Exlservice Holdings, Inc. filed its 10-Q with the SEC, and its figures are now in our data. Growth is speeding up. Revenue over the twelve months to Q3 2026 was $2.3 billion, which rose 15.6% on the year before. That growth rate was up 1.9 percentage points on the rate a quarter earlier.
Source: SEC EDGAR XBRL company facts. Latest period shown: FY26 Q3.
View chart data
| Period | Revenue growth, TTM YoY | Operating margin (TTM) | FCF margin (TTM) |
|---|---|---|---|
| FY24 Q4 | 12.7% | 14.3% | 12.1% |
| FY25 Q1 | 14.2% | 14.7% | 12.9% |
| FY25 Q2 | 15.2% | 15.2% | 14.1% |
| FY25 Q3 | 14.4% | 15.1% | 14.2% |
| FY25 Q4 | 13.6% | 15.0% | 14.3% |
| FY26 Q1 | 13.4% | 15.2% | 13.8% |
| FY26 Q2 | 13.6% | 14.9% | 12.3% |
| FY26 Q3 | 15.6% | 14.8% | 11.6% |
What the company earns
The company makes money. The trailing gross margin was 38.4%. The trailing operating margin was 14.8%, down 0.4 percentage points from a year earlier. Alongside that, the trailing net margin was 11.1%. Net income over the twelve months was $260.6 million, which rose 7.9% on the year before.
Where the cash went
The cash flow statement shows a decline. Operating cash flow over the twelve months was $326.2 million, down 3.7% on the year before. Capital spending was $55.0 million, or 2.3% of revenue. Free cash flow, operating cash flow less capital spending, was $271.2 million, down 5.5% on the year before. Free cash flow was 11.6% of revenue (the free-cash-flow margin), down 2.6 percentage points from a year earlier.
The share base
The average diluted share count fell 4.9% over the year.
How today compares
In the context of past results: today’s free-cash-flow margin of 11.6% is higher than 60% of the company’s own past quarterly readings, which have ranged from 5.8% to 19.4%. Today’s operating margin of 14.8% is higher than 88% of past readings (5.1% to 15.2%). Today’s twelve-month revenue growth rate of 15.6% is higher than 60% of past readings (−3.3% to 44.6%).
Guidance
The company raised its full-year 2026 guidance for total revenue to a range of $2.39 billion to $2.42 billion, and for adjusted diluted earnings per share to a range of $2.25 to $2.29. The company gave its full-year 2026 guidance for anticipated revenue from imerit acquisition for iMerit acquisition of $28.0 million to $32.0 million.
What it means for value
For valuation, the figures matter through our model. In our model, growth 5 percentage points lower would lower the value by 24.7%, and 5 percentage points higher would raise it by 31.8%. A free-cash-flow margin 1 percentage point lower would lower it by 8.3%.
What to watch
The next filing will show whether the trends above continue, slow or reverse.
