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Firstsource Solutions Ltd
In the bustling realm of global business process management, Firstsource Solutions Ltd. has carved a distinct niche for itself. Originating in India, but with its sights set on worldwide impact, the company is a dynamic force in providing outsourced business services. With its headquarters in Mumbai, the firm emerged as a significant player by providing bespoke solutions across various sectors including healthcare, telecommunications, banking, and financial services. At its core, Firstsource capitalizes on the power of technology and human expertise to deliver services such as customer management, data processing, collections, and transaction processing. These services enable its clients to streamline their operations and enhance customer experiences, allowing the clients to focus more acutely on their core business activities.
The financial mechanics of Firstsource Solutions pivot around delivering value-added services that significantly reduce operating costs for its clients while improving efficiency. By managing essential processes, Firstsource generates revenue through long-term contracts which often include transaction-based or fixed-fee arrangements. Their robust and diverse client base, stretching across the United States, United Kingdom, and India, contributes to a steady flow of income, enabling reinvestment into innovative technologies and process improvements. As industries accelerate their digital transformations, Firstsource stays ahead of the curve by integrating advanced analytics, automation, and AI into their service portfolio, continuously adapting to the ever-evolving digital landscape and ensuring sustainable growth.
In the bustling realm of global business process management, Firstsource Solutions Ltd. has carved a distinct niche for itself. Originating in India, but with its sights set on worldwide impact, the company is a dynamic force in providing outsourced business services. With its headquarters in Mumbai, the firm emerged as a significant player by providing bespoke solutions across various sectors including healthcare, telecommunications, banking, and financial services. At its core, Firstsource capitalizes on the power of technology and human expertise to deliver services such as customer management, data processing, collections, and transaction processing. These services enable its clients to streamline their operations and enhance customer experiences, allowing the clients to focus more acutely on their core business activities.
The financial mechanics of Firstsource Solutions pivot around delivering value-added services that significantly reduce operating costs for its clients while improving efficiency. By managing essential processes, Firstsource generates revenue through long-term contracts which often include transaction-based or fixed-fee arrangements. Their robust and diverse client base, stretching across the United States, United Kingdom, and India, contributes to a steady flow of income, enabling reinvestment into innovative technologies and process improvements. As industries accelerate their digital transformations, Firstsource stays ahead of the curve by integrating advanced analytics, automation, and AI into their service portfolio, continuously adapting to the ever-evolving digital landscape and ensuring sustainable growth.
Revenue Growth: Revenue grew by 20.1% year-on-year to INR 23.1 billion (USD 265 million), marking the sixth consecutive quarter of double-digit year-on-year growth.
Margin Expansion: EBIT margin for the quarter was 11.5%, up 20 bps sequentially and 70 bps year-on-year, achieving a fourth straight quarter of margin improvement.
Profitability: Net profit reached INR 1.8 billion, up 30% year-on-year, with diluted EPS at INR 2.54.
Deal Momentum: Signed 4 large deals in Q2 and added 10 new logos, with the deal pipeline surpassing $1 billion for the first time.
Guidance Maintained: Management reaffirmed constant currency revenue growth guidance of 13–15% and EBIT margin guidance of 11.25%–12% for FY '26.
AI & Tech Investments: Announced strategic investments in Applied AI and Lyzr.ai to advance the company’s UnBPO strategy and drive tech-led transformation.
Geographic & Client Diversification: North America showed strong growth, while Europe remains soft; the share of top 5 and top 10 clients continues to decline as Firstsource broadens its client base.
Headcount & Attrition: Headcount increased by 1,500 to 35,997, with trailing 12-month attrition declining to 28%.