Second Quarter 2024 Revenue was $534.1 Million, down 11.0 Percent Operating Loss of $224.4 Million or negative 42.0 Percent of Revenue, due to $233.5 Million Non-cash Goodwill Impairments and Related Tax Adjustments (Operating Income of $29.5 Million or 5.5 Percent of Revenue Non-GAAP) Net Loss of $296.8 Million or negative 55.6 Percent of Revenue (Net Income of $6.6 Million or 1.2 Percent of Revenue Non-GAAP) Adjusted EBITDA was $46.2 Million or 8.7 Percent of Revenue Fully Diluted Net Loss Per Share of $6 ...

Company recognized for blending human empathy with AI innovation in CX DENVER, Aug. 1, 2024 /PRNewswire/ -- TTEC Holdings, Inc. (NASDAQ: TTEC), a leading global CX (customer experience) technology and services innovator for AI-enhanced CX with solutions from TTEC Engage and TTEC Digital, has been named to CRM Magazine's prestigious Top 100 list. The company's inclusion in this elite roster highlights its dedication to enhancing customer interactions through a unique blend of human empathy and AI-powered inn ...

DENVER, July 22, 2024 /PRNewswire/ -- TTEC Holdings, Inc. (NASDAQ:TTEC), a leading global CX (customer experience) technology and services innovator for AI-enabled CX solutions, announced today that TTEC will release its earnings results after market close on Thursday, August 8, 2024, when a press release will be issued. The Company will host a live webcast and conference call at 8:30 a.m. ET on Friday, August 9, 2024. You are invited to join a live webcast of the conference call by visiting the "Investors ...

The results underscore TTEC's exceptional delivery of trust and safety solutions DENVER, June 6, 2024 /PRNewswire/ -- TTEC Holdings, Inc. (NASDAQ: TTEC), a leading global CX (customer experience) technology and services innovator for AI-enhanced CX with solutions from TTEC Engage and TTEC Digital, is proud to announce its recognition as both a Major Contender and a Star Performer in Everest Group's Trust and Safety Services PEAK Matrix® Assessment 2024. This prestigious acknowledgment underscores TTEC's ded ...

TTEC Holdings, Inc. (NASDAQ:TTEC) Q1 2024 Earnings Conference Call May 9, 2024 8:30 AM ET Company Participants Paul Miller - Senior Vice President, Treasurer and Investor Relations Officer Ken Tuchman - Chairman and Chief Executive Officer Shelly Swanback - President, TTEC and Chief Executive Officer, TTEC Engage Kenny Wagers - Chief Financial Officer Conference Call Participants George Sutton - Craig-Hallum Cassie Chan - Bank of America Vincent Colicchio - Barrington Research Jonathan Lee - Guggenheim Secu ...

Exhibit 99.1 TTEC Announces First Quarter 2024 Financial Results First Quarter 2024 Revenue was $576.6 Million, down 8.9 Percent Operating Income was $22.7 Million or 3.9 Percent of Revenue ($37.9 Million or 6.6 Percent of Revenue Non-GAAP) Net Income was $0.5 Million or 0.1 Percent of Revenue ($12.6 Million or 2.2 Percent of Revenue Non-GAAP) Adjusted EBITDA was $54.9 Million or 9.5 Percent of Revenue Fully Diluted EPS was $0.01 ($0.27 Non-GAAP) Reiterates Outlook for Full Year 2024 DENVER, May 8, 2024 – T ...

Revenue Performance - TTEC's revenue for Q1 2024 was $576.6 million, a decrease of $56.7 million, or 8.9%, compared to Q1 2023, with TTEC Digital contributing $112.0 million (19.0%) and TTEC Engage contributing $464.6 million (81.0%) [151] - TTEC Digital segment revenue decreased by $4.9 million, or 4.2%, while TTEC Engage segment revenue decreased by $51.8 million, or 10.0% [156] - The five largest clients accounted for 35.7% of consolidated revenue in Q1 2024, compared to 34.6% in Q1 2023 [190] Operating Income and Margins - Operating income for Q1 2024 was $22.7 million, a decrease of $21.7 million, or 48.9%, with an operating margin of 3.9% compared to 7.0% in Q1 2023 [157] - TTEC Engage's operating income decreased by $24.2 million, or 55.5%, with an operating margin of 4.2% in Q1 2024, down from 8.4% in the prior year [168] Cash Flow and Liquidity - TTEC generated negative operating cash flows of $15.6 million in Q1 2024, a decrease from positive cash flows of $49.1 million in Q1 2023 [181] - Free cash flow decreased to ($29.1) million for the three months ended March 31, 2024, compared to $35.4 million for the same period in 2023 [184] - Net cash used in operating activities was ($15.6) million for the three months ended March 31, 2024, a decrease of $64.7 million from $49.1 million in 2023 [181] - Cash and cash equivalents totaled $91.5 million as of March 31, 2024, down from $172.7 million at the end of 2023 [179] - Cash and cash equivalents decreased to $91.5 million as of March 31, 2024, down from $172.7 million as of December 31, 2023 [179] Expenses and Taxation - Interest expense increased to $21.1 million in Q1 2024 from $17.4 million in Q1 2023 due to higher average utilization of the line of credit and rising interest rates [169] - The effective tax rate for Q1 2024 was 82.3%, significantly higher than 27.5% in Q1 2023, influenced by various factors including international earnings and stock-based compensation [174] Capital Expenditures and Financing - Total capital expenditures in 2024 are expected to be between 2.7% and 2.9% of revenue, with 55% allocated for business growth and 45% for maintenance of existing assets [188] - Capital expenditures for the three months ended March 31, 2024, were $13.4 million, slightly down from $13.6 million in 2023 [182] - Net cash flows provided by financing activities increased to $46.5 million in Q1 2024 from $43.6 million in Q1 2023 [183] - The company may need to raise additional capital through debt or equity financing due to potential increases in working capital and capital expenditure requirements [189] Strategic Initiatives - TTEC plans to selectively retain and grow capacity while expanding into new offshore markets, managing foreign currency risks through a multi-currency hedging program [161] - The company continues to invest in innovation and service offerings to enhance its competitive position and broaden its product capabilities [152] - The company has long-term relationships with its top five clients, with contracts ranging from 18 to 24 years [190] - There were no material changes to the company's contractual obligations and future capital requirements since the last filing [187]

Revenue Performance - Full Year 2023 revenue was $2.463 billion, an increase of 0.8% compared to $2.444 billion in the prior year[10] - Fourth Quarter 2023 revenue decreased by 4.9% to $626.2 million from $658.3 million in the prior year[10] - Total revenue for the year 2023 was $2.46 billion, slightly up from $2.44 billion in 2022, representing a growth of 0.6%[29] - Q4 2023 revenue was $626.2 million, a decrease of 4.9% from $658.3 million in Q4 2022[29] Income and Profitability - Full Year 2023 GAAP net income was $18.3 million, or 0.7% of revenue, compared to $103.2 million, or 4.2% of revenue Non-GAAP[2] - Fourth Quarter 2023 GAAP net income was ($8.2) million, or (1.3)% of revenue, compared to $17.5 million, or 2.8% of revenue Non-GAAP[2] - Net loss attributable to TTEC stockholders for Q4 2023 was $9.9 million, compared to a net income of $22.4 million in Q4 2022[29] - Net income for the twelve months ended December 31, 2023, was $18,264, a significant decrease from $117,333 in 2022[35] Adjusted EBITDA - Full Year 2023 Non-GAAP Adjusted EBITDA was $271.5 million, or 11.0% of revenue, down from $320.1 million, or 13.1% of revenue in the prior year[8] - Fourth Quarter 2023 Non-GAAP Adjusted EBITDA was $57.5 million, or 9.2% of revenue, compared to $86.5 million, or 13.1% of revenue in the prior year[12] - Adjusted EBITDA for the twelve months ended December 31, 2023, was $271,509, down from $320,062 in 2022, indicating a decline of 15.1%[37] Cash Flow and Capital Expenditures - Free cash flow for the twelve months ended December 31, 2023, was $76,926, an increase from $53,036 in 2022, representing a growth of 45.0%[38] - Cash flows from operating activities for the twelve months ended December 31, 2023, were $144,765, compared to $137,048 in 2022, showing an increase of 5.0%[35] - Total cash capital expenditures for the twelve months ended December 31, 2023, were $67,839, a decrease from $84,012 in 2022, reflecting a reduction of 19.3%[38] Balance Sheet and Equity - Cash and cash equivalents increased to $172.7 million as of December 31, 2023, compared to $153.4 million a year earlier[33] - Total assets as of December 31, 2023, were $2.19 billion, up from $2.15 billion in 2022[33] - TTEC's total equity increased to $615.5 million as of December 31, 2023, from $578.1 million in 2022[33] Future Outlook - The company anticipates challenges in 2024 due to client budget constraints and the elimination of a line of business by a long-tenured client[5] - For Full Year 2024, the company projects revenue guidance of $2.275 billion to $2.365 billion[19] Segment Performance - TTEC Digital achieved record bookings in the fourth quarter, driven by demand for cloud migrations and AI solutions[6] - TTEC Digital revenue for Q4 2023 was $119.1 million, a decrease of 2.6% from $121.7 million in Q4 2022[31] - TTEC Engage revenue for Q4 2023 was $507.1 million, down 5.5% from $536.6 million in Q4 2022[31] Other Financial Metrics - The effective tax rate for 2023 was 55.2%, compared to 18.8% in 2022[29] - The company paid dividends totaling $49,232 to shareholders during the twelve months ended December 31, 2023, compared to $48,072 in 2022[35] - The diluted shares outstanding increased slightly to 47,503 for the three months ended December 31, 2023, compared to 47,299 in the previous year[38] Restructuring and Impairment - Restructuring charges for TTEC Engage in Q4 2023 were $1,823 million, compared to $1,130 million in Q4 2022, an increase of 61.4%[40] - The company incurred impairment losses of $700 million in Q4 2023, significantly higher than $24 million in Q4 2022, marking a substantial increase[40] Foreign Exchange and Compensation - TTEC reported a foreign exchange loss of $1,271 million in Q4 2023, compared to a loss of $1,606 million in Q4 2022, indicating a decrease of 20.8%[40] - Equity-based compensation expenses for TTEC Engage increased to $3,658 million in Q4 2023 from $2,659 million in Q4 2022, an increase of 37.5%[40]

Financial Data and Key Metrics Changes - For the full year 2023, revenue was $2.46 billion, adjusted EBITDA was $272 million (11% of revenue), and adjusted EPS was $2.18 per share, reflecting a slight increase in revenue compared to $2.44 billion in 2022 [8][34] - In Q4 2023, revenue decreased to $626 million from $658 million in the prior year, a decline of 4.9%, with adjusted EBITDA at $58 million (9.2% of revenue) compared to $87 million (13.1%) in the prior year [34][35] - The full year 2023 operating income was $200 million (8.1% of revenue), down from $249 million (10.2%) in the prior year, and EPS decreased to $2.18 from $3.59 [34][38] Business Line Data and Key Metrics Changes - The Digital segment's Q4 revenue was $119 million, down 2.1% year-over-year, but excluding Cisco practice, it grew 7.1%. Full year revenue increased by 5% to $487 million [35][36] - The Engage segment's Q4 revenue decreased by 5.5% to $507 million, with operating income at $24 million (4.8% of revenue), down from $52 million (9.7%) in the prior year [37][38] - Engage's full year revenue was $1.98 billion, relatively unchanged from the prior year, with operating income at $138 million (7% of revenue), down from $184 million (9.3%) [38][39] Market Data and Key Metrics Changes - The Engage backlog for the next 12 months is $1.71 billion, representing 94% of 2024 revenue guidance, while the offshore pipeline has grown more than 35% year-over-year [39][24] - Over a third of the sales pipeline consists of deals with annual contract values over $10 million, indicating strong demand for larger contracts [24] Company Strategy and Development Direction - The company is focusing on margin optimization and diversification across clients, geographies, and solutions, with a strong emphasis on AI integration to enhance operational efficiency [12][31] - TTEC aims to leverage its partnerships with leading CX technology players to drive growth in the Digital segment, expecting double-digit growth in 2025 and beyond [15][30] - The capital deployment strategy has shifted towards prioritizing debt reduction and sustainable growth initiatives, reflecting a cautious approach in the current economic environment [17][40] Management's Comments on Operating Environment and Future Outlook - Management expressed disappointment in the 2024 outlook due to conservative client behavior and budget constraints, anticipating challenges in revenue and margins [19][20] - The macroeconomic environment remains fluid, with over a third of the global economy in recession, impacting client decision-making and revenue visibility [9][10] - Despite short-term challenges, management remains optimistic about long-term growth prospects, particularly in the Digital segment driven by cloud migration and AI adoption [10][28] Other Important Information - The company announced a reduction in its semi-annual dividend to $0.06 per share, reflecting a strategic shift to prioritize capital for growth and debt reduction [40] - Cash as of December 31, 2023, was $173 million, with total debt at $999 million, indicating a slight increase in net debt year-over-year [41] Q&A Session Summary Question: Can you provide insight into the macro view and its impact on guidance? - Management noted that clients are operating conservatively, leading to lower growth expectations and elongated sales cycles, but expressed hope for recovery in 2025 [49][56] Question: What is the status of AI programs and their impact? - Management highlighted 50 client programs involving AI, with significant productivity improvements noted, and emphasized the importance of agent augmentation in enhancing client relationships [58][60] Question: Are there any signs of improvement in client engagement? - Management reported strong booking momentum in the Digital segment, with over 50% of opportunities coming from existing clients, indicating potential for faster sales cycles [63][64] Question: How does AI affect the Engage business? - Management views AI as a positive opportunity, emphasizing that while some low-end transactions may be automated, the focus remains on enhancing customer relationships through quality service [71][72]

Part I [Business](index=11&type=section&id=Item%201.%20Business) The company is a global customer experience partner operating through TTEC Digital and TTEC Engage segments **Fiscal Year 2023 Revenue Breakdown** | Segment | Revenue (billions) | Percentage of Total | | :--- | :--- | :--- | | TTEC Digital | $0.487 | 20% | | TTEC Engage | $1.976 | 80% | | **Total** | **$2.463** | **100%** | - As of December 31, 2023, TTEC served **over 750 clients** across various industries with a global team of over 60,000 employees[32](index=32&type=chunk)[35](index=35&type=chunk) - The company's growth strategy focuses on deepening client relationships, strategic acquisitions, and investing in tech-driven innovation[37](index=37&type=chunk)[44](index=44&type=chunk) **Client Concentration and Retention (2023)** | Client Group | % of Total Revenue | TTEC Engage Revenue Retention Rate | | :--- | :--- | :--- | | Top 5 Clients | 36% | 95% | | Top 10 Clients | 50% | 95% | - As of December 31, 2023, TTEC had over 60,000 employees, with **49% in Asia-Pacific**, 38% in North America, and 61% working remotely[74](index=74&type=chunk) [Risk Factors](index=25&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks from client concentration, technology evolution, debt, and a controlling shareholder - A large portion of TTEC Engage revenue comes from a few clients, with the **top five representing 36% of total revenue in 2023**[95](index=95&type=chunk)[97](index=97&type=chunk) - The business is highly competitive and failure to adapt to rapid technological changes like **AI could harm its competitive position**[88](index=88&type=chunk)[90](index=90&type=chunk)[92](index=92&type=chunk) - The remote work model introduces risks such as fraud, compliance challenges, and potential disruptions from residential-grade utilities[102](index=102&type=chunk)[104](index=104&type=chunk)[106](index=106&type=chunk) - The company experienced **two significant cybersecurity incidents in 2021**, and future incidents remain a significant risk[128](index=128&type=chunk) - As of December 31, 2023, the company had **$995.0 million of borrowings outstanding**, with a recent credit facility amendment to provide more flexibility[139](index=139&type=chunk)[140](index=140&type=chunk) - The Chairman and CEO beneficially owns approximately **59% of the company's common stock**, giving him significant control[192](index=192&type=chunk) [Unresolved Staff Comments](index=53&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports that there are no unresolved staff comments - Not applicable[196](index=196&type=chunk) [Cybersecurity](index=53&type=section&id=Item%201C.%20Cybersecurity) Cybersecurity risk is managed through an ERM program overseen by the Board's Security & Technology Committee - The company has a formal cybersecurity program focused on risk assessment, mitigation, incident response, and employee training[199](index=199&type=chunk)[200](index=200&type=chunk) - Governance is managed by the Board's Security & Technology Committee, which receives regular reports from the CSO and CIO[207](index=207&type=chunk) - The company has previously experienced significant cybersecurity incidents but states they have **not materially affected the company to date**[213](index=213&type=chunk) [Properties](index=56&type=section&id=Item%202.%20Properties) The company operates 70 customer engagement centers globally, with the largest concentrations in the US and the Philippines **Customer Engagement Centers by Country (as of Dec 31, 2023)** | Country | Total Centers | | :--- | :--- | | United States of America | 30 | | Philippines | 15 | | United Kingdom | 4 | | Australia | 2 | | Brazil | 1 | | Bulgaria | 2 | | Canada | 2 | | Colombia | 2 | | Egypt | 1 | | Greece | 1 | | Germany | 1 | | Honduras | 1 | | India | 2 | | Mexico | 2 | | Poland | 1 | | South Africa | 2 | | Thailand | 1 | | **Total** | **70** | - The centers are classified as Multi-Client, Dedicated, or Managed, based on leasing and operational structure[217](index=217&type=chunk) [Legal Proceedings](index=58&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in various legal actions and accrues for losses deemed probable and estimable - The company accrues for legal exposures when losses are probable and estimable[220](index=220&type=chunk) - Management does not expect current legal proceedings to have a **material adverse effect** on the company's financial condition[221](index=221&type=chunk) [Mine Safety Disclosures](index=58&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[223](index=223&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=58&type=section&id=Item%205.%20Market%20for%20Registrant's%20Common%20Equity,%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's stock trades on NASDAQ, with a history of dividends and an underperforming five-year total return - In 2023, the company paid two semi-annual dividends of $0.52 per share; for 2024, a **dividend of $0.06 per share** was authorized[225](index=225&type=chunk)[226](index=226&type=chunk) - Approximately **$26.6 million remains authorized** under the stock repurchase program, but no shares were purchased in 2022 or 2023[227](index=227&type=chunk) **5-Year Cumulative Total Return Comparison** | Year | TTEC Holdings, Inc. | NASDAQ Composite | Russell 2000 | Peer Group | | :--- | :--- | :--- | :--- | :--- | | 2018 | $100 | $100 | $100 | $100 | | 2019 | $141 | $137 | $126 | $138 | | 2020 | $278 | $198 | $151 | $178 | | 2021 | $349 | $242 | $173 | $268 | | 2022 | $173 | $163 | $138 | $173 | | 2023 | $88 | $236 | $161 | $218 | [<Reserved>](index=60&type=section&id=Item%206.%20%3CReserved%3E) This item is reserved - This item is reserved and contains no information[232](index=232&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=61&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue grew slightly in 2023, but operating income declined significantly due to investments and higher costs **Consolidated Financial Results (2023 vs. 2022)** | Metric | 2023 | 2022 | Change | | :--- | :--- | :--- | :--- | | Revenue | $2,462.8M | $2,443.7M | +0.8% | | Income from Operations | $118.0M | $168.5M | -30.0% | | Operating Margin | 4.8% | 6.9% | -2.1 pts | - TTEC Digital's operating income **decreased by 14.5%** to $29.8 million due to investments in leadership, sales, and engineering[287](index=287&type=chunk)[288](index=288&type=chunk) - TTEC Engage's operating income **decreased by 34.0%** to $88.2 million, driven by investments, higher healthcare costs, and restructuring[289](index=289&type=chunk)[290](index=290&type=chunk) - Interest expense **increased significantly to $78.3 million** in 2023 from $36.1 million in 2022 due to higher interest rates[291](index=291&type=chunk) - The company generated **$144.8 million in cash from operations** and $76.9 million in free cash flow in 2023[305](index=305&type=chunk)[308](index=308&type=chunk) - As of Dec 31, 2023, the company had **$995.0 million in borrowings** and amended its credit facility in Feb 2024 for more flexibility[300](index=300&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=79&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to market risks from interest rate changes on its debt and foreign currency fluctuations - The company has significant interest rate risk due to its **$995.0 million in variable-rate borrowings**[332](index=332&type=chunk) - The company faces foreign currency risk as revenue is often in USD while operating costs are in local currencies[333](index=333&type=chunk) **Cash Flow Hedging Program (as of Dec 31, 2023)** | Currency Pair | Notional Amount (USD Equivalent) | | :--- | :--- | | Canadian Dollar | $1.7M | | Philippine Peso | $165.8M | | Mexican Peso | $44.2M | | **Total** | **$211.7M** | [Financial Statements and Supplementary Data](index=83&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section references the location of the company's consolidated financial statements and supplementary data - The financial statements required by this item are located beginning on page F-1 of this report[344](index=344&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=85&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) This item is not applicable to the company - Not applicable[345](index=345&type=chunk) [Controls and Procedures](index=85&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management and the independent auditor concluded that disclosure controls and internal controls were effective - Based on an evaluation as of December 31, 2023, the CEO and CFO concluded that the company's **disclosure controls and procedures were effective**[349](index=349&type=chunk) - Management concluded that the company's **internal control over financial reporting was effective** as of December 31, 2023[353](index=353&type=chunk) - The effectiveness of internal control over financial reporting has been audited by PricewaterhouseCoopers LLP, which issued an **unqualified opinion**[354](index=354&type=chunk)[386](index=386&type=chunk) [Other Information](index=87&type=section&id=Item%209B.%20Other%20Information) The company amended its Credit Facility in February 2024 to increase financial flexibility - On February 26, 2024, the company amended its credit agreement to **increase the net leverage ratio covenant** for Q1 2024 through Q1 2025[358](index=358&type=chunk) - As part of the amendment, the total lenders' commitment under the credit facility was **reduced from $1.5 billion to $1.3 billion**[358](index=358&type=chunk) [Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](index=87&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20that%20Prevent%20Inspections) This item is not applicable to the company - Not applicable[359](index=359&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=87&type=section&id=Item%2010.%20Directors,%20Executive%20Officers%20and%20Corporate%20Governance) Information is incorporated by reference from the company's 2024 Definitive Proxy Statement - The information required for this item is **incorporated by reference** from the registrant's 2024 annual meeting proxy statement[8](index=8&type=chunk)[361](index=361&type=chunk) [Executive Compensation](index=89&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive compensation is incorporated by reference from the 2024 Definitive Proxy Statement - The information required for this item is **incorporated by reference** from the registrant's 2024 annual meeting proxy statement[8](index=8&type=chunk)[365](index=365&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=89&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information regarding security ownership is incorporated by reference from the 2024 Definitive Proxy Statement - The information required for this item is **incorporated by reference** from the registrant's 2024 annual meeting proxy statement[8](index=8&type=chunk)[366](index=366&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=89&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions,%20and%20Director%20Independence) Information on related transactions is incorporated by reference from the 2024 Definitive Proxy Statement - The information required for this item is **incorporated by reference** from the registrant's 2024 annual meeting proxy statement[8](index=8&type=chunk)[367](index=367&type=chunk) [Principal Accountants Fees and Services](index=89&type=section&id=Item%2014.%20Principal%20Accountants%20Fees%20and%20Services) Information on accountant fees is incorporated by reference from the 2024 Definitive Proxy Statement - The information required for this item is **incorporated by reference** from the registrant's 2024 annual meeting proxy statement[8](index=8&type=chunk)[368](index=368&type=chunk) Part IV [Exhibits and Financial Statement Schedules](index=89&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists the documents filed as part of the report, including financial statements and exhibits - This section contains the index to the Consolidated Financial Statements (located at F-1) and the Exhibit Index[370](index=370&type=chunk)[371](index=371&type=chunk) [Form 10-K Summary](index=95&type=section&id=Item%2016.%20Form%2010-K%20Summary) The company indicates that there is no Form 10-K summary - None[379](index=379&type=chunk) Financial Statements and Notes [Report of Independent Registered Public Accounting Firm](index=98&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm) The auditor issued an unqualified opinion on financial statements and internal controls, citing two Critical Audit Matters - The auditor, PricewaterhouseCoopers LLP, issued an **unqualified (clean) opinion** on both the financial statements and internal controls[386](index=386&type=chunk) - The audit identified two **Critical Audit Matters (CAMs)**: Revenue Recognition and the Goodwill Impairment Assessment for TTEC Engage[392](index=392&type=chunk)[394](index=394&type=chunk)[397](index=397&type=chunk) [Consolidated Financial Statements](index=101&type=section&id=Consolidated%20Financial%20Statements) Financials show flat revenue, a sharp decline in net income, and an increase in total liabilities for 2023 **Consolidated Balance Sheet Highlights (in thousands)** | Account | Dec 31, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | Total Current Assets | $681,203 | $749,970 | | Goodwill | $808,988 | $807,845 | | **Total Assets** | **$2,185,598** | **$2,153,962** | | Total Current Liabilities | $403,027 | $411,364 | | Line of Credit (Long-term) | $995,000 | $960,000 | | **Total Liabilities** | **$1,570,056** | **$1,520,212** | | **Total Stockholders' Equity** | **$615,542** | **$578,105** | **Consolidated Income Statement Highlights (in thousands, except per share)** | Metric | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | | Revenue | $2,462,817 | $2,443,707 | $2,273,062 | | Income from Operations | $118,021 | $168,543 | $217,192 | | Net Income Attributable to TTEC | $8,428 | $103,240 | $140,970 | | Diluted EPS | $0.18 | $2.18 | $2.97 | **Consolidated Cash Flow Highlights (in thousands)** | Cash Flow | 2023 | 2022 | | :--- | :--- | :--- | | From Operating Activities | $144,765 | $137,048 | | From Investing Activities | $(67,578) | $(226,203) | | From Financing Activities | $(68,234) | $89,036 | [Notes to the Consolidated Financial Statements](index=105&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) Notes detail segment performance, goodwill risk, debt structure, and a significantly higher effective tax rate - In April 2023, TTEC finalized the buyout of the remaining 30% interest in First Call Resolution, LLC (FCR) for **$22.4 million**[464](index=464&type=chunk)[465](index=465&type=chunk) - The TTEC Engage reporting unit's fair value exceeded its carrying value by **13.0%**, indicating a risk of future goodwill impairment[518](index=518&type=chunk) - The company's effective tax rate was **55.2% in 2023**, compared to 18.8% in 2022, due to changes in valuation allowances[554](index=554&type=chunk) - As of December 31, 2023, the company had **$995.0 million in borrowings** under its credit facility[576](index=576&type=chunk) - Related party transactions in 2023 included **$1.0 million for aviation services** from companies owned by the CEO[619](index=619&type=chunk)[621](index=621&type=chunk)