Company: G
Filing Date: 2025-08-11
Form Type: 10-Q
Source: 0001398659-25-000098
Chunk: 59

Company: Genpact LTD
Filing Date: 2025-08-11
Form: 10-Q
Item: Part I, Item 1
Chunk 59
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 June 30,Six months ended June 30,2024202520242025Opening balance$54,519 $61,196 $51,354 $60,924 Additions (net of redemption)800 941 801 2,345 Change in fair value of deferred compensation plan liabilities (Note a)992 5,595 4,156 4,463 Closing balance$56,311 $67,732 $56,311 $67,732 (a)Changes in the fair value of deferred compensation plan liabilities are reported in “selling, general and administrative expenses” in the consolidated statements of income.

22

GENPACT LIMITED AND ITS SUBSIDIARIESNotes to the Consolidated Financial Statements(Unaudited)(In thousands, except per share data and share count)

6. Derivative financial instruments

The Company is exposed to the risk of rate fluctuations on its foreign currency assets and liabilities and on foreign currency denominated forecasted cash flows and interest rates. The Company has established risk management policies, including the use of derivative financial instruments to hedge foreign currency assets and liabilities, foreign currency denominated forecasted cash flows and interest rate risk. These derivative financial instruments consist of deliverable and non-deliverable forward foreign exchange contracts, treasury rate locks and interest rate swaps. The Company enters into these contracts with counterparties that are banks or other financial institutions, and the Company considers the risk of non-performance by such counterparties not to be material. The forward foreign exchange contracts and interest rate swaps mature during a period of up to 54 months and the forecasted transactions are expected to occur during the same period.The following table presents the aggregate notional principal amounts of outstanding derivative financial instruments together with the related balance sheet exposure: Notional principal amounts (Note a)Balance sheet exposure asset (liability) (Note b)As of December 31, 2024As of June 30, 2025As of December 31, 2024As of June 30, 2025Foreign exchange forward contracts denominated in:United States Dollars (sell) Indian Rupees (buy)$2,413,000 $2,372,551 $(36,478)$14,726 United States Dollars (sell) Mexican Peso (buy)71,000 42,000 (8,188)(242)United States Dollars (sell) Philippines Peso (buy)161,400 167,400 (3,274)1