Core Viewpoint - IBEX Limited is expanding its operations from traditional business process outsourcing into the HealthTech sector, focusing on managing the revenue cycle for medical entities [1] Company Overview - IBEX Limited has historically operated as a service contractor or business process outsourcing provider [1] Industry Expansion - The company's recent decision to enter the HealthTech sector indicates a strategic shift aimed at tapping into the growing demand for revenue cycle management in healthcare [1]

Core Viewpoint - IBEX Limited is expanding its operations from traditional business process outsourcing into the HealthTech sector, focusing on managing the revenue cycle for medical entities [1] Company Overview - IBEX Limited has historically operated as a service contractor or business process outsourcing company [1] Industry Expansion - The company's recent decision to enter the HealthTech sector indicates a strategic shift aimed at tapping into the growing demand for revenue cycle management in healthcare [1]

©XBP GLOBAL 2026 PROPRIETARY & CONFIDENTIAL 1 Safe Harbor Statements About Pro Forma Financial Information Fourth Quarter & Full Year 2025 Financial Results Andrej Jonovic, Chief Executive Officer Dejan Avramovic, Chief Financial Officer For financial reporting purposes, Exela BPA is treated as the accounting acquirer, and results exclude the results of our European operations (" XBP Europe") until July 31, 2025. As a result, reported results for periods prior to July 31, 2025 are not comparable to previous ...

Core Viewpoint - Capita is divesting its commercial contact center business to Inspirit Capital for a nominal price of £1, with potential additional considerations of up to £61 million based on future performance and liquidity, aiming to streamline operations and focus on its core strengths in middle- and back-office services [2][5]. Financial Terms and Transaction Structure - The total consideration for the sale includes £11.5 million contingent on future cash availability and up to £50 million as an earn-out linked to the business's performance in 2026-27 [5][6]. - The transaction is expected to incur around £20 million in restructuring and separation costs, with Capita funding up to £10 million of these costs [3][12]. Performance Context - The commercial contact center business was loss-making in 2025, reporting a loss of approximately £35 million and a cash outflow of £16 million, while retained contracts outside the sale were profitable, contributing £17.9 million in profit and £23.1 million in positive free cash flow [4][8][7]. Cost Savings and Profitability Outlook - The disposal supports a targeted £40 million savings program aimed for completion by the end of 2027, with £25 million of these savings expected from overhead costs previously allocated to the contact center business [13]. - Capita anticipates a 200 basis point improvement in operating profit by 2027, moving from an operating margin of 5.2% to 7.2% [15]. Strategic Focus - The company aims to become an AI-led business process outsourcer, emphasizing complex middle- and back-office services, while retaining certain contact center capabilities embedded within broader contracts [16][17]. - Capita plans to provide further details on its strategy and targets at a Capital Markets Day scheduled for June 17 [18].

Core Insights - The company reported a GAAP loss of $6 million from the sale of two non-strategic businesses, with total net proceeds expected to be around $20 million [1] - Non-GAAP operating income was $295 million, with adjusted EBITDA at $348 million, reflecting a 13.9% margin [2] - Revenue for the quarter was approximately $2.5 billion, showing a 1.9% increase on a constant-currency basis and over 5% on a reported basis [5] Financial Performance - Non-GAAP diluted EPS was $2.61, aligning with prior guidance [2] - Adjusted free cash flow was negative $145 million, attributed to timing of cash receipts, with full-year guidance maintained at $630 million to $650 million [12] - The company returned about $65 million to shareholders, including $42 million in share repurchases and $23 million in dividends [13] Industry Insights - The technology and consumer electronics sector experienced a decline due to lower volumes and automation impacts, with volatility noted over the past eight quarters [3] - Healthcare revenue declined due to lighter volumes related to changes in Medicare membership, with no expected growth for a couple of quarters [4] - Media and communications revenue grew by 3%, primarily from clients outside the U.S. [4] Strategic Initiatives - The company is undergoing restructuring to align its cost structure, expecting annualized savings of about $40 million [6] - Technology-led growth was emphasized, with a 61% year-over-year increase in technology-related wins [7] - The proprietary iX suite and partner ecosystem are seen as key differentiators for securing larger deals, despite initial revenue compression [8] Future Outlook - For Q2, revenue guidance is set between $2.46 billion and $2.485 billion, indicating a constant-currency growth of 1% to 2% [16] - Non-GAAP operating income is expected to be between $290 million and $300 million, with an operating margin of 11.8% to 12.1% [17] - The company anticipates margin compression in the first half of the fiscal year, followed by sequential expansion in the second half [18]

Financial Data and Key Metrics Changes - The company reported revenue of approximately $2.5 billion, an increase of 1.9% on a constant currency basis and over 5% on a reported basis [9] - Non-GAAP operating income was $295 million, and adjusted EBITDA was $348 million, with a margin of 13.9% [10] - Non-GAAP diluted EPS was $2.61, in line with guidance [10] - Adjusted free cash flow was negative $145 million, reflecting an increase in accounts receivable [11] Business Line Data and Key Metrics Changes - Revenue from banking and financial services clients grew 13% year-over-year, while retail, travel, and e-commerce clients grew 6% [9] - Media and communications revenues grew 3%, primarily from clients outside the U.S. [9] - Technology and consumer electronics verticals decreased about 6%, attributed to lighter volumes and onshore mix [9] Market Data and Key Metrics Changes - The company experienced strong demand in banking and financial services, with broad-based success across various client types [47] - E-commerce and travel sectors showed sustainable growth, driven by new solutions and consolidation of services [50] Company Strategy and Development Direction - The company is focused on securing complex work and high-value services, leveraging proprietary AI technologies to differentiate in the market [7] - There is an emphasis on managing costs and investing in higher growth areas, with expected annualized savings of approximately $40 million from restructuring actions [11][16] - The company aims to reduce net leverage to below 2.6x adjusted EBITDA by the end of fiscal 2026 [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the overall demand environment and the ability to drive year-over-year profitability growth in the second half of 2026 [16] - The geopolitical situation has had minimal impact on client behavior, with exposure to geopolitical risks being about 1% of revenue [53] - Management expects sequential margin expansion in the second half of the year, driven by cost actions and additional revenue coming online [25][26] Other Important Information - The company returned approximately $65 million to shareholders, including share repurchases and dividends [12] - The company issued $600 million of 3-year senior notes to manage debt maturities [13] Q&A Session Summary Question: Revenue related to AI and iX suite - Management indicated that the iX Hello solution is priced by consumption, leading to initial negative margins that turn positive as scale increases [19] - The iX Hero product is sold on a per-seat subscription basis, with expectations to reach or exceed $100 million in annual recurring revenue by the end of the fiscal year [20] Question: Margin improvement cadence - Management expects margins to be compressed in the first half, with sequential expansion in the second half driven by cost actions and additional revenue [25] Question: Impact of offshore movement on revenues - Approximately 15% of revenue is delivered from North America and Western Europe, with a projected 2-point headwind from onshore movement [29] Question: Divestitures of non-strategic businesses - The divestitures were opportunistic, with no immediate plans for further portfolio pruning [36] Question: Stability of banking and retail growth - Management expects sustained growth in banking and retail, driven by complex work and new solutions [47][50]

Financial Data and Key Metrics Changes - The company reported revenue of approximately $2.5 billion, an increase of 1.9% on a constant currency basis and over 5% on a reported basis [9] - Non-GAAP operating income was $295 million, with adjusted EBITDA at $348 million, reflecting a margin of 13.9% [10] - Non-GAAP diluted EPS was $2.61, consistent with previous guidance [10] - Adjusted free cash flow was negative $145 million, attributed to an increase in accounts receivable [11] Business Line Data and Key Metrics Changes - Revenue from banking and financial services clients grew 13% year-over-year, while retail, travel, and e-commerce clients saw a 6% increase [9] - Media and communications revenues grew 3%, primarily from clients outside the U.S. [9] - Technology and consumer electronics verticals decreased by about 6%, driven by lighter volumes and onshore mix [9] Market Data and Key Metrics Changes - The company experienced strong demand in the banking sector, with expectations of high single-digit to low double-digit growth throughout the year [47] - E-commerce and travel sectors are performing well, with sustainable growth driven by new client acquisitions and technology solutions [49] Company Strategy and Development Direction - The company is focused on securing complex work and high-value services, leveraging proprietary AI technologies to differentiate in the market [7] - There is an emphasis on driving internal efficiencies to fuel investment in new growth areas [7] - The company aims to reduce net leverage to below 2.6x adjusted EBITDA by the end of fiscal 2026 [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the overall demand environment and the ability to manage margin headwinds [16] - The company anticipates sequential profitability growth in the second half of 2026 due to cost actions and revenue growth [11][16] - Management noted that geopolitical issues have had minimal impact on client behavior so far [53] Other Important Information - The company returned approximately $65 million to shareholders, including share repurchases and dividends [12] - The company issued $600 million of 3-year senior notes to retire existing debt, with a focus on managing upcoming debt maturities [13] Q&A Session Summary Question: Revenue related to AI and iX suite - Management indicated that the iX Hello solution is priced by consumption, leading to negative margins initially but positive margins as it scales [19] - The iX Hero product operates on a subscription basis, with expectations to exceed $100 million in annual recurring revenue by the end of the fiscal year [20] Question: Margin improvement cadence - Management expects margins to be somewhat compressed in the first half, with sequential expansion in the second half driven by cost actions and additional revenue [25] Question: Impact of offshore movement on revenues - Approximately 15% of revenue is delivered from North America and Western Europe, with a projected 2-point headwind from onshore movement [29] Question: Divestitures of non-strategic businesses - The divestitures were opportunistic, with no immediate plans for further portfolio pruning [36] Question: Performance of healthcare and technology verticals - Healthcare revenues were impacted by changes in Medicare membership, while technology revenues were affected by lighter volumes and automation [38][40]

Core Insights - The article discusses the evolution of the business process outsourcing (BPO) industry from "BPO 1.0" focused on cost to "BPO 2.0" emphasizing customer experience and brand alignment, with IBEX positioning itself as a quality-focused provider aiming for an AI-driven "BPO 3.0" model [1][7][8] Market Overview - The broader contact center market is estimated at approximately $350 billion, with the outsourced segment around $100 billion, characterized as highly fragmented with the top 10 providers holding about 35% market share, indicating potential for disruptors to gain market share [2] Company Positioning - IBEX connects brands with customers through a combination of human and AI agents, employing around 38,000 people globally and supporting various customer interactions across sectors like e-commerce and healthcare [3][4] Financial Performance - IBEX reported a four-year compound annual growth rate (CAGR) of 6%, with recent results showing 17% revenue growth, 32% net income growth, and 45% EPS growth (GAAP) in the latest quarter, alongside an EBITDA margin expansion to 12.6% [6][11][18] Client Diversification - The company has 60 clients generating over $1 million annually, with significant growth in healthcare revenue from zero to approximately $100 million, and new clients typically ramping to about 2.5 times year-two revenue [5][14][15] AI Integration - Management views the AI business as an early-stage opportunity, with potential for significantly higher margins, citing illustrative costs of $1.50 per AI interaction compared to $8 to $10 for U.S. human-assisted interactions [17][19] Operational Efficiency - IBEX emphasizes client and vertical diversification, with a focus on higher-margin sectors, and has improved SG&A as a percentage of revenue from 18.3% to 16.8% year-over-year [12][13] Financial Health - The company maintains a strong balance sheet with virtually no debt and approximately $15 million in cash, highlighting record operating cash flow and plans for reinvestment in capacity based on demand [21]

Core Insights - Genpact Limited is leveraging its strengths in business process outsourcing (BPO) services, bolstered by expertise in business analytics, digital, and consulting services [2] - The company is positioned as a leader in industry-specific solutions for the Industrial Internet of Things (IIoT) market, integrating processes, analytics, and digital technologies [3] Business Strategy and Partnerships - Genpact's focus on advancing AI presents significant growth opportunities, with its Digital Smart Enterprise Process (SEP) enhancing efficiency and process quality [4] - The company has expanded its partnership with Humana to support AI-enabled enterprise transformation across various functions [4] - Recently, Genpact partnered with Vesco to revamp its finance function, including an overhaul of its Accounts Payable process [5] Financial Performance and Shareholder Value - Genpact has consistently returned value to shareholders through share repurchases and growing dividend payments, with dividends totaling $100 million in 2023 and share repurchases amounting to $225.5 million [6] - The company has a strong earnings surprise history, beating earnings estimates in each of the trailing four quarters with an average surprise of 5.2% [9] Growth Estimates - Over the past 60 days, analysts have revised earnings estimates upward for the first quarter and full-year 2026, with increases of 11% and 10% respectively [8] - The Zacks Consensus Estimate for first-quarter 2026 revenues is $1.3 billion, reflecting a 6.2% increase year-over-year, while the full-year estimate is $5.4 billion, indicating a 7.1% rise [9][10] - The consensus estimate for first-quarter 2026 earnings is 93 cents per share, suggesting a 10.7% year-over-year growth, with a full-year estimate of $4.01 per share, implying 9.9% growth [10]

Core Insights - IBEX Limited, a leading provider of business process outsourcing and AI-powered customer engagement technology solutions, will present at the Sidoti Small-Cap Virtual Conference on March 18, 2026 [1] - The management team will also engage in one-on-one investor meetings throughout the day of the conference [2] Company Overview - IBEX is recognized as a global leader in outsourced business services and AI-driven customer experience solutions, supporting top brands in delivering exceptional customer experiences [3] - The company employs over 36,000 customer experience experts and utilizes advanced AI technology, extensive customer experience innovation, and deep business insights to create seamless customer journeys across various sectors including retail, e-commerce, healthcare, fintech, utilities, technology, and logistics [3]