Filing Flows › ExlService Holdings (EXLS) › Q1 2026
ExlService Holdings (EXLS) Q1 2026 earnings results (first quarter 2026)
10-Q filed Apr 28, 2026
ExlService Holdings (EXLS) reported revenue of $570M for the first quarter 2026 (Q1 2026), +14% from a year earlier and +5% from the quarter before. Operating margin was 16.1%, net earnings $67.1M (11.8% of revenue).
ExlService Holdings, Q1 2026: revenue $570M (+14% year over year), operating margin 16.1%, net earnings $67.1M, operating cash flow $1.7M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $570M | +5% | +14% |
| Gross profit | $222M | +6% | +15% |
| Operating profit | $91.8M | +18% | +17% |
| Net earnings | $67.1M | +11% | +0.8% |
| Operating cash flow | $1.7M | -99% | -47% |
What changed
Revenue was $570.4M in Q1 2026, up 14% year over year and up 5% from the previous quarter. Insurance was the largest line at 40% of revenue. Healthcare and Life Sciences added $26.3M year over year (up 21%), 38% of the total change.
Gross margin was 38.9%, up 0.4 points from Q1 2025. Operating profit was $91.8M, a 16.1% margin (up 0.4 points year over year). Of the extra revenue versus Q1 2025, 19% reached operating profit, above the 16% margin then. Operating expenses grew 13% against revenue growth of 14%. The fastest-growing cost line was General & admin (+16%). Net earnings were $67.1M, up 1% year over year. The effective tax rate was 26.6%.
Operating cash flow was $1.7M (down 47% year over year), 3% of net earnings. Non-cash charges added back $14.0M of depreciation and amortization and $22.1M of share-based compensation. Working capital and other items used $101.5M. Capital expenditures of $12.9M exceeded it, leaving free cash flow of −$11.2M.
Questions
What was ExlService Holdings' revenue in the first quarter 2026?
ExlService Holdings (EXLS) reported revenue of $570M for the first quarter 2026 (Q1 2026), +14% from a year earlier and +5% from the quarter before.
Was ExlService Holdings profitable in the first quarter 2026?
Operating profit was $91.8M (16.1% of revenue) and net earnings $67.1M.