EXL (EXLS) Q3 Earnings: What To Expect

Data analytics and digital solutions company ExlService Holdings (NASDAQ:EXLS) will be announcing earnings results this Tuesday after market hours. Here’s what to expect.

EXL beat analysts’ revenue expectations by 1.6% last quarter, reporting revenues of $514.5 million, up 14.7% year on year. It was a strong quarter for the company, with a beat of analysts’ EPS estimates and a decent beat of analysts’ revenue estimates.

Is EXL a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting EXL’s revenue to grow 10.8% year on year to $523.3 million, slowing from the 14.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.47 per share.EXL Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. EXL has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 1.5% on average.

Looking at EXL’s peers in the data & business process services segment, some have already reported their Q3 results, giving us a hint as to what we can expect. TransUnion delivered year-on-year revenue growth of 7.8%, beating analysts’ expectations by 3.2%, and SS&C reported revenues up 7%, topping estimates by 1.4%. TransUnion traded up 6.1% following the results while SS&C was also up 4.6%.

Read our full analysis of TransUnion’s results here and SS&C’s results here.

Investors in the data & business process services segment have had steady hands going into earnings, with share prices flat over the last month. EXL is down 6.7% during the same time and is heading into earnings with an average analyst price target of $53.29 (compared to the current share price of $41.01).

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