WNS (Holdings) Limited (NYSE:WNS) Q3 2020 Earnings Conference Call - Final Transcript
Jan 16, 2020 • 08:00 am ET
Thank you. [Operator Instructions] And we'll take our first question from Moshe Katri from Wedbush Securities Your line is open.
Hey, thanks, and congrats on very, very strong results. So we've seen pretty impressive divergence here in growth between your top 20 clients versus the rest of the business. Maybe you can talk a bit about that. Where are we seeing that growth coming in from the non-top 20 and obviously that bodes well for growth down the road. And then on top of that, we've also seen very strong performance in Continental Europe this quarter, strong performance in Travel and Leisure. Any color there will be helpful. Thanks a lot.
Sure. So let me take that Moshe. I think, as an organization, we're pretty happy with the breadth and the depth of the improvement that we've seen. When you look at our customer concentration levels, despite putting up really healthy growth not only in the quarter, but on a year-to-date basis, we have not seen a significant change in the client concentration as you mentioned.
As a matter of fact, our Top three -- our Top 10 clients year-to-date are 43% of revenue compared to 45% of revenue a year ago. So what we're actually starting to see is the maturation of some of the relationships that we've been able to put in place over the last couple of years and this is obviously what we hope to continue to see in the future.
And then -- and Keshav in his prepared remarks talked about the farming opportunity here at WNS and having 128 clients generating now north of $1 million. This just gives us a bigger pool to fish in and not all of our relationships, obviously, are going to be $20 million plus types of relationships, but we're excited about the opportunities with the logos and types of clients and the objectives of those clients that we've been able to add.
Specific to your question about the Travel vertical, we were pretty happy, again, I think with the Q3 performance. Sequentially travel was flat, and typically, this is a down quarter for us in the Travel vertical. That was really a combination of a couple of things. One of it being the short-term volume spikes that we discussed that were $3.7 million in the quarter. Some of that was associated with the Travel vertical. But we also had a few new logos that were added and some good expansion and growth within our existing clients. So really healthy quarter overall for the Travel vertical.
And then, just as a follow-up, given the pipeline strength and the visibility, do you think this is the time for maybe an inflection point in terms of your long-term growth objectives down the road?
Yes, sure. Let me take that.
Sorry, go ahead David.
No, I was just going to say, and you can certainly add in here Keshav. I think when we look at the long-term objectives, obviously we look at these