Exhibit 12.1
ExlService Holdings, Inc
Unaudited Computation of Ratio of Earnings to Fixed Charges and Preferred Dividends
Six Months Ended | Year Ended | |||||||||||||||||||||
June 30, 2009 | June 30, 2008 | December 31, 2008 | December 31, 2007 | December 31, 2006 | December 31, 2005 | December 31, 2004 | ||||||||||||||||
(All figures in thousands except ratios) | ||||||||||||||||||||||
Income (loss) from continuing operations before income taxes and minority interests | $ | 4,646 | $ | 6,918 | $ | 9,797 | $ | 16,601 | $ | 6,356 | $ | (1,650 | ) | $ | 2,271 | |||||||
$ | 4,646 | $ | 6,918 | $ | 9,797 | $ | 16,601 | $ | 6,356 | $ | (1,650 | ) | $ | 2,271 | ||||||||
Fixed charges: | ||||||||||||||||||||||
Interest and other financial charges (a) | 0 | 0 | 0 | 0 | 350 | 675 | 869 | |||||||||||||||
One-third of rental expense(b) | 894 | 985 | 1,795 | 1,110 | 635 | 619 | 449 | |||||||||||||||
Total fixed charges | 894 | 985 | 1,795 | 1,110 | 985 | | 1,294 | | 1,318 | |||||||||||||
Adjusted earnings from continuing operations before income taxes and minority interests | $ | 5,540 | $ | 7,903 | $ | 11,591 | $ | 17,711 | $ | 7,342 | $ | (356 | ) | $ | 3,589 | |||||||
Ratio of earnings to fixed charges | 6.2 | 8.0 | 6.5 | 16.0 | 7.5 | N/A | (c) | 2.7 | ||||||||||||||
Preferred stock dividend requirements | $ | — | $ | — | $ | — | $ | — | $ | 617 | $ | 249 | $ | — | ||||||||
Ratio of earnings before provision for income taxes to earnings from continuing operations (d) | 1.1 | 0.9 | 0.9 | 0.9 | 0.9 | 1.0 | 0.8 | |||||||||||||||
Preferred stock dividend factor on pre-tax basis | — | — | — | — | 584 | 249 | — | |||||||||||||||
Fixed charges | 894 | 985 | 1,795 | 1,110 | 985 | 1,294 | 1,318 | |||||||||||||||
Total fixed charges and preferred stock dividend requirements | $ | 894 | $ | 985 | $ | 1,795 | $ | 1,110 | $ | 1,569 | $ | 1,543 | $ | 1,318 | ||||||||
Ratio of earnings to combined fixed charges and preferred stock dividend (d) | 6.2 | 8.0 | 6.5 | 16.0 | 4.7 | N/A | (e) | 2.7 |
(a) | Represents interest on senior long-term debt, interest on preferred stock and amortization of deferred financing and issuance costs. |
(b) | Represents approximately one-third of rent expense deemed for this purpose to represent the interest component of rental payments. |
(c) | Earnings were insufficient to cover fixed charges by $1,650 for the year ended December 31, 2005. |
(d) | Exl reported pre-tax losses for the year ended December 31, 2005; accordingly, the preferred dividend factor equal the preferred dividend requirements. |
(e) | Earnings were insufficient to cover fixed charges and preferred dividends by $1,899 for the year ended December 31, 2005. |