Technology
TTEC Announces Fourth Quarter and Full Year 2023 Financial Results
Published
7 months agoon
By
Full Year 2023
Revenue was $2.463 Billion, up 0.8 Percent
Operating Income was $118.0 Million or 4.8 Percent of Revenue
($200.4 Million or 8.1 Percent of Revenue Non-GAAP)
Net Income was $18.3 Million or 0.7 Percent of Revenue
($103.2 Million or 4.2 Percent of Revenue Non-GAAP)
Adjusted EBITDA was $271.5 Million or 11.0 Percent of Revenue
Fully Diluted EPS was $0.39, $2.18 Non-GAAP
Fourth Quarter 2023
Revenue was $626.2 Million, down 4.9 Percent
Operating Income was 16.9 Million or 2.7 Percent of Revenue
($41.8 Million or 6.7 Percent of Revenue Non-GAAP)
Net Income was ($8.2) Million or (1.3) Percent of Revenue
($17.5 Million or 2.8 Percent of Revenue Non-GAAP)
Adjusted EBITDA was $57.5 Million or 9.2 Percent of Revenue
Fully Diluted EPS was ($0.17), $0.37 Non-GAAP
Provides Outlook for Full Year 2024
DENVER, Feb. 29, 2024 /PRNewswire/ — TTEC Holdings, Inc. (NASDAQ:TTEC), a leading global CX (customer experience) technology and services innovator for AI-enabled CX with solutions from TTEC Engage and TTEC Digital, announced today financial results for the fourth quarter and full year ended December 31, 2023.
“As we have previously communicated, 2023 was a dynamic year for TTEC. The macroeconomic factors created a conservative and uncertain business environment that delayed client contracting decisions and lowered forecasts for certain clients in the second half of the year. While these factors moderated our results, we continued to make progress diversifying our business by growing our client base, completing a strategic phase of our geographic expansion, and expanding our AI-enabled solutions,” commented Ken Tuchman, chairman and chief executive officer of TTEC.
“Our 2024 outlook reflects three very specific challenges in our TTEC Engage segment. First, client budget constraints and a conservative mindset in the second half of 2023 is carrying forward into our 2024 outlook. Second, a long-tenured client eliminated one of several lines of business that we supported. While our relationship remains strong with this client and we continue to service their customers across multiple other lines of business, the discontinuation of this one line of business contributes to the impact on our top and bottom line in 2024. Third, while we are pleased by the growing demand for our new offshore locations, the timing lag between our recent wins and normalized revenue run rate and margins is weighing on our outlook,” Tuchman continued.
“In TTEC Digital, we delivered record bookings in the fourth quarter and the team is off to a strong start this year. Demand for our differentiated CX technology expertise continues to grow as cloud migrations and AI solutions drive our clients’ CX digital transformation agendas.”
Tuchman further stated, “As we move into 2024, we are laser focused on execution. We will continue to capitalize on our greatly expanded offshore footprint, deepen our relationships with new and existing clients, apply our AI-enabled solutions and accelerate our margin optimization initiatives.”
“TTEC’s board of directors’ decision to reduce the dividend reflects a prudent shift to prioritize our capital deployment towards continued investments in sustainable growth initiatives and debt reduction associated with strategic acquisitions. As revised, the dividend is in line with our stock price and the dividend yield typical for our industry and the broader market. I am confident we are well positioned to emerge stronger as we exit 2024.”
FULL YEAR 2023 FINANCIAL HIGHLIGHTS
Revenue
Full year 2023 GAAP revenue increased 0.8 percent to $2.463 billion compared to $2.444 billion in the prior year. Foreign exchange had a $4.4 million positive impact on revenue for the full year 2023.
Income from Operations
Full year 2023 GAAP income from operations was $118.0 million, or 4.8 percent of revenue, compared to $168.5 million, or 6.9 percent of revenue in the prior year.Non-GAAP income from operations, excluding restructuring and impairment charges, equity-based compensation expenses, amortization of purchased intangibles, and other items, was $200.4 million, or 8.1 percent of revenue, compared to $248.5 million, or 10.2 percent in the prior year.Foreign exchange had a $2.2 million negative impact on Non-GAAP income from operations for the full year 2023.
Adjusted EBITDA
Full year 2023 Non-GAAP Adjusted EBITDA was $271.5 million, or 11.0 percent of revenue, compared to $320.1 million, or 13.1 percent of revenue in the prior year.
Earnings Per Share
Full year 2023 GAAP fully diluted earnings per share was $0.39 compared to $2.48 in the prior year.Non-GAAP fully diluted earnings per share was $2.18 compared to $3.59 in the prior year.
FOURTH QUARTER 2023 FINANCIAL HIGHLIGHTS
Revenue
Fourth quarter 2023 GAAP revenue decreased 4.9 percent to $626.2 million compared to $658.3 million in the prior year. Foreign exchange had a $5.5 million positive impact on revenue in the fourth quarter of 2023.
Income from Operations
Fourth quarter 2023 GAAP income from operations was $16.9 million, or 2.7 percent of revenue, compared to $48.7 million, or 7.4 percent of revenue in the prior year.Non-GAAP income from operations, excluding restructuring and impairment charges, equity-based compensation expenses, amortization of purchased intangibles, and other items, was $41.8 million, or 6.7 percent of revenue, compared to $69.9 million, or 10.6 percent for the prior year.Foreign exchange had a $2.4 million negative impact on Non-GAAP income from operations in the fourth quarter 2023.
Adjusted EBITDA
Fourth quarter 2023 Non-GAAP Adjusted EBITDA was $57.5 million, or 9.2 percent of revenue, compared to $86.5 million, or 13.1 percent of revenue in the prior year.
Earnings Per Share
Fourth quarter 2023 GAAP fully diluted earnings per share was ($0.17) compared to $0.54 in the prior year.Non-GAAP fully diluted earnings per share was $0.37 compared to $0.91 in the prior year.
STRONG CASH FLOW AND BALANCE SHEET FUND INVESTMENTS AND DIVIDENDS
Cash flow from operations in the fourth quarter 2023 was $31.5 million compared to $18.2 million for the fourth quarter 2022. For the full year 2023, cash flow from operations was $144.8 million compared to $137.0 million for the same period 2022.Capital expenditures in the fourth quarter 2023 were $13.1 million compared to $19.4 million for the fourth quarter 2022. For the full year 2023, capital expenditures were $67.8 million compared to $84.0 million for the same period 2022.As of December 31, 2023, TTEC had cash and cash equivalents of $172.7 million and debt of $999.3 million, resulting in a net debt position of $826.5 million. This compares to a net debt position of $810.2 million for the same period 2022.As of December 31, 2023, TTEC’s remaining borrowing capacity under its revolving credit facility was approximately $90 million compared to $335 million for the same period 2022.On February 27, 2024, the Board declared the next semi-annual dividend of $0.06 per share, or $2.9 million, payable on April 30, 2024 to shareholders of record as of April 3, 2024. TTEC’s board of directors’ decision to reduce the dividend reflects a prudent shift to prioritize our capital deployment towards continued investments in sustainable growth initiatives and debt reduction associated with strategic acquisitions.TTEC paid a $0.52 per share, or $24.7 million, semi-annual dividend on October 31, 2023.
SEGMENT REPORTING & COMMENTARY
TTEC reports financial results for the following two business segments: TTEC Digital (Digital) and TTEC Engage (Engage). Financial highlights for the two segments are provided below.
TTEC Digital – Design, build and operate tech-enabled, insight-driven CX solutions
Fourth quarter 2023 GAAP revenue for TTEC Digital decreased 2.1 percent to $119.1 million from $121.7 million for the year ago period. Income from operations was $10.0 million or 8.4 percent of revenue compared to an operating income of $9.9 million or 8.2 percent of revenue in the prior year. Non-GAAP income from operations was $17.7 million, or 14.8 percent of revenue compared to operating income of $18.0 million or 14.8 percent of revenue in the prior year.
TTEC Engage – Digitally-enabled customer care, acquisition, and fraud mitigation services
Fourth quarter 2023 GAAP revenue for TTEC Engage decreased 5.5 percent to $507.1 million from $536.6 million for the year ago period. Income from operations was $6.9 million or 1.4 percent of revenue compared to operating income of $38.8 million, or 7.2 percent of revenue in the prior year.Non-GAAP income from operations was $24.1 million, or 4.8 percent of revenue, compared to operating income of $52.0 million, or 9.7 percent of revenue in the prior year.Foreign exchange had a $5.3 million positive impact on revenue and $1.9 million negative impact on income from operations.
BUSINESS OUTLOOK
“We ended 2023 in line with expectations but the recent dynamics in the Engage segment are causing a reduction in our 2024 revenue and margin outlook compared to 2023. We are confident in the initiatives currently in motion that focus on growth and margin improvement,” commented Francois Bourret, interim chief financial officer of TTEC. “As digital transformation continues to be a top priority for our clients, we are encouraged by the growing momentum with TTEC Digital. As we move forward, we will navigate this environment to position the company to exit 2024 with a view towards longer-term profitable growth.”
TTEC First Quarter and Full Year 2024 Outlook
First Quarter 2024
Guidance
First Quarter 2024
Mid-Point
Full Year 2024
Guidance
Full Year 2024
Mid-Point
Revenue
$559M — $569M
$564M
$2,275M — $2,365M
$2,320M
Non-GAAP adjusted EBITDA
$52M — $58M
$55M
$215M — $259M
$237M
Non-GAAP adjusted EBITDA margins
9.3% — 10.2%
9.8 %
9.5% — 11.0%
10.2 %
Non-GAAP operating income
$36M — $42M
$39M
$150M — $194M
$172M
Non-GAAP operating income margins
6.4% — 7.4%
6.9 %
6.6% — 8.2%
7.4 %
Interest expense, net
($20M) — ($22M)
($21M)
($77M) — ($79M)
($78M)
Non-GAAP adjusted tax rate
23% — 25%
24 %
23% — 25%
24 %
Diluted share count
47.4M — 47.6M
47.5M
47.4M — 47.6M
47.5M
Non-GAAP earnings per a share
$0.25 — $0.34
$0.30
$1.15 — $1.86
$1.51
Engage First Quarter and Full Year 2024 Outlook
First Quarter 2024
Guidance
First Quarter 2024
Mid-Point
Full Year 2024
Guidance
Full Year 2024
Mid-Point
Revenue
$453M — $457M
$455M
$1,790M — $1,850M
$1,820M
Non-GAAP adjusted EBITDA
$41M — $45M
$43M
$149M — $179M
$164M
Non-GAAP adjusted EBITDA margins
9.2% — 9.9%
9.5 %
8.4% — 9.7%
9.0 %
Non-GAAP operating income
$28M — $32M
$30M
$95M — $125M
$110M
Non-GAAP operating income margins
6.2% — 7.0%
6.6 %
5.3% — 6.8%
6.1 %
Digital First Quarter and Full Year 2024 Outlook
First Quarter 2024
Guidance
First Quarter 2024
Mid-Point
Full Year 2024
Guidance
Full Year 2024
Mid-Point
Revenue
$106M — $112M
$109M
$485M — $515M
$500M
Non-GAAP adjusted EBITDA
$11M — $13M
$12M
$66M — $80M
$73M
Non-GAAP adjusted EBITDA margins
10.1% — 11.3%
10.7 %
13.5% — 15.5%
14.5 %
Non-GAAP operating income
$8M — $10M
$9M
$55M — $69M
$62M
Non-GAAP operating income margins
7.6% — 8.9%
8.3 %
11.2% — 13.3%
12.3 %
The Company has not quantitatively reconciled its guidance for Non-GAAP operating income, Non-GAAP operating income margins, Non-GAAP adjusted EBITDA, Non-GAAP adjusted EBITDA margins, or Non-GAAP earnings per share to their respective most comparable GAAP measures because certain of the reconciling items that impact these metrics, including restructuring and impairment charges, equity-based compensation expense, changes in acquisition contingent consideration, depreciation and amortization expense, and provision for income taxes are dependent on the timing of future events outside of the Company’s control or cannot be reliably predicted. Accordingly, the Company is unable to provide reconciliations to GAAP operating income, operating income margins, EBITDA margins, and diluted earnings per share without unreasonable effort. Please note that the unavailable reconciling items could significantly impact the Company’s 2024 financial results as reported under GAAP.
NON-GAAP FINANCIAL MEASURES
This press release contains a discussion of certain Non-GAAP financial measures that the Company includes to allow investors and analysts to measure, analyze and compare its financial condition and results of operations in a meaningful and consistent manner. A reconciliation of these Non-GAAP financial measures can be found in the tables accompanying this press release.
GAAP metrics are presented in accordance with Generally Accepted Accounting Principles.Non-GAAP – As reflected in the attached reconciliation table, the definition of Non-GAAP may exclude from operating income, EBITDA, net income and earnings per share restructuring and impairment charges, equity-based compensation expenses, amortization of purchased intangibles, among other items.
ABOUT TTEC
TTEC (pronounced T-TEC) Holdings, Inc. (NASDAQ:TTEC) is a leading global CX (customer experience) technology and services innovator for AI-enabled digital CX solutions. Serving iconic and disruptive brands, TTEC’s outcome-based solutions span the entire enterprise, touch every virtual interaction channel, and improve each step of the customer journey. Leveraging next-gen digital technology, the Company’s TTEC Digital business designs, builds, and operates omnichannel contact center technology, CRM, AI and analytics solutions. The Company’s TTEC Engage business delivers AI-enabled customer engagement, customer acquisition and growth, tech support, back office, and fraud prevention services. Founded in 1982, the company’s singular obsession with CX excellence has earned it leading client, customer, and employee satisfaction scores across the globe. The Company’s over 60,000 employees operate on six continents and bring technology and humanity together to deliver happy customers and differentiated business results. To learn more visit us at https://www.ttec.com.
FORWARD-LOOKING STATEMENTS
This Earnings Press Release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995., Forward-looking statements include, but are not limited to, statements relating to our operations, expected financial position, results of operation, effective tax rate, cash flow, leverage, liquidity, business strategy, competitive position, demand for our services in international operations, acquisition opportunities and impact of acquisitions, capital allocation and dividends, growth opportunities, spending, capital expenditures and investments, competition and market forecasts, industry trends, our human capital resources, and other business matters that are based on our current expectations, assumptions, and projections with respect to the future, and are not a guarantee of performance.
In this Release when we use words such as “may,” “believe,” “plan,” “will,” “anticipate,” “estimate,” “expect,” “intend,” “project,” “would,” “could,” “target,” or similar expressions, or when we discuss our strategy, plans, goals, initiatives, or objectives, we are making forward-looking statements. Unless otherwise indicated or except where the context otherwise requires, the terms “TTEC,” “the Company,” “we,” “us” and “our”and other similar terms in this report refer to TTEC Holdings, Inc. and its subsidiaries. We caution you not to rely unduly on any forward-looking statements. Actual results may differ materially from those expressed in the forward-looking statements, and you should review and consider carefully the risks, uncertainties, and other factors that affect our business and may cause such differences as outlined in Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2023 and any subsequent filings with the U.S. Securities and Exchange Commission (the “SEC”) which are available on TTEC’s website www.ttec.com, and on the SEC’s public website at www.sec.gov
Our forward-looking statements speak only as of the date that this release is issued. We undertake no obligation to update them, except as may be required by applicable law. Although we believe that our forward-looking statements are reasonable, they depend on many factors outside of our control and we can provide no assurance that they will prove to be correct.
Corporate Comms
Investor Relations
Marji Chimes
Paul Miller
marji.chimes@ttec.com
paul.miller@ttec.com
TTEC HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
Three months ended
Twelve months ended
December 31,
December 31,
2023
2022
2023
2022
Revenue
$ 626,181
$ 658,278
$2,462,817
$2,443,707
Operating Expenses:
Cost of services
505,814
495,339
1,932,877
1,856,518
Selling, general and administrative
74,744
80,602
290,873
287,433
Depreciation and amortization
24,904
31,730
101,272
111,791
Restructuring charges, net
3,145
1,412
8,041
5,673
Impairment losses
650
450
11,733
13,749
Total operating expenses
609,257
609,533
2,344,796
2,275,164
Income From Operations
16,924
48,745
118,021
168,543
Other income (expense), net
(21,988)
(15,877)
(77,297)
(24,095)
(Loss) / Income Before Income Taxes
(5,064)
32,868
40,724
144,448
Provision for income taxes
(3,142)
(7,318)
(22,460)
(27,115)
Net (Loss) / Income
(8,206)
25,550
18,264
117,333
Net income attributable to noncontrolling interest
(1,694)
(3,197)
(9,836)
(14,093)
Net (Loss) / Income Attributable to TTEC Stockholders
$ (9,900)
$ 22,353
$ 8,428
$ 103,240
Net (Loss) / Income Per Share
Basic
$ (0.17)
$ 0.54
$ 0.39
$ 2.49
Diluted
$ (0.17)
$ 0.54
$ 0.39
$ 2.48
Net (Loss) / Income Per Share Attributable to TTEC Stockholders
Basic
$ (0.21)
$ 0.47
$ 0.18
$ 2.19
Diluted
$ (0.21)
$ 0.47
$ 0.18
$ 2.18
Income From Operations Margin
2.7 %
7.4 %
4.8 %
6.9 %
Net (Loss) / Income Margin
(1.3) %
3.9 %
0.7 %
4.8 %
Net (Loss) / Income Attributable to TTEC Stockholders Margin
(1.6) %
3.4 %
0.3 %
4.2 %
Effective Tax Rate
(62.0) %
22.3 %
55.2 %
18.8 %
Weighted Average Shares Outstanding
Basic
47,425
47,220
47,335
47,121
Diluted
47,503
47,299
47,419
47,335
TTEC HOLDINGS, INC. AND SUBSIDIARIES
SEGMENT INFORMATION
(In thousands)
Three months ended
Twelve months ended
December 31,
December 31,
2023
2022
2023
2022
Revenue:
TTEC Digital
$ 119,118
$ 121,650
$ 486,882
$ 463,670
TTEC Engage
507,063
536,628
1,975,935
1,980,037
Total
$ 626,181
$ 658,278
$ 2,462,817
$ 2,443,707
Income From Operations:
TTEC Digital
$ 9,982
$ 9,924
$ 29,846
$ 34,895
TTEC Engage
6,942
38,821
88,175
133,648
Total
$ 16,924
$ 48,745
$ 118,021
$ 168,543
TTEC HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands)
December 31,
December 31,
2023
2022
ASSETS
Current assets:
Cash and cash equivalents
$ 172,747
$ 153,435
Accounts receivable, net
394,868
417,637
Prepaids and other current assets
95,064
133,365
Income and other tax receivables
18,524
45,533
Total current assets
681,203
749,970
Property and equipment, net
191,003
183,360
Operating lease assets
121,574
92,431
Goodwill
808,988
807,845
Other intangibles assets, net
198,433
233,909
Income and other tax receivables, long-term
44,673
–
Other assets
139,724
86,447
Total assets
$ 2,185,598
$ 2,153,962
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable
$ 96,577
$ 93,937
Accrued employee compensation and benefits
146,184
145,096
Deferred revenue
81,171
87,846
Current operating lease liabilities
38,271
35,271
Other current liabilities
40,824
49,214
Total current liabilities
403,027
411,364
Long-term liabilities:
Line of credit
995,000
960,000
Non-current operating lease liabilities
96,809
69,575
Other long-term liabilities
75,220
79,273
Total long-term liabilities
1,167,029
1,108,848
Redeemable noncontrolling interest
–
55,645
Equity:
Common stock
474
472
Additional paid in capital
407,415
367,673
Treasury stock
(589,807)
(593,164)
Accumulated other comprehensive income (loss)
(89,876)
(126,301)
Retained earnings
870,429
911,233
Noncontrolling interest
16,907
18,192
Total equity
615,542
578,105
Total liabilities and equity
$ 2,185,598
$ 2,153,962
TTEC HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
Twelve months ended
Twelve months ended
December 31,
December 31,
2023
2022
Cash flows from operating activities:
Net income
$ 18,264
$ 117,333
Adjustments to reconcile net income to net cash provided by operating activities :
Depreciation and amortization
101,272
111,791
Amortization of contract acquisition costs
2,288
2,065
Amortization of debt issuance costs
1,067
1,018
Imputed interest expense and fair value adjustments to contingent consideration
7,579
1,746
Provision for credit losses
2,009
9,391
Loss on disposal of assets
2,219
1,916
Loss on dissolution of subsidiary
301
–
Impairment losses
11,733
13,749
Deferred income taxes
(7,528)
(11,001)
Excess tax benefit from equity-based awards
1,705
(1,122)
Equity-based compensation expense
22,071
17,571
Gain on foreign currency derivatives
(3)
(7)
Changes in assets and liabilities, net of acquisitions:
Accounts receivable
22,359
(74,564)
Prepaids and other assets
8,570
43,699
Accounts payable and accrued expenses
9,518
(12,695)
Deferred revenue and other liabilities
(58,659)
(83,842)
Net cash provided by operating activities
144,765
137,048
Cash flows from investing activities:
Proceeds from sale of property and equipment
261
229
Purchases of property, plant and equipment
(67,839)
(84,012)
Acquisitions
–
(142,420)
Net cash used in investing activities
(67,578)
(226,203)
Cash flows from financing activities:
Net proceeds from / (repayments of) line of credit
35,000
169,000
Payments on other debt
(2,317)
(3,245)
Payments of contingent consideration and hold back payments to acquisitions
(37,676)
(9,600)
Dividends paid to shareholders
(49,232)
(48,072)
Payments to noncontrolling interest
(10,972)
(11,883)
Tax payments related to the issuance of restricted stock units
(3,037)
(7,164)
Net cash (used in) / provided by financing activities
(68,234)
89,036
Effect of exchange rate changes on cash, cash equivalents and restricted cash
(2,112)
(13,499)
Increase / (decrease) in cash, cash equivalents and restricted cash
6,841
(13,618)
Cash, cash equivalents and restricted cash, beginning of period
167,064
180,682
Cash, cash equivalents and restricted cash, end of period
$ 173,905
$ 167,064
TTEC HOLDINGS, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL INFORMATION
(In thousands, except per share data)
Three months ended
Twelve months ended
December 31,
December 31,
2023
2022
2023
2022
Revenue
$ 626,181
$ 658,278
$ 2,462,817
$ 2,443,707
Reconciliation of Non-GAAP Income from Operations and EBITDA:
Income from Operations
$ 16,924
$ 48,745
$ 118,021
$ 168,543
Restructuring charges, net
3,145
1,412
8,041
5,673
Impairment losses
650
450
11,733
13,749
Cybersecurity incident related impact, net of insurance recovery
–
(446)
(3,210)
(3,610)
Software accelerated amortization
–
6,382
–
8,509
Write-off of acquisition related receivable
–
–
–
900
Property costs not related to operations
757
–
1,501
–
Liability related to notifications triggered by labor scheme (1)
6,000
–
6,000
–
Grant income for pandemic relief
–
–
40
–
Change in acquisition related obligation
–
–
483
–
Equity-based compensation expenses
5,661
4,331
22,071
17,571
Amortization of purchased intangibles
8,676
9,038
35,759
37,169
Non-GAAP Income from Operations
$ 41,813
$ 69,912
$ 200,439
$ 248,504
Non-GAAP Income from Operations Margin
6.7 %
10.6 %
8.1 %
10.2 %
Depreciation and amortization
15,894
16,310
64,840
66,113
Changes in acquisition contingent consideration
616
(272)
7,480
1,798
Change in escrow balance related to acquisition
–
–
625
–
Loss on dissolution of subsidiary
–
–
301
–
Foreign exchange loss / (gain), net
1,112
1,710
1,950
(6,514)
Other income (expense), net
(1,894)
(1,156)
(4,126)
10,161
Adjusted EBITDA
$ 57,541
$ 86,504
$ 271,509
$ 320,062
Adjusted EBITDA Margin
9.2 %
13.1 %
11.0 %
13.1 %
Reconciliation of Non-GAAP EPS:
Net (Loss) / Income
$ (8,206)
$ 25,550
$ 18,264
$ 117,333
Add: Asset impairment and restructuring charges
3,795
1,862
19,774
19,422
Add: Equity-based compensation expenses
5,661
4,331
22,071
17,571
Add: Amortization of purchased intangibles
8,676
9,038
35,759
37,169
Add: Cybersecurity incident related impact, net of insurance recovery
–
(446)
(3,210)
(3,610)
Add: Software accelerated amortization
–
6,382
–
8,509
Add: Write-off of acquisition related receivable
–
–
–
900
Add: Property costs not related to operations
757
–
1,501
–
Add: Liability related to notifications triggered by labor scheme
6,000
–
6,000
–
Add: Grant income for pandemic relief
–
–
40
–
Add: Change in acquisition related obligation
–
–
483
–
Add: Changes in acquisition contingent consideration
616
(272)
7,480
1,798
Add: Changes in escrow balance related to acquisition
–
–
625
–
Add: Loss on dissolution of subsidiary
–
–
301
–
Add: Foreign exchange loss / (gain), net
1,112
1,710
1,950
(6,514)
Less: Changes in valuation allowance, return to provision adjustments and
other, and tax effects of items separately disclosed above
(885)
(4,909)
(7,859)
(22,872)
Non-GAAP Net Income
$ 17,526
$ 43,246
$ 103,179
$ 169,706
Diluted shares outstanding
47,503
47,299
47,419
47,335
Non-GAAP EPS
$0.37
$0.91
$2.18
$3.59
Reconciliation of Free Cash Flow:
Cash Flow From Operating Activities:
Net (Loss) / Income
$ (8,206)
$ 25,550
$ 18,264
$ 117,333
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
24,904
31,730
101,272
111,791
Other
14,836
(39,045)
25,229
(92,076)
Net cash provided by operating activities
31,534
18,235
144,765
137,048
Less – Total Cash Capital Expenditures
13,117
19,448
67,839
84,012
Free Cash Flow
$ 18,417
$ (1,213)
$ 76,926
$ 53,036
(1) – For further information, please see discussion in the Risk Factors section of the 2023 Form 10-K filed on February 29, 2024.
Reconciliation of Non-GAAP Income from Operations and Adjusted EBITDA by Segment :
TTEC Engage
TTEC Digital
TTEC Engage
TTEC Digital
Q4 23
Q4 22
Q4 23
Q4 22
YTD 23
YTD 22
YTD 23
YTD 22
Income from Operations
$ 6,942
$ 38,821
$ 9,982
$ 9,924
$ 88,175
$ 133,648
$ 29,846
$ 34,895
Restructuring charges, net
1,823
1,130
1,322
282
4,250
5,251
3,791
422
Impairment losses
700
24
(50)
426
8,929
13,112
2,804
637
Cybersecurity incident related impact, net of insurance recovery
–
(446)
–
–
(3,210)
(3,610)
–
–
Software accelerated amortization
–
5,106
–
1,276
–
6,808
–
1,701
Write-off of acquisition related receivable
–
–
–
–
–
–
–
900
Property costs not related to operations
757
–
–
–
1,501
–
–
–
Grant income for pandemic relief
–
–
–
–
40
–
–
–
Change in acquisition related obligation
–
–
–
–
–
–
483
–
Liability related to notifications triggered by labor scheme
6,000
–
–
–
6,000
–
–
–
Equity-based compensation expenses
3,658
2,659
2,003
1,672
14,257
11,476
7,814
6,095
Amortization of purchased intangibles
4,264
4,658
4,412
4,380
18,215
17,272
17,544
19,897
Non-GAAP Income from Operations
$ 24,144
$ 51,952
$ 17,669
$ 17,960
$ 138,157
$ 183,957
$ 62,282
$ 64,547
Depreciation and amortization
13,458
13,667
2,436
2,643
55,153
54,561
9,687
11,552
Changes in acquisition contingent consideration
616
(272)
–
–
7,480
1,798
–
–
Change in escrow balance related to acquisition
–
–
–
–
625
–
–
–
Loss on dissolution of subsidiary
–
–
–
–
301
–
–
–
Foreign exchange loss / (gain), net
1,271
1,606
(159)
104
2,085
(5,540)
(135)
(974)
Other income (expense), net
(1,728)
(1,063)
(166)
(93)
(4,060)
9,352
(66)
809
Adjusted EBITDA
$ 37,761
$ 65,890
$ 19,780
$ 20,614
$ 199,741
$ 244,128
$ 71,768
$ 75,934
View original content to download multimedia:https://www.prnewswire.com/news-releases/ttec-announces-fourth-quarter-and-full-year-2023-financial-results-302076311.html
SOURCE TTEC Holdings, Inc.
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Technology
WorldSkills Lyon 2024: Talented Winners, Long-lasting Legacy
Published
9 mins agoon
September 19, 2024By
LYON, France, Sept. 19, 2024 /PRNewswire/ — After an intense week of competition, the 47th WorldSkills Competition has officially wrapped up, marking the end of a thrilling journey for 1,400 young professionals from around the globe. For four days, participants representing nearly 70 countries and regions competed fiercely in 59 diverse skill areas, transforming Lyon’s Eurexpo into a vibrant hub of craftsmanship and international talent.
From day one, the atmosphere was charged with energy as competitors showcased their expertise in sectors ranging from Manufacturing and Engineering to Fashion, Digital Technology, and Healthcare. The level of dedication and precision demonstrated throughout the week was a testament to the profound commitment these young professionals have to their trades, as well as their determination to showcase their nation’s worth on the global stage.
Last night, the closing ceremony of WorldSkills Lyon 2024, held at Groupama Stadium, brought the event to an emotional close with the announcement of medalists in each skill category. Four medals were awarded in each skill: Gold Medal, Silver Medal, Bronze Medal, and the Medallion for Excellence. This ceremony underscored the core belief of the WorldSkills movement: excellence is found in diversity – diversity of profiles, backgrounds, expertise, and techniques.
The list of medalists is now available. Visit https://worldskills.org/what/competitions/worldskills-lyon-2024/#results to discover the winners!
What’s next?
The impact of WorldSkills Lyon 2024 extends far beyond the event itself. As the competition unfolded, and millions of people followed it in person or through media, WorldSkills Lyon 2024 spotlighted the crucial role of vocational education in today’s world and in shaping our shared future. By celebrating excellence, the competition highlighted the incredible ability of youth to drive the change our world needs through their energy and dedication. The legacy of this event lies in every vocation it has sparked and every future career it has inspired. This 47th edition has once again shown the world that where there is skill, there is a way.
Media Contacts:
Alice Nahon
PR Officer
alice.nahon@publicis.com
Anne-Laure TRONC
Press Relation Manager
media@worldskillslyon2024.com
Photo – https://mma.prnewswire.com/media/2510100/WorldSkills_Lyon_2024.jpg
Photo – https://mma.prnewswire.com/media/2510103/WorldSkills_Lyon_2024.jpg
Logo – https://mma.prnewswire.com/media/2205419/4921868/WordSkills_Lyon_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/worldskills-lyon-2024-talented-winners-long-lasting-legacy-302253405.html
Technology
LG NOVA EXPANDS EFFORTS TO DRIVE INNOVATION GROWTH THROUGH NEW PARTNER ALLIANCE PROGRAM
Published
9 mins agoon
September 19, 2024By
New Program Connects LG, Strategic Partners and Startups to Ignite Collaboration and Development of Innovative Ideas for a Better Future
SANTA CLARA, Calif., Sept. 19, 2024 /PRNewswire/ — LG Electronics today announced the launch of the LG NOVA Partner Alliance Program – a platform that brings together corporate partners and startups for cross-industry collaborations, technology and business development, and commercial partnerships to catalyze the growth of innovations for the future.
Spearheaded by LG NOVA, LG Electronics’ North America Innovation Center, the Program extends the success of LG NOVA’s mission to co-create new ventures with startups to its corporate partners with the goal to encourage exponential growth of new innovations in the market by creating more pathways for innovative ideas to flourish at a greater rate.
Joining the Partner Alliance Program at launch are Fujitsu Research of America, Hyundai CRADLE, IBM, Mayo Clinic Innovation Exchange, Niantic and the West Virginia Department of Economic Development. These organizations have all signed on to work with LG NOVA and its extensive startup ecosystem to generate and explore new concepts; develop, test, and validate those concepts; and collaborate on innovative product solutions or even co-create new businesses. Additional partners will be added to the Partner Alliance Program in the coming months.
“The new Partner Alliance Program aligns with our core mission to collaborate and create an ecosystem for startups to thrive and ensure that the innovations today become the market-leading solutions of tomorrow,” said Dr. Sokwoo Rhee, corporate executive vice president for Innovation, LG Electronics and head of LG NOVA.
Kevin Chong, LG NOVA’s head of corporate and business development, said, “This program is a win-win for all parties, including LG, as we continue to explore new ideas for business co-creation. The growth of new ideas and cross-industry collaboration will help the markets move forward faster towards a better future that benefits all of us, businesses, people and the planet.”
In bringing on corporate partners to its Program, LG NOVA is helping to create more opportunities for startups to find quintessential industry partners that will help it reach commercial success at a larger level, Chong explained. For the corporate partners, finding innovative startups to work with will help them address new market opportunities, extend their businesses into new areas and better address the changing needs of their customers.
The Partner Alliance Program will leverage the resources of LG Electronics existing business units while also tapping into the pipeline of startups and resources available through the LG NOVA’s Mission for the Future initiative – a broad umbrella of programs designed around engaging with the entire innovation ecosystem to explore ideas on creating a better future through collaboration and tech innovations.
LG NOVA and the newly announced partners in the Partner Alliance Program plan to share more about their goals and vision for this program at the 2024 LG NOVA InnoFest, Sept. 25-26, at the Palace of Fine Arts in San Francisco, Calif.
LG NOVA’s annual InnoFest conference unites business leaders, innovators and investors to collaborate on solutions for a better future, this year, under the theme of “Lighting the Halo of Innovation,” inspiring attendees to focus on impactful co-creation and bold ideas. For more information about this year’s event visit https://innofest.lgnova.com/.
About LG NOVA
LG NOVA, the North America Innovation Center for global innovation leader LG Electronics, is a team focused on bringing innovation from the outside to LG. LG NOVA is based in Santa Clara, Calif. The center’s mission is to fuel innovation for LG and its partners by establishing a community to create, nurture and grow businesses. Learn more about LG NOVA at www.lgnova.com.
About LG Electronics USA
LG Electronics USA, Inc., based in Englewood Cliffs, N.J., is the North American subsidiary of LG Electronics, Inc., a $60-billion-plus global innovator in technology and manufacturing. In the United States, LG sells a wide range of innovative home appliances, home entertainment products, commercial displays, air conditioning systems, energy solutions and vehicle components. LG is an 11-time ENERGY STAR® Partner of the Year. www.LG.com.
Media Contact:
LG Electronics USA
Linda Quach
+1 408 903 3045
linda.quach@lge.com
Partners & Quotes
Fujitsu Research of America
“We are excited to join LG NOVA in the Partner Alliance Program to explore new collaboration opportunities with them. LG NOVA approach to innovation and the Partner Alliance Program is a meaningful way for organizations from across different market sectors to come together and innovate,” said Takuto Komatsuki, Senior Director at Fujitsu Research of America.
About Fujitsu Research of America
Fujitsu Research of America is focused on developing cutting-edge technologies to solve digital transformation (DX) challenges faced by its customers. Its vision is to build a sustainable world through innovation and trusted partnerships. At Fujitsu Research of America (FRA), we have a myriad of very talented people working in a variety of areas – AI with transparency and ethics, social digital twin, web 3.0 technologies, quantum algorithms, and much more.
About Hyundai CRADLE
Hyundai CRADLE for Human-centered Mobility Innovation
Hyundai CRADLE is Hyundai Motor’s corporate venturing and open innovation business, which partners and invests extensively in prominent global startups to accelerate the development of advanced future automotive technologies. CRADLE identifies newly established startups that focus, amongst others, on ‘Disruptive Innovations.’
About IBM
IBM is a leading provider of global hybrid cloud and AI, and consulting expertise. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. More than 4,000 government and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and consulting deliver open and flexible options to our clients. All of this is backed by IBM’s long-standing commitment to trust, transparency, responsibility, inclusivity and service.
Visit www.ibm.com for more information.
Mayo Clinic Innovation Exchange
“We look forward to collaborating with the LG NOVA team to share our expertise in healthcare innovation and to explore new opportunities with startups seeking to improve patient care and health outcomes.” said Jennie Kung, Vice Chair of the Mayo Clinic Innovation Exchange.
About The Mayo Clinic Innovation Exchange
The Mayo Clinic Innovation Exchange is a dynamic platform designed to accelerate healthcare innovation and foster collaboration among the global healthcare community. Leveraging Mayo Clinic’s world-class expertise and resources, the Innovation Exchange bridges the gap between emerging technologies and clinical practice, research, and education to bring breakthrough innovations to market, all for one shared mission—to benefit patients.
Niantic
“We see a great opportunity for entirely new spatial experiences leveraging AI and our 3D map
technology, tools and services to come to the forefront in the near future. We’re glad to see the
LG NOVA Partner Alliance program launch, as it has the potential to lead us to greater
collaboration across the growing ecosystem,” said Maryam Sabour, Director of Business
Development and Strategic Partnerships Lead at Niantic.
About Niantic
Niantic’s global-scale augmented reality platform and digital map power spatial computing experiences in the real world. Incubated out of the Maps team at Google, Niantic first created Ingress and then Pokémon GO, a collaboration with The Pokémon Company, which has become a cultural phenomenon and hit game played by tens of millions of people each month. Niantic’s maps platform, which powers Pokémon GO, also supports the company’s other games and applications including Pikmin Bloom, Peridot, Monster Hunter Now and Niantic Scaniverse. Niantic’s mapping, AR and mixed reality platforms, tools and services are used by thousands of developers around the world.
West Virginia Department of Economic Development
“West Virginia’s Department of Economic Development is eager to collaborate with LG NOVA through the new Partner Alliance program,” said West Virginia Department of Economic Development Executive Director, Mike Graney. “We look forward to strengthening our relationship with LG and engaging with the businesses throughout West Virginia.”
About the West Virginia Department of Economic Development
There is no better place to build and grow a business in the Eastern United States than West Virginia. The West Virginia Department of Economic Development’s mission is to improve the quality of life for all West Virginians by strengthening our communities and expanding the state’s economy to create more and better jobs.
View original content to download multimedia:https://www.prnewswire.com/news-releases/lg-nova-expands-efforts-to-drive-innovation-growth-through-new-partner-alliance-program-302253233.html
SOURCE LG Electronics USA
Technology
Behr Paint Company Hosts First Student Design Competition
Published
9 mins agoon
September 19, 2024By
Design students encouraged to enter for a chance to win $3,000, plus $1,000 for their design school
SANTA ANA, Calif., Sept. 19, 2024 /PRNewswire/ — Today, Behr Paint Company announces its first-ever BEHR® Student Design Competition in partnership with MattoBoard, a 3D virtual sampling platform for designers. The competition is open starting today, September 19, through November 10, 2024, for full-time or part-time emerging professional design students.*
Behr Paint invites design students to submit an original design plan for any commercial space such as hospitality, workplace, healthcare, multifamily and more. The design theme, “No Clear Boundaries,” draws inspiration from the BEHR 2025 Commercial Color Forecast, which celebrates the fluidity between designed environments that reflect the intersection of the past and future, digital and physical, and timeless and modern. Entrants must incorporate colors from the BEHR 2025 Commercial Color Forecast in their design along with BEHR’s 2025 Color of the Year, Rumors, a deep and timeless shade of ruby red.
The competition was created to champion emerging designers by providing specialized resources and opportunities to showcase and celebrate their talents. “As a judge of the BEHR Student Design Competition, I am excited to see how each student embraces color and design,” said Erika Woelfel, Vice President of Color & Creative Services at Behr Paint Company. “At Behr, we are committed to supporting the careers of the next generation of designers, and I look forward to seeing the students’ creativity shine through.”
The judging panel will also include Guy Adam Ailion, Architect and CEO / Co-Founder of MattoBoard; Kayla Kratz, Director of Color & Designer Segment at Behr Paint Company; and Amber Jones, Director of Architect & Designer Strategic Initiatives at Behr Paint Company.
The winner of the 2024 BEHR Student Design Competition will be awarded a $3,000 cash prize and $1,000 for their design school. The runner-up will receive a $1,500 cash prize, and the second runner-up will receive a $500 cash prize. All winners will also receive a 1-year MattoBoard Pro Subscription to continue using the platform for their design needs. Winners will be announced in December 2024 and will be featured on BEHR’s and MattoBoard’s social channels, blog, and email.
To learn more about the 2024 BEHR Student Design Competition and how to enter, visit www.behr.com/designcompetition.
*NO PURCHASE NECESSARY. PURCHASE WILL NOT IMPROVE OPPORTUNITY TO WIN.
INTERNET AND MATTOBOARD ACCOUNT REQUIRED. Trade contest offered in the 50 U.S. & U.S. Territories (“U.S.”) to full/part-time emerging Design students at U.S. eligible Institution (see Rules) who are legal U.S. res., 18+. Ends 11:59 P.M. PT 11/10/24. See Official Rules at: www.behr.com/designcompetition for entry, judging criteria and limitations. Void where prohibited. Sponsor: Behr Process LLC.
About Behr Paint Company
Founded in 1947, Behr Paint Company is one of the largest manufacturers of paints, primers, decorative finishes, stains, surface preparation and application products for do-it-yourselfers and professionals in the United States, Canada, and Mexico. The Santa Ana, Calif.-based company, and maker of BEHR®, KILZ® and WHIZZ® brands, are dedicated to meeting the project needs of DIYers, designers and professional paint contractors with an unwavering commitment to quality, innovation, and value. For more information, visit Behr.com. Professional paint contractors and designers can visit Behr.com/Pro to learn about products, color tools and services. Behr Paint Company is a subsidiary of Masco Corporation (NYSE: MAS).
Behr and the Behr logo are registered trademarks of Behr Process LLC.
About MattoBoard
MattoBoard is the first virtual sample library (VSamples©) and 3D moodboarding tool for interior designers. Designers can search, discover, curate and specify interior materials and products in real-time using light and shadow to examine texture and detail. Designers can download and share beautiful, photo-realistic boards and material spec sheets. MattoBoard’s mission is to bring a ‘touch and feel’ industry into the future by pioneering virtual sampling for designers and brands.
Media Contact: behrpro@mbooth.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/behr-paint-company-hosts-first-student-design-competition-302252741.html
SOURCE Behr Paint Company
WorldSkills Lyon 2024: Talented Winners, Long-lasting Legacy
LG NOVA EXPANDS EFFORTS TO DRIVE INNOVATION GROWTH THROUGH NEW PARTNER ALLIANCE PROGRAM
Behr Paint Company Hosts First Student Design Competition
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