Core Viewpoint - TTEC Holdings, Inc. is expanding its operations in India by opening a new customer experience center in Mohali, which will create 400 new jobs to support a major U.S.-based healthcare organization [1][5]. Group 1: Expansion Details - The new customer experience center in Mohali will initially operate from C-205, Phase 8B, Industrial Area, Sector 74, Mohali, Punjab, and is expected to move to Quark City, an IT and tech hub, in August [3]. - TTEC has been operating in India for 24 years and has previously expanded its workforce, adding 800 positions in 2024 across its Mumbai and Hyderabad facilities [5]. Group 2: Technology and Services - The Mohali center will utilize TTEC's latest AI-enabled technologies, including TTEC Perform, TTEC Let Me Know, and TTEC Clarity, to enhance customer service experiences [4]. - TTEC's services encompass AI-enhanced customer engagement, customer acquisition, tech support, and fraud prevention, reflecting its commitment to delivering exceptional customer experiences [7]. Group 3: Talent and Cultural Alignment - Mohali was chosen for its scalable, English-proficient talent pool and cultural values that align with TTEC's service-first mindset, emphasizing selfless service and community cohesion [2]. - The company currently employs approximately 3,500 individuals across India, including locations in Ahmedabad and Chennai, showcasing its investment in regional talent and infrastructure [5].

Financial Data and Key Metrics Changes - For the full year 2024, revenue decreased by 10.4% to $2.21 billion compared to $2.46 billion in the prior year, while adjusted EBITDA was $202 million or 9.2% of revenue, down from $272 million or 11% [30][31] - Fourth quarter revenue was $567 million, a decrease of 9.4% year-over-year but an increase of 7.2% sequentially, with adjusted EBITDA at $51 million or 9% of revenue [32][34] - Cash flow from operations was negative $59 million in 2024, compared to positive $145 million in the prior year, primarily due to the discontinuation of the accounts receivable factoring facility [47][48] Business Line Data and Key Metrics Changes - In the Digital segment, fourth quarter revenue was $115 million, down from $119 million year-over-year, but recurring managed services grew by 10.2% [35][36] - The Engage segment saw fourth-quarter revenue decrease by 10.8% to $452 million, although it increased by 9.4% sequentially [40] - For the full year, Engage revenue was $1.75 billion, down from $1.98 billion in the prior year, with operating income at $85 million or 4.9% of revenue [42][43] Market Data and Key Metrics Changes - The company reported a decline in healthcare volumes impacting revenue, while public sector verticals showed volume increases [44] - The Engage backlog for the next twelve months is $1.51 billion, representing 96% of the 2025 revenue guidance at the midpoint [45] Company Strategy and Development Direction - The company is focused on a diversification strategy, expanding its geographic delivery footprint and client portfolio, and enhancing its digital customer experience (CX) value proposition [7][27] - The integration of AI into operations is a key focus, with over 150 projects underway to enhance service quality and operational efficiency [62] Management's Comments on Operating Environment and Future Outlook - Management expressed constructive dissatisfaction with overall financial results for 2024, attributing revenue impacts to client business decisions and a muted healthcare enrollment season [10][11] - For 2025, the company anticipates a revenue decline of approximately 10% in the Engage segment but expects to return to growth in the Digital segment, projecting a 5% increase [51][53] Other Important Information - The company plans to continue investing in technology and leadership to improve operational efficiency and profitability in 2025 [80][81] - Capital expenditures for 2024 were $45 million, or 2% of revenue, down from $68 million in the prior year [50] Q&A Session Summary Question: How is AI being integrated into deals and what impacts might it have? - Management indicated that over 150 projects are utilizing AI, enhancing service quality and associate productivity [62] Question: Can you clarify the 2025 revenue guidance and its assumptions? - The guidance reflects expectations for sequential growth in the second half of 2025, driven by new enterprise clients [72] Question: What are the margin improvement strategies for 2025? - The focus remains on operational discipline and AI integration to enhance efficiency and service quality, contributing to margin improvements [78][79] Question: How does the offshore delivery impact margins? - The offshore mix is expected to grow, but margin improvements are primarily driven by operational enhancements rather than just the offshore strategy [97][99] Question: How confident is the company in the second half of 2025? - Management expressed high confidence in forecasting revenue for the second half based on the onboarding cycle of new clients [101]