ExlService net income up 39% yoy

Revises full-year revenue guidance upward

Business process outsourcing firm ExlService Holdings reported net income of $11.7 million for the third quarter ended September 31, 2012, up 39.2 per cent from $8.4 million.

The company’s revenue grew 12.6 per cent at $112.6 million compared to $100 million in the same quarter last year. Sequentially too revenues were up 4.25 per cent.

"We posted strong 4 per cent sequential revenue growth led by client expansions in our insurance and healthcare and our utilities practices. In addition, our transformation business has continued to grow. In particular, we are capitalizing on the secular growth opportunity in analytics, where among other assets we have built a world-class banking practice,” said Rohit Kapoor, Vice Chairman and CEO.

Outsourcing services revenues for the quarter were $92 million compared to $83.2 million for the quarter ended September 30, 2011 and $88.9 million for the quarter ended June 30, 2012. Transformation services revenues for the quarter were $20.7 million, up 22.4 per cent year-on-year.

The company also revised its full year revenue guidance upward to be in the range of $442 million to $444 million, from the earlier $438 million to $442 million.

During the quarter, ExlService added six clients, including three transformation clients and three outsourcing clients. It also won a strategic client account with a leading specialty insurer for finance and accounting outsourcing services.

At the end of the quarter the company’s headcount grew to approximately 20,095, compared to 19,468 as of June 30, 2012.