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Shares of Firstsource Solutions Ltd. ended lower on Thursday after the company lowered its guidance for the current financial year yet again.

The company now expects full year constant currency growth to be between negative 2 percent and flat compared to the earlier guidance of 2-4 percent growth. It started off the year with a guidance of 7-10 percent growth.

Macroeconomic conditions including rising inflation and interest rate hikes across the board has meant that there has been a sharp decline in the mortgage business, which caused the cut in guidance.

Five out of the top 15 mortgage service providers in the US are clients of Firstsource. The mortgage revenue declined by around 25 percent quarter-over-quarter to $24 million in the September quarter.

Excluding Mortgage and acquisitions, the company's full-year revenue guidance is revised to 12-15 percent from 16-19 percent earlier.

Guidance for EBIT margin is also lowered to 9-9.5 percent from 10-10.5 percent earlier

The management expects further decline in the mortgage business during the December quarter before it bottoms out in the March quarter.

Shares of Firstsource Solutions ended 0.9 percent lower at Rs 103.80. The stock is down 45 percent this year.