• AI competition outlook: Management dismissed concerns that enterprise deployment services from firms like OpenAI will bypass IT vendors, stating the market is vast and sub-vertical engineering expertise protects traditional players.
• Client-specific headwinds: International revenue grew 0.6% quarter-on-quarter in constant currency due to budget cuts and legal/financial issues across three top-10 clients, with a rebound expected in a couple of quarters.
• Margin and utilization: Operational enhancements and AI adoption propelled the EBITDA margin above 20%, with resource utilization reaching 91.8% alongside an optimized onsite-offshore mix.
• Strategic investment focus: Viewing rapid technological shifts as recurring industry cycles rather than existential threats, the company is focusing capital on targeted investments to capture emerging AI-driven demand.