EXL Reports 71% revenue growth for the Second Quarter

EXL Reports 71% revenue growth for the Second Quarter

Bangalore, India, Aug. 10 : ExlService Holdings, Inc. (Nasdaq: EXLS), a recognized provider of offshore solutions, including business process outsourcing, research and analytics and advisory services, today announced its financial results for the quarter ended June 30, 2007.

Vikram Talwar, CEO and Vice-Chairman of EXL, commented: “I am enthusiastic about the continued rapid growth in EXL’s business during the quarter and the strong interest we are seeing from new and existing clients. EXL secured eleven new clients this quarter including several blue-chip names in line with our strategy of acquiring the highest quality clients in select industry domains. We also entered a new vertical this quarter with the addition of a Fortune 500 transportation services provider. ”

Rohit Kapoor, President and COO of EXL, commented: “EXL is executing on its plan of investing in our front-end with the creation of our Strategic Account Management function with the goal of strengthening our existing client relationships. In addition, this quarter we added significant additional talent to the sales and marketing function. Operationally, our track record of process excellence remains strong and our attrition management program is beginning to deliver the desired results.”

Matt Appel, CFO of EXL, commented: “EXL’s revenue growth outperformed expectations this quarter and was led by continued strong momentum in the BPO business and a record quarter in advisory services. As a result, we are revising upward our 2007 revenue guidance to between $168 million and $172 million from $160 million to $170 million previously. In addition, despite the significant rupee appreciation during the second quarter, we are reaffirming our adjusted operating margin guidance of 12% for the year.”

About ExlService Holdings, Inc.

ExlService Holdings, Inc. (NASDAQ: EXLS), is a recognized provider of offshore solutions including business process outsourcing (BPO), research and analytics and advisory services. It primarily serves the needs of Global 1000 companies in the banking, financial services and insurance sector. EXL is headquartered at 350 Park Avenue, New York, NY. Find additional information about EXL at http://www.exlservice.com.

This press release contains forward-looking statements. You should not place undue reliance on those statements because they are subject to numerous uncertainties and factors relating to the Company’s operations and business environment, all of which are difficult to predict and many of which are beyond the Company’s control. Forward-looking statements include information concerning the Company’s possible or assumed future results of operations, including descriptions of its business strategy. These statements often include words such as “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate” or similar expressions. These statements are based on assumptions that we have made in light of management’s experience in the industry as well as its perceptions of historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. You should understand that these statements are not guarantees of performance or results. They involve known and unknown risks, uncertainties and assumptions. Although the Company believes that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect the Company’s actual financial results or results of operations and could cause actual results to differ materially from those in the forward-looking statements. These factors are discussed in more details in the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2006. These risks could cause actual results to differ materially from those implied by forward-looking statements in this release.

You should keep in mind that any forward-looking statement made herein, or elsewhere, speaks only as of the date on which it is made. New risks and uncertainties come up from time to time, and it is impossible to predict these events or how they may affect the Company. The Company has no obligation to update any forward-looking statements after the date hereof, except as required by federal securities laws.

Press Contact
Sushil Bhasin 	Sumit Dogra / Brian Ammanna
ExlService Holdings, Inc., 	Ogilvy Public Relations Worldwide
Tel :+91-98-114-23915 	Tel: +91-9971424499 / +91-9886101005
sushil.bhasin@exlservice.com  	sumit.dogra@ogilvy.com / brian.ammanna@ogilvy.com