EXLS · 10-Q · 2026Q1 · Full report

Revenue Concentration Risk

ExlService Holdings, Inc. · 2026-04-28 · Importance 61 · Surprise 32

The top ten clients accounted for 34.6% of total revenues in Q1 2026 (up from 33.7% in Q1 2025), indicating significant revenue concentration. Management acknowledges that the loss of any one of these top-ten clients could have a material adverse effect on financial performance despite ongoing client diversification efforts. While expansion within existing large clients is a growth driver, concentration means account-level churn or scope reduction would present material downside risk. The company highlights efforts to diversify through new client wins, but existing-client expansion remains the dominant growth vector.

Key facts

• Total revenues from the top ten clients accounted for 34.6% of total revenues for the three months ended March 31, 2026.
• Total revenues from the top ten clients accounted for 33.7% of total revenues for the three months ended March 31, 2025.