•
Jun 30, 2024

WNS Q1 2025 Earnings Report

Revenue and profit decreased year-over-year, but profit increased sequentially due to an intangible asset impairment recorded in the previous quarter.

Key Takeaways

WNS reported a slight decrease in revenue and a decrease in profit compared to the same quarter last year. However, profit increased compared to the previous quarter. The company is facing headwinds from declining client volumes and reduced project work, but sees robust demand for digital transformation and cost reduction initiatives.

Revenue decreased by 1.0% year-over-year to $323.1 million.

Profit decreased to $28.9 million, compared to $32.0 million in Q1 of last year.

Diluted earnings per share was $0.61, compared to $0.64 in Q1 of last year.

Adjusted diluted earnings per share was $0.93, compared to $1.02 in Q1 of last year.

Total Revenue
$312M
Previous year: $318M
-1.6%
EPS
$0.93
Previous year: $1.01
-7.9%
Days Sales Outstanding
36
Previous year: 34
+5.9%
Gross Profit
$107M
Previous year: $113M
-5.1%
Cash and Equivalents
$83.9M
Previous year: $91.5M
-8.3%
Free Cash Flow
$10.7M
Previous year: -$4.93M
-317.0%
Total Assets
$1.5B

WNS

WNS

Forward Guidance

WNS is updating guidance for the fiscal year ending March 31, 2025. Revenue less repair payments is expected to be between $1,290 million and $1,354 million. ANI is expected to range between $203 million and $215 million. Adjusted diluted earnings per share is expected to be in the range of $4.42 to $4.68.

Positive Outlook

  • Revenue less repair payments* is expected to be between $1,290 million and $1,354 million, up from $1,284.3 million in fiscal 2024.
  • Guidance assumes an average GBP to USD exchange rate of 1.28 for the remainder of fiscal 2025.
  • ANI* is expected to range between $203 million and $215 million versus $218.0 million in fiscal 2024.
  • Guidance assumes an average USD to INR exchange rate of 83.4 for the remainder of fiscal 2025.
  • Adjusted diluted earnings per share* to be in the range of $4.42 to $4.68 versus $4.42 in fiscal 2024.