Why Ebix (EBIX) Shares Are Shooting Higher Today

Ebix, Inc EBIX reported a first-quarter FY23 revenue decline of 15.2% year-on-year to $242.8 million, missing the consensus of $246.1 million.
The decrease is primarily due to the negative effect of the substantial strengthening of the U.S. dollar. On a constant currency basis, Q1 revenues decreased 8.6% Y/Y.
Segments: EbixCash Exchanges revenue declined by 20% Y/Y to $179.4 million, Insurance Exchanges revenue declined by 3% Y/Y to $42.4 million, and RCS revenue grew by 13.9% Y/Y to $20.9 million.
Adjusted operating income was $34.8 million, up by 3% Y/Y.
Adjusted EPS of $0.49 beat the consensus of $0.33.
Ebix generated $7.2 million in operating cash flow and held $108.9 million in cash and equivalents.
Robin Raina, President & CEO of Ebix, Inc., said, "We are fully aware that non-operating costs, like the costs of debt and the advisory costs associated with it, continue to hamper our overall financial results."
"We are accordingly committed to the aspirational goal of a debt-free Ebix in the year 2023 itself. Towards that, we are looking forward to the EbixCash IPO besides having advanced forward on a number of strategic carve-out alternatives with the stated goal of not having a debt overhang beyond 2023."
Price Action: EBIX shares traded higher by 5.29% to $17.50 in premarket on the last check Wednesday.

Ebix Discloses Debt-Free Goals for 2023, EbixCash IPO, Stock Jumps