 mln (4 Analysts) |
Q1 Gross Profit | $116.60 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy."
Wall Street's median 12-month price target for WNS (Holdings) Ltd is $76.50, about 2.4% above its July 23 closing price of $74.69
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 13 three months ago
Press Release: ID:nBw8rRBG3a
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)