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IR Contact: Michael Darwal, EVP, Investor Relations, ibex, michael.darwal@ibex.coMedia Contact: Daniel Burris, VP, Marketing and Communication, ibex, daniel.burris@ibex.co IBEX LIMITED AND SUBSIDIARIESConsolidated Balance Sheets(Unaudited)(in thousands) December 31,2024 June 30,2024Assets Current assets Cash and cash equivalents$20,206 $62,720 Accounts receivable, net 120,581 98,366 Prepaid expenses 6,905 7,712 Due from related parties 317 192 Tax advances and receivables 8,968 9,080 Other current assets 2,039 1,888 Total current assets 159,016 179,958 Non-current assets Property and equipment, net 32,168 29,862 Operating lease assets 54,057 59,145 Goodwill 11,832 11,832 Deferred tax asset, net 5,052 4,285 Other non-current assets 10,373 8,822 Total non-current assets 113,482 113,946 Total assets$272,498 $293,904 Liabilities and stockholders' equity Current liabilities Accounts payable and accrued liabilities$19,924 $16,719 Accrued payroll and employee-related liabilities 33,278 30,674 Current deferred revenue 7,223 4,749 Current operating lease liabilities 12,208 12,051 Current maturities of long-term debt 8,217 660 Convertible debt 25,000 — Due to related parties 149 60 Income taxes payable 4,643 6,083 Total current liabilities 110,642 70,996 Non-current liabilities Non-current deferred revenue 1,119 1,128 Non-current operating lease liabilities 48,286 53,441 Long-term debt 695 867 Other non-current liabilities 2,819 1,673 Total non-current liabilities 52,919 57,109 Total liabilities 163,561 128,105 Stockholders' equity Common stock 1 2 Additional paid-in capital 212,116 210,200 Treasury stock (101,606) (25,367)Accumulated other comprehensive loss (7,250) (7,913)Retained earnings / (deficit) 5,676 (11,123)Total stockholders' equity 108,937 165,799 Total liabilities and stockholders' equity$272,498 $293,904 14IBEX LIMITED AND SUBSIDIARIESConsolidated Statements of Comprehensive Income(Unaudited)(in thousands, except per share data) Three Months Ended December 31, Six Months Ended December 31, 2024 2023 2024 2023 Revenue$140,682 $132,634 $270,399 $257,243 Cost of services (exclusive of depreciation and amortization presented separately below) 98,762 95,884 188,803 184,080 Selling, general and administrative 25,706 24,857 51,921 47,897 Depreciation and amortization 4,286 4,946 8,655 9,988 Total operating expenses 128,754 125,687 249,379 241,965 Income from operations 11,928 6,947 21,020 15,278 Interest income 311 512 894 1,098 Interest expense (620) (111) (782) (215)Income before income taxes 11,619 7,348 21,132 16,161 Provision for income tax expense (2,351) (1,273) (4,333) (2,661)Net income$9,268 $6,075 $16,799 $13,500 Other comprehensive income Foreign currency translation adjustments$(911) $679 $477 $(22)Unrealized (loss) / gain on cash flow hedging instruments, net of tax (193) 395 186 201 Total other comprehensive (loss) / income (1,104) 1,074 663 179 Total comprehensive income$8,164 $7,149 $17,462 $13,679 Net income per share Basic$0.61 $0.34 $1.05 $0.75 Diluted$0.57 $0.33 $1.00 $0.72 Weighted average common shares outstanding Basic 15,126 17,885 16,007 18,084 Diluted 16,456 18,440 16,977 18,667 IBEX LIMITED AND SUBSIDIARIESConsolidated Statements of Cash Flows(Unaudited)(in thousands) Three Months Ended December 31, Six Months Ended December 31, 2024 2023 2024 2023 CASH FLOWS FROM OPERATING ACTIVITIES Net income$9,268 $6,075 $16,799 $13,500 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 4,286 4,946 8,655 9,988 Noncash lease expense 3,083 3,297 6,409 6,522 Warrant contra revenue — 307 — 594 Deferred income tax (637) 52 (767) 296 Share-based compensation expense 1,235 1,427 1,905 2,275 Allowance of expected credit losses 240 (5) 323 6 Change in assets and liabilities: Increase in accounts receivable (14,856) (14,544) (22,505) (18,336)Decrease / (increase) in prepaid expenses and other current assets 722 (936) (1,013) (2,192)(Decrease) / increase in accounts payable and accrued liabilities (1,496) 338 3,078 544 Increase in deferred revenue 2,386 673 2,465 301 Decrease in operating lease liabilities (3,090) (3,267) (6,446) (6,451)Net cash inflow / (outflow) from operating activities 1,141 (1,637) 8,903 7,047 CASH FLOWS FROM INVESTING ACTIVITIES Purchase of property and equipment (4,319) (2,892) (7,949) (4,944)Net cash outflow from investing activities (4,319) (2,892) (7,949) (4,944) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from line of credit 9,100 59 9,160 96 Repayments of line of credit (1,600) (59) (1,660) (148)Proceeds from the exercise of options 342 6 724 11 Principal payments on finance leases (182) (116) (353) (204)Purchase of treasury shares (46,562) (8,442) (51,369) (10,274)Net cash outflow from financing activities (38,902) (8,552) (43,498) (10,519)Effects of exchange rate difference on cash and cash equivalents (19) 68 30 3 Net decrease in cash and cash equivalents (42,099) (13,013) (42,514) (8,413)Cash and cash equivalents, beginning 62,305 62,029 62,720 57,429 Cash and cash equivalents, ending$20,206 $49,016 $20,206 $49,016 IBEX LIMITED AND SUBSIDIARIESReconciliation 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: warrant contra revenue, foreign currency gain / loss, and share-based compensation expense, net of the tax impact of such adjustments. We define adjusted net income margin as adjusted net income divided by revenue.
Quarterly revenue grew 6.1% versus prior year quarter - highest growth in 9 quartersStrong adjusted EBITDA margin expansion year-over-year - 10 out of the last 11 quarters Adjusted EPS of $0.59 - an increase of 36% to prior year quarterRaises guidance on revenue and lower end of EBITDA rangeRepurchased approximately 3.6 million shares from TRGI during the second quarter of fiscal year 2025, representing 21% of our shares outstanding and eliminating controlled company status WASHINGTON, Feb.06, 2025 (GLOBE NEWSWIRE) -- IBEX Limited ("ibex”), a leading provider in global business process outsourcing and end-to-end customer engagement technology solutions, today announced financial results for its second fiscal quarter ended December 31, 2024. Three months endedDecember 31, Six months endedDecember 31,($ millions, except per share amounts) 2024 2023 Change 2024 2023 ChangeRevenue$140,682 $132,634 6.1% $270,399 $257,243 5.1%Net income$9,268 $6,075 52.6% $16,799 $13,500 24.4%Net income margin 6.6% 4.6% 200bps 6.2% 5.2% 100bpsAdjusted net income (1)$9,615 $8,024 19.8% $18,647 $15,598 19.5%Adjusted net income margin (1) 6.8% 6.0% 80bps 6.9% 6.1% 80bpsAdjusted EBITDA (1)$16,537 $14,324 15.4% $32,125 $28,035 14.6%Adjusted EBITDA margin (1) 11.8% 10.8% 100bps 11.9% 10.9% 100bpsEarnings per share - diluted (2)$0.57 $0.33 73.6% $1.00 $0.72 38.0%Adjusted earnings per share - diluted (1,2)$0.59 $0.44 36.3% $1.11 $0.84 32.5% (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. "Coming off an outstanding start to fiscal year 2025, I am thrilled to report another quarter of record financial results,” said Bob Dechant, ibex CEO.
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) 2024 2023 2024 2023 Net income$9,268 $6,075 $16,799 $13,500 Net income margin 6.6% 4.6% 6.2% 5.2% Warrant contra revenue — 307 — 594 Foreign currency (gain) / loss (912) 697 545 (100)Share-based compensation expense 1,235 1,427 1,905 2,275 Total adjustments$323 $2,431 $2,450 $2,769 Tax impact of adjustments1 24 (482) (602) (671)Adjusted net income$9,615 $8,024 $18,647 $15,598 Adjusted net income margin 6.8% 6.0% 6.9% 6.1% Diluted earnings per share$0.57 $0.33 $1.00 $0.72 Per share impact of adjustments to net income 0.02 0.11 0.11 0.11 Adjusted earnings per share$0.59 $0.44 $1.11 $0.84 Weighted average diluted shares outstanding 16,456 18,440 16,977 18,667 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.
