Company: G
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001398659-25-000059
Chunk: 6

Company: Genpact LTD
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 2
Chunk 6
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%, from $607.4 million in the first quarter of 2024, primarily due to ramp-ups of services from recently signed deals. 

Revenues by reportable segment were as follows:

 Three months ended March 31,Percentage Change Increase/(Decrease)202420252025 vs. 2024(dollars in millions)Financial Services$306.5 $327.2 6.8 %Consumer and Healthcare403.4 420.5 4.2 %High Tech and Manufacturing421.4 467.2 10.9 %Net revenues1,131.2 1,214.9 7.4 %

1 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.

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Net revenues from our Financial Services segment increased by 6.8% in the first quarter of 2025 compared to the first quarter of 2024, largely due to an increase in technology services as well as ramp-ups of services from recently signed deals. Net revenues from our Consumer and Healthcare segment increased by 4.2% in the first quarter of 2025 compared to the first quarter of 2024, largely driven by an increase in finance and accounting services. Net revenues from our High Tech and Manufacturing segment increased by 10.9% in the first quarter of 2025 compared to the first quarter of 2024, largely driven by ramp-ups of services from recently signed deals and an increase in trust and safety and supply chain services. 

Cost of revenue. Cost of revenue was $785.9 million in the first quarter of 2025, up $51.2 million, or 7.0%, from $734.8 million in the first quarter of 2024. The increase in cost of revenue in the first quarter of 2025 compared to the first quarter of 2024 was primarily due to (i) an increase in our operational headcount to support revenue growth, (ii) wage inflation, (iii) increased spending on professional services, and (iv) higher stock-based compensation expense in the first quarter of 2025 compared to the first quarter of 2024.

Gross margin. Our gross margin increased from 35.0% in the first quarter of 2024 to 35.3% in the first quarter of 2025