EX-99.1 2 ibex-20260205exx991.htm EX-99.1 Document

Exhibit 99.1
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IBEX Reports Record Quarterly Revenue and EPS, Raises Fiscal Year Guidance

•Record second quarter Revenue, Adjusted EBITDA, EPS, and Adjusted EPS
•Revenue grew 17% versus prior year quarter, fourth consecutive quarter of double-digit growth
•EPS grew 45% year-over-year to $0.83 and adjusted EPS grew 46% to $0.87
•Raises Fiscal Year Revenue and Adjusted EBITDA Guidance

WASHINGTON, DC— February 5, 2026 —IBEX Limited (“ibex”), a leading provider in global business process outsourcing and end-to-end customer engagement technology solutions, today announced financial results for its second fiscal quarter ended December 31, 2025.

Three Months Ended December 31,Six Months Ended December 31,
($ millions, except per share amounts)20252024Change20252024Change
Revenue$164.2 $140.7 16.7 %$315.4 $270.4 16.6 %
Net income$12.2 $9.3 31.8 %$24.3 $16.8 44.4 %
Net income margin7.4 %6.6 %80 bps7.7 %6.2 %150 bps
Adjusted net income (1)$12.8 $9.6 33.0 %$25.9 $18.6 39.0 %
Adjusted net income margin (1)7.8 %6.8 %100 bps8.2 %6.9 %130 bps
Adjusted EBITDA (1)$20.7 $16.5 25.2 %$40.2 $32.1 25.0 %
Adjusted EBITDA margin (1)12.6 %11.8 %80 bps12.7 %11.9 %80 bps
Earnings per share - diluted (2) $0.83 $0.57 44.9 %$1.65 $1.00 65.7 %
Adjusted earnings per share - diluted (1,2)$0.87 $0.59 46.3 %$1.77 $1.11 59.6 %
(1)See accompanying Exhibits for the reconciliation of each non-GAAP measure to its most directly comparable GAAP measure.
(2)The current period percentages are calculated based on exact amounts, and therefore may not recalculate exactly using rounded numbers as presented.

“Ibex continued to carry forward the momentum built over the past two years, and delivered an outstanding second quarter with revenue growth of 17% to a record $164.2 million and adjusted EPS growth of 46%,” said Bob Dechant, ibex CEO. “This terrific performance is a direct result of exceptional operational delivery for our blue chip clients, enabling us to win significant market share from our competitors. In addition, our new logo engine delivered strong results.”

“We continue to advance our leadership position in deploying AI solutions for our clients both internally within our operations as well as deployment of AI Agents to interact with our clients’ customers. All this is enabling us to extend our separation from the traditional BPO pack.”

Second Quarter Financial Performance
Revenue
•Revenue of $164.2 million, an increase of 16.7% from $140.7 million in the prior year quarter, was driven by growth in our top three verticals: HealthTech (+35.1%), Travel, Transportation and Logistics (+20.2%), and Retail & E-commerce (+17.2%), along with continued growth in the digital acquisition business.



Net Income and Earnings Per Share
•Net income increased to $12.2 million compared to $9.3 million in the prior year quarter. Net income was favorably impacted by revenue growth in our higher margin offshore regions and lower selling, general, and administrative expenses as a percentage of revenue.
•Net income margin increased to 7.4% compared to 6.6% in the prior year quarter.
•Diluted earnings per share increased to $0.83 compared to $0.57 in the prior year quarter, primarily due to higher net income and lower diluted shares outstanding as a result of our share repurchase activities during fiscal 2025.
•Non-GAAP adjusted net income increased to $12.8 million compared to $9.6 million in the prior year quarter (see Exhibit 1 for reconciliation).
•Non-GAAP adjusted diluted earnings per share increased to $0.87 compared to $0.59 in the prior year quarter (see Exhibit 1 for reconciliation).
Non-GAAP adjusted EBITDA
•Adjusted EBITDA increased to $20.7 million compared to $16.5 million in the prior year quarter (see Exhibit 2 for reconciliation).
•Adjusted EBITDA margin increased to 12.6% compared to 11.8% in the prior year quarter (see Exhibit 2 for reconciliation).

Cash Flow and Balance Sheet
•Capital expenditures were $11.7 million compared to $4.3 million in the prior year quarter. The planned increase in capital expenditures during this quarter was driven by capacity expansion to meet strong demand in our highest margin regions.
•Cash flow from operating activities was a second quarter record of $6.6 million compared to $1.1 million in the prior year quarter, which was primarily driven by an increase in our revenues resulting in increased profitability, as well as a lower use of working capital.
•Free cash flow was $(5.1) million compared to $(3.2) million in the prior year quarter (see Exhibit 3 for reconciliation).
•During the quarter, we repurchased 78,200 shares for $2.9 million.
•Net cash was $14.0 million, an improvement of $0.3 million compared to net cash of $13.7 million as of June 30, 2025 (see Exhibit 4 for reconciliation).

Second Quarter Review and Fiscal 2026 Business Outlook
“In the second quarter we continued to build on the momentum we’ve generated over the past twelve months. Our strong quarterly revenue performance was again led by meaningful growth in our higher margin geographies, services, and vertical markets, particularly in HealthTech. This combination of drivers led to a record quarterly adjusted EBITDA of $20.7 million,” said Taylor Greenwald, CFO of ibex.

“As we look ahead to the second half of the fiscal year, our robust balance sheet is enabling us to make opportunistic investments to further extend our current AI leadership position. Additionally, with the clear returns we’ve already seen, we are proactively investing in increased sales resources as well as capacity in our top performing geographies, positioning us for further success in the years ahead. Considering our outperformance in fiscal 2026 thus far, we are confident in further raising our revenue and adjusted EBITDA guidance for the year.”

Fiscal Year 2026 Guidance
•     Revenue is expected to be in the range of $620 to $630 million, up from $605 to $620 million.
•Adjusted EBITDA is expected to be in the range of $80 to $82 million, up from $78 to $81 million.
•Capital expenditures are expected to be at the upper end of our previous range of $20 to $25 million.



Conference Call and Webcast Information
IBEX Limited will host a conference call and live webcast to discuss its second quarter of fiscal year 2026 financial results at 4:30 p.m. Eastern Time today, February 5, 2026. We will also post to this section of our website the earning slides, which will accompany our conference call and live webcast, and encourage you to review the information that we make available on our website.
Live and archived webcasts can be accessed at: https://investors.ibex.co/.
Financial Information
This announcement does not contain sufficient information to constitute an interim financial report as defined in Financial Accounting Standards ASC 270, “Interim Reporting.” The financial information in this press release has not been audited.
Non-GAAP Financial Measures
We present non-GAAP financial measures because we believe that they and other similar measures are widely used by certain investors, securities analysts and other interested parties as supplemental measures of performance and liquidity. We also use these measures internally to establish forecasts, budgets and operational goals to manage and monitor our business, as well as evaluate our underlying historical performance, as we believe that these non-GAAP financial measures provide a more helpful depiction of our performance of the business by encompassing only relevant and manageable events, enabling us to evaluate and plan more effectively for the future. The non-GAAP financial measures may not be comparable to other similarly titled measures of other companies, have limitations as analytical tools, and should not be considered in isolation or as a substitute for analysis of our operating results as reported in accordance with accounting principles generally accepted in the United States (“GAAP”). Non-GAAP financial measures and ratios are not measurements of our performance, financial condition or liquidity under GAAP and should not be considered as alternatives to operating profit or net income / (loss) or as alternatives to cash flow from operating, investing or financing activities for the period, or any other performance measures, derived in accordance with GAAP.
ibex is not providing a quantitative reconciliation of forward-looking non-GAAP adjusted EBITDA to the most directly comparable GAAP measure because it is unable to predict with reasonable certainty the ultimate outcome of certain significant items without unreasonable effort. These items include, but are not limited to, non-recurring expenses, foreign currency gains and losses, and stock-based compensation expense. These items are uncertain, depend on various factors, and could have a material impact on GAAP reported results for the guidance period.
About ibex
ibex helps the world’s preeminent brands more effectively engage their customers with services ranging from customer support, technical support, inbound/outbound sales, business intelligence and analytics, digital demand generation, and CX surveys and feedback analytics.
Forward Looking Statements
In addition to historical information, this press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “expect,” “predict,” “potential,” “forecast,” or the negative of these terms or other similar expressions. These statements include, but are not limited to, statements regarding our future financial and operating performance, including our outlook and guidance, and our strategies, priorities and business plans. Our expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could impact our actual results include: our ability to attract new business and retain key clients; our profitability based on our utilization, pricing and managing costs; the potential for our clients or potential clients to consolidate; our clients deciding to enter into or further expand their insourcing activities and current trends toward outsourcing services may reverse; general economic uncertainty in global


markets and unfavorable economic conditions, including inflation, rising interest rates, recession, foreign exchange fluctuations and supply-chain issues; our ability to manage our international operations, particularly in the Philippines, Jamaica, Pakistan and Nicaragua; natural events, health epidemics, global geopolitical conditions, including developing or ongoing conflicts, widespread civil unrest, terrorist attacks and other attacks of violence involving any of the countries in which we or our clients operate; our ability to anticipate, develop and implement information technology solutions that keep pace with evolving industry standards and changing client demands, including the effective adoption of Artificial Intelligence into our offerings; our ability to recruit, engage, motivate, manage and retain our global workforce; our ability to comply with applicable laws and regulations, including those regarding privacy, data protection and information security, employment and anti-corruption; the effect of cyberattacks or cybersecurity vulnerabilities on our information technology systems; the impact of tax matters, including new legislation and actions by taxing authorities; and other factors discussed in the “Risk Factors” described in our periodic reports filed with the U.S. Securities and Exchange Commission (“SEC”), including our annual reports on Form 10-K, quarterly reports on Form 10-Q, and past filings on Form 20-F, and any other risk factors we include in subsequent filings with the SEC. Because of these uncertainties, you should not make any investment decisions based on our estimates and forward-looking statements. Except as required by law, we undertake no obligation to publicly update any forward-looking statements for any reason after the date of this press release whether as a result of new information, future events or otherwise.

IR Contact:  ir@ibex.co
Media Contact:  Daniel Burris, VP, Marketing and Communication, ibex, daniel.burris@ibex.co


IBEX LIMITED AND SUBSIDIARIES
Consolidated Balance Sheets
(Unaudited)
(in thousands)
December 31,
2025		June 30,
2025
Assets
Current assets
Cash and cash equivalents$15,460 $15,350 
Accounts receivable, net130,505 117,136 
Prepaid expenses9,171 9,443 
Due from related parties— 40 
Tax advances and receivables1,451 1,522 
Other current assets1,937 2,128 
Total current assets158,524 145,619 
Non-current assets
Property and equipment, net44,217 32,563 
Operating lease assets57,157 62,276 
Goodwill11,832 11,832 
Deferred tax asset, net8,595 7,163 
Other non-current assets15,472 13,762 
Total non-current assets137,273 127,596 
Total assets$295,797 $273,215 
Liabilities and stockholders' equity
Current liabilities
Accounts payable and accrued liabilities$24,632 $18,692 
Accrued payroll and employee-related liabilities37,355 38,588 
Current deferred revenue8,521 5,498 
Current operating lease liabilities14,411 14,332 
Current debt837 823 
Due to related parties— 22 
Income taxes payable749 1,986 
Total current liabilities86,505 79,941 
Non-current liabilities
Non-current deferred revenue1,472 1,130 
Non-current operating lease liabilities48,499 53,804 
Long-term debt594 796 
Other non-current liabilities4,212 3,235 
Total non-current liabilities54,777 58,965 
Total liabilities141,282 138,906 
Stockholders' equity
Common Stock2 1 
Treasury stock(108,893)(103,338)
Additional paid-in capital223,927 218,241 
Accumulated other comprehensive loss(10,521)(6,336)
Retained earnings50,000 25,741 
Total stockholders' equity154,515 134,309 
Total liabilities and stockholders' equity$295,797 $273,215 


IBEX LIMITED AND SUBSIDIARIES
Consolidated Statements of Comprehensive Income
(Unaudited)
(in thousands, except per share data)
Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
Revenue$164,221 $140,682 $315,400 $270,399 
Cost of services (exclusive of depreciation and amortization presented separately below)116,629 98,762 223,206 188,803 
Selling, general and administrative27,555 25,706 54,080 51,921 
Depreciation and amortization4,750 4,286 9,128 8,655 
Total operating expenses148,934 128,754 286,414 249,379 
Income from operations15,287 11,928 28,986 21,020 
Interest income59 311 89 894 
Interest expense(248)(620)(465)(782)
Income before income taxes15,098 11,619 28,610 21,132 
Provision for income tax expense(2,881)(2,351)(4,351)(4,333)
Net income$12,217 $9,268 $24,259 $16,799 
Other comprehensive income
Foreign currency translation adjustments$(369)$(911)$(1,581)$477 
Unrealized (loss) / gain on cash flow hedging instruments, net of tax(416)(193)(2,604)186 
Total other comprehensive (loss) / income(785)(1,104)(4,185)663 
Total comprehensive income$11,432 $8,164 $20,074 $17,462 
Net income per share
Basic$0.91 $0.61 $1.81 $1.05 
Diluted$0.83 $0.57 $1.65 $1.00 
Weighted average common shares outstanding
Basic13,46915,12613,41416,007
Diluted14,73716,45614,67316,977


IBEX LIMITED AND SUBSIDIARIES
Consolidated Statements of Cash Flows
(Unaudited)
(in thousands)

Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
CASH FLOWS FROM OPERATING ACTIVITIES
Net income$12,217 $9,268 $24,259 $16,799 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization4,750 4,286 9,128 8,655 
Noncash lease expense3,488 3,083 6,925 6,409 
Deferred income tax(370)(637)(1,432)(767)
Stock-based compensation expense1,114 1,235 3,664 1,905 
Allowance for expected credit losses173 240 225 323 
Change in assets and liabilities:
Increase in accounts receivable(14,591)(14,856)(13,576)(22,505)
Decrease / (increase) in prepaid expenses and other current assets1,266 722 (2,206)(1,013)
(Decrease) / increase in accounts payable and accrued liabilities(546)(1,496)(857)3,078 
Increase in deferred revenue2,751 2,386 3,365 2,465 
Decrease in operating lease liabilities(3,608)(3,090)(7,181)(6,446)
Net cash inflow from operating activities6,644 1,141 22,314 8,903 
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment(11,732)(4,319)(19,371)(7,949)
Net cash outflow from investing activities(11,732)(4,319)(19,371)(7,949)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from line of credit11,000 9,100 11,000 9,160 
Repayments of line of credit(11,000)(1,600)(11,000)(1,660)
Proceeds from the exercise of options936 342 3,348 724 
Taxes paid related to net share settlement of equity awards(41)— (41)— 
Principal payments on finance leases(257)(182)(549)(353)
Purchase of treasury shares(2,786)(46,562)(5,553)(51,369)
Net cash outflow from financing activities(2,148)(38,902)(2,795)(43,498)
Effects of exchange rate difference on cash and cash equivalents2 (19)(38)30 
Net (decrease) / increase in cash and cash equivalents(7,234)(42,099)110 (42,514)
Cash and cash equivalents, beginning22,694 62,305 15,350 62,720 
Cash and cash equivalents, ending$15,460 $20,206 $15,460 $20,206 


IBEX LIMITED AND SUBSIDIARIES
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
EXHIBIT 1: Adjusted net income, adjusted net income margin, and adjusted earnings per share

We define adjusted net income as net income before the effect of the following items: severance costs, foreign currency gains and losses, and stock-based compensation expense, net of the tax impact of such adjustments. We define adjusted net income margin as adjusted net income divided by revenue. We define adjusted earnings per share as adjusted net income divided by weighted average diluted shares outstanding.

The following table provides a reconciliation of net income to adjusted net income, net income margin to adjusted net income margin, and diluted earnings per share to adjusted earnings per share for the periods presented:
Three Months Ended December 31,Six Months Ended December 31,
($000s, except per share amounts)2025202420252024
Net income$12,217 $9,268 $24,259 $16,799 
Net income margin7.4 %6.6 %7.7 %6.2 %
Severance costs— — 159 — 
Foreign currency (gain) / loss(445)(912)(1,765)545 
Stock-based compensation expense1,114 1,235 3,664 1,905 
Total adjustments$669 $323 $2,058 $2,450 
Tax impact of adjustments1(95)24 (392)(602)
Adjusted net income$12,791 $9,615 $25,925 $18,647 
Adjusted net income margin7.8 %6.8 %8.2 %6.9 %
Diluted earnings per share$0.83 $0.57 $1.65 $1.00 
Per share impact of adjustments to net income0.04 0.02 0.12 0.11 
Adjusted earnings per share$0.87 $0.59 $1.77 $1.11 
Weighted average diluted shares outstanding14,737 16,456 14,673 16,977 
1The tax impact of each adjustment is calculated using the effective tax rate in the relevant jurisdictions.


EXHIBIT 2: EBITDA, adjusted EBITDA, and adjusted EBITDA margin
EBITDA is a non-GAAP profitability measure that represents net income before the effect of the following items: interest expense, income tax expense, and depreciation and amortization. Adjusted EBITDA is a non-GAAP profitability measure that represents EBITDA before the effect of the following items: severance costs, interest income, foreign currency gains and losses, and stock-based compensation expense. Adjusted EBITDA margin is a non-GAAP profitability measure that represents adjusted EBITDA divided by revenue.

The following table provides a reconciliation of net income to EBITDA and adjusted EBITDA and net income margin to adjusted EBITDA margin for the periods presented:
Three Months Ended December 31,Six Months Ended December 31,
($000s)2025202420252024
Net income$12,217 $9,268 $24,259 $16,799 
Net income margin7.4 %6.6 %7.7 %6.2 %
Interest expense248 620 465 782 
Income tax expense2,881 2,351 4,351 4,333 
Depreciation and amortization4,750 4,286 9,128 8,655 
EBITDA$20,096 $16,525 $38,203 $30,569 
Severance costs— — 159 — 
Interest income(59)(311)(89)(894)
Foreign currency (gain) / loss(445)(912)(1,765)545 
Stock-based compensation expense1,114 1,235 3,664 1,905 
Adjusted EBITDA$20,706 $16,537 $40,172 $32,125 
Adjusted EBITDA margin12.6 %11.8 %12.7 %11.9 %
EXHIBIT 3: Free cash flow

We define free cash flow as net cash provided by operating activities less capital expenditures.
Three Months Ended December 31,Six Months Ended December 31,
($000s)2025202420252024
Net cash provided by operating activities$6,644 $1,141 $22,314 $8,903 
Less: capital expenditures11,732 4,319 19,371 7,949 
Free cash flow$(5,088)$(3,178)$2,943 $954 
EXHIBIT 4: Net cash

We define net cash as total cash and cash equivalents less debt.
December 31,June 30,
($000s)20252025
Cash and cash equivalents$15,460 $15,350 
Debt
Current$837 $823 
Non-current594 796 
Total debt$1,431 $1,619 
Net cash$14,029 $13,731