Exlservice Q3 revenue rises 20%, raises FY revenue and adjusted EPS outlook 

Overview

• US data and AI firm's Q3 revenue rose 20% yr/yr, beating analyst expectations

• Adjusted EPS for Q3 rose 29% yr/yr, beating analyst expectations

• Company raised full-year 2026 revenue and adjusted EPS guidance

• ExlService closed the acquisition of iMerit in Q3, establishing a Model Training Solutions practice

Outlook

• ExlService raises 2026 revenue outlook to $2.430 bln-$2.440 bln from $2.390 bln-$2.415 bln

• Company lifts 2026 adjusted diluted EPS forecast to $2.34-$2.36 from $2.25-$2.29

Result Drivers

• DATA AND AI GROWTH - Data and AI-led revenue, which accounts for almost two-thirds of the business, grew 36% on a reported basis and 31% organically

• SEGMENT EXPANSION - Co said every segment of its business grew more than 15% organically

• NEW CLIENT WINS - Won 14 new clients in the quarter

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 10 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the business support services peer group is "buy."

• Wall Street's median 12-month price target for ExlService Holdings, Inc. is $45.00, about 7.7% above its October 26 closing price of $41.77

• The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 11 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)