Information Services Group Sets Q4 Revenue Target at $64 Million to $65 Million

Information Services Group set fourth-quarter 2026 revenue targets of $64 million to $65 million and adjusted EBITDA of $9 million to $10 million after revenue grew 4.4% in the third quarter.

Revenue for the quarter ended Sept. 30 was $65.105 million, compared with $62.364 million a year earlier. Adjusted EBITDA, a non-GAAP measure, was $9.995 million, up 19%. Its margin rose to 15.4% from 13.5% a year earlier.

Net income under generally accepted accounting principles was $3.370 million, compared with $3.056 million in the year-ago quarter. Diluted earnings per share were 7 cents, up from 6 cents.

Chairman and CEO Michael P. Connors said during the Monday, Nov. 2, earnings call that AI-related revenue grew 56% to nearly $34 million in the third quarter. He said it accounted for more than half of the company’s revenue. Information Services Group is a global technology research and advisory firm centered on AI; its AI-related revenue topped $30 million for the first time in the quarter.

Regional results varied. Revenue in the Americas fell 1% to $41.9 million, while Europe revenue rose 6% to $17 million and Asia Pacific revenue climbed 47% to $6.2 million. The Americas remained the largest region by revenue, while Asia Pacific had the highest growth rate. The three regional totals add to about $65.1 million when rounded.

The fourth-quarter targets call for continued year-over-year growth. Information Services Group did not provide a reconciliation of its forward-looking adjusted EBITDA estimate to generally accepted accounting principles, saying preparation would require unreasonable effort.