Half Yearly Report

25 February 2015

IBEX Global Solutions Plc

("IBEX" or "the Company" or "the Group")

Interim Results for the Six Months Ended 31 December 2014

IBEX Global Solutions Plc (AIM: IBEX), a leading provider of contact centre services and other business process outsourcing (BPO) solutions, is pleased to announce its interim results for the six months ended 31 December 2014.

Financial Highlights:

Operational Highlights:

*Adjusted for exceptionals and share based payments

Muhammad Ziaullah Khan Chishti, Chairman of the Group, commented: "The current half year results represent an acceleration of the growth attained during the prior period, and I believe the business has clearly demonstrated its momentum and potential as we deliver on our plan to grow IBEX and deliver greater shareholder value and returns."

For further information, please visit www.ibexglobal.com or contact:

Chairman's Statement

I am pleased to present my report as Chairman of IBEX for the interim period ended 31 December 2014. The current half year results represent an acceleration of the growth attained during the prior period, and I believe the business has clearly demonstrated its momentum and potential as we deliver on our plan to grow IBEX and deliver greater shareholder value and returns.

Financial Results

IBEX delivered significant growth in the six-month period to 31 December 2014. Revenues were $123.0 million (2013: $91.0 million) and adjusted EBITDA was $10.7 million (2013: $4.5 million), reflecting growth of 35.2% and 137.8%, respectively. Profit before tax was $8.1 million (2013: Loss before tax of $0.3 million).

IBEX's financial success was supplemented by several operational successes during the half year. The Group was able to utilise a significant portion of the infrastructure that it had invested in during the prior year, and opened an additional contact centre facility in the US targeted primarily at one of its leading telecommunications clients with whom it has undergone significant volume expansion. In addition to expanding its client base more broadly, the Group also won several new blue chip clients during this half year.

Dividend

In line with our policy of distributing a high proportion of net income to our shareholders, the Board has announced an interim dividend of $2.7 million, corresponding to 6.8 cents per share. The dividend will be paid on 27 March 2015 to shareholders registered on 6 March 2015. The ex-dividend date is 5 March 2015.

Share buyback

The board has set aside a portion of its surplus earnings towards a $1.0 million share buyback, to be deployed over the next six months. The buyback affirms the Board's confidence in the Group's prospects and market position.

Management Changes

Following an announcement made in early October 2014, Mr. Mohammed Khaishgi took over as Interim Chief Executive Officer (CEO) of the Group and has been acting in this position since then. The Group is engaged in a search process for a new CEO and expects to fill this position in the near future. We look forward to updating shareholders in due course.

Management and Staff

I would like to thank the management and staff of our Group for their tireless efforts and accomplishments during this half year. We are well on course in our objective of consistently growing IBEX and making ourselves into a global customer interaction solutions provider of choice.

Muhammad Ziaullah Khan Chishti

Chairman

Chief Executive Officer's Review

The Group built on the strong performance of last year by delivering a very strong first half of the current fiscal year, representing significant accretion in both revenues and profitability. Our sustained growth over the last few years has been well in excess of industry averages, and reflects the strength of our business model, where we strive to deliver superior performance to our existing clients, thereby winning their trust and confidence, and complement this growth with a stream of new client wins.

Financial Review

The principal key financial performance indicators (KPIs) used by the Board in measuring the performance of the Group are Revenue, Cost of Sales, SG&A, Adjusted EBITDA and Net Income/Loss.

The Income Statement KPIs above are in line with the Board's expectations for the full year.

Revenue for the period was up 35.2% to $123.0 million (2013: $91.0 million) driven primarily by increasing business from our established client base. While revenue growth year on year during the period was primarily due to an increase in the recurring top line run rate, it was further positively impacted through a combination of seasonality as well as the timing of profitable project work for certain clients which the Board does not expect to be repeated in the second half.

Adjusted EBITDA rose 137.8% to $10.7 million (2013: $4.5 million), principally due to the rapid rate of growth in revenue and the operating leverage inherent in the business which serves to increase margins with top line growth.

Profit before tax for the period was $8.1 million (2013: Loss before tax of $0.3 million). Earnings per share was 18.61 cents. Cash in bank and on hand was $3.7 million (31 December 2013: $7.3 million). Net debt (third party borrowings less cash and cash equivalents) at the end of the period was $26.1 million (31 December 2013: $10.9 million). Net debt increased significantly during fiscal 2014 due to capital expenditures associated with new and/or expanded facilities, net working capital uses and capital expenditures other than facilities, however, underlying net debt remained broadly unchanged due to our strong internal cash generation. During the half year, we invested $5.0 million in total capital expenditures, of which approximately $0.8 million was related to the opening of a new site in the US, while the remaining amount corresponds to capital expenditures associated with ongoing operations including upgrades of the Group's calling platform.

Operational Review

The majority of our revenue growth for the period relates to additional work awarded to us by existing clients. We also recognised a number of new client wins which position us well to sustain our growth trajectory beyond the current fiscal year.

The Group's increase in revenues during this period was underpinned by three of its largest clients. Its first client, a global telecommunications provider, continued the increase in volumes sourced from the Group's offshore delivery facilities in the Philippines. Another existing client, active in the cable and satellite industry, doubled its volume sourced from IBEX by adding a supplemental line of business serviced by the Group's US and Philippines sites. A third client, a leading US telecommunications provider, increased its volume with the Group threefold following a significant increase in its subscriber base pursuant to a series of acquisitions.

During the period under review, the Group signed new contracts with four new clients, including a large insurance company, a home solutions company and a transportation services provider. These wins continue to reflect our investment in new business development across a diversified set of verticals and represent a base of new clients that we will look to grow in the coming quarters. Our growth was further supplemented by the addition of new lines of business with existing clients, most noteworthy of which was the addition of customer care services to our existing customer acquisition work for a travel and hospitality provider.

The Group's half year results also reflect the effect of seasonality as well as project revenues associated with some of its key clients. One of the Group's largest clients is a technology company that typically experiences significant product demand at the end of the summer period and during the holiday season, and consequently has significantly greater volumes of costumer contact during the July to December half year. One of the Group's telecommunications clients also experienced significantly increased call volumes as a result of an acquisition carried out by that client which generated significant project revenues for the Group. Such project activity with this client takes place periodically but the Board do not expect it to be repeated during the second half.

The Group has maintained its focus on client diversification as it has grown its revenues. Whereas most of its growth until fiscal 2014 was a result of expansion of its top two clients, its fiscal 2015 growth (as reflected by its first half results) is more broad-based, and reflects volume increases beyond those top two clients. The Group is also investing in diversification in its delivery locations, with nearly half of the Group's headcount now based outside the US. The Group is considering adding a "near shore" location to service growing US client demand for delivery from a low cost location that is proximate to the US. Finally, the Group intends to diversify the geographical spread of its client base, by investing in business development activity in Europe, leveraging its facilities in the UK as well its French-speaking facility in Senegal.

IBEX's business model continues to be based upon a virtuous cycle of sourcing high quality front line agents, delivering a superior level of performance, and as a result, growing its delivery volumes with its existing client base. In order to ensure a sufficiently broad base of clients that the above model could be applied to in order to sustain its rapid growth, IBEX has invested in a robust business development effort, where it focuses on winning a regular stream of new client labels such that it can repeat this cycle year after year. IBEX also benefits from a lean overhead structure, with SG&A being maintained at a low level of 12-14% of revenues. As a result, IBEX has strong operating leverage associated with its business model and is focused on the excellence of its operational execution such that its clients entrust greater portions of their outsourcing spend to IBEX.

With increasing returns from scale, the Group is now generating increased levels of operating cash flow which enable distributions to shareholders even after meeting its capital expenditure obligations. For this reason the Board believes that the Group can pursue a growth strategy and offer cash returns to our shareholders.

Outlook

Since the start of the 2015 financial year, we have continued to see strong growth and anticipate the balance of the year will provide further opportunities. Our core clients continue to deliver growing volumes of business to us and we remain confident that our sales team will deliver new client wins which will diversify our revenue streams, in line with our strategy. While our industry is deeply fragmented, there are clear benefits to scale. Our lean overhead structure allows us to enjoy those benefits at a lower revenue threshold, which is the reason we are able to balance, at our size, pursuing growth as well as providing yield opportunities to our shareholders.

Our growth is predicated upon our continuing commitment to delivering results for our clients, which in turn is dependent upon the manner in which we nurture and grow our workforce, which is our most critical asset. We are deeply thankful to our 12,000 plus associates around the world in being a part of our success story and we remain committed to providing greater opportunities for them, as well as continuing to enhance our position as the customer interaction provider of choice for our clients, both existing and new.

We continue to trade in line with the Board's expectations and look forward to the future with confidence.

Mohammed Khaishgi

Interim Chief Executive Officer

Independent review report to IBEX Global Solutions Plc

Introduction

We have been engaged by the Company to review the financial information in the half-yearly financial report for the six months ended 31 December 2014 which comprises the condensed consolidated statement of comprehensive income, the condensed consolidated statement of financial position, the condensed consolidated statement of changes in equity, the condensed consolidated statement of cash flows and the related Notes 1 to 21. We have read the other information contained in the half yearly financial report which comprises only the interim results announcement, chairman's statement and chief executive officer's review and considered whether it contains any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements.

This report is made solely to the Company in accordance with guidance contained in International Standard on Review Engagements or ISRE (UK and Ireland) 2410, 'Review of Interim Financial Information performed by the Independent Auditor of the Entity'. Our review work has been undertaken so that we might state to the Company those matters we are required to state to them in a review report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company, for our review work, for this report, or for the conclusion we have formed.

Directors' responsibilities

The half-yearly financial report is the responsibility of, and has been approved by, the Directors. The AIM rules of the London Stock Exchange require that the accounting policies and presentation applied to the financial information in the half-yearly financial report are consistent with those which will be adopted in the annual accounts having regard to the accounting standards applicable for such accounts.

As disclosed in Note 4, the annual financial statements of the Group are prepared in accordance with International Financial Reporting Standards as adopted by the European Union.

The financial information in the half-yearly financial report has been prepared in accordance with the basis of preparation in Note 2.

Our responsibility

Our responsibility is to express to the Company a conclusion on the financial information in the half-yearly financial report based on our review.

Scope of review

We conducted our review in accordance with ISRE (UK and Ireland) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity', issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the financial information in the half-yearly financial report for the six months ended 31 December 2014 is not prepared, in all material respects, in accordance with the basis of accounting described in Note 2.

Grant Thornton UK LLPAuditor

London

24 February 2015

Condensed Consolidated Statement of Comprehensive Income

Condensed Consolidated Statement of Financial Position

Condensed Consolidated Statement of Changes in Equity

Condensed Consolidated Statement of Cash Flows

Notes to the Condensed Consolidated Financial Information

1. Nature of the business

IBEX Global Solutions Plc (the Holding Company or Parent Company) was incorporated on 26 March 2013 as IBEX Global Solutions Limited and was re-registered as a public limited company on 4 June 2013. The Holding Company was incorporated under the Companies Act 2006 with a fiscal year end of 30 June. On 28 June 2013, the Holding Company was admitted to trade on the Alternative Investment Market (AIM), a market operated by the London Stock Exchange Plc.

IBEX Group (the Group) is a global portfolio of companies in the contact centre and related business process outsourcing (BPO) business, with operations in the United States, Philippines, United Kingdom, Pakistan and Senegal. Service offerings include customer care support, business and consumer inbound and outbound telesales and technical support services. IBEX Group also offers enabling technology solutions including Interactive Voice Response (IVR).

The IBEX Group consists of:

2. Basis of preparation

The interim condensed consolidated financial information is for the six months ended 31 December 2014. This interim condensed consolidated financial information does not constitute statutory financial statements as defined in the Companies Act 2006. These half yearly financial statements have been prepared on a consistent basis and format with the Group's annual consolidated financial statements for the year ended 30 June 2014. These half yearly financial statements have been prepared under the going concern assumption.

On 31 March 2013, IBEX Global Solutions Plc acquired 100% ownership of various subsidiaries from The Resource Group International Limited (TRGI) and issued its shares in exchange. Prior to this transaction, TRGI directly controlled each of the subsidiaries and, by virtue of its controlling interest in IBEX Global Solutions Plc, continues to control the subsidiaries. Accordingly, the Holding Company and its subsidiaries are presented as if they have been legally been a group of companies for all periods presented.

3. Ultimate parent undertaking and controlling entity

The ultimate parent entity is TRGI incorporated in Bermuda. The parent company of the largest group to include the IBEX Group in its consolidated financial statements is TRGI and its financial statements are not publically available. The ultimate controlling party of the Group are the Directors of TRGI.

4. Accounting policies

The interim condensed consolidated financial information has been prepared in accordance with the accounting policies applied in the Group's annual consolidated financial statements as of and for the year ended 30 June 2014. The Group financial statements for the year ended 30 June 2014 were prepared under International Financial Reporting Standards as adopted by European Union.

The policies have been consistently applied to all the periods presented, unless otherwise stated.

5. Finance costs

6. Exceptional finance cost

Early termination fees were paid to Capital Source Bank (CSB) after one of the subsidiaries of the Holding Company signed a Revolving Credit and Security Agreement with PNC Bank, National Association (PNC) for a new revolving line of credit (RLOC) to replace the CSB RLOC on 8 November 2013 (see Note 16).

7. Earnings per share

(a) Basic

Basic earnings / (loss) per share is calculated by dividing the profit / (loss) attributable to equity holders of the Holding Company by the weighted average number of ordinary shares in issue during the period.

(b) Diluted

Diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume conversion of all dilutive potential ordinary shares that could be issued from options outstanding for less than the average market price. As of 31 December 2013, the Holding Company had no dilutive potential ordinary shares.

As of 31 December 2014 and 30 June 2014, the reconciliation of the weighted average number of shares for the purposes of diluted earnings per share to the weighted average number of ordinary shares used in the calculation of basic earnings per share is as follows:

8. Intangible assets

The gross carrying amounts and accumulated amortisation of intangible assets are shown below.

The reconciliation of the carrying amounts of intangible assets is shown below.

9. Property and equipment

The gross carrying amounts and accumulated depreciation of property and equipment are shown below.

The reconciliation of the carrying amounts of property and equipment is shown below.

10. Other non-current assets

Other non-current assets consist of the following:

On 31 March 2013 the Holding Company entered into a contract of Standard Terms and Conditions with SATMAP Incorporated (SATMAP), subsequently amended on 31 March 2013 and April 2013 (the contract and the two amendments collectively, Agreement). Under the Agreement, the Holding Company (a) issued additional share capital of $1.0 million to TRGI, direct parent of the Holding Company and indirect parent of SATMAP; and (b) issued a note in the amount of $1.0 million payable to SATMAP. In exchange, the Holding Company received an asset of $2.0 million in dedicated data services (up to 2000 call-centre seats) from SATMAP to be amortised over 120 months. The asset represents an advance payment for the proprietary artificial intelligence and pattern recognition technology invented and developed by SATMAP (SATMAP Services). The SATMAP Services integrate with call-centre telephony and agent staffing to connect in real time customers with agents most likely to produce improved performance and service in call outcomes for such customers. As of 14 October 2013, the Holding Company (with the consent of SATMAP) assigned all of its rights and obligations under the Agreement and the note to TRG Customer Solutions, Inc. d/b/a IBEX Global Solutions, Inc. (IBEX US), which assumed all such rights and obligations. The assignment and assumption of the Agreement and the note enables IBEX US to use the SATMAP Services in its call centres. IBEX US deploys the SATMAP Services in its call centres to enhance performance and as a value-added differentiator for its clients, producing more revenue for both the clients and IBEX US. The total value (net of amortisation) of this asset as of 31 December 2014 is $1.6 million, of which $1.4 million is classified as a non-current asset ($0.7 million each in long-term prepayment and long-term deferred expenses) and $0.2 million is classified as a current asset. As of 31 December 2013 and 30 June 2014, the total value of this asset (net of amortisation) was $1.8 million, of which $1.6 million was classified as a non-current asset ($0.8 million each in long-term prepayment and long-term deferred expenses) and $0.2 million was classified as a current asset.

11. Trade and other receivables

Trade and other receivables consist of the following:

Provision for doubtful debts