WNS (WNS) Q1 2026 earnings summary

Executive summary

• Revenue for the quarter ended June 30, 2025, was $353.8 million, up 9.5% year-over-year and 5.2% sequentially, driven by new client wins, expanded relationships, and the Kipi.ai acquisition, partially offset by the loss of a large healthcare client and lower online travel volumes.

• Net income was $21.8 million, down from $28.9 million in the prior year quarter and $50.8 million sequentially, reflecting higher costs, increased tax expense, acquisition costs, transaction expenses, and share-based compensation.

• The company entered into a definitive agreement to be acquired by Capgemini S.E. in an all-cash transaction valued at approximately $3.3 billion, expected to close by year-end 2025.

• Six new clients were added and 28 existing relationships expanded; global headcount increased 9.2% year-over-year to 66,085.

• The company completed its authorized share buyback, repurchasing 1.3 million shares for $75.4 million.

Financial highlights

• Revenue less repair payments was $339.9 million, up 8.8% year-over-year and 5.2% sequentially; constant currency revenue less repair payments rose 7.1% year-over-year.

• Gross profit was $116.6 million, representing 32.9% of revenue, down from 35.2% in the prior year quarter.

• Operating profit was $33.1 million (9.4% of revenue), compared to $38.6 million (11.9%) a year ago and $50.3 million sequentially.

• Adjusted net income (ANI) was $46.0 million, up from $44.0 million year-over-year but down from $66.2 million last quarter; adjusted EPS was $1.02, up from $0.93 year-over-year.

• Cash flow from operations increased to $29.5 million from $21.4 million year-over-year.

Outlook and guidance

• The Capgemini acquisition is expected to close by the end of 2025, subject to shareholder and regulatory approvals; no update to fiscal year 2026 guidance was provided.

• Management expects to maintain sufficient liquidity and meet all debt and operational obligations through cash flow, cash on hand, and existing credit facilities.