Strong Revenue Growth Driven by Gen AI
Revenues before reimbursements were $76.2 million, at the high end of quarterly guidance, driven by strong performance in the DSBT segment, particularly due to Gen AI engagements which resulted in a 6% increase in the GSBT segment.
Gen AI Platform Differentiation
The Gen AI engagements favorably impacted gross margin, which increased to 43.4% due to higher margin Gen AI consulting and implementation revenue. The AI Explorer and ZBrain platforms are highlighted as key differentiators in the market.
Increasing Demand for SAP Solutions
Despite a decrease in the SAP Solutions segment by 8%, there is increasing demand for the market-leading life sciences group, which bodes well for future revenue growth.
Expansion of Gen AI Capabilities
The company expanded its Gen AI practices with a 60-70% increase in implementation capacity and strategic partnerships, including a joint venture with ZBrain.