Sector: Information Technology | Focus: IT Consulting & Other Services
HQ: Teaneck, New Jersey
Financial Risks
The company faces risks from global economic and geopolitical conditions, client contract terminations, talent acquisition and retention challenges, competition, technological advancements, security breaches, pandemics, climate change, ESG expectations, regulatory changes, tax law fluctuations, litigation (including ongoing disputes with the Indian tax department and a class-action lawsuit), and potential limitations of insurance coverage. Acquisitions, while potentially beneficial, present near-term operating margin dilution. Uncertainty surrounding the India Defined Contribution Obligation also poses a risk.
Financial Upside
The company anticipates revenue growth, driven by acquisitions (Thirdera and Belcan), and positive impacts from foreign currency exchange rate movements. The NextGen program is expected to generate cost savings, which will fund investments in people and growth opportunities. Improved operating margins are projected, partially due to the depreciation of the Indian Rupee. The company expects to continue to benefit from higher interest rates.
