Ebix Affirms Continued Growth in 2011

Ebix, Inc. EBIX a leading international supplier of On-Demand software and E-commerce services to the insurance industry, today reaffirmed a positive outlook for the year 2011 and beyond. The Company decided to issue this release in response to the sudden stock price drop today. The Company confirmed the following – 1. The Company's financial health is in better shape than ever, as reflected in our operating cash flows of $52.8 million in 2010. The Company continues to generate strong cash flows and expects to post strong cash flow growth numbers in 2011. 2. The Company expects to continue to be consistent in its growth trajectory in 2011. 3. The Company's sales bookings continue to be strong with Exchange transactions numbers continuing to improve quarter over quarter. 4. The Company posted GAAP operating margins of 39% and non-GAAP operating margins of 43% in Q1 of 2011. The Company is focused on growing its operating margins and is looking at the 43% operating margin number as a new benchmark for itself. 5. The Company is not aware of anything negative within the Company that should result in a sudden price drop. The Company also confirmed that it has continued to buy back its stock from the market as per the allowed guidelines. The Company reiterated that while it already has a share buyback authorization from the Board for $45 million, the Ebix Board is committed to increasing the authorization once the Company utilizes this buyback authorization of $45 million.