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WNS WNS Announces Fiscal 2021 Third Quarter Earnings , Revises Full Year Guidance January 21 , 2021 NEW YORK & MUMBAI , India -- ( BUSINESS WIRE ) -- Jan . 21 , 2021-- WNS ( Holdings ) Limited ( WNS ) ( NYSE : WNS ) , a leading provider of global Business Process Management ( BPM ) services , today announced results for the fiscal 2021 third quarter ended December 31 , 2020 . Highlights - Fiscal 2021 Third Quarter : GAAP Financials • Revenue of $ 238.4 million , down 0.3 % from $ 239.2 million in Q3 of last year and up 7.1 % from $ 222.6 million last quarter • Profit of $ 31.0 million , compared to $ 30.9 million in Q3 of last year and $ 29.2 million last quarter • Diluted earnings per ADS of $ 0.60 , compared to $ 0.60 in Q3 of last year and $ 0.56 last quarter Non - GAAP Financial Measures * • Revenue less repair payments of $ 224.5 million , down 1.6 % from $ 228.2 million in Q3 of last year and up 4.7 % from $ 214.4 million last quarter • Adjusted Net Income ( ANI ) of $ 41.0 million , compared to $ 40.9 million in Q3 of last year and $ 37.9 million last quarter · Adjusted diluted earnings per ADS of $ 0.79 , compared to $ 0.80 in Q3 of last year and $ 0.73 last quarter Other Metrics • Added 9 new clients in the quarter , expanded 14 existing relationships • Days sales outstanding ( DSO ) at 34 days • Global headcount of 42,830 as of December 31 , 2020 Reconciliations of the non - GAAP financial measures discussed below to our GAAP operating results are included at the end of this release . See also " About Non - GAAP Financial Measures . " Revenue in the third quarter was $ 238.4 million , representing a 0.3 % decrease versus Q3 of last year and a 7.1 % increase from the previous quarter . Revenue less repair payments * in the third quarter was $ 224.5 million , a decrease of 1.6 % year - over - year and an increase of 4.7 % sequentially . Excluding exchange rate impacts , constant currency revenue less repair payments * in the fiscal third quarter was down 2.6 % versus Q3 of last year and up 3.5 % sequentially . Year - over - year , fiscal Q3 revenue was adversely impacted by the COVID - 19 pandemic including lower volume requirements from certain clients and service delivery constraints resulting from the transition to a " work from home " delivery model . These headwinds more than offset the year - over - year revenue growth driven by new client additions , the expansion of existing relationships , and currency movements net of hedging . Sequentially , revenue improvement was driven by broad - based revenue growth across verticals , services and geographies , and currency movements net of hedging . Profit in the fiscal third quarter was $ 31.0 million , as compared to $ 30.9 million in Q3 of last year and $ 29.2 million in the previous quarter . Year - over - year , profit improvement was the result of reductions in travel , facility - related and discretionary expenditures , favorable currency movements net of hedging , and lower amortization of intangible expense . These benefits more than offset headwinds from the COVID - 19 pandemic including revenue reductions and increased business continuity costs . In addition , the company recorded a higher effective tax rate versus last year , driven by the geographic mix of profit . Sequentially , Q3 profit increased as a result of revenue improvement , currency movements net of hedging , and a lower effective tax rate . These benefits more than offset headwinds from the $ 4.0 million one - time reversal of our corporate leave provision in Q2 and increased share - based compensation expense in Q3 . * See " About Non - GAAP Financial Measures " and the reconciliations of the historical non - GAAP financial measures to our GAAP operating results at the end of this release . Adjusted net income ( ANI ) * in Q3 was $ 41.0 million , up $ 0.1 million as compared to Q3 of last year and up $ 3.2 million from the previous quarter . Explanations for the ANI * movements on a year - over - year and sequential basis are the same as described for GAAP profit above with the exception of amortization of intangible expenses , share - based compensation costs and associated tax impacts , which are excluded from ANI * . From a balance sheet perspective , WNS ended Q3 with $ 390.0 million in cash and investments and $ 25.1 million of debt . In the third quarter , the company generated $ 56.3 million in cash from operations and incurred $ 8.0 million in capital expenditures . In Q3 , WNS repurchased 405,284 ADSS at an average price of $ 67.67 per ADS , which impacted Q3 cash by $ 27.4 million dollars . Third quarter days sales outstanding were 34 days , as compared to 30 days reported in Q3 of last year and 34 days in the previous quarter . The year - over - year increase in DSO is the result of payment delays and payment term concessions relating to COVID - 19 . " Our fiscal third quarter results continue to demonstrate the strategic importance of our BPM solutions and resilience of the WNS business model . In Q3 , we were able to sequentially grow top line , deliver healthy margins , and generate strong cash flow in the midst of a global pandemic , " said Keshav