TTEC (US:TTEC)2025-02-27 21:47Revenue Performance - Fourth quarter 2024 revenue was $567.4 million, a decrease of 9.4% compared to $626.2 million in the prior year[7]. - Full year 2024 revenue was $2.208 billion, down 10.4% from $2.463 billion in the prior year[12]. - Revenue for Q4 2024 was $567,437,000, a decrease of 9.4% from $626,181,000 in Q4 2023[32]. - Total revenue for the year 2024 was $2,207,587,000, down 10.4% from $2,462,817,000 in 2023[32]. - TTEC Digital revenue for Q4 2024 was $114,950,000, a decrease of 3.7% from $119,118,000 in Q4 2023[34]. - TTEC Engage revenue for Q4 2024 was $452,487,000, down 10.8% from $507,063,000 in Q4 2023[34]. Profitability Metrics - Fourth quarter 2024 adjusted EBITDA was $50.9 million, or 9.0% of revenue, compared to $57.5 million, or 9.2% of revenue in the prior year[8]. - Full year 2024 non-GAAP adjusted EBITDA was $202.3 million, or 9.2% of revenue, down from $271.5 million, or 11.0% in the prior year[10]. - Full year 2024 GAAP loss from operations was $173.5 million, or negative 7.9% of revenue, compared to income from operations of $118.0 million, or 4.8% in the prior year[12]. - Full year 2024 GAAP fully diluted net loss per share was $6.52, compared to net income per share of $0.39 in the prior year[12]. - For the twelve months ended December 31, 2024, the company reported a net loss of $310,617,000 compared to a net income of $18,264,000 for the same period in 2023[38]. - The company experienced a significant impairment loss of $244,093,000 for the twelve months ended December 31, 2024, compared to $11,733,000 in 2023[40]. Cash Flow and Liquidity - Fourth quarter 2024 cash flow from operations was a negative $1.1 million, compared to a positive $31.5 million for the same period in 2023[16]. - Cash and cash equivalents decreased to $84,991,000 in Q4 2024 from $172,747,000 in Q4 2023[36]. - The net cash provided by operating activities for the twelve months ended December 31, 2024, was negative at $(58,818,000), a stark contrast to $144,765,000 in 2023[38]. - Free cash flow for the twelve months ended December 31, 2024, was $(103,991,000), compared to $76,926,000 in 2023, indicating a significant decline[41]. - Cash, cash equivalents, and restricted cash at the end of the period were $84,991,000, down from $173,905,000 at the beginning of the period[38]. Future Guidance - The company expects full year 2025 revenue guidance of $2.014 billion to $2.064 billion, with a midpoint of $2.039 billion[21]. - For full year 2025, non-GAAP adjusted EBITDA is expected to be between $215 million and $235 million, with a midpoint of $225 million[21]. Operational Performance - Total operating expenses for Q4 2024 were $552,144,000, a decrease of 9.4% from $609,257,000 in Q4 2023[32]. - TTEC Engage reported Q4 24 income from operations of $8,372,000, up from $6,942,000 in Q4 23, representing a 20.5% increase[43]. - TTEC Digital's Q4 24 income from operations was $6,921,000, compared to a loss of $197,213,000 in Q4 23, indicating a significant recovery[43]. - Year-to-date (YTD) 24 adjusted EBITDA for TTEC Engage was $85,177,000, down 38.3% from $138,157,000 in YTD 23[43]. - TTEC Digital's YTD 24 adjusted EBITDA was $51,279,000, a decrease of 17.7% from $62,282,000 in YTD 23[43]. Other Financial Metrics - The effective tax rate for Q4 2024 was 64.1%, compared to a negative rate of 62.0% in Q4 2023[32]. - The diluted shares outstanding increased to 48,150,000 for the twelve months ended December 31, 2024, compared to 47,419,000 in 2023[41]. - The company’s non-GAAP EPS for the twelve months ended December 31, 2024, was $0.71, a decrease from $2.18 in 2023[41]. - Retained earnings decreased significantly to $546,617,000 in Q4 2024 from $870,429,000 in Q4 2023[36]. - Total assets decreased to $1,753,380,000 in Q4 2024 from $2,185,598,000 in Q4 2023[36]. Restructuring and Charges - Restructuring charges for TTEC Engage in Q4 24 were $3,394,000, compared to $1,823,000 in Q4 23, reflecting a 86.2% increase[43]. - Impairment losses for TTEC Engage in YTD 24 totaled $241,149,000, a significant rise from $8,929,000 in YTD 23[43]. - TTEC incurred $1,956,000 in fees related to a non-binding offer in YTD 24, which was not present in YTD 23[43]. - Equity-based compensation expenses for TTEC Engage in YTD 24 were $11,754,000, down 17.6% from $14,257,000 in YTD 23[43]. Foreign Exchange and Other Income - TTEC reported a foreign exchange loss of $1,724,000 in Q4 24, compared to a gain of $1,271,000 in Q4 23[43]. - Other income for TTEC in YTD 24 was $18,311,000, a recovery from a loss of $4,060,000 in YTD 23[43].