Feb 28, 2021

Concentrix Q1 2021 Earnings Report

Concentrix reported strong first quarter results above guidance and expects full-year double-digit revenue growth.

Key Takeaways

Concentrix Corporation reported a revenue of $1,353.3 million, up 13.9% from the prior year. Operating income was $134.9 million, or 10.0% of revenue, compared with $88.2 million, or 7.4% of revenue, in the prior year. The company expects to achieve constant-currency revenue growth of above 10 percent for fiscal 2021 with margins above pre-COVID levels.

Revenue was $1,353.3 million, up 13.9% from the prior year first quarter and 11.7% on a constant currency basis.

Operating income was $134.9 million, or 10.0% of revenue, compared with $88.2 million, or 7.4% of revenue, in the prior year first quarter.

Non-GAAP operating income was $176.6 million, or 13.1% of revenue, compared with $144.8 million, or 12.2% of revenue, in the prior year first quarter.

Adjusted EBITDA was $212.6 million, or 15.7% of revenue, compared with $176.5 million, or 14.8% of revenue, in the prior year first quarter.

Total Revenue
$1.35B
Previous year: $1.19B
+13.8%
EPS
$2.29
Previous year: $1.01
+126.7%
Revenue Growth
13.9%
Previous year: 1.3%
+969.2%
Gross Profit
$486M
Previous year: $445M
+9.2%
Cash and Equivalents
$118M
Previous year: $86.8M
+35.4%
Free Cash Flow
-$6.07M
Previous year: $11M
-155.2%
Total Assets
$5.12B

Concentrix

Concentrix

Concentrix Revenue by Segment

Forward Guidance

Second-quarter revenue is expected to be in the range of $1.33 billion to $1.38 billion as reported. Second-quarter operating income is expected to be in the range of $114 million to $128 million and non-GAAP operating income is expected to be in the range of $160 million to $174 million. The effective tax rate is expected to approximate 27% to 28%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income