Fri, Jul 5, 12:04 PM (108 days ago)
For the quarter ending May 31, 2024, Concentrix Corporation reported a significant revenue increase of 47.4% year-over-year, primarily driven by the acquisition of Webhelp. Revenue reached $2,380,716, reflecting growth across all industry verticals. However, the company faced a decline in net income to $66,834 from $78,850 in the same quarter last year, attributed to higher selling, general, and administrative expenses, including acquisition-related costs and increased amortization expenses. Gross profit rose to $857,569, with a gross margin slightly up at 36.0%. Operating income decreased to $150,170, resulting in a lower operating margin of 6.3%. Interest expenses increased significantly due to new senior notes and the Sellers’ Note from the Webhelp acquisition. The effective tax rate decreased slightly due to changes in the geographic mix of income. Cash flow from operations was $191,469, down from $237,328, influenced by higher working capital needs and capital expenditures. The company maintains strong liquidity with $1,498.3 million, including cash and undrawn credit facilities. Future focus includes integrating Webhelp, managing foreign exchange risks, and maintaining liquidity for ongoing operations and potential acquisitions.