Information Services Group, Inc. · NASDAQ:III
Information Services — Q1 2026 Earnings Presentation
30 slides from Information Services's earnings presentation, Apr 16, 2026
Slide 1: Technology Industry Update: Services & Software, First Quarter 2026
Technology Industry Update: Services & Software April 16, 2026 First Quarter HOSTED BY 2026 Rishi Jhunjhunwala Head of Technology Research IIFL Capital © 2026 Information Services Group, Inc. All Rights Reserved. Proprietary and Confidential. No part of this document may be reproduced in any form or
Slide 2: Market Level Set
Market Level Set 1 Managed services remains steady as TCO deals proliferate. 2 SaaS growth stays positive despite fears of AI-led disruption. 3 IaaS growth continues to accelerate while capital spending surges. 4 Enterprise AI demand remains exceptionally strong. 5 2026 outlook: managed services ste
Slide 3: Global Broader Market
Global Broader Market ACV $B Combined Market − ACV grew nearly 30% Y/Y 39.4 10.9 10.6 11.0 10.9 11.2 28.2 34.8 23.9 − Reached nearly $40B for first time 30.5 30.0 32.6 19.6 19.4 21.6 ever 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q Managed Services 1Q 25 2Q 25 3Q 25 4Q 25 1Q 26 25 25 25 25 26 25 25 25 25 26 − Sec
Slide 4: Managed Services Deal Composition Changes
Managed Services Deal Composition Changes Growth in New Scope Activity Another Signal of Enterprises Expect Savings From Consolidation; Provider & Services Consolidation Innovation From Smaller Providers ACV $B 8.0 6.7 4.0 3.2 1Q 1Q 1Q 1Q 25 25 26 26 Extension/renewal ACV New ACV Source: ISG IT Budg
Slide 5: Managed Services ITO Results
Managed Services ITO Results 1Q26 Results ACV $B − ACV down Y/Y for third 1Q25 1Q26 consecutive quarter − Americas accounted for all 4.5 3% 8.5 Americas the growth in ITO 8.4 − ADM down 20% -7% Y/Y EMEA 2.9 -16% − ADM bundled with Infrastructure up triple digits 7.9 7.9 7.8 4.2 ADM -20% 1Q 2Q 3Q 4Q
Slide 6: Managed Services Engineering Results
Managed Services Engineering Results 1Q26 Results ACV $B − Engineering growth 1Q25 1Q26 decelerates − ACV flat Y/Y, with Americas Flat 0.2 Americas -56% falling sharply in Q1 1.0 Y/Y 0.9 0.8 − Manufacturing remained 0.8 0.8 steady EMEA 0.4 4% − Segment can be sensitive to discretionary spending Soft
Slide 7: Managed Services BPO Results
Managed Services BPO Results 1Q26 Results ACV $B − ACV up 62% Y/Y; best quarter 62% 1Q25 1Q26 growth since 1Q22 Y/Y − Award volume up 36% Y/Y 2.5 Americas 1.0 22% 2.2 − Driven primarily by EMEA but Americas also finished 1.8 1.7 positive 1.5 EMEA 1.3 145% − Strength in industry-specific BPO; custome
Slide 8: Managed Services Regional Results
Managed Services Regional Results ACV $B Americas 4.4 4.5 4.7 − ACV up 5 of past 6 quarters 3.9 3.8 0.9 6.3 0.9 0.9 5.9 − BFSI and Manufacturing drove 5.7 5.6 5.7 0.8 0.8 growth EMEA − ACV exceeded $4B for second 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q consecutive quarter 25 25 25 25 26 25 25 2
Slide 9: Managed Services Industry Results
Managed Services Industry Results ACV $B BFSI 2.5 − Difficult compare created $300 2.3 million shortfall for the quarter 3.1 1.9 1.9 1.8 2.0 2.1 1.9 1.9 2.7 2.9 2.8 − Strong sequential results 2.3 1.5 Consumer Industries − Consumer industries up 32% Y/Y 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 2
Slide 10: SaaS Results
SaaS Results 1Q26 Results ACV $B − ACV exceeded $5B for first 5% time at 5% Y/Y growth Y/Y − Y/Y growth rate decelerated 5.1 120 bps from 4Q25 SaaS Y/Y ACV Growth − Top 10 SaaS providers 4.9 30% decelerated to -.6% ACV Y/Y 4.8 4.8 20% − Industry growth varied with 10% Energy down -7% ACV Y/Y 4.6 0%
Slide 11: Software Trends (SaaS)
Software Trends (SaaS) AI & Data Platforms Applications Front Office Continued strength in Strong broad-based data platforms growth and leading Led by CRM and CX, 12% despite rapid 11% vendors expand AI 10% while commerce and Y/Y advances in LLM- Y/Y advantage. Y/Y sales declined 9%. based agents. M
Slide 12: IaaS Results
IaaS Results 1Q26 Results ACV $B − ACV surpassed $23B first time ever 57% Y/Y − 57% Y/Y growth rate best since 4Q21 23.1 IaaS Y/Y ACV Growth − $8B of quarterly incremental 19.0 60% ACV added Y/Y 16.7 40% 14.7 14.8 20% − Americas and EMEA were 0% both up significantly 4Q 1Q 2Q 3Q 4Q 1Q − Big 4 hypers
Slide 13: Infrastructure Trends
Infrastructure Trends (SaaS) AI demand is outpacing capacity, and power constraints are accelerating investment in AI chips to maximize existing data center compute. AWS Google Microsoft AWS is set to surpass Microsoft in Google Cloud growth is fueled by Microsoft growth continued in Q1, Q2 ACV, dri
Slide 14: The New ISG AI Index
The New ISG AI Index Why a New AI Index AI’s Growing Impact on the − Data is anchored to the Dec. 2022 AI inflection point and Technology Sector 177 AI Index tracked quarterly across infrastructure, software and 180 services. − Each segment blends 160 revenue, profitability and stock performance wit
Slide 15: The ISG AI Index by Segment
The ISG AI Index by Segment IaaS SaaS Managed Services +160% +53% +0.3% since AI inception since AI inception since AI inception Revenue 100% Revenue + 61% Revenue + 8% Profitibility 60% Profitibility + 18% Profitibility + 4% Stock 113% Stock + 39% - Stock 36% Stock Capex 265% cRPO + 71% Revenue / E
Slide 16: What the New ISG AI Index Tells Us
What the New ISG AI Index Tells Us Overall Takeaways Revenue Growth vs Profitability 100% − Revenue growth is ahead of profitability IaaS 60% in every segment. AI is showing up in top-line growth before margins. 61% SaaS 18% − Operational indicators are better forward signals than stock prices. CapE
Slide 17: Global Service & Software Provider Standouts
Global Service & THE Software Provider Standouts ISG 15 The Big 15 Our ISG Contracts Database is used to determine placements based on the annual value of commercial The Building 15 contracts awarded in the past 12 months. The Breakthrough 15 The Booming 15 © 2026 Information Services Group, Inc. Al
Slide 18: Service & Software Provider Standouts – Global
Service & Software Provider Standouts – Global The ISG Contracts Database is used to determine placements based on the annual value of commercial contracts awarded in the past 12 months. The Big 15 The Building 15 The Breakthrough 15 The Booming 15 Revenues > $10B Revenues $3B-$10B Revenues $1B-$3B
Slide 19: Summary & Outlook
Summary & Outlook Summary Managed Services XaaS − Managed services: mostly continued trends observed − XaaS segment delivered record-breaking first-quarter results, throughout 2025 with a few exceptions driving high double-digit growth − BPO accelerated with increased activity in FM/CRE, industry- −
Slide 20: Thank you!
The 94 Quarterly th Thank you! © 2026 Information Services Group, Inc. All Rights Reserved.
Slide 21: Appendix
Appendix © 2026 Information Services Group, Inc. All Rights Reserved.
Slide 22: Americas Global Broader Market
Americas Global Broader Market Results ACV $B Combined Market 20.2 Combined Market up 35% Y/Y; 17.8 surpassed $20B level for first time 15.0 5.7 14.5 1… Combined Market added $5B in 5.7 9.3 incremental ACV versus 1Q25 5.6 Managed Services 1Q25 4Q25 1Q26 1Q25 4Q25 1Q26 1Q25 4Q25 1Q26 Managed services
Slide 23: Service & Software Provider Standouts – Americas
Service & Software Provider Standouts – Americas The ISG Contracts Database is used to determine placements based on the annual value of commercial contracts awarded in the past 12 months. The Big 15 The Building 15 The Breakthrough 15 The Booming 15 Revenues > $10B Revenues $3B-$10B Revenues $1B-$3
Slide 24: EMEA Global Broader Market
EMEA Global Broader Market Results ACV $B 1Q26 Results Combined market up 30% Y/Y; 12.2 4.7 7.5 surpassed $12B level for first time 10.9 6.4 9.4 Combined market added $2.5B in 4.9 4.5 incremental ACV versus 1Q25 4.4 Managed services up 6% Y/Y 1Q25 4Q25 1Q26 1Q25 4Q25 1Q26 1Q25 4Q25 1Q26 Managed serv
Slide 25: Service & Software Provider Standouts – EMEA
Service & Software Provider Standouts – EMEA The ISG Contracts Database is used to determine placements based on the annual value of commercial contracts awarded in the past 12 months. The Big 15 The Building 15 The Breakthrough 15 The Booming 15 Revenues > $10B Revenues $3B-$10B Revenues $1B-$3B Re
Slide 26: Asia-Pacific Global Broader Market
Asia-Pacific Global Broader Market Results ACV $B Combined Market − Up 18% Y/Y; surpassed $7B 7.1 level for first time 6.1 6.1 6.3 0.8 0.9 0.8 5.3 5.3 − Added $900M in incremental ACV versus 1Q25 Managed Services − Up 1.9% Y/Y 1Q25 4Q25 1Q26 1Q25 4Q25 1Q26 1Q25 4Q25 1Q26 − Broke a four-quarter strea
Slide 27: Service & Software Provider Standouts – Asia Pacific
Service & Software Provider Standouts – Asia Pacific The ISG Contracts Database is used to determine placements based on the annual value of commercial contracts awarded in the past 12 months. The Big 15 The Building 15 The Breakthrough 15 The Booming 15 Revenues > $10B Revenues $3B-$10B Revenues $1
Slide 28: Global Software Market: Q1
Global Software Market: Q1 ACV $B 28.2 23.1 1Q26 Y/Y Results 4.9 4.9 4.9 5.1 23.4 4.6 4.6 19.0 21.5 XaaS: Over $28B for first time ever in Q4 18.6 19.6 19.5 4.0 4.1 16.7 14.714.8 and large growth quarter, up 44% Y/Y 15.5 16.5 12.3 14.0 11.3 SaaS: ACV up 5% Y/Y, six consecutive quarters of Y/Y with s
Slide 29: As-a-Service Selected Industry Q1 Results
As-a-Service Selected Industry Q1 Results ACV $B 4.6 2.7 4.4 Business Services 3.9 2.4 3.6 3.5 2.1 1Q: ACV up 51% Y/Y 2.8 3.0 3.0 1.7 1.8 1.9 2.8 2.9 3.0 3.2 1.6 4Q25: ACV up 37% Y/Y 2.4 2.5 1.5 2.3 2.5 Healthcare 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 1Q: ACV up 49%
Slide 30: isg-one.com
ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world’s top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizati
Information Services Group — Q1 2026 Earnings Presentation on 6ix