Balaji Sekar: Yes, so while €“ I’ll maybe just quickly talk about gross margins while we do not guide on gross margins, but we are expected to be roughly flat compared to 2022. So €“ and the reason why we’re seeing is that we are continuing to see the benefit from mix shift, but it is being somewhat offset because of the impact of wage inflation. And then the second factor is what I spoke about earlier is the depreciation in the U.S. dollar when compared to especially the second half of 2022 for the Filipino peso. So while majority of our revenues is built in U.S. dollars, we do have exposure from a cost perspective when this happens. And then the last is the shift that we saw for the largest client shifting from onshore to offshore getting into Q1.
So, that that is what is happening from a gross margin perspective. And you would kind of see some kind of a pretty good alignment between gross margins and EBITDA. One additional factor is that we will be optimizing our G&A expenditure which I spoke about earlier, by capturing about $20 million of optimization in our G&A cost. So that will be additional benefit that we may not see at a gross margin level, but we’ll start seeing more at an adjusted EBITDA level, is what we would see. Bryce, anything else to add there?
Bryce Maddock: Yes, I would just add that, while our expectations this year is for essentially flat gross margins as we look at 2024 and more of a full year impact of those offshore shifts, also combined with the automation projects and large transformational deals that we’re undertaking, we see a path to expanding gross margins over time.
Dan Perlin: Great. Thank you.
Operator: Thank you. Our next question is from Puneet Jain with J.P. Morgan. Please proceed with your question.
Puneet Jain: Yes. Hey, thanks for taking my question. Bryce I was glad to hear you talk about growth strategy. Can those strategies get you growing into double digits beyond this year? And if you can double click on benefits you can expect from the large tech and enterprise clients this year and beyond, that would be great.
Bryce Maddock: Yes, thanks so much for the question Puneet. So on our last call; I said that we expected to return to double digit revenue growth in the back half of this year. As we start 2023, we see double digit revenue growth returning in Q4 in the top half of the guidance range that we’re providing today. And as I said on the call, there are three growth initiatives that we’re focused on to get us there. First, we need to continue to expand our relationships with those big tech and enterprise clients that we won in 2022. And as these clients ramp up their cost savings initiatives, there are meaningful opportunities ahead for us. There are also meaningful opportunities ahead across their subsidiary companies, which we’re actively engaged with.
Second, we need to take advantage of the significant opportunities that we’re perfectly positioned for, just like those in the generative AI space that I just discussed. And finally, we’re going to accelerate our go-to-market efforts in both Europe and Asia. So the combination of these three growth initiatives will bring us back to double digit revenue growth and I believe put us on a trajectory to grow in double digits in 2024 and beyond.
Puneet Jain: Got it. And you also talked about the U.S. mix to revenue could decline to 15% in the back half of this year. How much of downside is left to that mix or how low that mix can go given there is some work that cannot move offshore, and how should we think about gross margin benefit if we can quantify the gross margin benefit of makeshift?
