Concentrix Reports Third Quarter 2025 Results

Core Insights - Concentrix Corporation reported financial results for the fiscal third quarter ended August 31, 2025, showing a revenue increase of 4.0% year-on-year, reaching $2,483.3 million, while net income surged by 430.7% to $88.1 million [2][7][27]. Financial Performance - Revenue for Q3 2025 was $2,483.3 million, up from $2,387.4 million in Q3 2024, reflecting a 4.0% increase [2][7]. - Operating income decreased to $147.0 million, or 5.9% of revenue, compared to $153.2 million, or 6.4% of revenue, in the prior year [2][7]. - Non-GAAP operating income was $305.1 million, down from $331.0 million, with a non-GAAP operating margin of 12.3% [2][7]. - Adjusted EBITDA was $359.2 million, representing a margin of 14.5%, compared to $388.1 million and 16.3% in the previous year [2][7]. - Diluted earnings per share (EPS) increased to $1.34 from $0.25, while non-GAAP diluted EPS decreased slightly to $2.78 from $2.87 [2][7]. Shareholder Returns - The company paid a quarterly dividend of $0.33275 per share on August 5, 2025, and declared a new dividend of $0.36 per share payable on November 4, 2025 [5][6]. - Concentrix plans to return over $240 million to shareholders in fiscal 2025 through share repurchases and dividends [6][12]. - Approximately 800,000 shares were repurchased at a cost of $42.2 million during Q3 2025, with a remaining authorization of $495.1 million for future repurchases [8]. Business Outlook - The company raised its full-year growth outlook, expecting reported revenue between $9.798 billion and $9.823 billion for fiscal 2025, with constant currency revenue growth projected at 1.75% to 2.0% [9][15]. - For Q4 2025, revenue is expected to be between $2.525 billion and $2.550 billion, with operating income projected between $163 million and $173 million [9][15]. - Non-GAAP EPS guidance for Q4 is set between $2.85 and $2.96 [9][15]. Strategic Positioning - The CEO emphasized the company's strong position in providing business transformation solutions that integrate customer experience (CX) expertise, AI, and IT services globally [4]. - The company is focused on aligning its strategy with client needs to drive positive business outcomes and expand its offerings [4].