ExlService Holdings, Inc.EXLS

ExlService Holdings, Inc. Earnings Per Share Disclosure

10-KFiled Feb 24, 20262 min read
Earnings Per Share
The following table sets forth the computation of basic and diluted earnings per share:
Year ended December 31,
202520242023
Numerator:
Net income$251,019 $198,297 $184,558 
Denominator:
Basic weighted average common shares outstanding161,028,312 162,718,840 166,341,213 
Dilutive effect of stock-based awards1,453,274 1,602,816 1,820,158 
Diluted weighted average common shares outstanding162,481,586 164,321,656 168,161,371 
Earnings per share:
Basic$1.56 $1.22 $1.11 
Diluted$1.54 $1.21 $1.10 
Weighted average potentially dilutive shares considered anti-dilutive and not included in computing diluted earnings per share786,093 2,073,990 1,628,932 

In March 2024, the Company entered into a master confirmation (the “Master Accelerated Share Repurchase Confirmation”) and a supplemental confirmation (together, the “2024 ASR Agreement”), with Citibank, N.A. (“Citibank”). On
July 29, 2025, the Company entered into a new supplemental confirmation to the prior Master Accelerated Share Repurchase Confirmation (together, the “2025 ASR Agreement”). During the year ended December 31, 2025, the Company recorded the initial delivery and final settlement of shares in treasury stock, which resulted in an immediate reduction of its outstanding shares used to calculate the weighted average common shares outstanding for basic and diluted earnings per share.

The Company privately repurchased shares from Orogen Echo LLC (an affiliate of The Orogen Group LLC, hereafter referred to as “Orogen”) under a Stock Purchase Agreement dated December 15, 2025, which also resulted in an immediate reduction of its outstanding shares used to calculate the weighted average common shares outstanding for basic and diluted earnings per share. Refer to Note 19 - Capital Structure to the consolidated financial statements for further details.

Historical Timeline

Fiscal YearFiled
2025Feb 24, 2026Showing above
2024Feb 25, 2025
2023Feb 29, 2024
2022Feb 23, 2023
2021Feb 24, 2022
2020Feb 25, 2021
2019Feb 27, 2020
2018Feb 28, 2019
2017Feb 27, 2018
2016Mar 15, 2017

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.

Other Available Disclosures

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