Margin PressureThe key negative in the quarter was the lower EBITDA margin due to pricing pressure, labor inflation, and rising complexity.
Profitability ConcernsAdjusted EBITDA declined by 27.7% year-over-year to $94 million, mainly due to wage inflation and increased complexity of work, with operating margins expected to remain under pressure.
Strategic Offer UncertaintyThere is no expectation of another strategic offer for TIXT, and private equity has shown limited interest in IT services companies.