EXL Reports 2025 Fourth Quarter and Year-End Results; Issues 2026 Guidance
StockNews.AI · 3 hours
High Materiality10/10
Information
2025 Fourth Quarter Revenue of $542.6 Million, up 12.7% year-over-yearQ4 Diluted EPS (GAAP) of $0.38, up 21.8% from $0.31 in Q4 of 2024Q4 Adjusted Diluted EPS (Non-GAAP) (1) of $0.50, up 15.0% from $0.44 in Q4 of 2024
Original sourceAI Summary
ExlService Holdings (EXLS) posted strong Q4 2025 results with a revenue increase of 12.7% year-over-year and a 15.0% rise in adjusted EPS. The introduction of a $500 million stock buyback program underscores the company's confidence and commitment to ongoing growth as it targets revenue between $2.275 billion and $2.315 billion for 2026.
Sentiment Rationale
Strong financial results and guidance typically lead to positive price action; similar past reports have resulted in upward price momentum for EXLS.
Trading Thesis
EXLS is positioned for growth; consider a buy ahead of 2026 earnings.
Market-Moving
- The stock buyback program may lead to enhanced shareholder value.
- Analyst expectations are positive based on the robust guidance for 2026.
- New client acquisitions could drive revenue and EPS improvements.
- Strong free cash flow positions EXL well for further strategic investments.
Key Facts
- EXL reported Q4 2025 revenue of $542.6 million, up 12.7% YoY.
- Q4 2025 adjusted EPS rose 15.0% YoY to $0.50.
- Company expects 2026 revenue of $2.275-$2.315 billion.
- New $500 million stock buyback program signals confidence in growth.
- EXL added 21 new clients in Q4 2025, showing solid momentum.
Companies Mentioned
- Data and AI Company: EXL's focus on AI continues to attract clients.
- Insurance Council of Australia: Collaboration could lead to significant new business opportunities.
Corporate Developments
The news falls under 'Corporate Developments' due to its focus on operational growth, strategic investments, and a significant stock buyback program, which are central to investor considerations regarding EXL's future performance.