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Nov 30, 2021
Concentrix Q4 2021 Earnings Report
Concentrix reported Q4 2021 earnings with revenue up 12.7% year-over-year and EPS of $2.35.
Key Takeaways
Concentrix Corporation reported strong financial results for the fiscal fourth quarter ended November 30, 2021. Revenue increased by 12.7% compared to the prior year, reaching $1,466.6 million. Diluted earnings per share (EPS) rose significantly to $2.35, compared to $1.25 in the prior year fourth quarter. The company also provided its first quarter and full year fiscal 2022 outlook.
Revenue was $1,466.6 million, up 12.7% from the prior year fourth quarter.
Operating income was $157.9 million, or 10.8% of revenue.
Non-GAAP diluted EPS was $2.99 compared to $2.07 in the prior year fourth quarter.
The company repurchased 0.1 million shares in the fourth quarter at a cost of $25.1 million.
Concentrix
Concentrix
Concentrix Revenue by Segment
Revenue by Segment
Tech & Electronics Revenue
CapyFin.comRetail, Travel & eComm Revenue
CapyFin.comComms & Media Revenue
CapyFin.comBFSI Revenue
CapyFin.comHealthcare Revenue
CapyFin.comOther Industries Revenue
CapyFin.com Forward Guidance
Concentrix provided its outlook for the first quarter and full year of fiscal 2022, with revenue expected to be in the range of $1.510 billion to $1.540 billion for the first quarter and $6.450 billion to $6.600 billion for the full year.
Positive Outlook
- Revenue is expected to be in the range of $1.510 billion to $1.540 billion for Q1 2022.
- Q1 2022 revenue includes an approximately $78 million contribution from PK for the months of January and February.
- Non-GAAP operating income is expected to be in the range of $190 million to $205 million for Q1 2022.
- Revenue is expected to be in the range of $6.450 billion to $6.600 billion for FY 2022.
- FY 2022 revenue includes an approximately $485 million 11-month contribution from PK.
Challenges Ahead
- The effective tax rate is expected to approximate 25% to 26%.
- Non-GAAP operating income is expected to be in the range of $890 million to $930 million for FY 2022.
- The Company believes that a quantitative reconciliation of the non-GAAP operating income outlook to the most directly comparable GAAP measure cannot be provided without unreasonable efforts.
- The incomplete purchase price allocation for the PK acquisition and the related unavailability of the expected amortization of PK intangible assets makes reconciliation difficult.
- Concentrix is unable to address the probable significance of the unavailable information, which may have a material impact on the Company’s GAAP results.
Revenue & Expenses
Visualization of income flow from segment revenue to net income