Innodata Inc (INOD) Q4 Results Surpass Expectations for Earnings and Revenue

Innodata Inc (INOD) Reports Strong Quarterly Results

Innodata Inc (INOD) announced quarterly earnings of $0.25 per share, surpassing the Zacks Consensus Estimate of $0.21 per share. This result is adjusted for one-time items. In comparison, the company reported earnings of $0.31 per share in the same quarter last year.

This quarter's performance reflects a positive earnings surprise of 19.05%. In the previous quarter, Innodata was anticipated to earn $0.14 per share but actually delivered $0.24, resulting in a surprise of 71.43%.

Over the past four quarters, Innodata has consistently exceeded consensus EPS forecasts.

For the quarter ending December 2025, Innodata, a member of the Zacks Engineering - R and D Services sector, generated $72.38 million in revenue, beating the consensus estimate by 4.18%. This marks an increase from $59.18 million in revenue reported a year earlier. The company has outperformed revenue expectations for four consecutive quarters.

The future direction of Innodata's stock price will likely be influenced by management's insights during the earnings call, as well as expectations for upcoming earnings.

Since the start of the year, Innodata's share price has declined by approximately 9.3%, while the S&P 500 has risen by 1.5%.

What Lies Ahead for Innodata Inc?

Although Innodata Inc has trailed the broader market so far this year, investors are now considering the company's next steps.

While there is no definitive answer, one useful indicator for investors is the company's earnings outlook. This includes not only the current consensus for upcoming quarters, but also any recent changes to those expectations.

Research indicates that short-term stock performance is closely tied to trends in earnings estimate revisions. Investors can monitor these changes themselves or utilize tools like the Zacks Rank, which has a strong track record of leveraging earnings estimate trends.

Prior to this earnings announcement, estimate revisions for Innodata Inc were mixed. Following the latest results, the Zacks Rank for the stock stands at #3 (Hold), suggesting the shares are likely to move in line with the market in the near term.

It will be important to watch how analyst estimates for the next quarters and the current fiscal year evolve. Presently, the consensus projects EPS of $0.23 on $72.09 million in revenue for the next quarter, and $1.12 on $313.25 million in revenue for the full year.

Investors should also consider the broader industry outlook, as it can significantly affect individual stock performance. The Zacks Industry Rank places Engineering - R and D Services in the top 20% of over 250 industries. Historically, the top half of Zacks-ranked industries outperforms the bottom half by more than two to one.

Industry Peers: Mayville Engineering (MEC)

Another company in the same sector, Mayville Engineering (MEC), has yet to release its results for the quarter ending December 2025, which are expected on March 3.

Mayville Engineering is anticipated to report a quarterly loss of $0.16 per share, representing a year-over-year decline of 121.1%. The consensus EPS estimate for this period has remained steady over the past month.

Revenue for Mayville Engineering is projected at $130.8 million, an increase of 7.8% compared to the same quarter last year.

Is Innodata Inc (INOD) a Good Investment?

Considering an investment in Innodata Inc (INOD)?

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