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Ebix has better third quarter

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Ebix Australia has completed the integration of the Fintechnix financial services platform, which it bought in June, according to Australian MD Leon d’Apice.

“I can report that it’s contributing to increased revenues in Australia,” he told insuranceNEWS.com.au.

The insurance industry software and e-commerce provider’s US-based parent Ebix grew its operating income 23% in the September quarter to $US20.7 million ($19.89 million).

In the corresponding period last year it earned $US16.8 million ($16.14 million).

The company’s operating margin slipped slightly to 38.5% from 39.4% a year earlier and revenues were up 26% to $US53.8 million ($51.71 million).

The Ebix exchanges business – which in Australia includes Fintechnix and the general insurance platform Sunrise Exchange – was by far the top revenue-earner for the group, at $US43.6 million ($41.91 million).

Broker systems came in at $US4.5 million ($4.32 million), business process outsourcing at $US4.2 million ($4.03 million) and carrier systems at $US1.4 million ($1.34 million).

Ebix Chairman, President and CEO Robin Raina says he is pleased with the record result “as we have been able to grow our revenues while sustaining our operating margins”.

The company has also refuted a November 6 media report which claimed Mr Raina had sold most of his stake in Ebix. This resulted in a 32% drop in the share price, which has since recovered after the group said Mr Raina retains his 3.67 million shares.