Innodata (NASDAQ:INOD) just shot up over 26% as of 11:44 AM today after dropping a blowout Q4 and full-year 2024 earnings report. The AI data firm posted a staggering 127% revenue growth in Q4, hitting $59.2 million, while full-year revenue nearly doubled to $170.5 million. Net income skyrocketed to $10.3 million for the quarterup sixfold from last year. But the real kicker? The company just locked in an additional $24 million in annualized revenue from its biggest client, pushing total annualized sales with that customer to $135 million. Meanwhile, its seven other Big Tech customers aren't slouching eitherrevenue from them jumped 159% quarter-over-quarter, signaling serious traction.

• Warning! GuruFocus has detected 6 Warning Sign with INOD.

With $46.9 million in cash and an untouched $30 million credit line, Innodata is sitting on a war chest ready for expansion. CEO Jack Abuhoff made it clear: AI spending is booming, and Innodata is primed to ride the wave. The company plans to reinvest some of its cash flow while still growing EBITDA, showing confidence in its ability to scale fast. On top of that, AI infrastructure spending from tech giants and breakthroughs in hardware optimization could drive even more demand, lowering costs and accelerating adoption.

Looking ahead, the company is guiding for 40%+ revenue growth in 2025, backed by secured deals and a promising sales pipeline. Several pilots with major tech clients could turn into seven- or even eight-figure contracts, further diversifying its revenue streams. Execution risks are always a factorespecially customer concentrationbut if Innodata keeps this momentum, it could be gearing up for another blockbuster year in AI services.