Genpact LTD
For the period ended Mar 31, 2026. Filed May 8, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 8, 2026
G$42.27+2.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-07.
0001398659-25-000109
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-05-08.
0001398659-26-000010
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 176 previous paragraphs and 138 current paragraphs.
84 unchanged; 49 reworded; 5 added; 32 removed; 11 previous and 0 current paragraphs rearranged.
Tables are not compared: 17 previous and 11 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (5)
Current report
Macroeconomic and business environment
Current report
Net revenues from Core Business Services in the first quarter of 2026 were $950.8 million, up $13.5 million, or 1.4%, from $937.3 million in the first quarter of 2025, primarily due to an increase in revenue from technology-related services and ramp-ups of recently signed deals in the first quarter of 2026 compared to the first quarter of 2025.
Current report
Other income (expense), net. Our other expense (net of income) was $0.3 million in the first quarter of 2026, compared to other income (net of expense) of $1.7 million in the first quarter of 2025, largely due to sales of excess infrastructure and technology equipment in the first quarter of 2025 compared to the first quarter of 2026.
Current report
Adjusted income from operations. Adjusted income from operations (“AOI”) was $223.7 million in the first quarter of 2026, up $13.9 million from $209.7 million in the first quarter of 2025. Our AOI margin was 17.3% in both the first quarters of 2025 and 2026, largely driven by higher gross margin, partially offset by higher SG&A expenses related to investments in sales capabilities and development costs associated with our advanced data and agentic solutions.
Current report
In November 2025, Genpact UK Finco plc and Genpact USA co-issued $350.0 million aggregate principal amount of 4.950% senior notes (the “2025 Senior Notes,” and together with the 2024 Senior Notes, the "Senior Notes"). The 2025 Senior Notes are fully guaranteed by the Company and Genpact Luxembourg. The total debt issuance cost of $4.6 million incurred in connection with the 2025 Senior Notes is being amortized over the life of the 2025 Senior Notes as additional interest expense. As of December 31, 2025 and March 31, 2026, the amount outstanding under the 2025 Senior Notes, net of debt amortization expense of $4.4 million and $4.2 million, respectively, was $345.6 million and $345.8 million, respectively, which is payable on November 18, 2030.
Removed paragraphs (32)
Previous report
Macroeconomic and geopolitical environment
Previous report
Broad-based tariffs imposed by the U.S., and threatened or imposed retaliatory measures by other countries, have contributed to increased macroeconomic uncertainty in global markets, which may impact our revenue growth. Extended periods of slower sales cycles could have a material adverse effect on our business, financial position and results of operations.
Previous report
One Big Beautiful Bill Act ("OBBBA")
Previous report
On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was enacted in the United States. The OBBBA introduced several measures, including the permanent extension of select provisions from the Tax Cuts and Jobs Act of 2017, revisions to the international tax framework, and the reinstatement of favorable tax treatment for certain business-related items. The OBBBA contains multiple effective dates. The legislation did not have a material impact on our income tax expense for the quarter ended September 30, 2025, and we do not expect it to materially change our effective income tax rate for 2025.
Previous report
Prior to the quarter commencing April 1, 2025, we disaggregated our revenue as revenue from either Data-Tech-AI or Digital Operations based on the nature of the solutions and services provided. Beginning with the second quarter ended June 30, 2025, we now also disaggregate our revenue as revenue from Advanced Technology Solutions or Core Business Services.
Previous report
Net revenues from Data-Tech-AI in the third quarter of 2025 were $622.4 million, up $53.0 million, or 9.3%, from $569.4 million in the third quarter of 2024. This increase was largely driven by increased demand for our data and AI solutions and services as well as technology services in the third quarter of 2025 compared to the third quarter of 2024.
Previous report
Net revenues from Digital Operations in the third quarter of 2025 were $668.9 million, up $27.3 million, or 4.3%, from $641.5 million in the third quarter of 2024, primarily due to ramp-ups of services from recently signed deals.
Previous report
Net revenues from Core Business Services in the third quarter of 2025 were $980.3 million, up $28.5 million, or 3.0%, from $951.8 million in the third quarter of 2024, primarily due to an increase in revenue from Digital Operations and technology services in the third quarter of 2025 compared to the third quarter of 2024.
Previous report
Other income (expense), net. Our other income (net of expense) was $6.8 million in the third quarter of 2025, compared to $5.1 million in the third quarter of 2024, primarily due to a greater gain on the fair value of deferred compensation plan assets in the third quarter of 2025 than in the third quarter of 2024.
Previous report
Adjusted income from operations. Adju sted income from operations (“AOI”) increased by $15.9 million, from $213.0 million in the third quarter of 2024 to $228.9 million in the third quarter of 2025. Our AOI margin increased from 17.6% in the third quarter of 2024 to 17.7% in the third quarter of 2025, largely driven by higher gross margin, partially offset by higher SG&A expense in thethird quarter of 2025 compared tothe third quarter of 2024.
Previous report
Nine Months Ended September 30, 2025 compared to the Nine Months Ended September 30, 2024
Previous report
Net revenues. Our net revenues were $3,760.6 million in the nine months ended September 30, 2025, up $242.2 million, or 6.9%, from $3,518.4 million in the nine months ended September 30, 2024.
Previous report
Our average headcount increasedby 8.7% to approximately 145,500 in the nine months ended September 30, 2025 from approximately 133,900 in the nine months ended September 30, 2024.
Previous report
Prior to the quarter commencing April 1, 2025, we disaggregated our revenue as revenue from either Data-Tech-AI or Digital Operations based on the nature of the solutions and services provided. Beginning with the second quarter ended June 30, 2025, we now also disaggregate our revenue as revenue from Advanced Technology Solutions or Core Business Services.
Previous report
Net revenues from Data-Tech-AI in thenine months ended September 30, 2025 were $1,803.6 million, up $164.3 million, or 10.0%, from $1,639.3 million in thenine months ended September 30, 2024. This increase was largely driven by increased demand for our data and AI solutions and services as well as technology services in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Net revenues from Digital Operations in thenine months ended September 30, 2025 were $1,957.0 million, up $77.9 million, or 4.1%, from $1,879.1 million in thenine months ended September 30, 2024, primarily due to ramp-ups of services from recently signed deals.
Previous report
Net revenues from Advanced Technology Solutions in thenine months ended September 30, 2025 were $881.3 million, up $132.8 million, or 17.7%, from $748.5 million in thenine months ended September 30, 2024. This increase was largely driven by demand for our data and AI solutions and services in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Net revenues from Core Business Services in thenine months ended September 30, 2025 were $2,879.3 million, up $109.4 million, or 4.0%, from $2,769.9 million in thenine months ended September 30, 2024, primarily due to an increase in revenue from Digital Operations and technology services in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Net revenues from our Financial Services and Consumer and Healthcare segments increased by 5.4% and 2.0%, respectively, in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024, largely due to an increase in revenue from Advanced Technology Solutions and technology services. Net revenues from our High Tech and Manufacturing segment increased by 12.6% in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024, primarily driven by ramp-ups of services from recently signed deals and an increase in demand for our Advanced Technology Solutions and technology services.
Previous report
Cost of revenue. Cost of revenue was $2,411.9 million in thenine months ended September 30, 2025, up $137.8 million, or 6.1%, from $2,274.1 million in thenine months ended September 30, 2024. This increase was primarily due to (i) an increase in our operational headcount to support revenue growth, (ii) wage inflation, (iii) higher stock-based compensation expense, (iv) increased spending on professional services, and (v) an increase in costs for resold partnership technologies in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Gross margin. Our gross margin increased from 35.4% in thenine months ended September 30, 2024 to 35.9% in thenine months ended September 30, 2025. The increase in gross margin was primarily due to improved operating leverage in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Selling, general and administrative (SG&A) expenses. SG&A expenses as a percentage of net revenues increased from 20.4% in thenine months ended September 30, 2024 to 20.5% in thenine months ended September 30, 2025. SG&A expenses were $769.6 million in thenine months ended September 30, 2025, up $51.6 million, or 7.2%, from $718.0 million in thenine months ended September 30, 2024. This increase was primarily driven by (i) higher stock-based compensation expense, (ii) a higher allowance for credit losses, (iii) increased strategic investments in partnerships, alliances, and other sales and marketing capabilities, (iv) increased spending on professional services, and (v) wage inflation in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Other operating (income) expense, net. Other operating expense (net of income) was $7.5 million in the nine months ended September 30, 2025, compared to other operating income (net of expense) of $5.6 million in the nine months ended September 30, 2024. During the nine months ended September 30, 2024, we recorded a gain upon the redemption of a loan note associated with the sale of a business previously classified as held for sale and the waiver by a vendor of a liability, with no corresponding income recorded in the nine months ended September 30, 2025. During the nine months ended September 30, 2025, we recorded a charge related to theabandonment of certain leased premises with no such corresponding charge in thenine months ended September 30,2024.
Previous report
Income from operations. As a result of the foregoing factors, income from operations as a percentage of net revenues increased from 14.5% in thenine months ended September 30, 2024 to 14.7% in thenine months ended September 30, 2025. Income from operations increased by $42.9 million from $511.9 million in thenine months ended September 30, 2024 to $554.7 million in thenine months ended September 30, 2025, primarily due to higher gross margin, partially offset by higher SG&A expenses in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
Foreign exchange gains, net. We recorded a net foreign exchange gain of $5.3 million in thenine months ended September 30, 2025, compared to $4.4 million in thenine months ended September 30, 2024. The gain in thenine months ended September 30, 2025 and 2024 was primarily due to the depreciation of the Indian rupee against the U.S. dollar.
Previous report
Interest income (expense), net. Our interest expense (net of interest income) was $37.7 million in thenine months ended September 30, 2025, up $1.5 million from $36.2 million in thenine months ended September 30, 2024. Our interest income decreased from $22.7 million in thenine months ended September 30, 2024 to $15.9 million in thenine months ended September 30, 2025, due to lower interest rates and lower cash balances in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024. The decrease in interest expense was largely due to (i) the absence of interest expense in thenine months ended September 30, 2025 on our senior notes issued in 2019, which were repaid in December 2024, and (ii) lower interest expense on our revolving credit facility and term loan due to a lower SOFR and lower volume, partially offset by incremental interest expense on our senior notes issued in June 2024 in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024. The weighted average rate of interest on our debt, including the net impact of interest rate swaps, increased from 4.4% in thenine months ended September 30, 2024 to 4.8% in thenine months ended September 30, 2025. See the section titled “Liquidity and Capital Resources—Financial Condition” for further discussion.
Previous report
Other income (expense), net. Our other income (net of expense) was $18.9 million in thenine months ended September 30, 2025, compared to $14.1 million in thenine months ended September 30, 2024, primarily due to a $2.4 million gain on a one-time sale of certain IT assets and a greater gain on the fair value of deferred compensation plan assets in thenine months ended September 30, 2025.
Previous report
Income tax expense. Our income tax expense was $131.9 million in thenine months ended September 30, 2025, up from $122.5 million in thenine months ended September 30, 2024, due to higher pre-tax income, representing an effective tax rate (“ETR”) of 24.4% in thenine months ended September 30, 2025, down from 24.8% in thenine months ended September 30, 2024. The decrease in our ETR in thenine months ended September 30, 2025 was primarily driven by the mix of our pre-tax income and the impact of discrete items.
Previous report
Net income. As a result of the foregoing factors, net income as a percentage of net revenues was 10.9% in thenine months ended September 30, 2025, up from 10.6% in thenine months ended September 30, 2024.
Previous report
Adjusted income from operations. Adjusted income from operations (“AOI”) increased by $62.7 million, from $593.3 million in thenine months ended September 30, 2024 to $655.9 million in thenine months ended September 30, 2025. Our AOI margin increased from 16.9% in thenine months ended September 30, 2024 to 17.4% in thenine months ended September 30, 2025, largely driven by a higher gross margin, partially offset by higher SG&A expense in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024.
Previous report
AOI of our Financial Services segment and High Tech and Manufacturing segment increased by 17.2% and 20.7%, respectively, in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024, primarily driven by higher revenues and operating efficiency. AOI of our Consumer and Healthcare segment increased by 3.1% in thenine months ended September 30, 2025 compared to thenine months ended September 30, 2024, primarily driven by higher revenues and operating efficiency, partially offset by investments in additional resources to drive business growth.
Previous report
During the quarter ended September 30, 2025, we entered into a contract with a client providing that the client would pay us in 2025 for services to be rendered by us through 2026. As of September 30, 2025, we had received $45.0 million under this arrangement, which contributed to higher cash flows from operating activities for the nine months ended September 30, 2025. Although we may receive additional prepayments during the fourth quarter of 2025, none are guaranteed under the terms of this arrangement.
Reworded paragraphs (49)
Previous wording
•expected spending by existing and prospective clients on our services and solutions;
Current wording
•expected spending by existing and prospective clients on our solutions and services;
Previous wording
•our ability to effectively price our services and maintain our pricing and employee and asset utilization rates;
Current wording
•our ability to effectively price our solutions and services and maintain our pricing and employee and asset utilization rates;
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•claims and lawsuits, including by clients, employees or other third parties;
Current wording
•claims and lawsuits, including by clients, employees or third parties;
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•geopolitical tensions, including the Russia-Ukraine war and the Middle East conflicts, and actions that may be taken by the U.S. and other countries in response;
Current wording
•geopolitical tensions, including the Russia-Ukraine war and the Middle East conflicts, and actions that may be taken by the United States and other countries in response;
Previous wording
Our results of operations are affected by economic and geopolitical conditions, including the overall inflationary environment and levels of business confidence. Since the beginning of 2025, economic uncertainty has increased in several markets globally, driven by shifting trade policy and the prospect of slowing global growth, which has impacted our business and may continue to impact our business in the future.
Current wording
Our results of operations are affected by economic and geopolitical conditions, including overall levels of business confidence, inflationary pressures, monetary policy uncertainty and the pace of global growth. Economic uncertainty continues to increase in several markets globally, which has impacted our business and may continue to impact our business in the future. Any extended periods of slower sales cycles could have a material adverse effect on our business, financial position and results of operations.
Previous wording
Geopolitical tensions have also intensified globally. The ongoing conflict between Russia and Ukraine and instability in the Middle East are contributing to global market volatility and regional instability. We do not have operations in Russia or Ukraine and have limited operations in Israel. To date, these conflicts have not had a material impact on our business, financial position or operations, but it is difficult to anticipate the future impacts of these conflicts on our business or our clients’ businesses.
Current wording
Geopolitical tensions also continue to intensify. Conflicts in the Middle East, in particular the Iran conflict, as well as the ongoing conflict between Russia and Ukraine, are exacerbating global market volatility and regional instability. We do not have operations in Iran, Russia or Ukraine, and our direct exposure to affected countries in the Middle East remains limited. To date, these conflicts have not had a material impact on our business, financial position or operations, but it is difficult to anticipate the future impacts of these conflicts on our business or our clients’ businesses.
Previous wording
We are an agentic and advanced technology solutions company recognized for our deep industry knowledge, process intelligence and last-mile expertise. We have over 147,000 employees serving clients from more than 35 countries. Our registered office is located at Canon’s Court, 22 Victoria Street, Hamilton HM 12, Bermuda.
Current wording
We are an agentic and advanced technology solutions company recognized for our deep industry knowledge, process intelligence and last-mile expertise. We have over 145,000 employees serving clients from more than 35 countries. Our registered office is located at Canon’s Court, 22 Victoria Street, Hamilton HM 12, Bermuda.
Previous wording
In the quarter ended September 30, 2025, we recorded net revenues of $1,291.3 million. $622.4 million of our total net revenues was from Data-Tech-AI and the remaining $668.9 million was from Digital Operations. Net revenues from Advanced Technology Solutions were $311.0 million and net revenues from Core Business Services were $980.3 million.
Current wording
In the quarter ended March 31, 2026, we recorded net revenues of $1,296.1 million. Net revenues from Advanced Technology Solutions were $345.2 million and net revenues from Core Business Services were $950.8 million.
Previous wording
For a description of ourcritical accounting policies and estimates, see Note 2—“Summary of significant accounting policies” under Part I, Item 1—“Unaudited Consolidated Financial Statements” above, as well as Part II, Item 7—“Management’s Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Estimates” and Note 2—“Summary of significant accounting policies” under Part IV, Item 15—“Exhibits and Financial Statement Schedules” in our Annual Report on Form 10-K for the year ended December 31, 2024. There have been no material changes to our critical accounting policies and estimates during the nine months ended September 30, 2025 from those described in our Annual Report on Form 10-K for the year ended December 31, 2024.
Current wording
For a description of ourcritical accounting policies and estimates, see Note 2—“Summary of significant accounting policies” under Part I, Item 1—“Unaudited Consolidated Financial Statements” above, as well as Part II, Item 7—“Management’s Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Estimates” and Note 2—“Summary of significant accounting policies” under Part IV, Item 15—“Exhibits and Financial Statement Schedules” in our Annual Report on Form 10-K for the year ended December 31, 2025. There have been no material changes to our critical accounting policies and estimates during the three months ended March 31, 2026 from those described in our Annual Report on Form 10-K for the year ended December 31, 2025.
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The following table sets forth certain data from our consolidated statements of income for the three and nine months ended September 30, 2024 and 2025.
Current wording
The following table sets forth certain data from our consolidated statements of income for the three months ended March 31, 2025 and 2026.
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Net revenues. Our net revenues were $1,291.3 million in the third quarter of 2025, up $80.3 million, or 6.6%, from $1,210.9 million in the third quarter of 2024.
Current wording
Net revenues. Our net revenues were $1,296.1 million in the first quarter of 2026, up $81.1 million, or 6.7%, from $1,214.9 million in the first quarter of 2025.
Previous wording
Adjusted for foreign exchange, primarily the impact of changes in the values of the euro, British pound and Japanese yenagainst the U.S. dollar, our net revenues grew 6.0% in the third quarter of 2025 compared to the third quarter of 2024 on a constant currency 1 basis. We provide information about our revenue growth on a constant currency 1 basis so that our revenue may be viewed without the impact of foreign currency exchange rate fluctuations, thereby facilitating period-to-period comparisons of our business performance.
Current wording
Adjusted for foreign exchange, primarily the impact of changes in the values of the euro, British pound and Australian Dollar against the U.S. dollar, our net revenues grew 5.6% in the first quarter of 2026 compared to the first quarter of 2025 on a constant currency 1 basis. We provide information about our revenue growth on a constant currency 1 basis so that our revenue may be viewed without the impact of foreign currency exchange rate fluctuations, thereby facilitating period-to-period comparisons of our business performance.
Previous wording
Our average headcount increased by 6.8% to approximately 146,800 in the third quarter of 2025 from approximately 137,500 in the third quarter of 2024.
Current wording
Our average headcount increased by 1.8% to approximately 145,500 in the first quarter of 2026 from approximately 142,900 in the first quarter of 2025.
Previous wording
Net revenues disaggregated between Data-Tech-AI and Digital Operations were as follows:
Current wording
Effective January 1, 2026, we revised our revenue disaggregation to better align with our current business structure, strategic priorities and internal reporting. Our revenue is now disaggregated between Advanced Technology Solutions and Core Business Services, replacing the prior disaggregation between Data-Tech-AI and Digital Operations. Accordingly, no disaggregation of revenue between Data-Tech-AI and Digital Operations has been presented for the first quarters of 2026 and 2025.
Previous wording
Net revenues from Advanced Technology Solutions in the third quarter of 2025 were $311.0 million, up $51.8 million, or 20.0%, from $259.2 million in the third quarter of 2024. This increase was largely driven by increased demand for our data and AI solutions and services in the third quarter of 2025 compared to the third quarter of 2024.
Current wording
Net revenues from Advanced Technology Solutions in the first quarter of 2026 were $345.2 million, up $67.6 million, or 24.3%, from $277.6 million in the first quarter of 2025. This increase was largely driven by increased demand for our data and AI solutions and services, agentic solutions, and advisory services in the first quarter of 2026 compared to the first quarter of 2025.
Previous wording
Net revenues from our Financial Services and Consumer and Healthcare segments increased by 3.4% and 0.9%, respectively, in the third quarter of 2025 compared to the third quarter of 2024, largely due to an increase in demand for our Advanced Technology Solutions. Net revenues from our High Tech and Manufacturing segment increased by 14.4% in the third quarter of 2025 compared to the third quarter of 2024, primarily driven by ramp-ups of services from recently signed deals and an increase in demand for our Advanced Technology Solutions and technology services.
Current wording
Net revenues from our Financial Services segment increased by 5.4% in the first quarter of 2026 compared to the first quarter of 2025, largely due to an increase in demand for our data and AI solutions and services, advisory services and ramp-ups of services from recently signed deals. Net revenues from our Consumer and Healthcare segment increased by 6.1% in the first quarter of 2026 compared to the first quarter of 2025, largely due to an increase in demand for our data and AI solutions and services, digital solutions, advisory services and technology-related services. Net revenues from our High Tech and Manufacturing segment increased by 8.0% in the first quarter of 2026 compared to the first quarter of 2025, primarily driven by an increase in demand for our agentic solutions, advisory services, technology-related services and ramp-ups of services from recently signed deals.
Previous wording
Cost of revenue. Cost of revenue was $821.6 million in the third quarter of 2025, up $42.1 million, or 5.4%, from $779.5 million in the third quarter of 2024. This increase was primarily due to an increase in our operational headcount to support revenue growth, wage inflation and an increase in costs for resold partnership technologies, partially offset by reduced spending on professional services in the third quarter of 2025 compared to the third quarter of 2024.
Current wording
Cost of revenue. Cost of revenue was $824.4 million in the first quarter of 2026, up $38.5 million, or 4.9%, from $785.9 million in the first quarter of 2025. This increase was primarily due to an increase in our operational headcount to support revenue growth, wage inflation, and an increase in costs for resold partnership technologies in the first quarter of 2026 compared to the first quarter of 2025.
Previous wording
Gross margin. Our gross margin increased from 35.6% in the third quarter of 2024 to 36.4% in the third quarter of 2025 primarily due to improved operating leverage.
Current wording
Gross margin. Our gross margin increased from 35.3% in the first quarter of 2025 to 36.4% in the first quarter of 2026, primarily due to a foreign exchange benefit in the first quarter of 2026.
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Selling, general and administrative (SG&A) expenses. SG&A expenses as a percentage of net revenues increased from 20.1% in the third quarter of 2024 to 20.3% in the third quarter of 2025. SG&A expenses were $262.1 million in the third quarter of 2025, up $18.8 million, or 7.7%, from $243.3 million in the third quarter of 2024. The increase was primarily due to an increase in our support headcount, wage inflation and increased strategic investments in partnerships, alliances, and other sales and marketing capabilities in the third quarter of 2025 compared to the third quarter of 2024.
Current wording
Selling, general and administrative ("SG&A") expenses. SG&A expenses as a percentage of net revenues increased from 19.8% in the first quarter of 2025 to 20.9% in the first quarter of 2026. SG&A expenses were $270.3 million in the first quarter of 2026, up $29.3 million, or 12.1%, from $241.1 million in the first quarter of 2025. The increase was primarily due to increased strategic investments in partnerships, alliances, and other sales and marketing capabilities, wage inflation, and higher spending on professional services in the first quarter of 2026 compared to the first quarter of 2025.
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Amortization of acquired intangible assets. Amortization of acquired intangible assets was $8.3 million in the third quarter of 2025, up $1.8 million, or 27.6%, from $6.5 million in the third quarter of 2024. This increase was primarily driven by the amortization of acquired intangible assets from our recent acquisition of XponentL, partially offset by the completion of useful lives of intangible assets acquired in prior periods. For additional information about the acquisition of XponentL, see Note 3—“Business Acquisitions” under Part I, Item 1—“Unaudited Consolidated Financial Statements” above.
Current wording
Amortization of acquired intangible assets. Amortization of acquired intangible assets was $3.1 million in the first quarter of 2026, down $1.2 million, or 28.0%, from $4.3 million in the first quarter of 2025. This decrease was primarily driven by the completion of useful lives of intangible assets acquired in prior periods, partially offset by the amortization of acquired intangible assets from our acquisition of XponentL in June 2025. For additional information about the acquisition of XponentL, see Note 3—“Business acquisitions” under Part I, Item 1—“Unaudited Consolidated Financial Statements” above.
Previous wording
Other operating (income) expense, net. Other operating expense (net of income) was $7.6 million in the third quarter of 2025, compared to Other operating income (net of expense) of $0.0 million in the third quarter of 2024. The increase in other operating expense (net of income) was primarily driven by the abandonment of certain leased premises in the third quarter of 2025.
Current wording
Other operating (income) expense, net. Other operating income (net of expense) was $0.4 million in the first quarter of 2026, consistent with $0.1 million in the first quarter of 2025.
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Income from operations. As a result of the foregoing factors, income from operations as a percentage of net revenues decreased from 15.0% in the third quarter of 2024 to 14.8% in the third quarter of 2025. Income from operations increased by $10.0 million from $181.7 million in the third quarter of 2024 to $191.6 million in the third quarter of 2025, primarily due to higher gross margin, partially offset by higher SG&A expenses and other operating expense (income), net in the third quarter of 2025 compared to the third quarter of 2024.
Current wording
Income from operations. As a result of the foregoing factors, income from operations as a percentage of net revenues increased from 15.1% in the first quarter of 2025 to 15.3% in the first quarter of 2026. Income from operations increased by $14.9 million from $183.7 million in the first quarter of 2025 to $198.6 million in the first quarter of 2026, primarily due to higher gross margin, partially offset by higher SG&A expenses in the first quarter of 2026 compared to the first quarter of 2025.
Previous wording
Foreign exchange gains, net. We recorded a net foreign exchange gain of $3.7 million in the third quarter of 2025 compared to a gain of $1.1 million in the third quarter of 2024. The gains in the third quarters of 2025 and 2024 resulted primarily from the depreciation of the Indian rupee against the U.S. dollar.
Current wording
Foreign exchange gains, net. We recorded a net foreign exchange gain of $7.3 million in the first quarter of 2026 compared to a gain of $1.3 million in the first quarter of 2025. The gain in the first quarter of 2026 resulted primarily from the depreciation of the Indian rupee against the U.S. dollar, partially offset by losses from fair value hedges. The gain in the first quarter of 2025 resulted primarily from gains on fair value hedges, partially offset by losses resulting from the appreciation of the Indian rupee against the U.S. dollar.
Previous wording
Interest income (expense), net. Our interest expense (net of interest income) was $12.8 million in the third quarter of 2025, up $0.4 million from $12.4 million in the third quarter of 2024. Our interest income decreased from $10.3 million in the third quarter of 2024 to $5.1 million in the third quarter of 2025, due to lower interest rates and lower cash balances. This was partially offset by a decrease in interest expense largely due to (i) the absence of interest expense on our senior notes issued in 2019, which were repaid in December 2024, and (ii) lower interest expense on our term loan due to a lower SOFR and reduced volume in the third quarter of 2025 compared to the third quarter of 2024. The weighted average rate of interest on our debt, including the net impact of interest rate swaps, increased from 4.6% in the third quarter of 2024 to 4.8% in the third quarter of 2025. See the section titled “Liquidity and Capital Resources—Financial Condition” for further discussion.
Current wording
Interest income (expense), net. Our interest expense (net of interest income) was $11.6 million in the first quarter of 2026, up $0.2 million from $11.4 million in the first quarter of 2025. Our interest income increased from $6.3 million in the first quarter of 2025 to $10.2 million in the first quarter of 2026, due to higher cash and cash equivalents and investments. Our interest expense increased to $21.8 million in the first quarter of 2026 from $17.7 million in the first quarter of 2025, primarily due to incremental interest expense on our senior notes issued in November 2025, partially offset by lower interest expense on our term loan due to a lower SOFR and reduced volume in the first quarter of 2026 compared to the first quarter of 2025. The weighted average rate of interest on our debt, including the net impact of interest rate swaps, was 4.7% in both the first quarters of 2025 and 2026. See the section titled “Liquidity and Capital Resources—Financial Condition” for further discussion.
Previous wording
Income tax expense. Our income tax expense was $43.5 million in the third quarter of 2025, up from $42.7 million in the third quarter of 2024, due to higher pre-tax income, representing an effective tax rate (“ETR”) of 23.0% in the third quarter of 2025, down from 24.3% in the third quarter of 2024. The decrease in our ETR in the third quarter of 2025 was primarily driven by the mix of our pre-tax income and the impact of discrete items.
Current wording
Income tax expense. Our income tax expense was $46.0 million in the first quarter of 2026, up from $44.4 million in the first quarter of 2025, due to higher pre-tax income, representing an effective tax rate (“ETR”) of 23.7% in the first quarter of 2026, down from 25.3% in the first quarter of 2025. The decrease in our ETR was primarily driven by optimization of intercompany financing as well as the mix of our pre-tax income and the impacts of other discrete items.
Previous wording
Net income. As a result of the foregoing factors, net income as a percentage of net revenues was 11.3% in the third quarter of 2025, up from 11.0% in the third quarterof 2024.
Current wording
Net income. As a result of the foregoing factors, net income was $148.0 million in the first quarter of 2026, up $17.1 million from $130.9 million in the first quarter of 2025. Net income as a percentage of net revenues was 11.4% in the first quarter of 2026, up from 10.8% in the first quarterof 2025.
Previous wording
AOI of our Financial Services and High Tech and Manufacturing segments increased by 9.8% and 24.6%, respectively, primarily driven by higher revenues and operating efficiency in the third quarter of 2025 compared to the third quarter of 2024. AOI of our Consumer and Healthcare segment decreased by 3.3%, largely driven by investments in additional resources to drive business growth in the third quarter of 2025 compared to the third quarter of 2024.
Current wording
AOI of our Financial Services and High Tech and Manufacturing segments increased by 13.8% and 15.4%, respectively, primarily driven by higher revenues and operating efficiency in the first quarter of 2026 compared to the first quarter of 2025. AOI of our Consumer and Healthcare segment decreased by 8.0%, largely driven by investments in additional delivery capabilities and resources to drive business growth in the first quarter of 2026 compared to the first quarter of 2025.
Previous wording
On February 6, 2025, our board of directors approved an 11% increase in our quarterly cash dividend from $0.1525 per common share to $0.17 per common share, representing a planned annual dividend of $0.68 per common share for 2025, up from $0.61 per common share in 2024. On March 26, 2025, June 30, 2025, and September 25, 2025, we paid a dividend of $0.17 per share, amounting to $29.8 million, $29.6 million and $29.3 million in the aggregate, to shareholders of record as of March 11, 2025, June 18, 2025, and September 11, 2025, respectively.
Current wording
On February 6, 2025, our board of directors approved an 11% increase in our quarterly cash dividend from $0.1525 per common share to $0.17 per common share, representing an annual dividend of $0.68 per common share for 2025, up from $0.61 per common share in 2024. On March 26, 2025, we paid a dividend of $0.17 per share, amounting to $29.8 million in the aggregate, to shareholders of record as of March 11, 2025.
Previous wording
On February 8, 2024, our board of directors approved an 11% increase in our quarterly cash dividend from $0.1375 per common share to $0.1525 per common share, representing an annual dividend of $0.61 per common share for 2024, up from $0.55 per common share in 2023. On March 26, 2024, June 26, 2024, and September 25, 2024, we paid a dividend of $0.1525 per share, amounting to $27.5 million, $27.3 million and $26.9 million in the aggregate, to shareholders of record as of March 11, 2024, June 10, 2024, and September 11, 2024, respectively.
Current wording
On February 5, 2026, our board of directors approved a 10% increase in our quarterly cash dividend from $0.17 per common share to $0.1875 per common share, representing a planned annual dividend of $0.75 per common share for 2026, up from $0.68 per common share in 2025. On March 31, 2026, the Company paid a dividend of $0.1875 per share, amounting to $31.8 million in the aggregate, to shareholders of record as of March 16, 2026.
Previous wording
As of September 30, 2025, the total authorization under our existing share repurchase program was $2,750.0 million, including $500.0 million approved in the first quarter of 2025, of which $464.1 million remained available as of September 30, 2025. Since our share repurchase program was initially authorized in 2015, we have repurchased 68,688,864 of our common shares at a weighted average price of $33.28 per share, for an aggregate purchase price of $2,285.9 million.
Current wording
As of March 31, 2026, the total authorization under our existing share repurchase program was $2,750.0 million, of which $294.1 million remained available as of March 31, 2026. Since our share repurchase program was initially authorized in 2015, we have repurchased 72,711,132 of our common shares at a weighted average price of $33.78 per share, for an aggregate purchase price of $2,455.9 million. This amount includes shares repurchased under our 2017 accelerated share repurchase program.
Previous wording
During the nine months ended September 30, 2024 and 2025, we repurchased 4,720,308 and 3,919,239 of our common shares, respectively, on the open market at a weighted average price of $35.50 and $46.68 per share, respectively, for an aggregate purchase price of $167.6 million and $182.9 million, respectively. All repurchased shares have been retired.
Current wording
During the three months ended March 31, 2025 and 2026, we repurchased 1,206,812 and 1,811,986 of our common shares, respectively, on the open market at a weighted average price of $52.17 and $38.61 per share, respectively, for an aggregate purchase price of $63.0 million and $70.0 million, respectively. All repurchased shares have been retired.
Previous wording
We expect that for the next twelve months and for the foreseeable future, our cash from operations, cash reserves and debt capacity will be sufficient to finance our operations, our growth and expansion plans, dividend payments and additional share repurchases we may make under our share repurchase program. In addition, we may raise additional funds through public or private debt or equity financing. Our working capital needs are primarily to finance our payroll and other administrative and information technology expenses in advance of the receipt of accounts receivable. Our primary capital requirements include opening new delivery centers, expanding existing operations to support our growth, financing acquisitions and enhancing capabilities, including building certain digital solutions.
Current wording
We expect that for the next twelve months and for the foreseeable future, our cash from operations, cash reserves and debt capacity will be sufficient to finance our operations, our growth and expansion plans, dividend payments and additional share repurchases we may make under our share repurchase program. In addition, we may raise additional funds through public or private debt or equity financing. Our working capital needs are primarily to finance our payroll and other administrative and information technology expenses in advance of the receipt of accounts receivable. Our primary capital requirements include opening new delivery centers, expanding existing operations to support our growth, financing acquisitions and enhancing capabilities, including building certain advanced technology solutions.
Previous wording
Cash flows provided by operating activities. Net cash provided by operating activities was $526.2 million in the nine months ended September 30, 2025 compared to $412.2 million in the nine months ended September 30, 2024. This increase was primarily driven by (i) a $37.6 million increase in net income in the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024, (ii) a $36.4 million increase in non-cash expense, primarily due to higher stock-based compensation expense, an unrealized (gain)/loss on the revaluation of foreign currency assets/liabilities, a higher allowance for credit losses and the write-down of operating right-of-use assets of abandoned leased premises in the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024, and (iii) a $40.0 million decrease in operating assets and liabilities primarily driven by lower investment in accounts receivable, higher customer advances, lower employee payments, partially offset by lower service tax refunds in India, higher income tax payments and higher customer-related payments in the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.
Current wording
Cash flows used for/provided by operating activities. Net cash used for operating activities was $23.5 million in the three months ended March 31, 2026 compared to cash provided by operating activities of $40.4 million in the three months ended March 31, 2025. This decrease was primarily driven by a $74.5 million increase in operating assets and liabilities, primarily driven by higher receivable balances, a reduction in customer advances and higher income tax and employee related payments. The impact of these items was partially offset by lower vendor related payments in the three months ended March 31, 2026 compared to the three months ended March 31, 2025. Additionally, there was a $6.6 million decrease in non-cash expenses, primarily due to an unrealized (gain)/loss on the revaluation of foreign currency assets/liabilities in the three months ended March 31, 2026 compared to the three months ended March 31, 2025. This combined net decrease was partially offset by a $17.1 million increase in net income in the three months ended March 31, 2026 compared to the three months ended March 31, 2025,
Previous wording
Cash flows used for investing activities. Our net cash used for investing activities was $123.6 million in the nine months ended September 30, 2025 compared to $64.7 million in the nine months ended September 30, 2024. Net cash used for investing activities increased primarily due to the payment of $80.4 million for business acquisitions, net of cash acquired, and a $1.9 million increase in payments (net of sales proceeds) for the purchase of property, plant and equipment and internally generated intangible assets in the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024. This increase in net cash used was partially offset by proceeds of $23.4 million from the maturity of term deposits in the nine months ended September 30, 2025, compared to no proceeds from investments in the nine months ended September 30, 2024.
Current wording
Cash flows used for/provided by investing activities. Our net cash used for investing activities was $31.4 million in the three months ended March 31, 2026 compared to net cash provided by investing activities of $0.8 million in the three months ended March 31, 2025. Net cash used for investing activities increased primarily due to (i) the maturity of $23.4 million in term deposits in the three months ended March 31, 2025 with no corresponding proceeds from investments in the three months ended March 31, 2026, and (ii) an $8.9 million increase in payments (net of sales proceeds) for the purchase of property, plant and equipment and internally generated intangible assets in the three months ended March 31, 2026 compared to the three months ended March 31, 2025.
Previous wording
Cash flows used for/provided by financing activities. Our net cash used for financing activities was $315.6 million in the nine months ended September 30, 2025 compared to net cash provided by financing activities of $92.6 million in the nine months ended September 30, 2024. This change was primarily due to (i) higher repayments of borrowings (net of proceeds), amounting to $19.9 million in the nine months ended September 30, 2025 compared to proceeds from borrowings (net of repayments and debt issuance and refinancing costs) of $359.4 million in the nine months ended September 30, 2024, (ii) higher payments for stock repurchased and retired (including related expenses), amounting to $183.0 million in the nine months ended September 30, 2025 compared to $167.7 million in the nine months ended September 30, 2024, (iii) higher payments for the net settlement of stock-based awards, amounting to $31.8 million in the nine months ended September 30, 2025 compared to $21.3 million in the nine months ended September 30, 2024, and (iv) higher dividend payments of $88.7 million in the nine months ended September 30, 2025 compared to $81.8 million in the nine months ended September 30, 2024.
Current wording
Cash flows used for financing activities. Our net cash used for financing activities was $204.3 million in the three months ended March 31, 2026 compared to $125.5 million in the three months ended March 31, 2025. This change was primarily due to (i) a $77.5 million earn-out consideration payment in connection with our acquisition of XponentL in the three months ended March 31, 2026 with no corresponding payments in the three months ended March 31, 2025, (ii) higher payments for stock repurchased and retired (including related expenses), amounting to $70.0 million in the three months ended March 31, 2026 compared to $63.0 million in the three months ended March 31, 2025, and (iii) lower proceeds from the issuance of common shares under stock-based compensation plans, amounting to $2.8 million in the three months ended March 31, 2026 compared to $6.9 million in the three months ended March 31, 2025. This was partially offset by lower payments for the net settlement of stock-based awards, amounting to $18.4 million in the three months ended March 31, 2026 compared to $30.7 million in the three months ended March 31, 2025.
Previous wording
As of December 31, 2024 and September 30, 2025, our outstanding term loan, net of debt amortization expense of $0.9 million and $0.7 million, respectively, was $476.1 million and $456.5 million, respectively.
Current wording
As of December 31, 2025 and March 31, 2026, our outstanding term loan, net of debt amortization expense of $0.6 million and $0.5 million, respectively, was $449.9 million and $443.4 million, respectively.
Previous wording
We also have fund-based and non-fund based credit facilities with banks, which are available for operational requirements in the form of overdrafts, letters of credit, guarantees and short-term loans. As of December 31, 2024 and September 30, 2025, the limits available under such facilities were $22.4 million and $26.8 million, respectively, of which $8.5 million and $8.3 million, respectively, was utilized, constituting non-funded drawdown. As of December 31, 2024 and September 30, 2025, a total of $1.5 million and $1.3 million, respectively, of our revolving credit facility was utilized, of which $0.0 million and $0.0 million, respectively, constituted funded drawdown and $1.5 million and $1.3 million, respectively, constituted non-funded drawdown. Our outstanding term loan and revolving credit facility expire on December 13, 2027.
Current wording
We also have fund-based and non-fund based credit facilities with banks, which are available for operational requirements in the form of overdrafts, letters of credit, guarantees and short-term loans. As of December 31, 2025 and March 31, 2026, the limits available under such facilities were $26.6 million and $31.0 million, respectively, of which $8.0 million and $7.8 million, respectively, was utilized, constituting non-funded drawdown. As of December 31, 2025 and March 31, 2026, a total of $1.3 million and $1.3 million, respectively, of our revolving credit facility was utilized, of which $0.0 million and $0.0 million, respectively, constituted funded drawdown and $1.3 million and $1.3 million, respectively, constituted non-funded drawdown. Our outstanding term loan and revolving credit facility expire on December 13, 2027.
Previous wording
We manage a portion of our interest rate risk related to floating rate indebtedness by entering into interest rate swaps under which we receive floating rate payments based on the greater of Term SOFR and the floor rate under our term loan and make payments based on a fixed rate. As of September 30, 2025, we were party to interest rate swaps covering a total notional amount of $225.0 million. Under these swap agreements, the rate that we pay to banks in exchange for Term SOFR ranges between 4.25% and 4.72%.
Current wording
We manage a portion of our interest rate risk related to floating rate indebtedness by entering into interest rate swaps under which we receive floating rate payments based on the greater of Term SOFR and the floor rate under our term loan and make payments based on a fixed rate. As of March 31, 2026, we were party to interest rate swaps covering a total notional amount of $218.8 million. Under these swap agreements, the rate that we pay to banks in exchange for Term SOFR ranges between 4.25% and 4.72%.
Previous wording
In March 2021, Genpact Luxembourg and Genpact USA co-issued $350 million aggregate principal amount of 1.750% senior notes (the "2021 Senior Notes"). The 2021 Senior Notes are fully guaranteed by the Company. The total debt issuance cost of $3.0 million incurred in connection with the 2021 Senior Notes offering is being amortized over the life of the 2021 Senior Notes as additional interest expense. As of December 31, 2024 and September 30, 2025, the amount outstanding under the 2021 Senior Notes, net of debt amortization expense of $0.8 million and$0.3 million, respectively, was $349.2 million and$349.7 million, respectively, which is payable on April 10, 2026.
Current wording
In March 2021, Genpact Luxembourg and Genpact USA co-issued $350 million aggregate principal amount of 1.750% senior notes (the "2021 Senior Notes"). The 2021 Senior Notes were fully guaranteed by the Company and Genpact UK Finco plc. The total debt issuance cost of $3.0 million incurred in connection with the 2021 Senior Notes offering was amortized over the life of the 2021 Senior Notes as additional interest expense. As of December 31, 2025 and March 31, 2026, the amount outstanding under the 2021 Senior Notes, net of debt amortization expense of $0.2 million and$0.0 million, respectively, was $349.8 million and$350.0 million, respectively. The 2021 Senior Notes were repaid on April 10, 2026.
Previous wording
In June 2024, Genpact Luxembourg and Genpact USA co-issued $400 million aggregate principal amount of 6.000% senior notes (the "2024 Senior Notes"). The 2024 Senior Notes are fully guaranteed by the Company. The total debt issuance cost of $4.4 million incurred in connection with the 2024 Senior Notes offering is being amortized over the life of the 2024 Senior Notes as additional interest expense. As of December 31, 2024 and September 30, 2025, the amount outstanding under the 2024 Senior Notes, net of debt amortization expense of $3.9 million and $3.2 million, respectively, was $396.1 million and $396.8 million, respectively, which is payable on June 4, 2029.
Current wording
In June 2024, Genpact Luxembourg and Genpact USA co-issued $400 million aggregate principal amount of 6.000% senior notes (the "2024 Senior Notes"). The 2024 Senior Notes are fully guaranteed by the Company. The total debt issuance cost of $4.4 million incurred in connection with the 2024 Senior Notes offering is being amortized over the life of the 2024 Senior Notes as additional interest expense. As of December 31, 2025 and March 31, 2026, the amount outstanding under the 2024 Senior Notes, net of debt amortization expense of $3.0 million and $2.8 million, respectively, was $397.0 million and $397.2 million, respectively, which is payable on June 4, 2029.
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Rearranged previous paragraphs (11)
Previous report — wording carried elsewhere
Adjusted for foreign exchange, primarily the impact of changes in the values of the euro, British pound, Japanese yen, Australian dollar and Indian rupee against the U.S. dollar, our net revenues grew 6.8% in the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 on a constant currency 2 basis. We provide information about our revenue growth on a constant currency 2 basis so that our revenue may be viewed without the impact of foreign currency exchange rate fluctuations, thereby facilitating period-to-period comparisons of our business performance.
Previous report — wording carried elsewhere
Net revenues disaggregated between Data-Tech-AI and Digital Operations were as follows:
Previous report — wording carried elsewhere
Net revenues disaggregated between Advanced Technology Solutions and Core Business Services were as follows:
Previous report — wording carried elsewhere
2 Revenue growth on a constant currency basis is a non-GAAP measure and is calculated by restating current-period activity using the prior fiscal period’s foreign currency exchange rates adjusted for hedging gains/losses in such period.
Previous report — wording carried elsewhere
Net revenues by reportable segment were as follows:
Previous report — wording carried elsewhere
Amortization of acquired intangible assets. Amortization of acquired intangible assets was $16.9 million in thenine months ended September 30, 2025, down $3.1 million, or 15.3%, from $20.0 million in thenine months ended September 30, 2024. This decrease was primarily due to the completion of useful lives of intangible assets acquired in prior periods, partially offset by the amortization of acquired intangible assets from our recent acquisition of XponentL. For additional information, see Note 3—“Business Acquisitions” under Part I, Item 1—“Unaudited Consolidated Financial Statements” above.
Previous report — wording carried elsewhere
AOI and AOI margin are non-GAAP measures and are not based on any comprehensive set of accounting rules or principles. They should not be considered as a substitute for, or superior to, financial measures calculated in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. We believe that presenting AOI alongside our reported results offers useful supplemental information to our investors and management regarding financial and business trends relating to our financial condition and results of operations. A limitation of using AOI versus net income calculated in accordance with GAAP is that AOI excludes certain recurring costs and certain other charges, namely stock-based compensation and amortization of acquired intangibles. We compensate for this limitation by providing specific information on the GAAP amounts excluded from AOI.
Previous report — wording carried elsewhere
We calculate AOI as net income, excluding (i) stock-based compensation expense, (ii) amortization of acquired intangible assets, (iii) foreign exchange gains, net, (iv) interest (income) expense, net, (v) acquisition-related expenses and (vi) income tax expense, as we believe that our results after considering these adjustments more accurately reflect our ongoing operations. To calculate AOI margin, we divided AOI (as calculated above) by net revenue. For additional information, see Note 18—“Segment reporting” under Part I, Item 1—“Unaudited Consolidated Financial Statements” above.
Previous report — wording carried elsewhere
The following table shows the reconciliation of AOI to net income, the most directly comparable GAAP measure, for the nine months ended September 30, 2024 and 2025:
Previous report — wording carried elsewhere
The following table sets forth our AOI by segment for the nine months ended September 30, 2024 and 2025:
Previous report — wording carried elsewhere
AOI for “Unallocated corporate expenses” in the table above primarily represents the adjustment of allowances for credit losses, write-downs of property, plant and equipment and right-of-use assets, and over-or-under-absorption of corporate overheads, which are not allocated to any individual segment for management's internal reporting purposes. See Note 18—“Segment reporting” under Part I, Item 1— “Unaudited Consolidated Financial Statements” above.