Revenue Growth - Total operating revenues increased by $19.6 million or 16% to $144.3 million for the three months ended June 30, 2019, compared to $124.6 million in the same period of 2018[198]. - Total operating revenues increased by $54.3 million or 23% to $287.2 million for the six months ended June 30, 2019, compared to $232.9 million in the same period in 2018[215]. - International revenue accounted for 68.8% of total revenue for the three months ended June 30, 2019, up from 61.2% in the same period of 2018[196]. - International revenue accounted for 68.3% of total revenue for the six months ended June 30, 2019, up from 57.8% in 2018[215]. - EbixCash segment growth and recent acquisitions contributed to revenue increase, despite declines in U.S. consulting and e-governance service contracts[198]. Expenses - Costs of services provided increased by $7.4 million or 17% to $51.0 million in Q2 2019, primarily due to additional personnel and consulting costs from 2018 acquisitions[205]. - Costs of services provided increased by $13.7 million or 17% to $96.9 million during the six months ended June 30, 2019, primarily due to additional personnel and consulting costs[221]. - Product development expenses rose by $2.7 million or 31% to $11.4 million in Q2 2019, driven by costs associated with recent acquisitions[206]. - Product development expenses rose by $5.5 million or 32% to $22.6 million during the six months ended June 30, 2019, driven by costs associated with recent acquisitions[222]. - General and administrative expenses increased by $6.1 million or 23% to $32.9 million in Q2 2019, mainly due to costs from 2018 acquisitions[208]. - Amortization and depreciation expenses increased by $749 thousand or 30% to $3.3 million in Q2 2019, reflecting costs from 2018 acquisitions[210]. Income and Tax - Interest income increased by $44 thousand or 52% to $129 thousand in Q2 2019, attributed to higher balances in interest-bearing accounts[211]. - Interest expense increased by $11.0 million or 104% to $21.6 million during the six months ended June 30, 2019, due to a 36% increase in the average outstanding balance on commercial banking credit facilities[228]. - The company recorded a net income tax expense of $80 thousand (0.15%) for the six months ended June 30, 2019, with an effective tax rate of 7.65% excluding discrete items[230]. Acquisitions - The company completed two business acquisitions in the first half of 2019, acquiring Essel Forex for approximately $7.9 million and an 80% stake in Zillious for $10.1 million[240][241]. - Ebix acquired the assets of Pearl for $3.4 million, integrating it into Ebix Travels, which has resulted in operational synergies[244]. - Ebix acquired Lawson for $2.7 million, enhancing operational synergies and expanding its footprint in India[245]. - AHA Taxis was acquired for $310 thousand, focusing on corporate and consumer inter-city travel with a network of thousands of registered taxis[246]. - The acquisition of Centrum for approximately $179.5 million was aimed at expanding Ebix's financial services in foreign exchange and remittance markets[253]. Cash Flow and Financial Position - Net cash provided by operating activities was $38.2 million for the six months ended June 30, 2019, with a net income of $54.6 million[258]. - Net cash used for investing activities was $100.8 million for the six months ended June 30, 2019, primarily for acquisitions[260]. - Net cash provided by financing activities was $36.1 million for the six months ended June 30, 2019, including $41.6 million from the EbixCash working capital facility[263]. - Cash and cash equivalents decreased to $102.2 million at June 30, 2019, down from $147.8 million at December 31, 2018[233]. - The current ratio slightly increased to 1.36 at June 30, 2019, while working capital decreased to $97.7 million[237]. - The company's days sales outstanding (DSO) in accounts receivable was 111 days at June 30, 2019, an increase of 8 days from the previous quarter[237]. Debt and Liabilities - As of June 30, 2019, the outstanding balance on the revolving line of credit was $438.0 million, with an interest rate of 5.00%[266]. - The company had $724.9 million of outstanding debt obligations as of June 30, 2019, including a $283.7 million term loan and a $438.0 million balance on its commercial banking revolving line of credit[285]. - The total of contingent liabilities as of June 30, 2019, was $10.8 million, with $9.5 million reported in long-term liabilities[257]. - As of June 30, 2019, the total contingent liabilities related to earn-out obligations from business acquisitions was $10.8 million[278]. - During the six months ended June 30, 2019, contingent accrued earn-out business acquisition consideration liabilities were reduced by $17.1 million due to re-measurements[278]. Legal Matters - The Delaware Court awarded $19.65 million in attorneys' fees and expenses to plaintiffs' counsel, payable by the Company within 20 days following the approval of the Litigation Settlement[304]. - The Company is involved in various other claims and legal actions arising in the ordinary course of business, but management believes these will not materially affect its consolidated financial position[308]. - The Litigation Settlement resolves all claims that were asserted or could have been asserted in the Litigation, with no admission of wrongdoing or liability by the Company[307]. - The Company has committed to governance measures as part of the Litigation Settlement, effective upon final approval[305]. - The Settlement includes the adoption of an Amended Stock Appreciation Right Award Agreement (Amended SAR Agreement) and certain governance measures effective upon the final resolution of any appeals[305]. Management and Governance - The Amended SAR Agreement stipulates that Mr. Raina will continue as CEO for at least two years following the Settlement's Final Approval[302]. - The Amended SAR Agreement allows for the accrual of 1,000,000 Stock Appreciation Rights (SARs) upon an Acquisition Event occurring more than 180 days after Mr. Raina's involuntary termination, increasing by 750,000 SARs each anniversary thereafter[302]. - The Company will not make tax gross-up payments for excise taxes related to payments made in connection with a change in control of the Company under the Amended SAR Agreement[302]. Foreign Currency Exposure - The Company has operations in multiple countries, including Australia, India, and the United Kingdom, which exposes it to foreign currency exchange rate risks[284]. - The net change in the cumulative foreign currency translation account for the six months ended June 30, 2019 was an unrealized gain of $7.9 million[284]. - The Company reported unrealized gains of $7.9 million in foreign currency translation for the six months ended June 30, 2019, compared to losses of $(30.9) million for the same period in 2018[284]. - The Company is exposed to a potential reduction in pre-tax income of approximately $11.0 million due to adverse changes in foreign currency exchange rates of 20%[284]. - The company applies FASB accounting guidance on accounting for uncertainty in income tax positions, which prescribes the minimum recognition threshold for tax positions[280].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q þ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 0-15946 Ebix, Inc. (Exact name of registrant as specified in its charter) DELAWARE 77-0021975 (State or other jurisdiction of incorporation or (I.R.S. Employer Ident ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K þ ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 0-15946 Ebix, Inc. (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation) 77-0021975 (I.R.S. Employer Identificati ...