• Revenue growth outlook: Hexaware narrowed its CY2025 growth target to a 6% to 7% range (midpoint of 6.5%), requiring a 2.7% CQGR in the second half following deal ramp-up delays of two to three months.
• Sector growth divergence: Manufacturing and high-net-worth verticals are growing in the high teens alongside double-digit growth in banking, while travel and transport is down 18% year-on-year and will act as a drag this year.
• AI deal integration: Net pricing deflation from AI has materialized slightly beyond initial estimates, though virtually 100% of new deals and incremental business proposals are now influenced by and infused with AI.
• Client budget allocation: Clients remain cautious about committing to large-scale transformation programs, with decision-making increasingly driven by balancing expenditures between token usage and human labor.