Endava Plc reported a strong turnaround in its third quarter of fiscal year 2025, with revenue reaching £194.8 million, up 11.7% from £174.4 million in Q3 FY24. Gross profit increased to £53.6 million, representing 27.5% of revenue, compared to £37.2 million or 21.3% of revenue in the prior year quarter. Operating profit improved to £16.5 million from a previous loss. For the full fiscal year 2025, Endava expects revenue between £771.5 million and £773.5 million, reflecting a constant currency increase of 6.0% to 6.5% year-over-year, with adjusted diluted EPS guidance of £1.11 to £1.13. Despite growth in its pipeline of large opportunities, the company noted that global macroeconomic turbulence has slowed the conversion of these opportunities into signed deals and revenue. The number of large deals in the pipeline increased from 21 to 24, with 5 deals closed and one deal put on a long pause. Endava also announced an additional $50 million share buyback authorization, bringing the total buyback to $50 million, which management views as the optimal capital allocation in the current environment. The company’s Q4 guidance includes limited pipeline contribution, with approximately 1% of the top-end revenue guidance attributable to pipeline deals and none at the bottom end. Endava operates with low debt and an EBIT margin currently at 11%, down from an average of 20.4% during 2020-2023.