Exela Technologies Inc. (XELA) shares surged 21.09% in after-hours on Monday, June 28, 2021, and closed the day at $1.78 per share. Earlier in the morning session, XELA’s stock gained 5.76% to close Monday’s normal trading session at $1.47 per share. XELA shares have fallen 8.79% over the last 12 months, and they have moved up 8.89% in the past week. Over the past three months, the stock has lost 31.94%, while over the past six months, it has declined 10.68%.

Let’s have a look at its recent developments.

Exela received huge relief from the court

On June 25, 2021, Exela Technologies, Inc announced that U.S. District Judge Sydney A. Fitzwater has granted Exela’s motion to dismiss in its entirety the Texas federal securities class action suit filed March 2020.

Participation at the recent investor conference

Exela Technologies recently participated in the fireside chat hosted by Cantor Fitzgerald’s Josh Siegler that took place on June 11, 2021. The company was presented by Chief Financial Officer Shrikant Sortur and Head of Strategy Matt Brown.

Expansion of PCH Global Deployment

On June 08, 2021, Exela Technologies, Inc announced the extension and expansion of its partnership with one of the largest specialty care services insurance carriers in the country.

This engagement will expand Exela’s powerful cloud-based digital exchange platform for the insurance industry, PCH Global, to approximately 3,800 specialists as registered users within the customer organization using Exela’s proprietary workflow and rule engines across all aspects of the health claims spectrum including behavioural health.

Recent financial results announcement

On May 4, 2021, Exela Technologies announced its financial results for the first quarter of its financial year which ended on March 31, 2021.

Q1 2021 financial highlights

• Exela Technologies reported revenue of $300.1 million for Q1 2021 compared to $365.5 million for Q1 2020.
• The company had an operating income of $4.3 million in Q1 2021, compared with an operating loss of $2.2 million in Q1 2020.
• The company suffered a net loss of $39.2 million in Q1 2021, compared with a net loss of $12.7 million in Q1 2020.
• Adjusted EBITDA was $46.5 million in Q1 2021 compared to $44.4 million in Q1 2020.

The financial outlook for FY 2021

The company is expecting

• Revenues to be in the range of $1.25 billion to $1.39 billion
• Gross margin in the range of 23% to 25%
• Adjusted EBITDA in the range of 16% to 17%
• Capital expenditures in the range of 1% of revenue

Conclusion

Well, as of this writing there is no recent news from this week but recent court relief could be linked with its good performance on Monday. XELA stock can further surge in the coming days.