EXLS · 10-Q · 2026Q1 · Full report
Operating Cash Flow Trends
ExlService Holdings, Inc. · 2026-04-28 · Importance 46 · Surprise 56
Net cash provided by operating activities fell to $1.7 million in Q1 2026 from $3.2 million in Q1 2025, a 47.0% decrease. The decline was driven by a $2.5 million decrease in cash earnings (non-cash adjustments), a $5.0 million unfavorable change in accounts receivable and advance billings, and a $6.0 million change in other assets, accounts payable and other liabilities. Days sales outstanding improved to 63 days as of March 31, 2026 from 67 days a year earlier. Operating cash generation remained modest at $1.7 million for the quarter, increasing sensitivity to working capital swings.
Key facts
- The decrease in net cash provided by operating activities included a $2.5 million decrease from cash earnings adjustments, a $5.0 million decrease from changes in accounts receivable including advance billings, and a $6.0 million change in other assets, accounts payables and other liabilities for the three months ended March 31, 2026 versus the three months ended March 31, 2025.
- Net cash provided by operating activities for the three months ended March 31, 2026: $1.7 million, down $1.5 million or 47.0% from $3.2 million for the three months ended March 31, 2025.
- Days sales outstanding were 63 days as of March 31, 2026, compared to 67 days as of March 31, 2025.
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| cash | negative | realized | -0.3% | The decrease in net cash provided by operating activities included a $2.5 million decrease from cash earnings adjustments, a $5.0 million… |
| cash | negative | realized | -0.3% | The decrease in net cash provided by operating activities included a $2.5 million decrease from cash earnings adjustments, a $5.0 million… |
| cash | negative | realized | -0.1% | The decrease in net cash provided by operating activities included a $2.5 million decrease from cash earnings adjustments, a $5.0 million… |
| cash | negative | realized | -0.1% | Net cash provided by operating activities for the three months ended March 31, 2026: $1.7 million, down $1.5 million or 47.0% from $3.2… |
| cash | positive | realized | — | Days sales outstanding were 63 days as of March 31, 2026, compared to 67 days as of March 31, 2025. |