Genpact Limited

Genpact reported second-quarter revenue of $1.34 billion, up 7.1% year over year and 0.8% above analyst expectations, yet its stock has fallen 6.7% since the report to $33.75. The company also beat EPS estimates and raised its full-year guidance for Advanced Technology Solutions revenue growth to at least 25%, the highest guidance raise among the eight business process outsourcing and consulting stocks tracked. Huron Consulting Group posted the strongest results, with revenue of $475 million, up 15.4% year over year and 3.2% above expectations, and its stock rose 23.8% to $150.24. Concentrix was the weakest performer, reporting revenue of $2.46 billion, up 1.9% year over year and in line with expectations, while missing next-quarter EPS guidance and slightly missing full-year revenue guidance, leaving its stock flat at $25. TaskUs reported revenue of $308.9 million, up 5% year over year and 3.9% above expectations, with its stock up 9.1% to $6.90. FTI Consulting reported revenue of $993.5 million, up 5.3% year over year and meeting expectations, but missed EPS estimates significantly and its stock fell 10.5% to $152.60.

Business process outsourcing and consulting stocks reported mixed first-quarter results, with the group's revenues beating analyst consensus estimates by 1.5% while next-quarter revenue guidance came in 0.7% below expectations. Genpact reported revenues of $1.30 billion, up 6.7% year on year and exceeding estimates by 0.5%, though its stock fell 16.9% since the release. CBIZ posted revenues of $848.6 million, up 1.3% year on year but missing estimates by 0.6%, yet delivered the highest full-year guidance raise among peers. Concentrix recorded revenues of $2.5 billion, up 5.4% year on year and in line with expectations, but missed EPS estimates and saw its stock drop 24.4%. CRA International reported revenues of $201 million, up 10.5% year on year and beating estimates by 3.7%, the biggest beat among peers, while Huron Consulting Group posted revenues of $451.8 million, up 11.8% year on year and exceeding estimates by 0.7%. On average, share prices of the eight tracked companies are down 13.8% since their latest earnings results.

Governments around the world look to be facing lofty borrowing costs for at least the rest of the year, even as the fragile Middle East truce lowers energy prices and curbs inflationary fears. US Treasuries, German bunds and UK gilts have risen since Donald Trump announced a deal with Iran on Sunday, but strategists and investors say the economic fallout from the war will continue to reverberate around markets for months to come. Even as the Federal Reserve is forecast to keep interest rates on hold at its meeting Wednesday, market pricing points to hikes in 2027, with pressure on longer-maturity debt as US government spending shows no sign of abating. Yields on benchmark 10-year Treasuries have risen almost half a percentage point since the US and Israel attacked Iran in late February, and traders have reduced their net long positions to the lowest since May 18, according to a survey of JPMorgan Chase & Co.'s Treasury clients. Most of the increase in yields was driven by real yields, indicating that bond investors' concerns go beyond price pressures from the Iran war and reflect a stronger growth outlook and expectations of a rising neutral rate.