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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 Exceptional Q2 Results with 17% Revenue Growth and 46% Adjusted EPS Growth

IBEX reported record revenue of $164.2 million, a 16.7% increase from $140.7 million in the prior year quarter, marking its fourth consecutive quarter of double-digit top-line growth. Adjusted EBITDA increased to a record $20.7 million or 12.6% of revenue, up from $16.5 million or 11.8% of revenue in the same period last year. The company's adjusted EPS came in at $0.87, beating estimates of $0.855. Revenue growth was driven by the high-margin HealthTech vertical, which grew 35.1%, followed by travel, transportation, and logistics, and retail and e-commerce.

Publication Date: Feb -24

📋 Highlights
  • Revenue Growth:: Q2 revenue reached $164.2M, up 16.7% YoY, marking four consecutive quarters of double-digit growth.
  • Adjusted EBITDA Record:: Adjusted EBITDA hit $20.7M (12.6% of revenue), a 25.5% increase from $16.5M in the prior year quarter.
  • HealthTech Vertical Surge:: High-margin HealthTech revenue grew 35.1%, outpacing overall revenue growth and driving strategic focus shifts.
  • AI Leadership:: Wave iX AI solution expansion and promotion of Chief AI Officer signal $80M–$82M EBITDA guidance increase, reflecting AI-driven differentiation.
  • Geographic Strategy Shift:: Onshore revenue rose to 24% of total (from 22%), driven by 27.5% growth in high-margin digital services, while offshore revenue remained 52.3%.

Segment Performance

The company's offshore revenues, which have the highest margins, grew 16.2% compared to the prior year quarter. Nearshore locations grew 8.5%, while onshore revenues expanded 27.5%, driven by growth in high-margin digital acquisition services. Offshore revenues comprised 52.3% of total revenue, while onshore revenues expanded to 24% of total revenue from 22% in the prior year quarter.

Guidance and Outlook

IBEX raised its revenue and adjusted EBITDA guidance for the year, citing strong demand for AI-powered CX solutions. Revenue is now expected to be in the range of $620 million to $630 million, up from the previous range of $605 million to $620 million. Adjusted EBITDA is expected to be in the range of $80 million to $82 million, up from $78 million to $81 million. The company's business is well-positioned for the second half of the fiscal year and beyond, driven by its market-leading growth profile, expanding margins, and strong cash flow generation.

Valuation

IBEX trades at a P/E Ratio of 8.44 and an EV/EBITDA multiple of 5.84, indicating a relatively attractive valuation given its growth prospects. The company's ROE stands at 31.85%, and ROIC at 20.17%, highlighting its ability to generate strong returns on capital. Analysts estimate revenue growth at 5.7% for next year, which may be conservative given the company's recent performance and guidance.

3. NewsRoom

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IBEX Limited (NASDAQ:IBEX) Short Interest Up 54.1% in February

Mar -01

Source: defenseworld.net

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Robert Thomas Dechant Sells 6,000 Shares of IBEX (NASDAQ:IBEX) Stock

Feb -25

Source: defenseworld.net

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IBEX Limited (IBEX) Q2 2026 Earnings Call Transcript

Feb -06

Source: seekingalpha.com

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

Feb -05

Source: globenewswire.com

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IBEX Limited to Announce Second Quarter 2026 Financial Results on February 5, 2026

Jan -22

Source: globenewswire.com

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IBEX: A Boring Business That Keeps Beating Expectations

Jan -08

Source: seekingalpha.com

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IBEX (NASDAQ:IBEX) Stock Price Down 4.9% – Here’s Why

Jan -03

Source: defenseworld.net

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

Dec -03

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: 5.1/10

Value: 5.6

Growth: 5.7

Quality: 6.1

Yield: 0.0

Momentum: 10.0

Volatility: 3.3

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Usio

A-Score: 4.4/10

Value: 6.6

Growth: 4.7

Quality: 5.8

Yield: 0.0

Momentum: 6.0

Volatility: 3.3

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WidePoint

A-Score: 4.2/10

Value: 5.4

Growth: 4.6

Quality: 4.3

Yield: 0.0

Momentum: 8.5

Volatility: 2.3

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Conduent

A-Score: 3.5/10

Value: 8.9

Growth: 3.7

Quality: 4.3

Yield: 0.0

Momentum: 0.5

Volatility: 3.3

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Telos

A-Score: 3.3/10

Value: 5.5

Growth: 0.8

Quality: 3.1

Yield: 0.0

Momentum: 9.5

Volatility: 0.7

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Grid Dynamics

A-Score: 2.6/10

Value: 2.6

Growth: 4.3

Quality: 5.5

Yield: 0.0

Momentum: 0.0

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

29.04$

Current Price

29.04$

Potential

-0.00%

Expected Cash-Flows