Innodata Q1 revenue beats estimates

Innodata

07/05/2026 21:14

Overview

US data engineering firm's Q1 revenue rose 54% yr/yr, beating analyst expectations

Adjusted EBITDA for Q1 surged yr/yr, beating analyst expectations

Company raised 2026 revenue growth guidance

Outlook

Innodata raises full-year 2026 revenue growth guidance to ~40% or more, up from ~35%

Company expects new Big Tech engagements to generate about $51 mln in 2026 revenue

Innodata expects largest customer to represent a smaller share of 2026 revenue as diversification increases

Result Drivers

BIG TECH CUSTOMER WINS - Co said new and expanded engagements with Big Tech clients, including a new $51 mln program, contributed to revenue growth

CUSTOMER DIVERSIFICATION - Revenue from other Big Tech customers grew 453% yr/yr, reducing reliance on single client

PLATFORM LAUNCH - Co launched Evaluation and Observability Platform in beta and closed first $1 mln engagement with hyperscaler customer

Company press release: ID:nACScz91Fa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$90.1 mln
$76.46 mln (4 Analysts)
Q1 Net Income
$14.9 mln


Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the it services & consulting peer group is "buy."

Wall Street's median 12-month price target for Innodata Inc is $80.00, about 72% above its May 6 closing price of $46.51

The stock recently traded at 51 times the next 12-month earnings vs. a P/E of 49 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)