Zensar Technologies Reassures Investors: H-1B Visa Restrictions Expected to Have Minimal Impact

1 min read     Updated on 22 Sept 2025, 09:18 PM
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Ashish ThakurScanX News Team
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Overview

Zensar Technologies announced that the recent U.S. Executive Order on H-1B visa restrictions is not expected to significantly impact its financials or operations. The company cites its lower dependency on H-1B visas as the main reason. Zensar has been implementing strategies such as local hiring, nearshoring, and investing in AI and next-gen technologies to reduce reliance on H-1B visas. The company will continue to monitor the situation and provide updates as necessary.

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*this image is generated using AI for illustrative purposes only.

Zensar Technologies , a leading IT services and technology solutions provider, has announced that the recent U.S. Executive Order on H-1B visa restrictions is not expected to significantly impact its financials or operations. The company's statement comes in response to the Executive Order dated September 19, 2025, and the subsequent memorandum issued on September 20, 2025.

Limited Exposure to H-1B Visas

In a filing to the stock exchanges, Zensar Technologies emphasized its lower dependency on H-1B visas, which has positioned the company to weather the potential challenges posed by the new restrictions. The company stated, "We do not foresee any significant impact on our financials or operations, given our lower dependency on H-1B visa."

Proactive Strategies in Place

Zensar highlighted its ongoing strategies that have been instrumental in reducing its reliance on H-1B visas:

  1. Local Hiring: The company has been focusing on hiring local talent in its operational markets.
  2. Nearshoring: Zensar has been leveraging nearshore resources to support its global operations.
  3. Technological Advancements: The company continues to invest in Artificial Intelligence and next-generation technologies to enhance its delivery model and client value.

Monitoring and Transparency

While the company remains confident about its position, Zensar assured stakeholders that it will continue to monitor the developments closely. The management committed to providing updates as appropriate, maintaining transparency with investors and the market.

Future-Focused Approach

Anand Daga, Company Secretary of Zensar Technologies, stated in the filing, "We continue to leverage our expertise in Artificial Intelligence and next-gen technologies to strengthen our delivery model, enhance client value, and build a sustainable foundation for the future."

This forward-looking approach underscores Zensar's commitment to adapting to changing market conditions and regulatory landscapes while continuing to deliver value to its clients and shareholders.

Zensar Technologies' proactive measures and strategic focus on local hiring, nearshoring, and technological advancement appear to have positioned the company well to navigate the potential challenges posed by the new H-1B visa restrictions. As the situation evolves, the company's adaptability and reduced reliance on H-1B visas may prove to be significant advantages in the competitive IT services landscape.

Historical Stock Returns for Zensar Technologies

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Zensar Technologies Reports 3.3% Sequential Growth in Q1, AI Drives 30% of Pipeline

1 min read     Updated on 28 Jul 2025, 06:59 PM
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Shriram ShekharScanX News Team
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Overview

Zensar Technologies reported Q1 revenues of $162.00 million, a 3.3% sequential growth in reported currency. AI is central to their strategy, driving 30% of active pipeline and 20% of order bookings. The company saw growth in most sectors, added an order book of $172.00 million, and increased $20 million-plus accounts from 4 to 6 year-over-year. Despite some investments impacting EBITDA, Zensar remains committed to mid-teens margin range and announced salary hikes for all employees.

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*this image is generated using AI for illustrative purposes only.

Zensar Technologies , a global technology services company, has reported a strong performance for the first quarter, with artificial intelligence (AI) playing a pivotal role in its growth strategy.

Financial Highlights

The company reported revenues of $162.00 million for Q1, marking a sequential growth of 3.3% in reported currency and 1.9% in constant currency. Gross profit stood at 30.5%, showing a sequential growth of 20 basis points quarter-on-quarter. However, EBITDA was 15.2%, down 40 basis points quarter-on-quarter due to investments in sales and marketing.

Sector-wise Performance

On a constant currency basis, Zensar witnessed growth across multiple sectors:

Sector Growth
Telecommunication, Media & Technology 5.5%
Banking, Financial Services and Insurance 2.9%
Healthcare 5.2%
Manufacturing & Consumer Services -4.1%

AI-Driven Strategy

Artificial intelligence has become central to Zensar's strategy, driving 30% of its active pipeline. The company reported that 20% of its order bookings consisted of AI-influenced wins. Notably, over half of Zensar's talent has been upskilled in AI and GenAI technologies.

Manish Tandon, CEO and Managing Director of Zensar Technologies, stated, "This quarter, we proved what's possible when trusted relationships meet strong execution. Artificial intelligence has become central to our strategy, reshaping how we deliver value."

Order Book and Client Metrics

The company added an order book of $172.00 million, representing an 11.7% year-over-year growth. The number of $20 million-plus accounts increased from 4 to 6 compared to the same quarter last year, indicating broader client growth.

Employee Initiatives

Zensar announced salary hikes for all employees effective July 1st, unlike some industry peers. The company's attrition rate improved to 9.8% from 9.9% in the previous quarter.

Outlook

While the company anticipates some macro-driven variability in client budgets, management expressed confidence in their diversified portfolio and AI-focused offerings. Zensar remains committed to fostering sustainable relationships with clients by leveraging robust farming strategies, enhanced with AI-driven value propositions and cost takeout deals.

Pulkit Bhandari, Chief Financial Officer, commented on the financial outlook, stating, "We remain committed to making sure that we are in the mid-teens margin range, despite upcoming investments and potential ESOP impacts."

As Zensar Technologies continues to navigate the evolving tech landscape, its focus on AI-driven solutions and strategic client relationships positions the company for potential growth in the coming quarters.

Historical Stock Returns for Zensar Technologies

1 Day5 Days1 Month6 Months1 Year5 Years
+0.74%-4.86%-2.36%+11.11%+13.26%+299.66%
Zensar Technologies
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