Financial Performance - Q4 2024 revenue reached $481.4 million, a 16.3% increase year-over-year from $414.1 million in Q4 2023[1][4] - Q4 2024 diluted EPS (GAAP) was $0.31, up 28.4% from $0.24 in Q4 2023; adjusted diluted EPS (Non-GAAP) was $0.44, up 26.1% from $0.35 in Q4 2023[1][4] - Full year 2024 revenue totaled $1.84 billion, a 12.7% increase from $1.63 billion in 2023[1][6] - Revenues for the year ended December 31, 2024, increased to $1,838.37 million, up 12.7% from $1,630.67 million in 2023[21] - Gross profit for the year ended December 31, 2024, was $691.01 million, representing a gross margin of 37.6%, compared to $607.77 million and a margin of 37.2% in 2023[21] - Net income for the year ended December 31, 2024, was $198.30 million, an increase of 7.4% from $184.56 million in 2023[21] - Basic earnings per share for the year ended December 31, 2024, rose to $1.22, compared to $1.11 in 2023, reflecting a 9.9% increase[21] - Adjusted diluted earnings per share for the year ended December 31, 2024, increased to $1.65 from $1.43 in 2023, a rise of 15.4%[34] - Adjusted operating income for the year ended December 31, 2024, reached $356,082,000, up from $314,690,000 in 2023, reflecting a 13.2% increase[31] - Adjusted EBITDA for the year ended December 31, 2024, was $397,671,000, compared to $349,124,000 in 2023, indicating a growth of 13.9%[31] Future Projections - For 2025, the company expects revenue between $2.025 billion and $2.060 billion, representing a 10% to 12% increase year-over-year[2][17] - Adjusted diluted EPS for 2025 is projected to be between $1.83 and $1.89, reflecting an 11% to 14% increase from 2024[2][17] - Adjusted diluted earnings per share guidance for the upcoming year is expected to reflect continued growth, although specific figures were not disclosed[25] Client Acquisition and Market Strategy - EXL won 17 new clients in Q4 2024, totaling 69 new clients for the year, with significant wins in digital operations and analytics[2][13] - The company is changing its operating model to focus on Industry Market Units and Strategic Growth Units to enhance client relationships and expand market reach[9][10] - The company plans to focus on market expansion and new product development as part of its growth strategy moving forward[25] Operational Metrics - The operating income margin for Q4 2024 was 14.8%, compared to 13.1% in Q4 2023[4][6] - Adjusted operating income margin as a percentage of revenue for the year ended December 31, 2024, was 19.4%, slightly up from 19.3% in 2023[31] - Adjusted operating income for the three months ended December 31, 2024, was $90,745,000, compared to $73,517,000 for the same period in 2023, reflecting a growth of 23.4%[31] - Adjusted EBITDA margin for the three months ended December 31, 2024, was 21.6%, compared to 21.4% in the previous year[31] Financial Position - Total current assets increased to $795.19 million as of December 31, 2024, up from $679.67 million in 2023, a growth of 17.1%[23] - Total liabilities increased to $688.54 million as of December 31, 2024, compared to $552.54 million in 2023, marking a rise of 24.6%[23] - Cash and cash equivalents rose to $153.36 million as of December 31, 2024, from $136.95 million in 2023, an increase of 12.0%[23] Recognition and Awards - EXL was recognized as a Leader in the ISG Provider Lens™ Generative AI Services 2024 report, highlighting its data integration capabilities and domain expertise[2][13] Other Financial Details - The company incurred restructuring and litigation settlement costs of $6,174,000 for the year ended December 31, 2024, compared to $613,000 in 2023[34] - Stock-based compensation expense for the year ended December 31, 2024, was $72,658,000, an increase from $58,437,000 in 2023, representing a rise of 24.3%[34] - The company reported a foreign exchange gain of $2,387,000 for the year ended December 31, 2024, compared to a gain of $661,000 in 2023[31] - The average exchange rate of the U.S. dollar against the Indian rupee depreciated by 1.7% from 83.28 to 84.72 during the quarter ended December 31, 2024[28]

Financial Performance - Q4 2024 revenue reached $481.4 million, marking a 16.3% increase year-over-year from $414.1 million in Q4 2023 [1][3] - Full year 2024 revenue totaled $1.84 billion, up 12.7% from $1.63 billion in 2023 [7][12] - Q4 2024 diluted EPS (GAAP) was $0.31, a 28.4% increase from $0.24 in Q4 2023 [1][6] - Full year 2024 diluted EPS (GAAP) was $1.21, up 10.0% from $1.10 in 2023 [1][12] Business Highlights - The company launched an enterprise AI platform in partnership with NVIDIA and introduced an insurance-specific large language model [2] - EXL's focus on innovation led to industry-leading revenue growth of 12.7% and adjusted EPS growth of 15.4% in 2024 [2] - The company won 17 new clients in Q4 2024, with a total of 69 new clients for the year [12] Segment Performance - Revenue from the Insurance segment for Q4 2024 was $162.0 million, up from $139.1 million in Q4 2023 [4] - The Analytics segment generated $207.7 million in Q4 2024, compared to $182.0 million in Q4 2023 [4] - For the full year 2024, the Insurance segment revenue was $614.0 million, an increase from $529.9 million in 2023 [8] Future Guidance - For 2025, the company expects revenue between $2.025 billion and $2.060 billion, representing a 10% to 12% increase year-over-year [2][19] - Adjusted diluted EPS for 2025 is projected to be in the range of $1.83 to $1.89, indicating an 11% to 14% increase from 2024 [2][19] Strategic Initiatives - The company is changing its operating model to focus on Industry Market Units and Strategic Growth Units to enhance client relationships and expand market reach [10][11] - EXL aims to deepen client relationships and unlock new buying centers through its new operating model [11]

Core Insights - EXL has launched EXLerate.AI, an agentic AI platform aimed at transforming enterprise workflows by integrating EXL and third-party AI agents into business operations, enhancing efficiency, customer experience, accuracy, and scalability [1][4] Group 1: Platform Features - EXLerate.AI is an open, cloud-agnostic, and modular orchestration platform that allows for rapid implementation across various client environments, featuring over 10 industry-specific AI agents already in use [2] - The platform supports more than 100 accelerators designed to enhance automation and efficiency, and includes proprietary large language models (LLMs) for health and finance, trained on domain-specific data [6] - EXLerate.AI's open architecture ensures compatibility with existing enterprise IT systems and is pre-integrated with technologies from industry leaders like NVIDIA, AWS, Google, Microsoft, ServiceNow, and Salesforce [6] Group 2: Market Challenges and Solutions - The primary challenge for enterprises in AI implementation is the seamless integration across workflows, which EXLerate.AI addresses by providing an orchestration solution with embedded high-value AI agents [3] - EXL has invested over two years in enhancing its AI solutions platform, focusing on a strong data foundation, flexibility for rapid innovation, and seamless integration into enterprise operations [4] Group 3: Industry Applications - EXLerate.AI improves processes in various sectors, including claims adjudication, commercial underwriting, payment servicing, customer service, internal audit, energy billing, accounts payable, and legacy code migration [2] - The platform is designed to support key functions in industries such as insurance, healthcare, banking, capital markets, and retail, showcasing EXL's deep industry knowledge [4][6]

Core Insights - EXL has been recognized as a Luminary in the Celent New Business and Underwriting Systems report for the third consecutive year, highlighting its innovative Life Digital Suite™ (LDS) solution [1][2] - The Celent report evaluated 20 technology platforms aimed at automating and digitizing new business and underwriting processes in North America, focusing on cost reduction and improved customer experience [3] Company Overview - EXL is a global data and AI company that provides services to transform business models and drive growth across various industries, including insurance, healthcare, and banking [6] - The company was founded in 1999 and has approximately 57,000 employees worldwide [6] Product Highlights - EXL's LDS is a low-code, highly configurable platform that automates the entire new business and underwriting process, enhancing efficiency and decision-making for insurers [4][5] - The platform includes features such as Underwriter Assist, which utilizes Generative AI to help underwriters manage unstructured data and streamline workflows [4][5] Market Position - EXL's continued investment in its LDS product has led to the acquisition of six new clients in the U.S. and U.K., positioning it as a strong contender in the new business and underwriting solution market [4]

Core Insights - EXL has been recognized as a Luminary in the Celent New Business and Underwriting Systems report for the third consecutive year, highlighting its innovative Life Digital Suite™ (LDS) solution [1][2] - The Celent report evaluated 20 technology platforms aimed at automating and digitizing new business and underwriting processes in North America, focusing on cost reduction and improved customer experience [3] Company Overview - EXL is a global data and AI company that provides services to transform business models and drive growth across various industries, including insurance, healthcare, and banking [6] - Founded in 1999, EXL is headquartered in New York and employs approximately 57,000 people globally [6] Product Features - EXL's LDS is a low-code, highly configurable platform that automates the entire new business and underwriting process, from application receipt to policy issuance [4] - The platform includes features such as pre-built product templates, personalized quotes, and management dashboards, making it interoperable with existing client technologies [4] Market Position - The life insurance industry is increasingly favoring fast decision-making and efficient workflows, which EXL's AI-enhanced processes support [5] - EXL's continued investment in its products, such as the Underwriter Assist tool utilizing GenAI, positions it as a strong contender in the market [4][5]

Group 1 - EXL is hosting a virtual event titled "AI in Action: Australia & New Zealand 2025" on March 20, 2025, aimed at providing businesses with strategies to harness AI for measurable impact [1][2] - The event will feature leaders and experts from various industries, including banking, insurance, and technology, focusing on real-world applications of AI, large language models, and data intelligence [2][3] - Attendees will gain actionable insights through expert panels, live demonstrations, and interactive sessions, aimed at bridging strategy with execution and driving measurable business outcomes [3][4] Group 2 - EXL's leadership emphasizes the event as a platform for learning and a catalyst for transforming business operating models to adapt to an AI-driven world [4] - The company has a strong track record in AI and data transformation, supporting businesses in leveraging advanced AI solutions for long-term success [4][6] - The event will showcase EXL's LLM framework and its applications in enhancing operational efficiency, customer experience, and modernizing operating models [7]

Core Insights - ExlService Holdings, Inc. will release its financial results for Q4 and the full year of 2024 on February 25, 2025, after market close [1] - A conference call will be held on February 26, 2025, at 10:00 a.m. EST, featuring insights from the CEO and CFO regarding operational and financial results [2] Company Overview - ExlService is a global data and AI company that provides services to transform client business models and drive growth across various industries, including insurance, healthcare, banking, retail, and energy [3] - The company was founded in 1999 and is headquartered in New York, employing approximately 57,000 individuals across six continents [3]

ExlService Holdings (EXLS) shares soared 5.5% in the last trading session to close at $49.73. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 5.7% gain over the past four weeks.The stock is gaining momentum as the company continues to execute its data and AI-driven strategy, driving accelerated growth in its data analytics and digital operations and solutions segments.This provider of outsourcing services is expected to post quar ...

Robert F. Abbott has been investing his family’s accounts since 1995, and in 2010 added options, mainly covered calls and collars with long stocks. He is a freelance writer, and his projects include a website that provides information for new and intermediate-level mutual fund investors. A resident of Airdrie, Alberta, Canada, Robert has earned Bachelor of Arts and Master of Business Administration (MBA) degrees.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the co ...

ExlService Holdings (EXLS) came out with quarterly earnings of $0.44 per share, beating the Zacks Consensus Estimate of $0.41 per share. This compares to earnings of $0.37 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 7.32%. A quarter ago, it was expected that this provider of outsourcing services would post earnings of $0.39 per share when it actually produced earnings of $0.40, delivering a surprise of 2.56%. Over the las ...