Information Services Corporation — Record results and commitment to growth targets

Information Services Corporation (ISC) has completed its first full year post the announcement of its ambitious goal to double its size in terms of revenue and adjusted EBITDA (on an FY23 basis) by 2028. ISC reported strong organic growth in FY24, with both record-high revenue (up 15% y-o-y to C$247.4m) and adjusted EBITDA (up 24% y-o-y to C$90.3m). Management reiterated FY25 guidance for revenue of C$257–267m (Edison FY25e: C$262.2) and adjusted EBITDA of C$89–97m (Edison FY25e: C$94.1m). Our discounted cash flow (DCF) valuation yields C$39 per share ( C$40/share previously), representing c 60% upside to the current share price.