Executive Summary

Reported revenue declined 4% year-over-year to $255.2M, but rose 5% on a constant-currency basis; GAAP diluted EPS fell to $0.26 (–49% YoY), with non-GAAP EPS at $0.36 .
Q4 operating cash flow strengthened to $32.5M, up from $23.6M in Q3 and $29.6M in Q4 2021, reflecting improved cash conversion despite FX headwinds and higher interest expenses .
Management flagged higher borrowing costs as a key earnings drag and is pursuing EbixCash IPO and debt refinancing to reduce interest expense; the corporate credit facility was extended to May 23, 2023 with higher margins (+~1% rate impact) .
Segment mix showed EbixCash exchanges as 74% of Q4 revenue, with Insurance exchanges flat and Risk Compliance Solutions (RCS) stable; FX and reopening costs (rent) weighed on reported figures .
Wall Street consensus (S&P Global) for Q4 2022 was unavailable; estimate comparisons are therefore not provided (attempted via S&P Global but mapping not available).

What Went Well and What Went Wrong

What Went Well

Solid constant-currency growth: Q4 revenue +5% YoY c/c ($279.0M vs $266.8M), with 8 of 11 major geographies growing; full-year 2022 c/c revenue +11% .
Strong cash generation: Q4 operating cash flow of $32.5M, up both sequentially and YoY, indicating robust cash conversion amid macro/FX pressures .
Recovery in COVID-impacted businesses and momentum in EbixCash categories: CEO cited travel, FX/outward remittance, BPO/IT services, e-learning and LATAM as main contributors to growth in 2022; “Our EbixCash exchange revenues, excluding our prepaid gift card business, generated 58% YoY growth in 2022” .
- Quote: “On a constant currency basis, our Q4 2022 revenues grew by 5% year-over-year… The main contributors to this double digit growth for the full year were… EbixCash travel and foreign exchange/outward remittance… BPO/IT Services… e-learning… Financial technologies… Latin American… US Annuitynet” .
- CFO tone: “We expect… returning to pre-COVID-19 quarterly operating levels by the end of 2023” .

What Went Wrong

Net income and EPS compressed sharply: Q4 GAAP net income fell to $7.8M (–49% YoY) and GAAP diluted EPS to $0.26, driven by higher interest expense (+$5.8M YoY in Q4; +$13.7M for FY), and increased G&A (rent +$3.5M; salaries +$4.1M) .
Reported revenue down 4% YoY on FX strength despite c/c growth, underscoring currency sensitivity of international operations .
Refinancing costs and tighter credit terms: facility extension required prepayments and raised margins (SOFR +7%, base +6%), elevating interest burden until a structural solution (e.g., EbixCash IPO) is executed .
- Quote: “Our net income is getting negatively affected by the high cost of bank interest and associated legal and advisory fees… Once our EbixCash IPO is carried out successfully, it is expected to reduce our interest costs substantially” .

Financial Results

Revenue, EPS, Operating Income, Net Income, and Cash Flow

Metric	Q4 2021	Q2 2022	Q3 2022	Q4 2022
Revenue ($USD Millions)	$266.8	$250.8	$257.9	$255.2
GAAP Diluted EPS ($)	$0.50	$0.63	$0.59	$0.26
GAAP Operating Income ($USD Millions)	$32.4	$30.1	$30.4	$29.8
GAAP Net Income ($USD Millions)	$15.4	$19.3	$18.3	$7.8
Operating Cash Flow ($USD Millions)	$29.6	$21.4	$23.6	$32.5
Non-GAAP Diluted EPS ($)	—	$0.75	$0.71–$0.73	$0.36

Margins (calculated from reported figures)

Margin	Q4 2021	Q2 2022	Q3 2022	Q4 2022
EBIT Margin %	12.1% (32.4/266.8)	12.0% (30.1/250.8)	11.8% (30.4/257.9)	11.7% (29.8/255.2)
Net Income Margin %	5.8% (15.4/266.8)	7.7% (19.3/250.8)	7.1% (18.3/257.9)	3.1% (7.8/255.2)

Reported vs Constant Currency Revenue

Metric	Q4 2021	Q2 2022	Q3 2022	Q4 2022
Reported Revenue ($USD Millions)	$266.8	$250.8	$257.9	$255.2
Constant Currency Revenue ($USD Millions)	—	$260.2	$274.8	$279.0
YoY Growth (Reported)	—	+1.8%	+34.5%	–4.3%
YoY Growth (Constant Currency)	—	+5.6%	+43.3%	+5.0%

Segment/Channel Breakdown (Q4 revenue; $USD thousands)

Channel	Q4 2022	Q4 2021	YoY
EbixCash Exchanges	$188,899	$199,899	–6%
Insurance Exchanges	$43,806	$44,410	–1%
RCS – Insurance	$22,502	$22,518	~0%
Total Revenue	$255,207	$266,827	–4%
Total Revenue (Constant Currency)	$278,995	$266,827	+5%

KPIs and Other Items

KPI	Q4 2021	Q2 2022	Q3 2022	Q4 2022
Operating Cash Flow ($USD Millions)	$29.6	$21.4	$23.6	$32.5
Dividend per Share ($)	$0.075 [—]	$0.075	$0.075	$0.075
Expected Diluted Share Count (Timing per disclosure)	—	—	~30.8M (Dec 31, 2022)	~30.8M (Mar 31, 2022)

Note: The Q4 2022 press release refers to “March 31, 2022” for diluted share count; this appears to be a dating inconsistency in the document .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Corporate credit facility terms	Through May 23, 2023	Maturity Feb 21, 2023; prior margins	Maturity extended to May 23, 2023; margins increased to 7.00% (SOFR loans/LC fees) and 6.00% (base rate); $5M prepayment; amortization $5M for Q1 FY23	Tightened/extended; higher interest cost
Interest expense outlook	Near term	Not specified	Higher interest costs cited as earnings drag; IPO expected to reduce interest costs substantially	Elevating near-term interest burden; IPO as relief vector
Operational trajectory (COVID-impacted lines)	FY 2023	Not specified	Management targets return to pre-COVID quarterly operating levels by end of 2023	Positive trajectory (recovery)
Dividends	Quarterly	Ongoing $0.075	$0.075 paid in Q4 2022	Maintained

No numerical revenue/EPS/margin guidance ranges were provided in the Q4 materials .

Earnings Call Themes & Trends

Transcript retrieval was unavailable due to a database inconsistency; themes below reflect press release and related filings.

Topic	Previous Mentions (Q2 2022)	Previous Mentions (Q3 2022)	Current Period (Q4 2022)	Trend
FX headwinds	Reported +6% c/c growth vs +2% reported; FX reduced revenue by $9.4M in Q2	Largest negative FX quarterly impact in 5+ years; c/c +43% vs +35% reported	Q4 revenue –4% reported; +5% c/c; FX reduced revenue by $23.8M	Persistent headwind; scale elevated in Q4
Interest expense/refinancing	Interest expense up YoY; focus on refinancing/IPO paths noted	Incremental interest +$4.5M YoY; multiple refinancing avenues pursued	Credit facility extended; margins raised; management highlights interest drag and IPO to reduce costs	Near-term pressure; strategic relief via IPO
EbixCash growth drivers	Travel/FX +293% YoY; BPO +70%; e-learning +~600%; prepaid cards down	Travel/FX +145% YoY; BPO +42%; e-learning +110%	Full-year growth across travel, FX/remittances, BPO/IT services, e-learning; excluding gift cards +58% YoY	Broad-based growth ex prepaid cards
Insurance exchanges	+1% YoY (Q2)	–2% YoY; slightly higher on c/c (Q3)	Essentially flat YoY (FY); slightly higher on c/c in Q4	Stabilizing/slightly improving on c/c
Operating costs (rent/wages)	G&A rising vs prior year	G&A rising	Rent +$3.5M YoY (airport/port reopenings); salaries +$4.1M YoY; wage inflation in India technical talent	Reopening/inflation pressures persisting

Management Commentary

CEO strategic message: “On a constant currency basis, our Q4 2022 revenues grew by 5%… The main contributors… EbixCash travel and foreign exchange/outward remittance… BPO/IT Services… e-learning… Financial technologies… Latin American… US Annuitynet… Our EbixCash exchange revenues, excluding our prepaid gift card business, generated 58% YoY growth in 2022” .
On interest burden/solutions: “Our net income is getting negatively affected by the high cost of bank interest and associated legal and advisory fees… Once our EbixCash IPO is carried out successfully, it is expected to reduce our interest costs substantially” .
CFO confidence and recovery: “Despite the highest negative impact from foreign exchange movements… the Company generated Adjusted EBITDA… $142.7M in 2022… We expect… returning to pre-COVID-19 quarterly operating levels by the end of 2023… with continued EbixCash growth… and growth in insurance exchanges and risk compliance solutions revenues in 2023” .

Q&A Highlights

The Q4 2022 earnings call transcript could not be retrieved due to a database inconsistency; as a result, specific Q&A themes, guidance clarifications, and tone changes versus prior quarters are not available from the transcript in this analysis (document exists but content inaccessible: earnings-call-transcript dated March 15, 2023) [3:—].

Estimates Context

S&P Global consensus estimates for EBIX Q4 2022 were unavailable via the tool (missing CIQ mapping), so comparisons to Street EPS and revenue estimates cannot be provided. Where estimate data is needed, we recommend cross-checking with S&P Global once mapping is resolved.

Key Takeaways for Investors

Underlying demand resilient: Constant-currency revenue rose 5% YoY in Q4, with broad-based strength across EbixCash categories and stable Insurance exchanges on a c/c basis—suggesting core demand is intact despite FX and reopening costs .
Earnings drag from financing costs: Elevated interest expense and tighter credit facility terms are suppressing net income and EPS; focus near term is on refinancing and executing EbixCash IPO to structurally lower interest burden .
Cash generation improving: Q4 operating cash flow increased to $32.5M, offering support for operational flexibility amid macro headwinds and refinancing steps .
Segment mix matters: EbixCash exchanges comprise the majority of revenue; excluding prepaid gift cards, growth is strong, but FX sensitivity and reopening costs (airport/port rents) will influence near-term profitability .
Watch catalysts: Progress on EbixCash IPO (SEBI clearance obtained) and debt refinancing outcomes are the pivotal stock catalysts likely to drive estimate resets and sentiment .
Dividend maintained: Quarterly dividend ($0.075) provides income continuity, though capital allocation flexibility remains tied to refinancing and IPO timing .
Absent Street estimates: Lack of accessible S&P Global consensus data limits immediate beat/miss framing; investors should focus on operational trajectory and financing updates until consensus visibility improves.

EBIX INC (EBIX)·Q4 2022 Earnings Summary