Innodata Stock Plummets 15.79% Despite $289 Million Turnover Ranking 278th in Daily Trading

Innodata (INOD) experienced a significant decline of 15.79% in its stock price on May 9, 2025, despite a notable increase in trading volume, with a turnover of $289 million, placing it 278th in the day's trading rankings.

Innodata reported strong financial results for the first quarter of 2025, with revenue reaching $58.3 million, marking a 120% year-over-year increase. The company's adjusted EBITDA for the quarter was $12.7 million, an $8.9 million increase from the same period last year. Net income for the quarter stood at $7.8 million, or $0.25 per basic share and $0.22 per diluted share, compared to $1.0 million, or $0.03 per basic and diluted share, in the same period last year.

Innodata's CEO, Jack Abuhoff, highlighted the company's strong start to the year, noting significant customer acquisitions and expansions in existing relationships. The company has been onboarded by several major new customers, including a leading enterprise technology provider, a prominent cloud software company, a technology conglomerate, and a global healthcare technology company. Additionally, Innodata has expanded its relationships with existing Big Tech customers, securing engagements valued at approximately $8 million and discussions with other customers that could result in more than $30 million in awards.

Innodata is strategically aligned to support its customers' generative AI journeys, with a focus on collecting and creating generative AI training data, agentic AI, enterprise AI, and large language model trust and safety. The company plans to reinvest a portion of its cash from operations into technology and strategic hiring to drive long-term growth, while still guiding to grow its Adjusted EBITDA in 2025 over 2024. Innodata's balance sheet remains strong, with $56.6 million in cash as of March 31, 2025, up from $46.9 million at the end of 2024.