SEC Filings

20-F
WNS (HOLDINGS) LTD filed this Form 20-F on 05/16/2018
Entire Document
 


Table of Contents

The increase in revenue less repair payments (non-GAAP) of $47.4 million was primarily attributable to (i) revenue less repair payments (non-GAAP) from new clients of $35.0 million, including revenue from clients of acquired businesses during fiscal 2017, (ii) an increase in revenue less repair payments (non-GAAP) from existing clients of $12.0 million, and (iii) an increase in hedging gain on our revenue less repair payments (non-GAAP) by $0.4 million to $6.8 million in fiscal 2017 from $6.4 million in fiscal 2016. The increase in revenue was primarily due to higher volumes in our diversified businesses, travel, healthcare, shipping and logistics, and insurance verticals. The increase in revenue was partially offset by the impact of a lower volume of business from one of our top five clients by revenue contribution in fiscal 2016, and lower volumes in our banking and financial services, and consulting and professional services verticals. The increase was also partially offset by a depreciation of the pound sterling and South African rand against the US dollar by an average of 13.4% and 2.3%, respectively, as compared to the respective average exchange rates in fiscal 2016.

Revenue Less Repair Payments (non-GAAP) by Geography

The following table sets forth the composition of our revenue less repair payments (non-GAAP) based on the location of our clients in our key geographies for the periods indicated:

 

     Revenue less repair payments
(non-GAAP)
     As a percentage of
revenue less repair
payments  (non-GAAP)
 
     Year ended March 31,  
     2017      2016      2017     2016  
     (US dollars in millions)               

UK

   $ 224.5      $ 233.7        38.8     44.0

North America (primarily the US)

     196.2        155.3        33.9     29.3

Australia

     49.1        40.3        8.5     7.6

South Africa

     42.7        30.1        7.4     5.7

Europe (excluding the UK)

     37.5        34.7        6.5     6.5

Rest of world

     28.5        36.8        4.9     6.9
  

 

 

    

 

 

    

 

 

   

 

 

 

Total

   $ 578.4      $ 531.0        100     100
  

 

 

    

 

 

    

 

 

   

 

 

 

The increase in revenue less repair payments (non-GAAP) in North America (primarily the US) was primarily driven by higher volumes in our travel, diversified businesses, healthcare, consulting and professional services, shipping and logistics, banking and financial services, utilities verticals and revenues from clients of businesses acquired in fiscal 2017. The increase in revenue less repair payments (non-GAAP) from the South Africa region was primarily attributable to higher volumes in our diversified businesses and utilities verticals, partially offset by lower volumes in our banking and financial services and travel vertical. The increase in revenue less repair payments (non-GAAP) from the Australia region was primarily attributable to higher volumes in our insurance, travel, and shipping and logistics verticals, partially offset by a lower volume in our utilities vertical. The increase in revenue less repair payments (non-GAAP) from the Europe (excluding the UK) region was primarily attributable to higher volumes in our healthcare and travel verticals, partially offset by a lower volume in our insurance vertical. The decrease in revenue less repair payments (non-GAAP) from the UK region was primarily attributable to lower volumes in our insurance, consulting and professional services, travel, and utilities verticals, partially offset by higher volumes in our healthcare, diversified businesses, and banking and financial services verticals. The decrease in revenue less repair payments (non-GAAP) from the Rest of world region was primarily attributable to lower volumes in our banking and financial services, travel, and diversified businesses verticals, partially offset by a higher volume in our insurance vertical.

Cost of Revenue

The following table sets forth the composition of our cost of revenue for the periods indicated:

 

     Year ended March 31,        
     2017     2016     Change  
     (US dollars in millions)  

Employee costs

   $ 249.7     $ 217.1     $ 32.6  

Facilities costs

     72.6       64.8       7.7  

Repair payments

     24.1       31.2       (7.1

Depreciation

     16.4       14.9       1.5  

Travel costs

     10.6       10.3       0.2  

Legal and professional costs

     6.5       7.0       (0.5

Other costs

     23.4       20.0       3.4  

Total cost of revenue

   $ 403.3     $ 365.4     $ 38.0  

As a percentage of revenue

     66.9     65.0  

 

118