The software service provider Ebix Inc (EBIX) this week announced revenue growth in the third quarter. The news on the day was a catalyst of growth of more than 35 percent in EBIX shares trading on November 9. The stock was down 3.91 percent at $27.00 on Thursday but the stock added 38.25 percent to its value in past seven days.
Ebix specializes in designing and providing applications and services for the insurance, industrial, medical and education industries. Ebix focuses on the development and implementation of on-demand insurance exchanges in the insurance industry, as well as offering business software applications as a service in customer relationship management, outsourcing management, and risk compliance services.
The financial exchange portfolio of EbixCash is one of the leaders in domestic and international money transfers, foreign exchange, travel, prepaid and gift cards, utility payments, leasing, wealth management solutions and services in Southeast Asia.
EbixCash is also one of the leading travel exchanges in Southeast Asia, with 25 branches and more than 9,800 corporate customers, thanks to its Mercury Travel portfolio.
Ebix sales rose 5 percent year-on-year in the third quarter and nearly 40 percent to $154.3 million. Income diversification, which proved to be a serious competitive advantage during the COVID-19 period, is the reason for the development. In insurance and finance, the company was able to increase its sales and thereby offset the decrease in tourism.
Ebix’s operating income for the third quarter rose 23 percent year-on-year to $31.9 million, diluted earnings per share hit $0.8, and diluted earnings for non-GAAP were $0.93 per share.
A quarterly dividend of $0.075 per share was also announced by Ebix.
Ebix Inc (EBIX) has proven that it can fully operate with the help of a diversified portfolio even during such tough quarters which resulted in closures of several firms.