Concentrix Reports First Quarter 2026 Results

Core Insights - Concentrix Corporation reported financial results for the fiscal first quarter ended February 28, 2026, showing a revenue increase of 5.4% year-on-year, but significant declines in operating income and net income [1][6][29]. Financial Performance - Revenue for the first quarter was $2,500.4 million, up from $2,372.2 million in the prior year [2][6]. - Operating income decreased to $118.6 million, representing 4.7% of revenue, down from $168.9 million (7.1% of revenue) in the previous year [2][6]. - Non-GAAP operating income was $295.0 million, or 11.8% of revenue, compared to $321.5 million (13.6% of revenue) in the prior year [2][6]. - Net income fell to $21.6 million, a 69.3% decrease from $70.3 million in the same quarter last year [2][6]. - Non-GAAP net income was $168.2 million, down 10.6% from $188.1 million in the prior year [2][6]. - Adjusted EBITDA was $348.2 million, or 13.9% of revenue, compared to $374.2 million (15.8% of revenue) in the previous year [2][6]. Shareholder Returns - The company declared a quarterly dividend of $0.36 per share, payable on May 5, 2026 [6]. - Approximately 1 million shares were repurchased at a cost of $42.0 million during the first quarter [6]. Business Outlook - The company maintains a consistent full-year outlook and expects to generate approximately $630.0 million to $650.0 million of adjusted free cash flow in fiscal year 2026 [5][10]. - For the second quarter, revenue is expected to be between $2.460 billion and $2.485 billion, with constant currency revenue growth projected at 1.0% to 2.0% [15][31]. - Full-year revenue guidance is set between $10.035 billion and $10.180 billion, implying constant currency growth of 1.5% to 3.0% [15][31]. Segment Performance - Revenue from the Technology and Consumer Electronics segment was $635.1 million, down 3% year-on-year [27]. - The Retail, Travel, and E-commerce segment saw an 11% increase in revenue to $649.4 million [27]. - The Banking, Financial Services, and Insurance segment grew by 15% to $421.6 million [27].