IBEX Limited reported first‑quarter fiscal 2026 revenue of $151.2 million, up 16.5 % from $129.7 million in Q1 FY25, and adjusted earnings per share of $0.90, a 73.1 % increase from $0.52 in the prior year quarter. The $0.90 EPS beat consensus estimates of $0.75, a $0.15 or 20 % beat, underscoring the company’s effective cost control and pricing power.
Adjusted EBITDA margin expanded to 12.9 %, the highest on record, driven by a shift toward higher‑margin offshore operations and the deployment of the Wave iX AI platform. Free cash flow rose to $8 million, reflecting disciplined cost management and the continued monetization of AI‑enabled services.
Revenue growth was led by the Retail & E‑commerce, HealthTech, and Travel, Transportation & Logistics verticals, each reporting double‑digit increases. The AI Automate and AI Translate services captured a growing share of the customer base, displacing lower‑margin labor‑arbitrage work and contributing to the margin expansion.
IBEX raised its full‑year revenue outlook to $605 million–$620 million from $590 million–$610 million, and adjusted EBITDA guidance to $78 million–$81 million from $75 million–$79 million. Management cited sustained demand for AI‑enabled services and continued margin improvement as the basis for the upgrade, signaling confidence in the company’s growth trajectory.
CEO Bob Dechant said the company “carried the momentum built in FY25 into FY26, delivering double‑digit growth and margin expansion.” CFO Taylor Greenwald highlighted that strategic investments in AI and sales resources are fueling growth, while noting that higher training costs and a decline in the telecommunications vertical are current headwinds.
Analysts noted the earnings beat and guidance raise, but the market reaction was muted, with the stock trading flat after the announcement, indicating investors are weighing the company’s long‑term AI strategy against short‑term cost pressures.
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