IBEX raises 2027 revenue outlook to $720–735 million after 15.9% quarterly growth
Key Facts
IBEX raised its fiscal 2027 revenue outlook to a range of $720 million to $735 million after reporting revenue of $175.2 million in the first fiscal quarter, up 15.9% from the year-earlier period. The company said in its earnings release that the new outlook implies annual growth of 12% to 14%, compared with its previous range of $700 million to $715 million, or growth of 9% to 11%. The announcement came on November 5, 2026, as the company posted double-digit growth for the seventh consecutive quarter, according to Chief Executive Bob Dechant. Dechant added that the quarter produced the highest quarterly adjusted EBITDA in the company's history. The higher outlook extends the quarter's results, as adjusted profitability grew faster than revenue alongside improved margins.
Net income rose to $14.8 million in the quarter from $12 million in the year-earlier quarter, while net income margin increased to 8.4% from 8%. Adjusted EBITDA was $25.2 million, compared with $19.5 million a year earlier, and its margin rose to 14.4% from 12.9%. Diluted earnings per share were $0.99, compared with $0.82, while adjusted diluted earnings per share increased to $1.10 from $0.90. The company said the quarter set a record for operating cash flow at $16.3 million, compared with $15.7 million in the year-earlier period. Free cash flow was $9.2 million, versus $8 million a year earlier.
IBEX also raised its fiscal 2027 adjusted EBITDA outlook to $96–99 million, from a previous range of $90 million to $94 million. The new guidance implies annual growth of 17% to 20%, compared with previous expectations of 9% to 14%. The company, meanwhile, expects capital expenditures of about $30 million during the fiscal year, at the upper end of its previous range of $25–30 million. It attributed the expected spending level to its higher growth outlook. The revised guidance shows capital expenditure growth running alongside higher revenue and profitability estimates.
Quarterly growth spanned multiple segments, led by tech-enabled healthcare, which increased 39.9%. Travel, transportation and logistics grew 16.4%, while technology rose 9.8% and retail and e-commerce increased 8.7%. The company said revenue growth extended across these segments, alongside further expansion in digital acquisition and accelerating AI agent solutions. The results highlight differing growth rates among the businesses, with tech-enabled healthcare ahead of the other segments listed. The company did not detail each segment's contribution to total quarterly revenue in the release.
On new business, IBEX said it won four new clients during the quarter, including two in financial technology. It added that it recorded four new wins for AI agent solutions through its partnership with Sierra since the quarter ended on September 30, 2026. The deals follow a period in which the company said agent solutions accelerated alongside growth in digital acquisition. The company linked its expanding client base with the development of its AI-based offerings, without specifying contract values or their expected financial impact. The company ended fiscal 2026 with revenue of $644.1 million, up 15.4% from $558.3 million in the previous fiscal year, and at the time recorded double-digit revenue growth for the sixth consecutive quarter.
In the market, IBEX shares closed at $44.70 on November 4, 2026, according to EL7 data. The company had scheduled its earnings conference call and webcast for 4:30 p.m. Eastern time on November 5, 2026. It said in its release that Chief Executive Bob Dechant and Chief Financial Officer Richard St. John would take part in the call to discuss the results and outlook. The call follows the first-quarter results and the increases to the fiscal-year revenue and adjusted earnings ranges. The reported performance marks the start of the company's fiscal 2027, following double-digit annual growth in the previous fiscal year.