When Robin Raina took over the reins as CEO of Ebix Inc. in 2000, the company was facing demise. It had just reported millions in annual losses and it had not reported a single profitable year in its 23 years of existence. It was also facing delisting from the NASDAQ since its stock price was less than $1. The company cash had dried up and no bankers or financial institutions were willing to lend the company money. At the same time, the company’s revenue was 100 percent reliant on support of legacy systems and it had no products or services to sell. The board of directors had fired 13 CEOs and 15 chief financial officers in 23 years, and the company was facing 65 legal suits from customers, investors and other partners. Yes, it’s a wonder Ebix was even in business at all, but Raina was about to change all of that.
He came in and changed the focus of the company from a legacy support player to an infrastructure services player who would design, create and deploy end-to-end insurance exchanges across the world. He transformed it from a legacy player to a 75 percent recurring revenue stream from exchanges and ASP services. It’s also seen today as one of the leading insurance exchange services players in the country. On top of all that, Ebix is one of the few companies in the country that operates business at net margins of 39 percent. The company has also produced 33 quarters of sequential growth on all three fronts revenue, earnings and net income. While before it was facing delisting, today its stock has delivered 422 percent shareholder return over the last five years and 276 percent over the last three years, despite the tremendous downturns.
How to reach: Ebix Inc., (678) 281-2020 or www.ebix.com