Tag: Research

Release – ISG to Announce First-Quarter Financial Results

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

4/10/2024

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, said today it will release its first-quarter financial results on Thursday, May 9, 2024, at approximately 4:15 p.m., U.S. Eastern Time.

The firm will host a conference call with investors and industry analysts at 9 a.m., U.S. Eastern Time, the following day, Friday, May 10. Dial-in details are as follows:

  • The dial-in number for U.S. participants is +1 (800) 715-9871.
  • International participants should call +1 (646) 307-1963.
  • The security code to access the call is 7294332.

Participants are requested to dial in at least five minutes before the scheduled start time.

A recording of the conference call will be accessible on ISG’s investor relations page for approximately four weeks following the call.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including AI and automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

Release – ISG Launches Next-Gen Sourcing Platform, ISG Tango™

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

3/7/2024

Solution streamlines sourcing process, expands ISG’s addressable market

STAMFORD, Conn. — Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced the launch of ISG Tango™, a groundbreaking sourcing platform that digitizes all elements of ISG’s market-leading sourcing transactions business to better serve clients, improve transaction speed and efficiency and allow ISG to expand into other market segments. 

Developed over the past year, the platform solution, available to enterprise buyers and service providers, draws on ISG’s unmatched data assets, intellectual property and proprietary tools, powered by AI to automate contracting and provide real-time predictive insights that streamline the entire transaction process and accelerate time to agreement.

“Speed, real-time transaction data, provider evaluations and other market insights are important to our clients as they navigate a more complex sourcing environment,” said Michael P. Connors, chairman and CEO of ISG. “ISG Tango delivers on all counts and strengthens our position as the industry’s sourcing advisor of choice.”

ISG is the world’s leading sourcing advisor and the industry pioneer. Working with the largest global companies (the G-2000), the firm supports more than half of advised sourcing transactions and influences more than $200 billion of global technology spend annually.

Connors said ISG Tango will allow ISG to penetrate the underserved midmarket. “We believe this platform-based offering, combined with our advisory expertise, will allow us to offer a level of sourcing advisory support that would be attractive and affordable to the midmarket, thereby expanding our revenue opportunities.”

An advisor-led solution, ISG Tango is built on an AI-supported software platform powered by ISG’s market-leading transaction data and proprietary sourcing methodology and tools. The platform features ISG’s provider research, market intelligence and candidate provider qualification system, to help enterprises make informed buying decisions, and a fully integrated service catalogue and an automated contracting tool that dramatically cuts the time and effort needed to generate contracts.

In addition, ISG Tango provides a common environment for buyers, sellers and their legal teams to work with ISG advisors on sourcing transactions. It features a secure data room with role-based authorization to manage the entire process of data collection, team interaction and contracting, efficiently and securely.

“With 24×7 access and real-time status views, ISG Tango provides full transparency throughout the entire sourcing process and simplifies interactions with all key stakeholders, leading to faster and more effective collaboration and decision-making,” said Kathy Rudy, chief data and analytics officer of ISG who co-led the development of ISG Tango.

Clay Calhoun, partner and ISG Tango market leader who co-led the development of ISG Tango, said client reception thus far has been enthusiastic. “Enterprise clients and service providers who participated in our focus groups have praised the platform for the visibility and speed to transaction it provides. To quote one client: ‘The use of the pre-populated contract documents and base case development templates was a real time saver. And the ability to model with the market pricing data helped us to accurately assess the cost, value and savings opportunity of each provider’s solution.’”

ISG Tango is available immediately. For more information, visit this webpage.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Release – Information Services Group Announces Fourth-Quarter and Full-Year 2023 Results

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

3/7/2024

  • Reports fourth-quarter GAAP revenues of $66 million
  • Reports fourth-quarter net loss of $2.9 million, GAAP loss per share of $0.06 and adjusted EPS of $0.06; records bad-debt reserve of $4.8 million in fourth quarter for client collection risk; excluding the reserve, net income and GAAP EPS would have been $0.8 million and $0.02, respectively
  • Reports fourth-quarter adjusted EBITDA of $6 million
  • Generates $9.7 million of cash from operations in fourth quarter
  • Achieves record full-year GAAP revenues of $291 million; operating income of $15 million; net income of $6 million and GAAP EPS of $0.12; adjusted EBITDA was $38 million, adjusted net income was $20 million and adjusted EPS was $0.40
  • Launches ISG Tango™, a groundbreaking sourcing platform that improves transaction speed and efficiency, and opens new market opportunities
  • Declares first-quarter dividend of $0.045 per share, payable March 29, 2024, to shareholders of record as of March 19, 2024
  • Sets first-quarter guidance: revenues between $65 million and $67 million and adjusted EBITDA between $6.0 million and $7.0 million

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced financial results for the fourth quarter and full year ended December 31, 2023.

“ISG delivered record revenues of $291 million for the year, despite a soft fourth quarter due to slower client decision-making in an uncertain macro environment,” said Michael P. Connors, chairman and CEO. “We also delivered record recurring revenues of $125 million, up 16 percent, driven by our research business and our ISG platforms, including ISG GovernX® and ISG ProBenchmark®. Recurring revenues now represent 43 percent of our overall revenue, up 500 basis points from the prior year.

“With the overall IT and business services industry down 6 percent for the full year, we consider our topline growth of 2 percent to be solid.”

Commenting on the firm’s profitability, Connors said: “Our adjusted EBITDA margin of 13 percent for the year was held back by a fourth quarter that was negatively impacted by slower client decision-making and our decision to retain advisory talent in anticipation of an uplift later this year.”

Speaking to the demand environment for 2024, Connors said: “We expect client spending to accelerate as the year progresses, especially if, as expected, inflation continues to cool and central banks respond with interest rate cuts. Our portfolio of services, platforms, research and enterprise AI capabilities should position ISG at the center of a resurgence in technology investments this year.”

ISG Launches Next-Gen Sourcing Platform

ISG today announced the launch of ISG Tango™, a groundbreaking sourcing platform that digitizes all elements of ISG’s market-leading sourcing transactions business to better serve clients, improve transaction speed and efficiency and allow ISG to expand into other market segments.

Developed over the past year, the platform solution, available to enterprise buyers and service providers, draws on ISG’s unmatched data assets, intellectual property and proprietary tools, powered by AI to automate contracting and provide real-time insights that streamline the entire transaction process and accelerate time to agreement.

“Speed, real-time transaction data, provider evaluations and other market insights are important to our clients as they navigate a more complex sourcing environment,” said Connors. “ISG Tango delivers on all counts and strengthens our position as the industry’s sourcing advisor of choice.”

Connors said ISG Tango will also allow ISG to penetrate the underserved midmarket. “We believe this platform-based offering, combined with our advisory expertise, will allow us to offer a level of sourcing advisory support that would be attractive and affordable to the midmarket, thereby expanding our revenue opportunities.”

The launch of ISG Tango comes two months after ISG announced the launch of its new Enterprise AI Advisory business, which offers clients a suite of services to help navigate the complexities and implications of adopting artificial intelligence at scale. ISG has already won significant AI engagements with several large clients, including major companies in the banking, entertainment, manufacturing and public sectors.

Fourth-Quarter 2023 Results

Reported revenues for the fourth quarter were $66.2 million, down 11 percent from $74.2 million in the prior year. Currency translation positively impacted reported revenues by $0.7 million versus the prior year. Reported revenues were $40.1 million in the Americas, down 8 percent; $20.2 million in Europe, down 15 percent; and $5.9 million in Asia Pacific, down 12 percent, all versus the prior year.

ISG reported a fourth-quarter operating loss of $3.5 million, compared with operating income of $7.2 million the prior year. Reported fourth-quarter net loss was $2.9 million, compared with net income of $4.3 million in the prior year. Fully diluted loss per share was $0.06, compared with fully diluted earnings per share of $0.09 in the prior year.

During the fourth quarter, ISG recorded a $4.8 million reserve for amounts owed by a client. Excluding this reserve, net income and GAAP EPS would have been $0.8 million and $0.02, respectively.

Adjusted net income (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) for the fourth quarter was $3.1 million, or $0.06 per share on a fully diluted basis, compared with adjusted net income of $6.5 million, or $0.13 per share on a fully diluted basis, in the prior year’s fourth quarter.

Fourth-quarter adjusted EBITDA (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) was $5.9 million, down 47 percent from prior-year fourth quarter. Adjusted EBITDA margin (a non-GAAP measure calculated by dividing adjusted EBITDA by reported revenues) was 8.9 percent, compared with 15.0 percent in the prior year.

Full-Year 2023 Results

Reported revenues for the full-year were a record $291.1 million, up 2 percent versus the prior-year. Reported revenues were $173.2 million in the Americas, up 4 percent; $89.7 million in Europe, flat; and $28.1 million in Asia Pacific, down 5 percent, all versus the prior year.

ISG reported full-year operating income of $14.6 million, compared with $29.5 million in the prior year. The firm also reported net income and fully diluted earnings per share of $6.2 million and $0.12, respectively, versus net income of $19.7 million and earnings per share of $0.39 in the prior year. Excluding the previously mentioned reserve, net income and GAAP EPS would have been $9.8 million and $0.20, respectively.

Adjusted net income (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) for the full year was $20.1 million, or $0.40 per share on a fully diluted basis, compared with adjusted net income of $26.9 million, or $0.53 per share on a fully diluted basis, in the prior year.

Full-year adjusted EBITDA (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) was $37.7 million, down 13 percent from the prior year. Adjusted EBITDA margin (a non-GAAP measure calculated by dividing adjusted EBITDA by reported revenues) was 12.9 percent, compared with 15.1 percent in the prior year.

Other Financial and Operating Highlights

ISG generated $9.7 million of cash from operations in the fourth quarter, compared with $6.6 million in the prior year, and $12.3 million for the full year. The firm’s cash balance totaled $22.6 million at December 31, 2023, up 21 percent from $18.7 million at September 30, 2023.

During the fourth quarter, ISG paid dividends of $2.2 million and repurchased $1.7 million of shares. As of December 31, 2023, ISG had $79.2 million in debt outstanding, unchanged from the fourth quarter last year.

2024 First-Quarter Revenue and Adjusted EBITDA Guidance

“We expect an acceleration in client demand throughout the course of this year, in anticipation of an improving macro environment and increasing AI adoption. For the first quarter, ISG is targeting revenues of between $65 million and $67 million and adjusted EBITDA of between $6.0 million and $7.0 million. We will continue to monitor the macroeconomic environment, including the impact of FX, inflation and other factors, and adjust our business plans accordingly,” Connors said.

Quarterly Dividend

The ISG Board of Directors declared a first-quarter dividend of $0.045 per share, payable on March 29, 2024, to shareholders of record as of March 19, 2024.

Conference Call

ISG has scheduled a call for 9 a.m., U.S. Eastern Time, Friday, March 8, 2024, to discuss the company’s fourth-quarter results. The call can be accessed by dialing +1 (855) 761-5100; or, for international callers, by dialing +1 (646) 307-1088. The access code is 1749973. A recording of the conference call will be accessible on ISG’s website (www.isg-one.com ) for approximately four weeks following the call.

Forward-Looking Statements

This communication contains “forward-looking statements” which represent the current expectations and beliefs of management of ISG concerning future events and their potential effects. Statements contained herein including words such as “anticipate,” “believe,” “contemplate,” “plan,” “estimate,” “target,” “expect,” “intend,” “will,” “continue,” “should,” “may,” and other similar expressions, are “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guarantees of future results and are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated. Those risks relate to inherent business, economic and competitive uncertainties and contingencies relating to the businesses of ISG and its subsidiaries including without limitation: (1) failure to secure new engagements or loss of important clients; (2) ability to hire and retain enough qualified employees to support operations; (3) ability to maintain or increase billing and utilization rates; (4) management of growth; (5) success of expansion internationally; (6) competition; (7) ability to move the product mix into higher margin businesses; (8) general political and social conditions such as war, political unrest and terrorism; (9) healthcare and benefit cost management; (10) ability to protect ISG and its subsidiaries’ intellectual property or data and the intellectual property or data of others; (11) currency fluctuations and exchange rate adjustments; (12) ability to successfully consummate or integrate strategic acquisitions; (13) outbreaks of diseases, including coronavirus, or similar public health threats or fear of such an event; and (14) engagements may be terminated, delayed or reduced in scope by clients. Certain of these and other applicable risks, cautionary statements and factors that could cause actual results to differ from ISG’s forward-looking statements are included in ISG’s filings with the U.S. Securities and Exchange Commission. ISG undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances.

Non-GAAP Financial Measures

ISG reports all financial information required in accordance with U.S. generally accepted accounting principles (GAAP). In this release, ISG has presented both GAAP financial results as well as non-GAAP information for the three and twelve months ended December 31, 2023, and December 31, 2022. ISG believes that evaluating its ongoing operating results will be enhanced if it discloses certain non-GAAP information. These non-GAAP financial measures exclude non-cash and certain other special charges that many investors believe may obscure the user’s overall understanding of ISG’s current financial performance and the Company’s prospects for the future. ISG believes that these non-GAAP measures provide useful information to investors because they improve the comparability of the financial results between periods and provide for greater transparency of key measures used to evaluate the Company’s performance.

ISG provides adjusted EBITDA (defined as net income, plus interest, taxes, depreciation and amortization, foreign currency transaction gains/losses, non-cash stock compensation, interest accretion associated with contingent consideration, tax indemnity receivables, accounts receivables reserves, acquisition-related costs, and severance, integration and other expense), adjusted net income (defined as net income, plus amortization of intangible assets, non-cash stock compensation, foreign currency transaction gains/losses, interest accretion associated with contingent consideration, acquisition-related costs, accounts receivables reserves, write-off of deferred financing cost and severance, integration and other expense on a tax-adjusted basis), adjusted net income per diluted share, adjusted EBITDA margin, and selected financial data on a constant currency basis which are non-GAAP measures that the Company believes provide useful information to both management and investors by excluding certain expenses and financial implications of foreign currency translations, which management believes are not indicative of ISG’s core operations. These non-GAAP measures are used by ISG to evaluate the Company’s business strategies and management’s performance.

We evaluate our results of operations on both an as reported and a constant currency basis. The constant currency presentation, which is a non-GAAP financial measure, excludes the impact of year-over-year fluctuations in foreign currency exchange rates. We believe providing constant currency information provides valuable supplemental information regarding our results of operations, thereby facilitating period-to-period comparisons of our business performance and is consistent with how management evaluates the Company’s performance. We calculate constant currency percentages by converting our current and prior-periods local currency financial results using the same point in time exchange rates and then compare the adjusted current and prior period results. This calculation may differ from similarly titled measures used by others and, accordingly, the constant currency presentation is not meant to be a substitution for recorded amounts presented in conformity with GAAP, nor should such amounts be considered in isolation.

Management believes this information facilitates comparison of underlying results over time. Non-GAAP financial measures, when presented, are reconciled to the most closely applicable GAAP measure. Non-GAAP measures are provided as additional information and should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of the forward-looking non-GAAP estimates contained herein to the corresponding GAAP measures is not being provided, due to the unreasonable efforts required to prepare it.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including AI and automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

View full release here.

Source: Information Services Group, Inc.

Release – ISG to Announce Fourth-Quarter Financial Results

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

2/8/2024

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, said today it will release its fourth-quarter and full-year financial results on Thursday, March 7, 2024, at approximately 4:15 p.m., U.S. Eastern Time.

The firm will host a conference call with investors and industry analysts at 9 a.m., U.S. Eastern Time, the following day, Friday, March 8. Dial-in details are as follows:

  • The dial-in number for U.S. participants is +1 (855) 761-5100.
  • International participants should call +1 (646) 307-1088.
  • The security code to access the call is 1749973.

Participants are requested to dial in at least five minutes before the scheduled start time.

A recording of the conference call will be accessible on ISG’s website (www.isg-one.com) for approximately four weeks following the call.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

Release – ISG Acquires Ventana Research, a Leading Software Industry Analyst Firm

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

11/2/2023

Acquisition expands ISG Research coverage of the $800 billion software sector

STAMFORD, Conn. — Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced it has acquired Ventana Research, a leading technology research firm specializing in coverage of the $800 billion software industry.

The move expands the capabilities of ISG Research, an important and fast-growing recurring-revenue-stream business for ISG, at a time when enterprises increasingly are leveraging software and services in combination to improve operating performance, deliver better customer and employee experiences, and drive growth.

“With the addition of Ventana Research, ISG becomes a stronger global powerhouse in technology research,” said Michael P. Connors, chairman and CEO of ISG. “We are famously known for our industry-leading coverage of the managed services sector, and now we are expanding and deepening our coverage of the all-important software industry. No other firm can compete with us when it comes to our comprehensive sourcing data, market coverage, analyst insights and market-making advisor perspectives – a combination that delivers unmatched value to both buyers and sellers of technology services and software.”

Ventana Research, founded in 2002 and based in Bend, Ore., tracks more than 2,000 software vendors – including covering more than 250 in-depth – to provide the industry’s most comprehensive analyst and research coverage of the global software sector. Its team of experienced professionals provides insights and expert guidance on mainstream and disruptive technologies through a unique set of research-based products, including an online community for business and IT professionals.

“Enterprises are relying more and more on independent market research and analyst insights to guide their technology buying decisions and manage their technology ecosystems, while providers seek the same advice to improve their products and hone their go-to-market strategies,” said Mark Smith, founder and CEO of Ventana Research. “We are delighted to be joining ISG and adding our industry-leading capabilities, people, credibility, client relationships and software industry coverage to the ISG Research portfolio.”

Smith will continue to lead Ventana Research in his new role as ISG partner, Software Research. 

“Ventana Research will maintain its well-known and trusted portfolio of research products and services, which are a perfect complement to the existing ISG Research portfolio,” said Paul Gottsegen, president of ISG Research and Client Experience. “As we move past the initial integration period, there will be many opportunities to create synergy as we naturally and smoothly integrate Ventana offerings fully into ISG Research and create new offerings that will deliver even more value to our clients.”

Ventana Research becomes one of five service lines of ISG Research. The others are ISG Provider Lens™ (service provider evaluation research), ISG Provider Services (go-to-market research and support for service providers), ISG ProBenchmark® (SaaS-based pricing intelligence platform) and ISG Events (producer of industry conferences and webinars). 

For more information, visit the ISG and Ventana Research websites.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Release – Information Services Group Announces Third-Quarter 2023 Results

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

11/2/2023

  • Reports GAAP revenues of $72 million, a third-quarter record
  • Reports net income of $3.2 million, GAAP EPS of $0.06 and adjusted EPS of $0.11
  • Reports third-quarter adjusted EBITDA of $11 million
  • Declares fourth-quarter dividend of $0.045 per share, payable December 20 to record holders as of December 5
  • Acquires Ventana Research; expands ISG Research coverage into $800 billion software sector
  • Sets fourth-quarter guidance: revenues between $68 million and $71 million and adjusted EBITDA between $9.0 million and $10.5 million

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced financial results, including record third-quarter revenues, for the quarter ended September 30, 2023.

“ISG delivered strong results in the third quarter, with record revenues of $72 million, our best topline performance ever in a third quarter,” said Michael P. Connors, chairman and CEO. “Our recurring revenues were up 19 percent, revenues in Europe were up 14 percent and firm-wide adjusted EBITDA margin improved 120 basis points from last quarter despite a more difficult macro environment. These results were powered by a relentless focus on execution and our proactive management of the current demand environment.”

Commenting on the macro environment, Connors said: “Our enterprise clients continue to leverage our capabilities with a dual focus on all things digital and cost optimization, a traditional sweet spot for ISG. Overall, clients are slower in their decision-making and spending is being stretched over longer periods of time, amid concerns about continued economic uncertainty and rising geopolitical tensions. With that said, our pipeline remains strong, and the pace of execution will be driven by clients’ need for speed as they position themselves for 2024 when conditions are expected to improve.”

Ventana Research Acquisition

ISG said today it has acquired the business of Ventana Research, a leading technology research firm specializing in coverage of the $800 billion software industry.

The move expands the capabilities of ISG Research, an important and fast-growing recurring-revenue-stream business for ISG, at a time when enterprises increasingly are leveraging software and services in combination to improve operating performance, deliver better customer and employee experiences, and drive growth.

“With the addition of Ventana Research, ISG becomes a stronger global powerhouse in technology research,” said Connors. “We are famously known for our industry-leading coverage of the managed services sector, and now we are expanding and deepening our coverage of the all-important software industry. In addition to increasing our market research coverage, we see synergies to accelerate the growth of our Software Advisory business with enterprises.”

Citing ISG Index™ research, Connors noted that software-based XaaS solutions – both infrastructure-as-a service and software-as-a-service – account for more than 60 percent of global spending on IT and business services, up from 48 percent five years ago. “We expect spending on cloud-based, software-driven services to continue expanding in the coming years,” he said, “and with it, client demand for in-depth research and advice to guide software investment decisions.”

Ventana Research, founded in 2002 and based in Bend, Ore., tracks more than 2,000 software vendors and covers more than 250 of them in-depth to provide the industry’s most comprehensive analyst and research coverage of the global software sector. Its team of experienced professionals provides insights and expert guidance on mainstream and disruptive technologies through a unique set of research-based products, including an online community for business and IT professionals.

Third-Quarter 2023 Results

Reported revenues for the third quarter were a record $71.8 million, up 4.3 percent from $68.8 million in the prior year. Currency translation positively impacted reported revenues by $1.4 million versus the prior year. Reported revenues were $42.5 million in the Americas, up 1 percent; $22.1 million in Europe, up 14 percent; and $7.2 million in Asia Pacific, down 2 percent versus the prior year.

ISG reported third-quarter operating income of $6.2 million, down 16 percent from $7.4 million in the third quarter of 2022. Reported third-quarter net income was $3.2 million, down 42 percent from net income of $5.6 million in the prior year. Fully diluted earnings per share was $0.06, compared with $0.11 per fully diluted share in the prior year.

Adjusted net income (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) for the third quarter was $5.7 million, or $0.11 per share on a fully diluted basis, compared with adjusted net income of $7.2 million, or $0.14 per share on a fully diluted basis, in the prior year’s third quarter.

Third-quarter adjusted EBITDA (a non-GAAP measure defined below under “Non-GAAP Financial Measures”) was $10.6 million, essentially flat with the prior year.

Other Financial and Operating Highlights

ISG generated $3.2 million of cash from operations in the third quarter, compared with $0.3 million used from operations in the third quarter last year. The firm’s cash balance totaled $18.7 million at September 30, 2023, down from $19.6 million at June 30, 2023.

During the third quarter, ISG paid dividends of $2.3 million and repurchased $0.9 million of shares. As of September 30, 2023, ISG had $79.2 million in debt outstanding, unchanged from December 31, 2022. The firm’s gross-debt-to-adjusted-EBITDA ratio (a non-GAAP measure calculated by dividing outstanding debt by adjusted EBITDA) was 1.8 times.

2023 Fourth-Quarter Revenue and Adjusted EBITDA Guidance

“For the fourth quarter, ISG is targeting revenues of between $68 million and $71 million and adjusted EBITDA of between $9.0 million and $10.5 million,” Connors said. “We will continue to monitor the macroeconomic and geopolitical environment, and other factors, and adjust our business plans accordingly.”

Quarterly Dividend

The ISG Board of Directors declared a fourth-quarter dividend of $0.045 per share payable on December 20, 2023, to shareholders of record on December 5, 2023.

Conference Call

ISG has scheduled a call for 9 a.m., U.S. Eastern Time, Friday, November 3, 2023, to discuss the company’s third-quarter results. The call can be accessed by dialing +1 (888) 330-2057; or, for international callers, by dialing +1 (646) 960-0203. The access code is 1482106. A recording of the conference call will be accessible on ISG’s website (www.isg-one.com) for approximately four weeks following the call.

Forward-Looking Statements

This communication contains “forward-looking statements” which represent the current expectations and beliefs of management of ISG concerning future events and their potential effects. Statements contained herein including words such as “anticipate,” “believe,” “contemplate,” “plan,” “estimate,” “target,” “expect,” “intend,” “will,” “continue,” “should,” “may,” and other similar expressions, are “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guarantees of future results and are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated. Those risks relate to inherent business, economic and competitive uncertainties and contingencies relating to the businesses of ISG and its subsidiaries including without limitation: (1) failure to secure new engagements or loss of important clients; (2) ability to hire and retain enough qualified employees to support operations; (3) ability to maintain or increase billing and utilization rates; (4) management of growth; (5) success of expansion internationally; (6) competition; (7) ability to move the product mix into higher margin businesses; (8) general political and social conditions such as war, political unrest and terrorism; (9) healthcare and benefit cost management; (10) ability to protect ISG and its subsidiaries’ intellectual property or data and the intellectual property or data of others; (11) currency fluctuations and exchange rate adjustments; (12) ability to successfully consummate or integrate strategic acquisitions; (13) outbreaks of diseases, including coronavirus, or similar public health threats or fear of such an event; and (14) engagements may be terminated, delayed or reduced in scope by clients. Certain of these and other applicable risks, cautionary statements and factors that could cause actual results to differ from ISG’s forward-looking statements are included in ISG’s filings with the U.S. Securities and Exchange Commission. ISG undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances.

Non-GAAP Financial Measures

ISG reports all financial information required in accordance with U.S. generally accepted accounting principles (GAAP). In this release, ISG has presented both GAAP financial results as well as non-GAAP information for the three and nine months ended September 30, 2023 and September 30, 2022. ISG believes that evaluating its ongoing operating results will be enhanced if it discloses certain non-GAAP information. These non-GAAP financial measures exclude non-cash and certain other special charges that many investors believe may obscure the user’s overall understanding of ISG’s current financial performance and the Company’s prospects for the future. ISG believes that these non-GAAP measures provide useful information to investors because they improve the comparability of the financial results between periods and provide for greater transparency of key measures used to evaluate the Company’s performance.

ISG provides adjusted EBITDA (defined as net income plus interest, taxes, depreciation and amortization, foreign currency transaction gains/losses, non-cash stock compensation, interest accretion associated with contingent consideration, acquisition-related costs, and severance, integration and other expense), adjusted net income (defined as net income plus amortization of intangible assets, non-cash stock compensation, foreign currency transaction gains/losses, interest accretion associated with contingent consideration, acquisition-related costs, write-off of deferred financing costs, and severance, integration and other expense, on a tax-adjusted basis), adjusted net income per diluted share, adjusted EBITDA margin, gross-debt-to-adjusted-EBITDA ratio and selected financial data on a constant currency basis which are non-GAAP measures that the Company believes provide useful information to both management and investors by excluding certain expenses and financial implications of foreign currency translations, which management believes are not indicative of ISG’s core operations. These non-GAAP measures are used by ISG to evaluate the Company’s business strategies and management’s performance.

We evaluate our results of operations on both an as reported and a constant currency basis. The constant currency presentation, which is a non-GAAP financial measure, excludes the impact of year-over-year fluctuations in foreign currency exchange rates. We believe providing constant currency information provides valuable supplemental information regarding our results of operations, thereby facilitating period-to-period comparisons of our business performance and is consistent with how management evaluates the Company’s performance. We calculate constant currency percentages by converting our current and prior-periods local currency financial results using the same point in time exchange rates and then compare the adjusted current and prior period results. This calculation may differ from similarly titled measures used by others and, accordingly, the constant currency presentation is not meant to be a substitution for recorded amounts presented in conformity with GAAP, nor should such amounts be considered in isolation.

Management believes this information facilitates comparison of underlying results over time. Non-GAAP financial measures, when presented, are reconciled to the most closely applicable GAAP measure. Non-GAAP measures are provided as additional information and should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of the forward-looking non-GAAP estimates contained herein to the corresponding GAAP measures is not being provided, due to the unreasonable efforts required to prepare it.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

 
Information Services Group, Inc.
Condensed Consolidated Statement of Income and Comprehensive Income
(unaudited)
(in thousands, except per share amounts)
 
 
 
Three Months Ended September 30,Nine Months Ended September 30,
 2023  2022  2023  2022 
 
Revenues$71,773 $68,836 $224,868 $212,100 
Operating expenses
Direct costs and expenses for advisors 43,032  39,786  138,048  125,111 
Selling, general and administrative 20,992  20,334  63,992  60,806 
Depreciation and amortization 1,526  1,286  4,692  3,872 
Operating income 6,223  7,430  18,136  22,311 
Interest income 104  37  285  126 
Interest expense (1,533) (824) (4,676) (1,997)
Foreign currency transaction (loss) gain (2) 131  (40) 248 
Income before taxes 4,792  6,774  13,705  20,688 
Income tax provision 1,591  1,218  4,680  5,245 
Net income$3,201 $5,556 $9,025 $15,443 
 
Weighted average shares outstanding:
Basic 48,711  47,888  48,542  48,191 
Diluted 50,257  49,844  50,287  50,637 
 
Earnings per share:
Basic$0.07 $0.12 $0.19 $0.32 
Diluted$0.06 $0.11 $0.18 $0.30 
 
 
Information Services Group, Inc.
Reconciliation from GAAP to Non-GAAP
(unaudited)
(in thousands, except per share amounts)
 
 
 
Three Months Ended September 30,Nine Months Ended September 30,
 2023  2022  2023  2022 
 
Net income$3,201 $5,556 $9,025 $15,443 
Plus:
Interest expense (net of interest income) 1,429  787  4,391  1,871 
Income taxes 1,591  1,218  4,680  5,245 
Depreciation and amortization 1,526  1,286  4,692  3,872 
Interest accretion associated with contingent consideration 26  –  77  8 
Acquisition-related costs (1) 99  25  99  41 
Severance, integration and other expense 674  8  2,016  458 
Foreign currency transaction loss (gain) 2  (131) 40  (248)
Non-cash stock compensation 2,098  1,987  6,752  5,432 
Adjusted EBITDA$10,646 $10,736 $31,772 $32,122 
 
Net income$3,201 $5,556 $9,025 $15,443 
Plus:
Non-cash stock compensation 2,098  1,987  6,752  5,432 
Intangible amortization 769  525  2,352  1,580 
Interest accretion associated with contingent consideration 26  –  77  8 
Acquisition-related costs (1) 99  25  99  41 
Severance, integration and other expense 674  8  2,016  458 
Write-off of deferred financing costs –  –  379  – 
Foreign currency transaction loss (gain) 2  (131) 40  (248)
Tax effect (2) (1,174) (772) (3,749) (2,327)
Adjusted net income$5,695 $7,198 $16,991 $20,387 
 
Weighted average shares outstanding:
Basic 48,711  47,888  48,542  48,191 
Diluted 50,257  49,844  50,287  50,637 
 
Adjusted earnings per share:
Basic$0.12 $0.15 $0.35 $0.42 
Diluted$0.11 $0.14 $0.34 $0.40 
 
 
(1)Consists of expenses from acquisition-related costs and non-cash fair value adjustments on pre-acquisition contract liabilities. 
(2)Marginal tax rate of 32%, reflecting U.S. federal income tax rate of 21% plus 11% attributable to U.S. states and foreign jurisdictions. 
  
Information Services Group, Inc.
Selected Financial Data
Constant Currency Comparison
 
Three Months
Ended
September 30, 2023		Constant
currency
impact		Three Months
Ended
September 30, 2023
Adjusted		 Three Months
Ended
September 30, 2022		Constant
currency
impact		Three Months
Ended
September 30, 2022
Adjusted
Revenue$71,773$(1,572)$70,201$68,836$(211)$68,625
Operating income$6,223$105 $6,328$7,430$474 $7,904
Adjusted EBITDA$10,646$40 $10,686$10,736$454 $11,190
 
Nine Months
Ended
September 30, 2023		Constant
currency
impact		Nine Months
Ended
September 30, 2023
Adjusted		 Nine Months
Ended
September 30, 2022		Constant
currency
impact		Nine Months
Ended
September 30, 2022
Adjusted
Revenue$224,868$(4,406)$220,462$212,100$(5,209)$206,891
Operating income$18,136$446 $18,582$22,311$381 $22,692
Adjusted EBITDA$31,772$271 $32,043$32,122$249 $32,371

Release – Finalists Named for 2023 ISG Paragon Awards™ South America

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

11/1/2023

Program recognizes innovative approaches to leveraging technology and new operating models for business success

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced the finalists for the 2023 ISG Paragon Awards™ South America, which celebrate the ongoing transformation of sourcing industry partnerships through new approaches and technologies.

Winners in each category will be selected by a panel of independent industry experts and announced at the ISG Sourcing Industry Awards Gala Dinner on Thursday, November 9, at the Grand Hyatt Hotel in São Paulo, Brazil.

Here are the South America finalists for the 2023 awards:

Excellence: Recognizing outstanding delivery by a technology or service provider

  • Kyndryl with a renowned motor vehicle manufacturer
  • Megawork Consultoria with a major retailer in Brazil
  • MIGNOW with a top financial firm offering banking services and solutions
  • T-Systems do Brasil with a renowned motor vehicle manufacturer
  • senhasegura with a leading pharmaceutical company

Innovation: Recognizing the importance of imagination and entrepreneurial spirit in helping organizations future-proof their businesses and better serve clients

  • Monitora Soluções Tecnológicas with a major hotel and apartment chain
  • Prime Control with a fashion and technology-focused company
  • Teleperformance with a prominent retail group
  • Vericode with Brazil’s financial market infrastructure firm
  • Teltec Solutions with a dynamic food solutions provider

Transformation: Recognizing the successful transformation of an organization or key business function

  • Enkel with a major player in the food industry
  • Fcamara with a distributor and wholesaler of food products
  • Spassu Tecnologia with Brazil’s state-owned oil and gas company
  • Logicalis with a data intelligence company
  • Dedalus with a healthcare technology and services provider

Environmental Sustainability: Recognizing outstanding positive impacts in one or more environmental sustainability fields for clients, consumers, communities and/or employees

  • ST IT Cloud with a global pharmaceutical and life sciences company
  • TIVIT with a leading agribusiness and food company
  • Yaman with a comprehensive benefits and rewards provider
  • Darede Serviços de TI with an energy solutions company

The ISG Paragon Awards™ South America, produced by ISG Events, recognize the innovative ways enterprises and providers are driving business success by leveraging digital technology and new operating models.

“Enterprises in South America seek partners to help them create hybrid, connected, autonomous, intelligent and effective organizations,” said Todd Lavieri, partner and president, ISG Americas and Asia Pacific. “ISG research finds regional providers in South America are outpacing many larger global firms in helping clients adopt the technologies that can deliver transformative business outcomes. It is an honor to recognize the partnerships that are driving agility and productivity in the region.”

Winners of the ISG Provider Lens™ Awards, recognizing outstanding performances by providers featured in ISG Provider Lens™ studies, will also be honored at the November 9 ISG Sourcing Industry Awards gala.

Full details of the ISG Paragon Awards program are available on the award website.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

ISG Women in Digital Award Winners Named for EMEA

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

10/27/2023

Leaders with Amazon, Atos, Foundever, Kinseed and Unisys named winners in five award categories

LONDON–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced the winners of the first ISG Women in Digital Awards program for the Europe, Middle East and Africa (EMEA) region, recognizing women and their achievements in the digital world.

At a live, virtual award ceremony yesterday, leaders with Amazon, Atos, Foundever, Kinseed and Unisys were honored as winners in five categories, as selected by a panel of industry judges.

“The winners of the inaugural ISG Women in Digital Awards program in EMEA were chosen from an exceptional field of more than 100 highly accomplished finalists,” said Steve Hall, partner and president, ISG EMEA. “It is an honor to recognize the accomplishments and skills our nominees and winners are bringing to the digital industry.”

An independent panel of judges, comprised of Helen Ricardo, vice president, head of Strategic Growth, Atos; Isabelle Roux-Chenu, former group general counsel, head of Group Commercial & Contract Management and senior advisor to Group Chairman & CEO for Capgemini, and Ola Chowning, partner and Digital lead for ISG North Europe, evaluated the nominations and selected the following winners:

Rising Star: for demonstrating exceptional and continuous growth, with increasing levels of leadership, responsibility and sphere of impact:
Gold Winner: Mariana Diniz, vice president, head of global digital solutions, Foundever
Silver Winner: Aditi Sarao, senior director, new business UK&I, Tech Mahindra
Bronze Winner: Alexandra Dehnert, vice president, Genpact

Women’s Advocate: for playing an active role guiding women to succeed in the digital world:
Gold Winner: Mitali Gohel, senior program manager, Amazon
Silver Winner: Karin Schönwetter, vice president and technology managing director, IBM
Bronze Winner: Vinoliah Martin, client executive, Microsoft South Africa

Digital Innovator: for making a significant impact on an organization, business or client through creative use of digital solutions:
Gold Winner: Pal Bhusate, CEO and founder of Kinseed
Silver Winner: Ruha Antony, lead innovation and technology, Nestlé Germany
Bronze Winner: Anca Iordanescu, vice president of engineering – Stores of the Future, IKEA

Rock Star Leader: for leading a major transformation with significant business impact and demonstrating exceptional leadership skills:
Gold Winner: Berenice Chassagne, CEO of Growing Markets, Atos
Silver Winner: Nicole Henderson, deputy director, Business Relationship Management, UNHCR
Bronze Winner: Moira Cheng, senior manager, IT Operations & Experience, Vodafone

Patrycja Sobera, global vice president of delivery for Digital Workplace Solutions, Unisys, was chosen by the judges as the Digital Titan of the Year for EMEA from the entire pool of regional nominees, recognizing her as the most outstanding woman in digital for the region for 2023.

The awards program, launched in the Americas in 2022, was expanded for 2023 to the EMEA and Asia Pacific regions, including India. The global program received a total of 327 nominees, who are listed in an online ISG Women in Digital eBook. Awards for EMEA were presented October 26, at 6 p.m., BST. Awards for the Americas were presented on September 7, and Awards for Asia Pacific and India were presented on October 11.

“Women are breaking barriers and making lasting, positive changes in digital and technology leadership roles,” said Kimberly Tobias, ISG director and head of the ISG Women in Digital program. “We are honored to recognize the success of each person nominated. Congratulations to our 2023 winners.”

Created in 2018, the ISG Women in Digital community provides a platform to exchange practical advice and innovative ideas on diversity and advancement in the workplace. The community hosts a LinkedIn page, an ongoing ISG Digital Dish podcast series, and regular events for ISG employees and the greater IT and business services industry.

For more information about the ISG Women in Digital Awards, contact ISG.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

Release – ISG Women in Digital Award Winners Named for Asia Pacific and India

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

10/11/2023

Leaders with ANZ Group Holdings, Australia Post, Silverlake Axis, Tech Mahindra and VicRoads named winners in five award categories

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced the winners of the first ISG Women in Digital Awards program for the Asia Pacific region, including India, recognizing women and their achievements in the digital world.

At a live, virtual award ceremony earlier today, leaders with ANZ Group Holdings, Australia Post, Silverlake Axis, Tech Mahindra and VicRoads were honored as winners in five categories, as selected by a panel of industry judges.

“In our inaugural year for Asia Pacific and India, the ISG Women in Digital Awards program received more than one hundred nominations of exceptional women who are changing the face of the digital economy in this region,” said Scott Bertsch, ISG partner and regional leader, ISG Asia Pacific, and executive sponsor of ISG Women in Digital in Asia Pacific. “All nominees, and each woman recognized with an award, are making unique and impactful contributions to advancing digital business in this part of the world, and we are delighted to celebrate their success.”

An independent panel of judges, comprised of Jenny Watson, senior director of technology for health insurance and business services, Bupa; Kaylene O’Brien, managing director, Capgemini Australia and New Zealand, and Namratha Dharshan, chief business leader, ISG Research, evaluated the nominations and selected the following winners:

  • Rising Star: for demonstrating exceptional and continuous growth, with increasing levels of leadership, responsibility and sphere of impact:

Gold Winner: Cassandra Goh, deputy CEO, Silverlake Axis

Silver Winner: Deepti Kakkar Wadhwa, associate director, Cognizant

Bronze Winner : Sindhura Guturu, Agile project manager LTIMindtree

  • Women’s Advocate: for playing an active role guiding women to succeed in the digital world:

Gold Winner: Grace Zielinski, director, technology operations, VicRoads

Silver Winner : Kavita Kapoor, chief financial officer, Quinnox

Bronze Winner : Kate Hickman, chief people officer, Infoxchange

Digital Innovator: for making a significant impact on an organization, business or client through creative use of digital solutions:

Gold Winner: Sweta Mehra, chief marketing officer, ANZ Group Holdings

Silver Winner: Keerthi Harikrishnan, domain expert, Health Care and Life Sciences, Innovation Labs, Persistent

Bronze Winner: Yashu Singh, senior product owner, Commonwealth Bank

Rock Star Leader: for leading a major transformation with significant business impact and demonstrating exceptional leadership skills:

Gold Winner: Dhanashree Bhat, chief delivery officer, Comms, Media and Technology, Tech Mahindra

Silver Winner: Madhu Gaur, senior vice president, customer success, Quinnox

Bronze Winner: Simmi Dhamija, chief operating officer (APMEA), Wipro

Sharbani Dhar, director of design and digital accessibility at Australia Post, was chosen by the judges as the Digital Titan of the Year for Asia Pacific and India from the entire pool of regional nominees, recognizing her as the most outstanding woman in digital in the region for 2023.

The awards program, launched in the Americas in 2022, was expanded for 2023 to the Europe, Middle East and Africa (EMEA) and Asia Pacific regions, including India. The global program received a total of 327 nominees, who are listed in an online ISG Women in Digital eBook. Awards for EMEA will be presented October 26, at 6 p.m., GMT. Awards for the Americas were presented on September 7.

“Women are breaking barriers and making lasting, positive changes in digital and technology leadership roles,” said Kimberly Tobias, ISG director and head of the ISG Women in Digital program. “We are honored to recognize the success of each person nominated. Congratulations to our 2023 winners.”

Created in 2018, the ISG Women in Digital community provides a platform to exchange practical advice and innovative ideas on diversity and advancement in the workplace. The community hosts a LinkedIn page, an ongoing ISG Digital Dish podcast series, and regular events for ISG employees and the greater IT and business services industry.

For more information about the ISG Women in Digital Awards, contact ISG.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

Release – Finalists Named for 2023 ISG Paragon Awards™ EMEA

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

10/10/2023

Program recognizes innovative approaches to leveraging technology and new operating models for business success

LONDON–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced the finalists for the 2023 ISG Paragon Awards™ EMEA, which celebrate the ongoing transformation of sourcing industry partnerships through new approaches and technologies.

Winners in each category will be selected by a panel of independent industry experts and announced at the ISG Sourcing Industry Awards Gala Dinner on Wednesday, November 15, at the Park Plaza Victoria London.

Here are the EMEA finalists for the 2023 awards:

Excellence: Recognizing outstanding delivery by a technology or service provider

  • Genpact with a global power management company
  • Infosys BPM with a retail company
  • Microland with a major aviation and aerospace company
  • Tech Mahindra with a U.K. government agency
  • Unisys with a global consumer goods company

Innovation: Recognizing the importance of imagination and entrepreneurial spirit in helping organizations future-proof their businesses and better serve clients

  • Coforge with an insurance technology provider
  • IBM with an American telecommunications conglomerate
  • Infosys with an elevator and escalator manufacturer
  • WNS with a logistics and shipping company

Transformation: Recognizing the successful transformation of an organization or key business function

  • Colt Technology Services with a media company
  • Hexaware with a leading airline in the Middle East
  • Mphasis with a leading materials engineering company
  • Quinnox with a financial services organization
  • RIEDEL Networks with a document solution provider

Workplace of the Future: Recognizing client and employee experience and productivity beyond technology

  • Atos with a public sector organization in Scotland
  • Cognizant with the U.K.’s railway infrastructure manager
  • Hexaware with a global leader in workforce solutions
  • Teleperformance with a major tourism company
  • Unisys with a multinational chemical company

Environmental Sustainability: Recognizing outstanding positive impacts in one or more environmental sustainability fields for clients, consumers, communities and/or employees

  • Infosys with an automotive manufacturer
  • Telefónica Tech with a roofing manufacturer in Europe
  • Tech Mahindra with an Ethiopia utility company
  • GEP with a multinational pharmaceutical company
  • Infosys with a smart city initiative participating company

The ISG Paragon Awards™ EMEA, produced by ISG Events, recognize innovative ways of driving business success by leveraging digital technology and new operating models.

“This is an exciting time to be in the technology industry, as enterprises and providers work together to enable business growth,” said Steve Hall, partner and president, ISG EMEA. “Technology service providers continue to enable and deliver some of the most readily available pools of talent in both traditional and emerging technologies, geographies, markets and skill areas. Congratulations to the finalists for the 2023 ISG Paragon Awards EMEA for their innovation and productivity.”

The November 15 awards gala takes place during the ISG Sourcing Industry Conference for EMEA. In addition to the ISG Paragon Awards EMEA, ISG will announce the winners of the ISG Star of Excellence™ Awards, which recognize excellence in provider delivery based on enterprise client feedback, and the winners of the ISG Provider Lens™ Awards, recognizing providers named as Leaders in ISG Provider Lens™ studies.

Full details of the ISG Paragon Awards program are available on the award website.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

Release – ISG to Announce Third-Quarter Financial Results

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

10/5/2023

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, said today it will release its third-quarter financial results on Thursday, November 2, 2023, at approximately 4:15 p.m., U.S. Eastern Time.

The firm will host a conference call with investors and industry analysts at 9 a.m., U.S. Eastern Time, the following day, Friday, November 3. Dial-in details are as follows:

  • The dial-in number for U.S. participants is +1 (888) 330-2057.
  • International participants should call +1 (646) 960-0203.
  • The security code to access the call is 1482106.

Participants are requested to dial in at least five minutes before the scheduled start time.

A recording of the conference call will be accessible on ISG’s website (www.isg-one.com) for approximately four weeks following the call.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

View all news

Release – ISG Women in Digital Award Winners Named for Americas

Posted on by aweinsoff@channelchek.com

Research News and Market Data on III

9/8/2023

Leaders with Johnson Controls, Kaiser Permanente, LTIMindtree, McKesson and the National Renewable Energy Laboratory named winners in five award categories

STAMFORD, Conn.–(BUSINESS WIRE)– Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm, today announced the winners of the second annual ISG Women in Digital Awards program for the Americas, recognizing women and their achievements in the digital world.

At a live, virtual award ceremony the evening of September 7, leaders with Johnson Controls, Kaiser Permanente, LTIMindtree, McKesson and the National Renewable Energy Laboratory were honored as winners in five categories, as selected by a panel of industry judges.

“The ISG Women in Digital Awards program received an overwhelming response in our second year, reflecting the large and growing pool of talented women in digital roles,” said Lois Coatney, ISG partner and president, and executive sponsor of the ISG Women in Digital program. “The women chosen as winners have made impressive, impactful and important contributions to the digital industry as a whole. We celebrate their accomplishments.”

An independent panel of judges, comprised of Nidhi Alexander, chief marketing officer, Hexaware; Shannon Bjerregaard, senior vice president and CIO of medical surgical at McKesson; Chris Putur, retired CIO of REI and member of the board of directors of ISG and RealTruck; Sarah Urbanowicz, senior vice president and CIO, AECOM, and Mary Rivard, partner, ISG technology modernization, evaluated the nominations and selected the following winners:

  • Rising Star: for demonstrating exceptional and continuous growth, with increasing levels of leadership, responsibility and sphere of impact:
    Gold Winner: Melissa Rojo Salazar, U.S. senior director of consulting, co-lead of product services and innovation, LTIMindtree
    Silver Winner: Bernice Wong, senior design manager, Albertsons
    Bronze Winner: Devon Reilly, senior business process lead, PVH Corp.
  • Women’s Advocate: for playing an active role guiding women to succeed in the digital world:
    Gold Winner: Diane Schwarz, vice president and CIO, Johnson Controls
    Silver Winner: Shatabdi Sharma, vice president, Global Application Services, PVH Corp.
    Bronze Winner: Heather Bunyard, customer success officer, Birlasoft
  • Digital Innovator: for making a significant impact on an organization, business or client through creative use of digital solutions:
    Gold Winner: Bridget Karlin, senior vice president of IT, Kaiser Permanente
    Silver Winner: Richa Agarwal, senior director of digital go-to-market, PVH Corp.
    Bronze Winner: Ellen Trager, chief digital and information officer, Carrier
  • Rock Star Leader: for leading a major transformation with significant business impact and demonstrating exceptional leadership skills:
    Gold Winner: Nancy Avila, executive vice president, chief information officer and chief technology officer, McKesson
    Silver Winner: Sruti Patnaik, chief information officer, Camping World
    Bronze Winner: Giao Carrico, senior partner, consulting practice leader for data technology and AI, Genpact

Dr. Annabelle Pratt, principal engineer, National Renewable Energy Laboratory, was chosen by the judges as the Digital Titan of the Year for the Americas from the entire pool of regional nominees, recognizing her as the most outstanding woman in digital for 2023.

The awards program, launched in the Americas in 2022, was expanded for 2023 to the Europe, Middle East and Africa (EMEA) and Asia Pacific regions, including India. The global program received a total of 327 nominees, who are listed in an online ISG Women in Digital eBook. Awards for Asia Pacific and India will be presented October 11, at 6 p.m., AEDT, and awards for EMEA will be presented October 26, at 6 p.m., GMT.

“Women are breaking barriers and making lasting, positive changes in digital and technology leadership roles,” said Kimberly Tobias, ISG director and head of the ISG Women in Digital program. “We are delighted to recognize the success of each person nominated and to offer our sincere congratulations to our 2023 winners.”

Created in 2018, the ISG Women in Digital community provides a platform to exchange practical advice and innovative ideas on diversity and advancement in the workplace. The community hosts a LinkedIn page, an ongoing ISG Digital Dish podcast series, and regular events for ISG employees and the greater IT and business services industry.

For more information about the ISG Women in Digital Awards, contact ISG.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Source: Information Services Group, Inc.

Securities Rules Stalemate May Soon Be Resolved

Posted on by phoffman@channelchek.com

The Importance Of Securities Research and Analysis May Inspire A Reversal in Regulations

The US Securities and Exchange Commission has avoided confrontation for a few years with European Union securities laws by extending exceptions to US brokers in the states that are subject to the EU’s MIFID II rules. The rules require that brokers charge clients separately for their analysis on stocks or bonds, and not provide it as an accommodation. In the US, charging for “advice” would cause brokers to have to register with FINRA as Investment Advisors – this opens up a new set of difficulties. The stand-off has been headed for a showdown for a while, and this coming July 3rd is when the SEC exception that exempts brokers expires.

Will Showdown be Averted?

The SEC exceptions to US brokers that have EU clients have been in place for five years, occasionally being extended –  but the last extension expiring in a few weeks, may not get pushed out. SEC Chair Gary Gensler has been emphatic that he does not intend to extend any longer. The EU’s Markets in Financial Instruments directive threw a monkey wrench into a long-held custom of sell-side research by banning the common practice of accommodating clients by not directly charging for bond or equity analysis. Instead, in effect, “bundling” the service with research costs covered by trading commissions.

During the time that the EU has had MiFID II in place, an explicit price tag for research to investors has resulted in reduced company stock coverage. The new and growing concern is that the rules are hurting Europe’s financial markets — especially its small-caps. This is an important driver for the EU to consider a different tack.

Until now, without the SEC exemption from domestic rules, brokers in the huge US economy would have had to figure out how to take payment for research from their clients bound by MiFID. Or, alternatively, their clients would do without this important investment tool. The timeline is tight, but the problem for US brokers may be averted if the EU lawmakers act.

Will Europe Change Course?

With the SEC’s no-action letter expiring, the timing couldn’t be better. Investment firms following the rules of both regulators would cause a situation where US firms stop providing as much investment research to buy-side investors. Equity research is not only important to investors evaluating companies, but it is important to the companies themselves that need to be understood in order to attract capital and have enough active trading in their company to maintain suitable liquidity. This is especially true of small-cap and microcap stocks.

According to Reuters, the  “states will seek a near total U-turn on the rules behind so-called unbundling.”   MiFID II reforms, in place since 2018, may be adjusted to not conflict with the US model that separates brokers and investment advisors, requiring different licensing and different responsibilities of each.

The proposals suggest that an investment firm would only have to inform clients whether they are paying for research along with trading jointly, and record the charges attributable to each. This is different from unbundling, where from the client’s perspective, the research is a separate product, and decided on and paid for as an add-on to any other business.

Investors Could Win

While it was unclear how the showdown might come to an end, the new proposal, a dramatic turnaround from the EU on its current regulations, could finally resolve the regulator’s game of chicken and, at the same time, create an environment where investors benefit from more available information.

The original EU rule was intended to separate what lawmakers thought could be conflicts of interest when the selling broker also provides research while at the same time may have other banking and business relationships with the company it is providing research on.

The EU’s answer was to separate the two. But over time, according to Reuters, “evidence suggests research provision across the region has suffered as a result.” It lead to less research being distributed, which is viewed as negative to investors and the investor process.

What’s the Next Step?

The EU States’ plan talks with the European Parliament. The final shape of any regulatory changes will be decided in the negotiations, and the exact timetable for a conclusion is not yet clear.

Take Away

The prospect of a flip-flop on the MiFID rules comes at a key moment for the brokerage and securities research industries. In the US, a waiver allowing brokers to charge European clients separately for trading and for research is about to expire. At expiration, they’d have to adapt to the regulatory mismatch or drop the clients.

The drama is set against a very tight timeline.

As an interesting note, Channelchek is a platform that houses quality equity research and data on small and microcap companies. The information is at no cost to investors and is in no way tied to securities transactions. If you haven’t signed up to view this research, do this now.

Paul Hoffman

Managing Editor, Channelchek