Latest news with #ACV
Business Wire
3 days ago
- Business
- Business Wire
Asia Pacific's Demand for IT and Business Services Slows in Q2, ISG Index™ Shows
SYDNEY--(BUSINESS WIRE)--Asia Pacific's spending on IT and business services slowed in the second quarter as enterprises remained cautious in the face of uncertain macro conditions, according to the latest state-of-the-industry report from Information Services Group (ISG) (Nasdaq: III), a global AI-centered technology research and advisory firm. Macroeconomic and geopolitical uncertainty is taking a toll on the Asia Pacific market at the moment. The only bright spot right now is AI, which has companies investing in cloud services for the massive computing power needed to run AI at scale. The Asia Pacific ISG Index™, which measures commercial outsourcing contracts with annual contract value (ACV) of US $5 million or more, shows second-quarter ACV for the combined market (both cloud-based XaaS and managed services) was down slightly (0.3 percent) versus the prior year, to US $4.7 billion. Sequentially, the market fell 12 percent compared with the first quarter. It was the first time the Asia Pacific market pulled back since the second quarter last year. Fueled by interest in AI, demand for cloud-based services remained robust, up 16 percent year on year, to US $3.9 billion, even as demand slowed 15 percent from the first quarter. Managed services, meanwhile, slumped 40 percent, to US $823 million, but rose 6 percent against the first quarter. Within the XaaS segment, infrastructure-as-a-service (IaaS) ACV advanced 17 percent, at US $3.4 billion, while software-as-a-service (SaaS) ACV grew 13 percent, to US $500 million. In managed services, IT outsourcing (ITO) ACV fell 46 percent, to US $539 billion, with even the largest and fastest-growing service area, application development and management (ADM), down more than 30 percent. Business process outsourcing (BPO) also had a weak quarter, down 34 percent, to US $133 million, with only customer engagement and facilities management services showing growth. Engineering, research and development (ER&D) services didn't fare much better, down 15 percent, to US $152 million. During the quarter, 69 managed services contracts were awarded, down 18 percent year on year. Among industries, the region's largest industry for sourcing—banking, financial services and insurance (BFSI)—was up 1.4 percent. Travel, transportation and leisure and retail both generated double-digit growth off smaller bases. All other sectors were down by double digits. Geographically, South Korea was the only market that grew, albeit off a small base. Australia-New Zealand was down 33 percent, India was down 16 percent and Japan was down 35 percent. 'Macroeconomic and geopolitical uncertainty is really taking a toll on the Asia Pacific market at the moment. The only bright spot right now is AI, which has companies investing in cloud services to take advantage of the massive computing power needed to run AI at scale,' said Michael Gale, partner and regional leader, ISG Asia Pacific. 'Given the quarter-over-quarter improvement we saw in managed services, we hope to see a turnaround in the overall market during the second half.' First-Half Results Asia Pacific's combined market ACV in the first half rose 4.3 percent versus the prior year, to US $10.1 billion. All the growth can be attributed to the XaaS segment, which rose 17 percent, to US $8.5 billion. Within XaaS, IaaS was up 17 percent, to US $7.4 billion, while SaaS rose 16 percent, to US $1.0 billion. Managed services, meanwhile, declined 34 percent, to US $1.6 billion. All its component pieces were down double digits, including ITO, down 31 percent, to US $1.1 billion; BPO, down 33 percent, to US $288 million, and ER&D down 51 percent, to US $175 million. The 126 managed services contracts awarded in the first half were down 16 percent from the prior year. Among industries, the largest sector for outsourcing, BFSI, was down 16 percent, while the second largest, manufacturing, was off 19 percent. Among geographic markets, only India managed growth in the first half, up 2.4 percent. 2025 Global Forecast For the full year, ISG is maintaining its forecast of 1.3 percent revenue growth for managed services, reflecting a stabilizing tariff environment but also continued weakness in discretionary spending. At the same time, ISG is raising its previous growth forecast for cloud-based XaaS by 300 basis points, to 21 percent, based on continuing strong demand for AI-driven transformation. About the ISG Index™ The ISG Index™ is recognized as the authoritative source for marketplace intelligence on the global technology and business services industry. For 91 consecutive quarters, it has detailed the latest industry data and trends for financial analysts, enterprise buyers, software and service providers, law firms, universities and the media. The 2Q25 Global ISG Index results were presented during a webcast on July 10. To view a replay of the webcast and download presentation slides, visit this webpage. About ISG ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world's top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data, in-depth knowledge of provider ecosystems, and the expertise of its 1,600 professionals worldwide working together to help clients maximize the value of their technology investments.
Business Wire
3 days ago
- Business
- Business Wire
Americas Shows Strong Demand for IT and Business Services in Q2: ISG Index™
STAMFORD, Conn.--(BUSINESS WIRE)--Demand for IT and business services in the Americas region hit a new high in the second quarter, as companies continued to emphasize AI adoption and cost optimization, according to the latest state-of-the-industry report from Information Services Group (ISG) (Nasdaq: III), a global AI-centered technology research and advisory firm. The market acceleration in the Americas continues. Enterprises appear to be shrugging off macro uncertainty as they continue to invest in cloud services to power their AI ambitions and turn to managed services to optimize their costs. The Americas ISG Index™, which measures commercial outsourcing contracts with annual contract value (ACV) of $5 million or more, shows second-quarter ACV for the combined market—including both cloud-based as-a-service (XaaS) and managed services—reached a record $15.5 billion, up 26 percent, the region's highest growth rate in three years. Sequentially, the Americas was up 6 percent from the first quarter. Demand for both managed services and cloud services was strong. Managed services ACV rose 20 percent versus the prior year, to $5.9 billion, its best quarterly growth rate since the third quarter of 2023. The latest quarter marked the third straight quarter of managed services growth, a streak last seen in 2022. On the XaaS side, ACV reached $9.6 billion, up 29 percent year over year, as companies continue to invest in cloud services to advance their AI agendas. A total of 392 managed services contracts were awarded in the second quarter, up 10 percent from the prior year. That total included five mega-deals (with ACV of at least $100 million), up from four last year and three in the first quarter. Significantly, the ACV of the five mega deals in Q2 was up 81 percent from the prior year, as companies ink larger deals in pursuit of lower costs. In addition, new-scope contract volume and ACV were both up more than 30 percent from a year ago, even as the volume and value of smaller deals, those under $10 million, were both down, reflecting a delay in discretionary projects. By industry, several sectors grew by more than 50 percent, among them energy, with managed services ACV up 78 percent; manufacturing, up 69 percent, and travel, transportation and hospitality, up 68 percent. The region's largest sector by ACV—banking, financial services and insurance (BFSI)—grew 20 percent, while the next largest industry, healthcare, rose 33 percent. 'The market acceleration in the Americas continues,' said Todd Lavieri, ISG vice chairman and president of ISG Americas and Asia Pacific. 'Enterprises appear to be shrugging off macro uncertainty as they continue to invest in cloud services to power their AI ambitions and turn to managed services to optimize their costs and reinvest the savings in new initiatives.' Results by Segment Within managed services, IT outsourcing (ITO) rose 32 percent, to $4.6 billion of ACV, led by growth in application development and maintenance (ADM) services. ACV for business process outsourcing (BPO), meanwhile, declined by 20 percent, to $920 million, with weakness across most service areas. Engineering, research and development (ER&D) jumped 35 percent, to $326 million. On the cloud side, infrastructure-as-a-service (IaaS) ACV climbed 39 percent, to $7.2 billion, while software-as-a-service (SaaS) grew 7 percent, to $2.5 billion. First-Half Results The Americas' combined market rose 22.5 percent year to date, to $30.1 billion. Managed services ACV was up 11 percent, to $11.3 billion, on 783 contracts—including eight mega-deals, compared with six such deals last year. Within managed services, ITO was up 24 percent, to $8.8 billion, while BPO fell 29 percent, to $1.8 billion. Among industries, BFSI was up nearly 20 percent in the first half, contributing $550 million to the region's total upside. ER&D, meanwhile, advanced 22 percent, to $758 million. XaaS spending in the first half was up 31 percent, to $18.7 billion, with IaaS up 42 percent, to $13.8 billion, and SaaS up 7.5 percent, to $5.0 billion. 2025 Global Forecast For the full year, ISG is maintaining its forecast of 1.3 percent revenue growth for managed services, reflecting a stabilizing tariff environment but also continued weakness in discretionary spending. At the same time, ISG is raising its previous growth forecast for cloud-based XaaS by 300 basis points, to 21 percent, based on continuing strong demand for AI-driven transformation. About the ISG Index™ The ISG Index™ is recognized as the authoritative source for marketplace intelligence on the global technology and business services industry. For 91 consecutive quarters, it has detailed the latest industry data and trends for financial analysts, enterprise buyers, software and service providers, law firms, universities and the media. The 2Q25 Global ISG Index results were presented during a webcast on July 10. To view a replay of the webcast and download presentation slides, visit this webpage. About ISG ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world's top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data, in-depth knowledge of provider ecosystems, and the expertise of its 1,600 professionals worldwide working together to help clients maximize the value of their technology investments.
NDTV
4 days ago
- Health
- NDTV
How To Lose Belly Fat In Just 2 Weeks: This Fat-Burning Shot Might Actually Work
Looking for a natural way to fight bloating and stubborn belly fat? We found a drink (actually, a shot) that promises to burn fat quickly and also get rid of other health problems. Nutritionist Richa Gangani shared on Instagram her viral morning fat-burning shot - a 5-ingredient concoction that claims to fire up your metabolism, reduce inflammation, and help you shed inches from your waistline. "I had this every morning for 21 days, and trust me, my bloating was gone and I lost weight," Richa shared in her post, encouraging anyone struggling with bloating and sluggish digestion to give it a try. 5-Ingredient Morning Fat-Burning Shot For Belly Fat: Here's what goes into this simple yet powerful mix: 1 tsp Extra Virgin Olive Oil (EVOO) 1/2 tsp grated fresh ginger 1 tbsp Apple Cider Vinegar (ACV) Juice of 1/2 lime A pinch of cinnamon + cayenne pepper Mix everything well and consume it on an empty stomach every morning. That's it. No fancy equipment, no supplements-just a shot glass of clean, natural ingredients. View this post on Instagram A post shared by Richa Gangani - Weightloss👉Thyroid👉PCOS Expert (@dieticianricha2095) Why These Ingredients Work For Weight Loss: 1. Benefits Of Extra Virgin Olive Oil (EVOO) Often overlooked in weight loss journeys, EVOO is rich in healthy monounsaturated fats and antioxidants. It helps reduce inflammation, improves digestion, and keeps you full for longer-making you less likely to snack unnecessarily. 2. Benefits Of Ginger: Ginger is a well-known digestive aid. It boosts metabolism, reduces bloating, and helps in fat breakdown. It also soothes the digestive tract and reduces water retention, which can often make you feel puffier than you are. 3. Benefits Of Apple Cider Vinegar (ACV): ACV has been a long-time favourite in the wellness world. It's known to help regulate blood sugar levels, curb appetite, and improve gut health. Its acetic acid content plays a key role in breaking down body fat. 4. Benefits Of Lime Juice: Packed with vitamin C and antioxidants, lime juice supports liver function and promotes detoxification. It also helps in the absorption of nutrients, especially iron, which is crucial for energy metabolism. 5. Benefits Of Cinnamon and Cayenne Pepper: This spice combo is a metabolism booster. While cinnamon helps regulate insulin and blood sugar levels, cayenne pepper contains capsaicin, which increases body heat and calorie burn- a process called thermogenesis. Does It Really Work? While no single shot can magically melt away belly fat, combining these ingredients with a balanced diet and regular movement can certainly support your wellness goals. The shot is anti-inflammatory, gut-friendly, and energising-factors that contribute to weight loss over time. The best part? It's natural, quick to prepare, and easily fits into any morning routine. So if bloating and stubborn belly fat have been bothering you, this 5-ingredient fat-burning shot might just be worth the 21-day experiment. As Richa puts it, "Do give this a try-you might be surprised by what your body can do with a little morning push." Disclaimer: Always consult your doctor or a registered dietitian before starting any new dietary routine, especially if you have underlying health conditions.
Yahoo
11-07-2025
- Business
- Yahoo
ZoomInfo's Q1 Earnings Call: Our Top 5 Analyst Questions
ZoomInfo's first quarter results reflected ongoing transition toward upmarket customers and a continued emphasis on AI-powered products and workflow integration. Management attributed the quarter's performance to growth in enterprise accounts and renewed traction for its Copilot product, while also noting improvements in net revenue retention, especially among larger clients. CEO Henry Schuck explained, 'We now have 1,868 customers with more than $100,000 in ACV, a sequential increase after a period of declines.' Management remained cautious about the broader economic environment but saw no material changes in customer behavior during the quarter. Is now the time to buy ZI? Find out in our full research report (it's free). Revenue: $305.7 million vs analyst estimates of $295.5 million (1.4% year-on-year decline, 3.5% beat) Adjusted EPS: $0.23 vs analyst estimates of $0.22 (in line) Adjusted Operating Income: $100.9 million vs analyst estimates of $97.77 million (33% margin, 3.2% beat) The company slightly lifted its revenue guidance for the full year to $1.2 billion at the midpoint from $1.20 billion Management raised its full-year Adjusted EPS guidance to $0.97 at the midpoint, a 1% increase Operating Margin: 16.5%, up from 13.9% in the same quarter last year Customers: 1,868 customers paying more than $100,000 annually Annual Recurring Revenue: $1.21 billion at quarter end, down 1.6% year on year Billings: $312.2 million at quarter end, in line with the same quarter last year Market Capitalization: $3.41 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Alex Zukin (Wolfe Research) asked about the timing and strategic rationale for ZoomInfo's ticker and category change. CEO Henry Schuck explained the move reflects expanded product capabilities and broader customer engagement beyond sales prospecting. Mark Murphy (JPMorgan) inquired about Copilot's adoption trajectory and potential rollout challenges. Schuck emphasized strong upmarket demand and minimal friction related to data security and governance in customer deployments. Elizabeth Porter (Morgan Stanley) questioned why improved revenue didn't lead to higher profit margin guidance. CFO Graham O'Brien noted the decision was due to caution regarding the economic environment, not operational headwinds. Kash Rangan (Goldman Sachs) pressed on the profitability trade-offs of moving upmarket. Schuck clarified that upmarket business is more profitable and that digital self-service is being emphasized in the small business segment to optimize resource allocation. Brent Bracelin (Piper Sandler) asked about the planned duration and size of the down-market contraction. O'Brien stated that management anticipates further contraction until the upmarket mix reaches approximately 80%, at which point stabilization is expected. In the coming quarters, the StockStory team will focus on (1) customer adoption and revenue contribution from new AI-powered platforms like Copilot and Go-To-Market Studio, (2) further improvement in enterprise retention rates, especially in the software segment, and (3) the pace and profitability of the company's transition away from down-market customers. We will also monitor execution on digital self-service and the impact of resource reallocation on margins. ZoomInfo currently trades at $10.28, in line with $10.34 just before the earnings. Is there an opportunity in the stock?See for yourself in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
10-07-2025
- Business
- Business Wire
AI-Driven Cloud Demand Fuels Q2 Growth in Global IT and Business Services Market: ISG Index™
STAMFORD, Conn.--(BUSINESS WIRE)--Booming demand for cloud services continues to fuel growth in the global IT and business services market as enterprises look to the cloud to realize their growing AI ambitions, according to the latest state-of-the industry report from Information Services Group (ISG) (Nasdaq: III), a global AI-centered technology research and advisory firm. The demand for AI is proving to be stronger than the impact of macroeconomic and geopolitical uncertainty on the global IT and business services market. Data from the global ISG Index™, which measures commercial outsourcing contracts with annual contract value (ACV) of $5 million or more, show second-quarter ACV for the combined global market (both managed services and cloud-based as-a-service) was up 17 percent versus the prior year, to a record $29.2 billion. That was up slightly from the previous record established in the first quarter of 2025 and represents the seventh consecutive quarter of sequential growth for the combined global market. 'The demand for AI is proving to be stronger than the impact of macroeconomic and geopolitical uncertainty on the global market,' said Steve Hall, president and chief AI officer of ISG. 'We continue to see strong, year-over-year growth in cloud services as enterprises seek the computing power and scalability of the cloud for their AI initiatives. We're also seeing steady demand for managed services. Sequential growth for both segments, however, flattened out in the second quarter, owing to lingering caution in the market. Still, the market remains resilient, avoiding the bearish results for managed services we anticipated last quarter, as tariff uncertainty moderated.' Second-Quarter Results by Segment The as-a-service (XaaS) segment climbed 28 percent versus the prior year, to a record $18.7 billion, its fourth straight quarter of double-digit, year-on-year growth. Sequentially, XaaS was up 1 percent versus the first quarter. Within the XaaS segment, infrastructure-as-a-service (IaaS) ACV rose 34 percent, to a record $14.5 billion, and was up 3 percent sequentially from the first quarter, as the Big Three hyperscalers (AWS, Microsoft Azure and Google Cloud) continue to ramp up their infrastructure investments to meet the anticipated acceleration of AI demand. Software-as-a-service (SaaS), meanwhile, rose 9 percent versus the prior year, to $4.1 billion, with growth driven by new AI features, but was down 4 percent from the first quarter, reflecting continuing enterprise caution. The managed services segment generated second-quarter ACV of $10.6 billion, up 2.3 percent versus the prior year, and flat quarter over quarter. Demand was led by the transportation sector, up 81 percent from the prior year, with the energy, healthcare, retail and manufacturing sectors also producing double-digit growth. The banking, financial services and insurance (BFSI) sector, meanwhile, rose 8 percent, as it began recovering from 2024 lows. A total of 701 managed services contracts were awarded during the second quarter, down 5 percent from the prior year and down 3 percent sequentially. The number of new-scope awards was up 10 percent, but there was a pullback in smaller awards (those in the $5 million to $10 million range), reflecting pressure on discretionary spending. Among the larger contracts, eight were mega-deals (contracts with ACV of $100 million or more), down from 10 in the prior year, but up from the six contracts signed in the first quarter. The combined ACV of the eight mega deals was up 13 percent year over year. Within managed services, IT outsourcing (ITO) produced ACV of $7.8 billion, flat with the prior year and down 6 percent from the first quarter. Application development and maintenance (ADM) services and ADM combined with infrastructure services were among the bright spots, advancing 5 percent and 27 percent, respectively, from the prior year. Business process outsourcing (BPO) ACV, at $1.7 billion, was down 9 percent from the prior year, but up 13 percent from the first quarter. Sequential growth was led by spending on facilities management, HR , finance and accounting, and industry-specific services. Second-quarter ACV for engineering, research and development (ER&D) services, meanwhile, soared 72 percent year over year, to $1.1 billion, and was up 31 percent from the first quarter. First-Half Results In the first half, combined market ACV of $58.3 billion rose 18 percent over the prior year. Managed services, at $21.2 billion, was up 2.8 percent, while XaaS, at $37.1 billion, was up 29 percent year over year. A total of 1,427 managed services contracts were awarded in the first half, down 3 percent from the prior year. Among them were 14 mega-deals, even with the prior-year period, but up 15 percent in total ACV, as companies continue to focus on cost optimization. Within managed services, ITO rose 8 percent, to $16.1 billion, while BPO slumped 25 percent, to $3.2 billion, versus the prior year. The ER&D segment, meanwhile, advanced 31 percent, to $1.9 billion, on strong demand from the telecommunications, transportation and manufacturing industries. On the cloud side, IaaS soared 34 percent, to $28.6 billion, and SaaS rose 12 percent, to $8.5 billion, compared with the first half of 2024. Top growth industries for managed services overall in the first half included energy, up 24 percent; manufacturing, up 9 percent; BFSI, up 5 percent, and healthcare, up 4 percent. 2025 Global Forecast For the full year, ISG is maintaining its forecast of 1.3 percent revenue growth for managed services, reflecting a stabilizing tariff environment but also continued weakness in discretionary spending. At the same time, ISG is raising its previous growth forecast for cloud-based XaaS by 300 basis points, to 21 percent, reflecting continuing strong demand for AI-driven transformation. Hall commented: 'In terms of our macro outlook, it has improved over the last 90 days, yet business uncertainty remains high. That said, AI has emerged as the dominant theme, overcoming many of these concerns to drive the overall market forward.' About the ISG Index™ The ISG Index™ is recognized as the authoritative source for marketplace intelligence on the global technology and business services industry. For 91 consecutive quarters, it has detailed the latest industry data and trends for financial analysts, enterprise buyers, software and service providers, law firms, universities and the media. The 2Q25 Global ISG Index results were presented during a webcast today. To view a replay of the webcast and download presentation slides, visit this webpage. About ISG ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world's top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data, in-depth knowledge of provider ecosystems, and the expertise of its 1,600 professionals worldwide working together to help clients maximize the value of their technology investments.
