ExlService Q1 Revenue Up 13.8% to $570.4M, Raises 2026 Guidance
ExlService reported Q1 revenue of $570.4M, up 13.8% year-over-year, with GAAP diluted EPS of $0.43 (+5.7%) and adjusted EPS of $0.58 (+20.2%). The company raised its 2026 guidance to $2.30–$2.33B in revenue (10%–12% growth) and $2.18–$2.23 in adjusted EPS (12%–14%).
1. Financial Results
For the quarter ended March 31, 2026, ExlService delivered revenue of $570.4 million, marking a 13.8% increase from $501.0 million in Q1 2025 and a 5.1% sequential gain. GAAP diluted earnings per share reached $0.43, up 5.7% year-over-year, while adjusted diluted EPS rose 20.2% to $0.58; operating income margin expanded to 16.1% and adjusted operating margin to 20.5%.
2. Raised 2026 Guidance
Reflecting strong first-quarter momentum, ExlService increased its full-year 2026 revenue forecast to $2.30–$2.33 billion (10%–12% growth) from $2.275–$2.315 billion, and lifted its adjusted EPS outlook to $2.18–$2.23 (12%–14% growth) from $2.14–$2.19. Management cited robust demand for its data and AI offerings and prudent positioning amid evolving macro conditions.
3. Segment and Business Highlights
Insurance revenue climbed to $194.0 million, healthcare and life sciences to $151.9 million, banking, capital markets and diversified industries to $127.4 million, and international growth markets to $97.1 million. ExlService won 16 new clients in Q1 and earned industry accolades including NVIDIA Advanced Technology Partner of the Year, AWS AI/ML Market Disruptor, Genesys New Partner, and Google Cloud strategic services partner recognitions.