Genpact (G) has wrapped up FY 2025 with fourth quarter revenue of about US$1.3 billion and basic EPS of US$0.83, alongside trailing twelve month revenue of roughly US$5.1 billion and EPS of US$3.18, with earnings over the past year reported as growing 7.6%. Over recent periods the company has seen quarterly revenue move from US$1,248.7 million and EPS of US$0.81 in Q4 FY 2024 to US$1,319.3 million and EPS of US$0.83 in Q4 FY 2025. Trailing twelve month net income sits at US$552.5 million and net margins are described as stable at around 10.9%. With those headline results in hand, the focus now shifts to how sustainably Genpact is converting that revenue base into earnings and whether the current margin profile supports the rewards investors are looking for.

See our full analysis for Genpact.

With the headline numbers on the table, the next step is to set them against the widely followed narratives around Genpact, highlighting where the latest results back up the story investors already know and where they start to challenge it.

10.9% net margin and steady quarterly profit

• Genpact reported trailing twelve month net income of US$552.5 million on US$5.1b of revenue, which lines up with a 10.9% net profit margin that is described as slightly higher than last year’s 10.8%.
• Bears highlight the risk that heavier AI investment and partner dependence could squeeze margins, yet the data currently shows net margin holding around 10.9%, which sits alongside 7.6% earnings growth and suggests those bearish margin worries have not yet shown up in the reported numbers.
  • The bearish narrative flags rising AI wage costs and product engineering spend, but trailing twelve month earnings still total US$552.5 million with margins fractionally above last year, so profitability so far looks resilient to those costs.
  • Critics also point to outcome based and consumption contracts as a source of earnings risk, yet trailing net profit has remained around 11% of revenue, which means any contract volatility has not materially hit overall profitability in the latest period.

🐻 Genpact Bear Case

Revenue growth versus slower legacy services

• Over the last year, revenue is characterized as growing at about 7% annually while earnings grew 7.6%, compared with a five year average earnings growth rate of 13.9% per year.
• Consensus narrative stresses that Advanced Technology Solutions, which reached US$1.204b of annual revenue and grew 17% in 2025, is expanding faster than the rest of the company. The gap between 7.6% recent earnings growth and 13.9% five year growth highlights how slower core business services can cap overall growth even as the higher margin AI and data work scales.
  • Analysts expect revenue to grow around 7.6% a year and earnings to reach US$730.9 million by around 2029, so the current 7.6% trailing earnings growth rate effectively already sits in the range of those expectations.
  • The same consensus view points to margin expansion from 10.9% to 11.5% over three years, which would rely on Advanced Technology Solutions continuing to outgrow the slower legacy outsourcing revenue that is implied in the more modest 7% revenue growth figure.

P/E of 10.6x versus DCF fair value

• Genpact trades on a trailing P/E of 10.6x at a share price of US$34.48, compared with a DCF fair value of US$113.27 and an analyst consensus price target of US$47.73, while the US Professional Services industry average P/E is 18.9x and the peer average is 20.2x.
• Bulls argue the stock looks attractively priced against those benchmarks, and the current 10.6x P/E combined with 7.6% trailing earnings growth and 9.21% forecast earnings growth per year heavily supports that bullish view that the market is applying a discount relative to both the DCF fair value and the US$47.73 consensus target.
  • The gap between the US$34.48 share price and the US$113.27 DCF fair value estimate is very large, so any move toward that figure would require a meaningful re rating from the current 10.6x P/E closer to the 18.9x industry average.
  • Analysts expecting 9.21% yearly earnings growth and net margins edging up from 10.9% to around 11.5% are effectively arguing that current pricing does not fully reflect those growth and margin assumptions when compared with the higher peer P/E of 20.2x.

🐂 Genpact Bull Case

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Genpact on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

With sentiment fairly clear on both the bullish and bearish sides, it helps to move quickly, review the numbers yourself, and pressure test every assumption. If you want a shortcut to the core positives already identified, take a closer look at the 5 key rewards

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Genpact’s slower legacy services, margin sensitivity to AI related costs, and dependence on a single company limit how quickly its earnings story can improve.

If you want stocks where pricing and fundamentals already look more aligned, use the 51 high quality undervalued stocks to quickly spot companies that the market may be discounting too heavily.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.