Pro Forma Financial Information (re: 2014 and 2013 acquisitions)

This unaudited pro forma financial information is provided for informational purposes only and does not project the Company’s results of operations for any future period.

The aggregated unaudited pro forma financial information pertains to all of the Company's acquisitions made during 2014 and 2013, which includes the acquisitions of CurePet, HealthCare Magic, Vertex, Oakstone, i3, and Qatarlyst as presented in the table below is provided for informational purposes only and does not project the Company's expected results of operations for any future period. No effect has been given in this pro forma information for future synergistic benefits that may still be realized as a result of combining these companies or costs that may yet be incurred in integrating their operations. The 2014 and 2013 pro forma financial information below assumes that all such business acquisitions were made on January 1, 2013, whereas the Company's reported financial statements for 2014 only includes the operating results from the businesses since the effective date that they were acquired by Ebix, and thusly includes only eleven months of CurePet, eight months of HealthCare Magic, three months of Vertex, and one month each for Oakstone and i3. Similarly, the 2013 pro forma financial information below includes a full year of results for HealthCare Magic, Vertex, Oakstone, i3 , and Qatarlyst as if they had been acquired on January 1, 2013, whereas the Company's reported financial statements for the 2013 includes no actual financial results for HealthCare Magic, Vertex, Oakstone, i3, and nine months of financial results for Qatarlyst.



	As Reported 2014		Pro Forma 2014		As Reported 2013		Pro Forma 2013
			(unaudited)				(unaudited)
	(In thousands, except per share amounts)
Revenue	$	214,321	$	262,733	$	204,710	$	260,452
Net Income	$	63,558	$	61,745	$	59,274	$	52,809
Basic EPS	$	1.68	$	1.63	$	1.58	$	1.40
Diluted EPS	$	1.67	$	1.62	$	1.53	$	1.37

In the above table, the unaudited pro forma revenue for the year ended December 31, 2014 increased by $2.3 million from the unaudited pro forma revenue for 2013 of $260.5 million to $262.7 million , representing a 0.9% increase. The reported revenue in the amount of $214.3 million for the year ended December 31, 2014 increased by $9.6 million or 4.7% from the $204.7 million of reported revenue for the year ended December 31, 2013.

The above pro forma analysis is based on the following premises:


•	2014 and 2013 pro forma revenue contains actual revenue of the acquired entities before acquisition date, as reported by the sellers, as well as actual revenue of the acquired entities after acquisition. Growth in revenues of the acquired entities after acquisition date are only reflected for the period after their acquisition.


•	Revenue billed to existing clients from the cross selling of acquired products has been assigned to the acquired section of our business.


•	Any existing products sold to new customers acquired through the acquisition customer base, has also been assigned to the acquired section of our business.


•	2013 pro forma revenues include revenues from some product lines whose sale was discontinued after the acquisition date and revenues from some customers whose contracts were discontinued. This is typically done for efficiency and/or competitive reasons.


•	The impact from fluctuations of the exchange rates for the foreign currencies in the countries in which we conduct operations also partially affected reported revenues. During each of the years 2014, 2013, and 2012 the change in foreign currency exchange rates decreased reported consolidated operating revenues by $(3.2) million, $(3.8) million, and $(1.2) million, respectively.