Information Services beats top-line and bottom-line estimates; initiates Q4 outlook

* Information Services press release [https://seekingalpha.com/filing/21337688] (III [https://seekingalpha.com/symbol/III]): Q3 Non-GAAP EPS of $0.09 beats by $0.01.
* Revenue of $62.36M (+1.8% Y/Y) beats by $1.42M.
* Third-quarter adjusted EBITDA (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) was $8.4 million, up 19 percent from the prior year. Adjusted EBITDA margin (a non-GAAP measure calculated by dividing adjusted EBITDA by reported revenues) was 13.5 percent, up 196 basis points from 11.6 percent in the prior year.
* ISG generated $11.1 million of cash from operations in the third quarter, compared with generating $8.8 million of cash in the third quarter last year. The firm’s cash balance totaled $28.7 million at September 30, 2025, up 14 percent from $25.2 million at June 30, 2025.
* “For the fourth quarter, ISG is targeting revenues of between $60.5 million and $61.5 million (VS. CONSENSUS OF $60.79M), and EBITDA growth in the 15 percent to 20 percent range year over year, with adjusted EBITDA of between $7.5 million and $8.5 million. We will continue to monitor the macro environment, including the impact of tariffs, FX, inflation and other factors, and adjust our business plans accordingly.”

MORE ON INFORMATION SERVICES

* Information Services Group, Inc. (III) Third Quarter 2025 ISG Index Call Transcript [https://seekingalpha.com/article/4828870-information-services-group-inc-third-quarter-2025-isg-index-call-transcript]
* Information Services Group, Inc. (III) Special Call - Slideshow [https://seekingalpha.com/article/4828889-information-services-group-inc-iii-special-call-slideshow]
* Information Services Group: Can AI Advisory Spark Its Next Growth Cycle? [https://seekingalpha.com/article/4828448-information-services-group-can-ai-advisory-spark-its-next-growth-cycle]
* Information Services Group targets $61.5M Q3 revenue as AI-driven growth accelerates and expands in Italy [https://seekingalpha.com/news/4481691-information-services-group-targets-61_5m-q3-revenue-as-ai-driven-growth-accelerates-and]
* Seeking Alpha’s Quant Rating on Information Services [https://seekingalpha.com/symbol/III/ratings/quant-ratings]