Customer experience outsourcer TTEC's Q3 revenue beats estimates

Reuters11-07
Customer experience outsourcer TTEC's Q3 revenue beats estimates

Overview

  • TTEC Holdings Q3 revenue decreased 1.9% yr/yr but beat analyst expectations

  • Adjusted EPS for Q3 missed analyst expectations

  • Adjusted EBITDA for Q3 missed analyst expectations

  • TTEC extended credit facility term to November 2027

Outlook

  • TTEC reiterates full-year 2025 revenue guidance of $2.064 bln to $2.114 bln

  • Company expects Engage segment profitability growth in Q4 due to healthcare seasonality

  • TTEC forecasts full-year non-GAAP EPS of $0.95 to $1.20

Result Drivers

  • ENGAGE PROFITABILITY - Decline attributed to expenses ahead of Q4 healthcare seasonal ramps and planned investments for future growth

  • DIGITAL GROWTH - TTEC Digital closed many new clients and grew professional services revenue with AI-focused partners

  • AI DEPLOYMENT - Over a hundred AI programs deployed across numerous customers, enhancing CX services

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$519.10 mln

$498 mln (4 Analysts)

Q3 Adjusted EPS

Miss

$0.12

$0.23 (4 Analysts)

Q3 EPS

-$0.23

Q3 Net Income

-$11.10 mln

Q3 Adjusted EBITDA

Miss

$43.40 mln

$52.10 mln (4 Analysts)

Q3 Operating Income

$12.30 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the it services & consulting peer group is "buy"

  • Wall Street's median 12-month price target for TTEC Holdings Inc is $5.00, about 34.6% above its November 5 closing price of $3.27

  • The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 4 three months ago

Press Release: ID:nGNX6h00QK

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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