WNS Reports Third Quarter Earnings and Updates Full Year Outlook

WNS Reports Fiscal Year 2025 Third Quarter Earnings

WNS (Holdings) Limited (NYSE: WNS), a leading digital transformation and services partner, has shared its financial performance for the third quarter of fiscal year 2025. The results demonstrate positive growth trends compared to previous periods, indicating the company's resilience and strategic advancements in the competitive market.

Third Quarter Financial Highlights

Here are some key takeaways from WNS's third-quarter earnings:

• Revenue: WNS reported revenue of $333.0 million, which represents a 2.1% rise compared to $326.2 million from the same quarter last year and a 3.2% increase from the preceding quarter.
• Net Profit: The company's net profit increased to $48.6 million, up from $41.5 million in the same quarter last year and from $41.8 million from the last quarter.
• Earnings Per Share: Diluted earnings per share reached $1.07, compared to $0.85 and $0.92 for the corresponding periods of last year and the previous quarter, respectively.

Non-GAAP Financial Performance

Additionally, WNS provided insights into its non-GAAP financial measures, which aim to give a clearer picture of operational performance:

• Revenue Less Repair Payments: At $319.1 million, this is a 1.0% increase year-over-year and a 2.7% increase sequentially.
• Adjusted Net Income (ANI): The adjusted net income stood at $47.0 million, showing a change from $58.5 million in the same quarter last year.
• Adjusted Diluted Earnings Per Share: This measure was reported at $1.04, down from $1.19 a year ago.

Client Acquisition and Business Growth

During the quarter, WNS significantly expanded its client base by adding 7 new clients and also deepened existing relationships with 52 clients. The company currently boasts a global workforce of 63,390, emphasizing its capacity to serve its diverse clientele efficiently.

Fiscal Year 2025 Guidance Update

WNS updated its guidance for the fiscal year ending March 31, 2025, reflecting current operational expectations:

• Expected Revenue Less Repair Payments: The revenue is projected to be between $1,255 million and $1,271 million.
• Adjusted Net Income: Forecasted to range between $205 million and $209 million.
• Adjusted Diluted Earnings Per Share: Anticipated to be in the range of $4.46 to $4.55.

As articulated by Arijit Sen, WNS's Chief Financial Officer, these revisions account for current market visibility and anticipated currency exchange rates throughout the remaining fiscal year.

Leadership Insights

Keshav Murugesh, CEO of WNS, highlighted that the firm is on a path of continuous improvement, focusing on enhancing revenue through demand-driven automation solutions and securing substantial transformational deals that will contribute to sustained growth. The strategy is deeply anchored in investments in AI technologies and analytics capabilities to deliver robust value to clients and stakeholders alike.

Looking Ahead

The results reveal that WNS is strategically positioned for growth despite overcoming various market challenges and external pressures. The robust financial performance reflects a commitment to long-term sustainability and a proactive approach to evolving market demands.

Frequently Asked Questions

What were WNS's total earnings for the third quarter?

WNS reported total earnings of $48.6 million for the third quarter of fiscal 2025.

How much did WNS’s revenue increase compared to last year?

WNS's revenue increased by 2.1% compared to the same quarter last year, amounting to $333.0 million.

What is WNS's projected adjusted diluted earnings per share for fiscal 2025?

The projected adjusted diluted earnings per share for WNS for fiscal 2025 is expected to be between $4.46 and $4.55.

How many new clients did WNS acquire in the quarter?

WNS added 7 new clients during the third quarter.

What strategy is WNS focusing on for growth?

WNS is focusing on enhancing its service offerings through demand-driven automation solutions and AI technologies.

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