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1. Company Snapshot

1.a. Company Description

IBEX Limited provides end-to-end technology-enabled customer lifecycle experience solutions in the United States and internationally.The company provides ibex Connect, a customer engagement solution that comprises customer service, technical support, revenue generation, and other value-added outsourced back-office services through the CX model, which integrates voice, email, chat, SMS, social media, and other communication applications; ibex Digital, a customer acquisition solution that includes digital marketing, e-commerce technology, and platform solutions; and ibex CX, a customer experience solution, which provides a suite of proprietary software tools to measure, monitor, and manage its clients' customer experience.As of October 1, 2021, the company operated 33 customer engagement and three customer acquisition delivery centers.


It serves banking and financial services, delivery and logistics, health tech and wellness, high tech, retail and e-commerce, streaming and entertainment, travel and hospitality, and utility industries.The company was formerly known as IBEX Holdings Limited and changed its name to IBEX Limited in September 2019.The company was incorporated in 2017 and is headquartered in Washington, District of Columbia.


IBEX Limited is a subsidiary of The Resource Group International Limited.

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1.b. Last Insights on IBEX

Here is a 90-word analysis of the positive drivers behind IBEX Limited's recent stock performance: IBEX Limited's strong Q2 performance, driven by profitable growth and selective market choices, has positioned the company for future success. The company's AI-driven customer engagement solutions and high client retention rates have contributed to its robust potential. Strategic stock buybacks have also boosted EPS, enhancing future net income and earnings. Additionally, the company's appointment of Karen Batungbacal to the Board of Directors brings significant CX expertise in Healthcare and Financial Services, further strengthening its position.

1.c. Company Highlights

2. IBEX Delivers Strong Q1 FY2026 Results with 16.5% Revenue Growth

IBEX reported a robust first quarter fiscal year 2026, with revenue increasing by 16.5% to $151.2 million and adjusted EPS growing by 74%. The company's net income reached $12 million, with fully diluted EPS at $0.82, while adjusted net income was $13.1 million. Notably, the actual EPS came in at $0.9, beating estimates of $0.81. The company's adjusted EBITDA for the trailing 12 months was nearly $76 million, up 13% from the prior period, and adjusted EPS was $3.17 on $31 million.

Publication Date: Nov -23

📋 Highlights
  • Revenue & EPS Growth:: Q1 FY2026 revenue rose 16.5% to $151.2M, with adjusted EPS surging 74%.
  • New Client Wins:: Secured seven high-profile new logo opportunities in the past two quarters.
  • Margin Expansion:: 82% of revenue derived from higher-margin digital/omnichannel services, up 25% YoY.
  • Guidance Raise:: FY2026 revenue guidance increased to $605M–$620M; adjusted EBITDA raised to $78M–$81M.
  • AI & Long-Term Strategy:: AI deployments are a competitive advantage, expected to drive margin expansion by Q4 FY2026 and FY2027.

Revenue Mix and Margin Analysis

The company's revenue mix continues to shift towards higher-margin digital and omnichannel services, which grew 25% to account for 82% of total revenue. However, gross margins were down in Q1 due to investments in India and more training revenue. Despite this, the company is confident in its full-year margin guidance, expecting around 13% EBITDA margin. The leadership team attributes the success to its best-in-class blend of culture, engagement, and branding, as well as its purpose-built Wave iX technology and integrated AI solution suite.

Guidance and Growth Prospects

IBEX raised its revenue and adjusted EBITDA guidance for fiscal year 2026, expecting revenue to be in the range of $605 million to $620 million and adjusted EBITDA to be in the range of $78 million to $81 million. The company is confident in its business and its ability to continue delivering strong financial results, driven by its growing AI capabilities, sales resources, and expansion in strategic markets and top-performing geographies. Analysts estimate next year's revenue growth at 12.8%.

Valuation and Outlook

With a P/E Ratio of 12.62 and an EV/EBITDA of 8.07, the company's valuation appears reasonable. Additionally, the company's ROIC is 17.95%, indicating efficient use of capital. As IBEX continues to invest in AI and offshore geographies, it is well-positioned for long-term margin expansion. The company's growing AI capabilities are expected to become another vector of growth and margin expansion by the end of Q4 this year and into FY '27.

3. NewsRoom

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ibex Philippines Named One of Asia's Most Influential Companies at The ACES Awards 2025

Dec -03

Source: globenewswire.com

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American Century Companies Inc. Sells 52,163 Shares of IBEX Limited $IBEX

Dec -03

Source: defenseworld.net

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Boston Partners Sells 3,571 Shares of IBEX Limited $IBEX

Nov -29

Source: defenseworld.net

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IBEX Limited (IBEX) Q1 2026 Earnings Call Transcript

Nov -07

Source: seekingalpha.com

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IBEX Reports Record Start to Fiscal 2026, Raises Full Year Guidance

Nov -06

Source: globenewswire.com

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Critical Survey: IBEX (NASDAQ:IBEX) & Acacia Research (NASDAQ:ACTG)

Nov -05

Source: defenseworld.net

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Allspring Global Investments Holdings LLC Sells 18,814 Shares of IBEX Limited $IBEX

Oct -24

Source: defenseworld.net

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IBEX Limited to Announce First Quarter 2026 Financial Results on November 6, 2025

Oct -23

Source: globenewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (2.78%)

6. Segments

Offshore (Philippines, Pakistan)

Expected Growth: 2.5%

IBEX Limited's offshore segment in Philippines and Pakistan is driven by increasing demand for outsourcing services, cost savings, and access to skilled labor. The 2.5% growth rate is fueled by expansion of existing clients, new business acquisitions, and investments in digital transformation, enabling the company to capitalize on the growing trend of nearshoring and offshoring in the region.

Nearshore (Jamaica, Nicaragua, Honduras)

Expected Growth: 2.8%

IBEX Limited's nearshore segment in Jamaica, Nicaragua, and Honduras is driven by a combination of factors, including proximity to the US market, competitive labor costs, and a skilled workforce. Additionally, government incentives, improved infrastructure, and a growing demand for outsourcing services contribute to the 2.8% growth rate.

Onshore (United States)

Expected Growth: 3.2%

IBEX Limited's onshore segment in the United States, with a growth rate of 3.2%, is driven by increasing demand for digital transformation, cloud-based services, and nearshoring. Additionally, the company's focus on customer experience, process automation, and strategic partnerships contribute to its growth. Furthermore, the growing need for outsourcing and the rising adoption of omnichannel engagement platforms also support the segment's expansion.

7. Detailed Products

Customer Experience (CX) Solutions

IBEX Limited offers a range of customer experience solutions that enable businesses to provide exceptional customer service, improve customer engagement, and increase customer loyalty.

Business Process Outsourcing (BPO) Services

IBEX Limited provides business process outsourcing services that help businesses streamline operations, reduce costs, and improve efficiency.

Digital Transformation Services

IBEX Limited offers digital transformation services that help businesses leverage technology to improve operations, enhance customer experience, and drive innovation.

Data Analytics and Insights

IBEX Limited provides data analytics and insights services that help businesses make data-driven decisions, improve operations, and drive growth.

Cloud and Infrastructure Services

IBEX Limited offers cloud and infrastructure services that help businesses migrate to the cloud, improve IT efficiency, and reduce costs.

8. IBEX Limited's Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for IBEX Limited is moderate due to the availability of alternative products and services in the market.

Bargaining Power Of Customers

The bargaining power of customers is high due to the presence of a large number of customers and the availability of alternative products and services.

Bargaining Power Of Suppliers

The bargaining power of suppliers is low due to the presence of multiple suppliers and the company's ability to negotiate prices.

Threat Of New Entrants

The threat of new entrants is moderate due to the presence of barriers to entry and the company's established position in the market.

Intensity Of Rivalry

The intensity of rivalry is high due to the presence of a large number of competitors and the competitive nature of the industry.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 34.48%
Debt Cost 3.95%
Equity Weight 65.52%
Equity Cost 7.31%
WACC 6.15%
Leverage 52.61%

11. Quality Control: IBEX Limited passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
IBEX

A-Score: 5.0/10

Value: 5.0

Growth: 5.7

Quality: 6.1

Yield: 0.0

Momentum: 10.0

Volatility: 3.0

1-Year Total Return ->

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Usio

A-Score: 4.0/10

Value: 6.2

Growth: 4.7

Quality: 5.8

Yield: 0.0

Momentum: 5.0

Volatility: 2.3

1-Year Total Return ->

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Stock-Card
WidePoint

A-Score: 3.8/10

Value: 5.1

Growth: 4.6

Quality: 4.4

Yield: 0.0

Momentum: 7.5

Volatility: 1.3

1-Year Total Return ->

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Stock-Card
Conduent

A-Score: 3.6/10

Value: 8.4

Growth: 3.7

Quality: 4.2

Yield: 0.0

Momentum: 1.5

Volatility: 4.0

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Telos

A-Score: 3.6/10

Value: 6.8

Growth: 0.8

Quality: 3.3

Yield: 0.0

Momentum: 10.0

Volatility: 0.7

1-Year Total Return ->

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Grid Dynamics

A-Score: 2.9/10

Value: 4.3

Growth: 4.3

Quality: 5.5

Yield: 0.0

Momentum: 0.5

Volatility: 3.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

36.86$

Current Price

36.86$

Potential

-0.00%

Expected Cash-Flows