Reimagining Everything CX - Concentrix Investor Day January 25, 2022 - Investor Relations | Concentrix ...
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Reimagining Everything CX Concentrix Investor Day January 25, 2022
Safe Harbor Statements
This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. Forward-looking statements include, but are not limited to, statements regarding the Company’s expected future financial
condition, results of operations, including revenue, revenue growth, operating income and EBITDA, margin expansion, effective tax rate, cash flows,
leverage, liquidity, business strategy, competitive position, acquisition opportunities and industry consolidation, capital allocation, capital expenditures,
growth opportunities, expansion of capabilities, operational efficiencies, automation, market opportunity and forecasts, long-term financial targets,
including revenue, revenue from mergers and acquisitions, annual organic revenue growth, non-GAAP operating income margin, technology-infused
revenue, and statements that include words such as believe, expect, may, will, provide, could and should and other similar expressions. These forward-
looking statements are inherently uncertain and involve substantial risks and uncertainties that could cause actual results to differ materially from those
expressed or implied by such statements. Risks and uncertainties include, among other things: risks related to general economic conditions, including
uncertainty related to the COVID-19 pandemic and its impact on the global economy, supply chains, inflation, the Company’s business and the business
of the Company’s clients; other communicable diseases, natural disasters, adverse weather conditions or public health crises; cyberattacks on the
Company’s or its clients’ networks and information technology systems; the inability to protect personal and proprietary information; the failure of the
Company’s staff and contractors to adhere to the Company’s and its clients’ controls and processes; the inability to execute on the Company’s digital CX
strategy; the inability to successfully identify, complete and integrate strategic acquisitions or investments, including the integration of PK; competitive
conditions in the Company’s industry and consolidation of its competitors; geopolitical, economic and climate or weather related risks in regions with a
significant concentration of the Company’s operations; higher than expected tax liabilities; the loss of key personnel; the demand for CX solutions and
technology; variability in demand by the clients or the early termination of the Company’s client contracts; the level of business activity of the Company’s
clients and the market acceptance and performance of their products and services; the operability of communication services and information technology
systems and networks; changes in law, regulations or regulatory guidance; currency exchange rate fluctuations; damage to the Company’s reputation
through the actions or inactions of third parties; increases in the cost of labor; investigative or legal actions; and other factors contained in the Company’s
Annual Report on Form 10-K for the fiscal year ended November 30, 2020 filed with the Securities and Exchange Commission and subsequent SEC
filings. The Company does not undertake a duty to update forward-looking statements, which speak only as of the date on which they are made.
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
Today’s Agenda
2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Today’s Team
Chris Caldwell Dinesh Venugopal Rick Rosso Denise McCutchen-Grace Kathy Juve
President and CEO President Executive Vice President GVP, Customer Interaction Technologies Executive Vice President
Concentrix Corporation Concentrix Catalyst Sales and Account Management CX Technology, Analytics & Insights
Bahar Ozkan Cormac Twomey Monica Egger Vijay Ijju Andre Valentine
Global Senior Director Executive Vice President Senior Vice President Head of Strategy and Technology Chief Financial Officer
Wellbeing, Trust & Safety Global Operations and Delivery Financial Planning and Analysis Concentrix Catalyst
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
Today’s Key Messages
We are Reimagining Everything CX, to be the greatest
customer engagement company in the world
Market leader
driving revenue
growth and
margin expansion
Dynamic and Exceptional client Industry-leading
growing market base and strategic capabilities, with
partnerships a view to the
future
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
We’re Just Getting Started
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
CX isn’t what it used to be
Letter
In
800# Person
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
The CX ecosystem has expanded
Creating new ways for customers and brands to connect
The
Market
Web $90B
In
Social Person
Mobile 800#
Source: Everest, IDC, Gartner, HFS, Chat Letter
Markets and Markets, Nelson Hall,
and other industry research. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
Experiences are now personalized and dynamic
Enabled by data and analytics
Expanded
Personalization Market
$410B
Web
AI Feedback
In
Social Person
Mobile Voice
Proactive Insights
Notifications
Source: Everest, IDC, Gartner, HFS,
Markets and Markets, Nelson Hall, Chat Letter
and other industry research. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent
CX is seamless across physical & virtual
Enabled by platforms and technology
Digital IT
Interconnectivity Our TAM
Services Market
$550B+
$270B
Web 3.0
17% growth
Personalization
Cloud Experience
Platforms
Web
AI Feedback
In
Social Person
APIs Data
Lakes
Mobile Voice
Proactive Insights
Notifications
Source: Everest, IDC, Gartner, HFS,
Markets and Markets, Nelson Hall, Chat Letter
and other industry research. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCX “Solution” Market is large and growing
Few competitors can offer complete solution
CX Adjacent CX BPO Digital IT
Markets Market Services Market
$320B $90B $270B
8% growth 5% growth 17% growth
Source: Everest, IDC, Gartner, HFS, Markets and Markets, Nelson Hall, and other industry research. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCX BPO and Adjacent Markets
Market Size and Peers
⚫ ~$90B core CX BPO market
o Expected CAGR of ~5% in 2021-2025
Other
BPO Digital CX Adjacent
o Only ~28% of the CX market is outsourced today Services
Markets
$320B
o Includes ~$8B Digital CX, growing considerably Consulting 8% growth
& Design
faster at a CAGR of 30-35% in 2016-2020
CX BPO
⚫ Addressable market beyond core $320B+ $90B Voice of
Customer
5% growth
o Growing 8%+ over the next 3 years
Analytics
⚫ Overall “CX Solutions” market $410B+
CX AI
Technology
Source: Everest, IDC, Gartner, HFS, Markets and Markets, Nelson Hall, and other industry research. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentDigital IT Services Market
Market Size and Peers
⚫ Total IT services market size at ~$1T in 2020
o ~9% CAGR in 2020-2022
⚫ Includes $270B digital IT spend
o 17% estimated growth
o Areas include: Digital IT
• Consulting Services Market
• App Development $270B
• Cloud access services 17% growth
• Application managed services
Source: Gartner and management estimates. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentAddressing a Large and Growing TAM of $550B+
Digital IT
Services Market
CX BPO
Market
$320B $90B $270B
8% growth 5% growth 17% growth
CX CX Strategy & Design
Adjacent Markets Experience Platforms
Digital Services CX Engineering
VOC
Analytics Data & Analytics
Consulting Automation & Operations
AI
Source: Gartner, IDC, Everest, HFS, MarketsandMarkets research firm and other industry research.
2022 Concentrix Corp. All Rights Reserved.
$550B is derived from $90B Core CX BPO + $270B Digital IT Services + $190B of the $320B of the CX adjacent BPO that does not overlap with Digital IT Services market
Slides Not for Publication Without Express Written ConsentWhat We Do
Talent
We are the leading global provider
of CX solutions and technology
Reimagining
Everything CX Strategy Technology
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentYou count on us every single day
3:28 p.m. 5:14 pm
1:15 p.m. 6:10pm
Applied for Ordered
a new dinner
Approved mortgage delivery
Shopped
for elective
for NFT on
medical
procedure Metaverse
10:57 a.m. 7:19pm
Browsed Configured
social a new car and
video confirmed
content delivery
9:42 a.m. 8:49 pm
Accepted Virtually
personalized 7:15 a.m. 10:01 p.m.
designed and
offer from 3:01 a.m. ‘tried on’
travel
company Received new shoes
Updated
blood glucose
Received online music
alert on
proactive subscription
smart device
fraud alert
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentThe Evolution of CX
Our Path Forward
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCX is a Key Strategic Initiative
Top 5 Executive Business Priorities Top 3 Digital IT Business Priorities
58%
57%
Improve customer experience
47% 60% Customer
Increase efficiency/lower costs Customer Trust &
Experience Loyalty
44%
Increase revenue
37%
Increase innovation 51%
Customer
35%
Retention
Improve organizational agility
HBR: Making Customer Experience the Heart of the Enterprise, 2021
Source: Gartner, McKinsey,
client feedback. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentWhat We Believe… Our job is
to make
Our guiding principles clients
shine Diversity is
a strength
CX is a
strategic Convergence
We
imperative of services &
continually
disrupt technology
our own to solutions
Longevity Industry
business is here
is driven consolidation
by deep is inevitable
partnerships
Giving back
Domain through
knowledge, ESG to the
Think footprint communities
long term and depth
of services
is key
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur Board of Directors
Engaged, driven and diverse
Director Chair of the Board Director Director
Director Director Director Director
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur Executive Leadership
Experienced, diverse and global
Guy Brosseau Monica Egger Kathy Juve Rick Rosso Andre Valentine
Executive Vice President Senior Vice President Executive Vice President Executive Vice President Chief Financial Officer
Information Systems and Security Financial Planning and Analysis CX Technology, Analytics and Insights Sales and Account Management
Chris Caldwell Jane Fogarty Jason Marasigan Cormac Twomey Dinesh Venugopal
President and CEO Executive Vice President Senior Vice President Executive Vice President President
Concentrix Corporation Legal and Corporate Secretary Corporate Development Global Operations and Delivery Concentrix Catalyst
Philip Cassidy Debbie Gonzalez Kim Sullivan
Executive Vice President Senior Vice President Senior Vice President
Strategic Projects and Corporate Strategy Global Marketing and Communications People Solutions
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent2021 ESG Commitment in Action 72,000+
Metric ton
reduction
of CO2
100K+ Japan
Volunteer
hours in Helping single mothers
2021 Philippines
Measles immunization drive
United States India
Community COVID relief efforts Fighting hunger
87,000+
pounds of Malaysia
E-Waste Helping underprivileged children
ethically
recycled
70+
Green
initiatives
El Salvador worldwide
Helping elderly in need Ireland, France, Spain, Portugal
Keeping beaches clean & healthy New Zealand
Fighting impact of climate change
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentHow We See the Market Working Over Time
Supercycles
⚫ Emerging drivers of new revenue
⚫ Characterized by period of high,
robust growth
⚫ Many successful players in early
stages of cycles that might be smaller
⚫ Consolidation for scale over time with
partners that offer ”more”
⚫ Participants with scale and deep
expertise drive long-term growth and
participate in supercycles differently
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentSupercycles
Successfully executing to scale and drive long term growth
Content
Moderation
Digital Late 2010s
Transformation
Early 2010s Concentrix
eCommerce
Offshore 2000s ⚫ Focused on long-term
Outsourcing growth and real value
2000s
⚫ Deep expertise in
multiple disciplines
⚫ Execute through to
scale
AI / ML
Data labelling
User
Experience Automation
Design Customization
Mobile-first
Engagement Compliance
Social
Acceleration
24/7 Support
Omnichannel
Cloud
Cost savings
Ecosystem
IoT
Flexibility
Connectivity
Agile
Scalability
5G
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentNext Gen Supercycles
Ethical AI
Web3
Metaverse
…
Privacy …
Anti-bias
Blockchain
Non-discrimination
VR / AR Security
Transparency
Networking Interoperability
Algorithm
Digital economy Semantic Web
Edge computing Decentralization
Crypto
NFT
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPK is
A Journey of Bold Transformation
acquired
Concentrix
completes
2021
$4.7B spin-off
in revenue
2020
2019
Convergys
IBM CRM &
is acquired
Industry Vertical
Business $2.0B
is acquired in revenue
2018
$1.1B
$189M in revenue 2017
in revenue 2016
2015
Initial 2014
Investment 2013
2011
2009
2004 2007
2020 +
2005-2013 2014-2019
Positioned for
Establishing the CX Platform Transformation through disruptive acquisitions
growth
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentClients have responded with opportunities
Delivering strong revenue growth and margin expansion
(1)
$6,028
($M) Catalyst
PF
$4,920
$4,720
$4,708
50%
CAGR
’13-’21
$2,463
$1,990
$1,588
$1,417
$1,096
$160 $189
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Non-GAAP Operating Income %
(3)
6.9% > +630 bps
(2)
13.2%
(1) Pro forma for PK acquisition. See Appendix for more information.
(2) Pro forma for PK acquisition. Excludes acquisition-related and integration expenses, share-based compensation,
amortization of intangible assets and gain on divestitures and related transaction costs. See Appendix for more information.
(3) Excludes acquisition-related and integration expenses, including related restructuring costs, share-based compensation, 2022 Concentrix Corp. All Rights Reserved.
and amortization of intangible assets. Slides Not for Publication Without Express Written ConsentConcentrix Today
UNPARALLELED DEEP EXCEPTIONAL
ability to deliver high-value industry and domain technology, digital, and
CX and technology globally knowledge analytics expertise
~$6.0B* ~$800M* ~$380M*
Fiscal 2021 Fiscal 2021 Fiscal 2021
Revenue Non-GAAP OI Free Cash Flow
16 years 168 70+ 40+ countries
average tenure of
the top 25 clients
industry awards
FY’20 and ‘21
languages 6 continents
340+ 750+ 125+ 100+
IP Assets clients global new Fortune Global
economy clients 500 clients
* Pro forma for PK acquisition. Non-GAAP operating income excludes acquisition-related and integration expenses, share-based compensation, amortization of intangible assets and gain on divestitures and related
transaction costs. Free cash flow is a non-GAAP measure equal to cash flow from operations, less capital expenditures. See Appendix for more information. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentTrusted Partner to Enterprise
and New Economy Brands
Select Fortune Global 500 & New Economy Clients (1)
8 of the 3 of the 4 of the 3 of the 4 of the
4 of the 7 of the 5 of the
Top 10 Top 5 Top 5 Top 5 Top 5
Top 5 Top 10 Top 5 US health
consumer 2021 global social
tech fintech US e-comm insurance
electronics IPOs brands
companies companies banks companies companies
companies
Across All Major Industries
Automotive Banking & Consumer Healthcare Insurance Media & Retail & Technology Travel,
Financial Services Electronics Services Communications e-Commerce Transportation
& Tourism
Our Top 5 clients represented 25% of revenue in 2021
2022 Concentrix Corp. All Rights Reserved.
(1) Rankings based on 2021 Global Fortune 500 list; 2021 Bankrate; 2022 ValuePenguin; 2021 Statista Slides Not for Publication Without Express Written ConsentScalable Worldwide Presence
⚫ Global consistency, local intimacy EMEA
⚫ Robust, redundant infrastructure Bulgaria, Egypt, France, Georgia,
Germany, Hungary, Ireland, Italy,
⚫ 95% of world population North America Mauritius, Netherlands, Poland,
Canada, USA Portugal, Romania, Slovakia,
languages spoken South Africa, Spain, Sweden,
Tunisia, UAE, UK
⚫ 48 of our top 50 clients use us in
more than one country
Latin America
Argentina, Brazil, Colombia,
Costa Rica, Dominican APAC
Republic, El Salvador,
Australia, China, India,
Work at Home Global Delivery Honduras, Jamaica,
Indonesia, Japan,
Centers Mexico, Nicaragua
Malaysia, New Zealand,
Philippines, South Korea,
Thailand, Vietnam
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentAcknowledged Industry Leadership
Analyst Recognition
⚫ NelsonHall Ltd. Digital Experience Consulting NEAT ⚫ Forrester Customer Analytics WaveTM Contender
⚫ Everest Group CX Analytics PEAK Matrix® Leader ⚫ Forrester RPA WaveTM Strong Performer
⚫ NelsonHall Cognitive CX Services NEATTM Leader ⚫ Gartner Next-Gen API Development Services
⚫ Forrester Omnichannel WaveTM Leader ⚫ Forrester Loyalty Service Provider WaveTM Leader
⚫ HFS Top10 Customer Engagement Operations #2 ⚫ Forrester RPA WaveTM Strong Performer
⚫ Everest Group CX Management PEAK Matrix® Leader
Digital CX Awards
Disruptive Partner of Innovation Product of the Year Innovation CUSTOMER Magazine’s
the Year [Automation] [Analytics] – SolvTM [Gig CX] [Analytics] Product of the Year –
ConcentrixCX [VOC]
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentRecognized as a Leading Employer
People, Culture & Diversity
Our commitment to staff, diversity, culture and thought leadership makes us
one of the most awarded and globally recognized companies in the industry
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur First Year as a Public Company
Growth Strategy 2021 Progress
$5.6B
1 Expand wallet share through Growing 35% with Strategic Brand Partners
revenue deeper client relationships and 18% with Integrated Partners
*
17.3%
(1)
2 Relentlessly innovate, develop Further investments in digital CX
transformation, analytics, VOC
revenue new digital solutions
growth (adj.
constant currency)
(2) 3 Further invest in Growing in Emerging Markets 20%+
emerging markets
13.1%
non-GAAP
operating 4 Selectively pursue PK deeply complementary,
margin strategic acquisitions accretive CX digital acquisition
(1) Constant currency revenue growth, excluding revenue for businesses acquired or divested since the beginning of the prior year. See Appendix for more information. 2022 Concentrix Corp. All Rights Reserved.
(2) Excludes acquisition-related and integration expenses, share-based compensation, amortization of intangible assets and gain on divestitures and related transaction costs. See Appendix for more information. Slides Not for Publication Without Express Written ConsentOur Recent Strategic Acquisition
Enhancing our end-to-end technology capabilities
Brings strong portfolio of intellectual assets and advanced CX technology
Significantly enhances CX digital transformation capabilities at scale
Strengthens presence in high growth, $270B digital IT services market
Enhances financial profile through accretion to EPS and growth rate
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPK: A Leading CX Design Engineering Company
Capabilities + Solutions = Outcomes
$530M expected revenue*
CX Acceleration
$85M
Customer Acquisition
expected adjusted EBITDA* Strategy Experience
& Design Platforms Intelligent Automation
20%+ expected revenue growth*
Customer Engagement
Integrated Human Experience
5,000+
Cloud Digital
Customer Retention
staff Engineering Engineering
Enterprise Modernization
11 locations across 4 countries Data & Automation
Loyalty & Membership
Speed to Market
Analytics & Ops
65%+ NPS API Strategy Business Optimization
200+ IP Assets
80% of revenue with F250 clients Technology & Healthcare & Telecom & Retail & Transportation &
Emerging
Software Life Sciences Media CPG Logistics
Accelerating digital outcomes for clients by combining expertise and solutions to design and engineer pioneering CX
*Based on expected financial results for the first full year following the acquisition. Adjusted EBITDA is a non-GAAP financial measure
and excludes acquisition-related and integration expenses, share-based compensation, amortization of intangible assets and depreciation. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentConcentrix Catalyst Leading Capabilities
PK + Tigerspike = Catalyst
(1)
$630M Strategy & Experience Digital Cloud Data & Automation
expected Design Platforms Engineering Engineering Analytic & Operations
revenue 23% of rev 16% of rev 13% of rev 20% of rev 15% of rev 13% of rev
(1) • Enterprise Strategy • Adobe • Omni Channel Experience • Strategy & Architecture • Data Engineering & • Intelligent
20%+ • Human-focused UX Design • Sitecore • Multi-platform • Cloud Platforms
Management Automation
Development • Advanced Analytics • RPA
expected • Digital Marketing • Salesforce • Cloud Native Services
• Immersive Experience • Business Insights • Quality Engineering
revenue • Product Realization • ServiceNow • Cloud Operations
• API & Integration Services
growth • Organizational • Martech
Transformation & Support Platforms • Edge Computing
• Systems Architecture • Automated Testing & QA
6,000+ • Security Design
staff
200+ IP assets: Technology IP, point of view, patents, trademarks, publications
20+ leading technology partnerships
(1) Based on expected financial results for the first full year following the PK acquisition plus expected Concentrix Tigerspike revenue for fiscal year 2022. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCase Studies
Reimagining Everything CX
The power of For our clients Driving growth
Concentrix + + our operations + innovation
Concentrix Catalyst
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / LEADING GLOBAL TECHNOLOGY BRAND
Better Together
Client Relationship
• 15+ years trusted partnership CURRENT STATE
• Thought Leader in Revenue CX Strategy
Growth & Design
Operational Delivery of CX Services
• Top 5 client account
• 2019 & 2021 Finalist, Supplier Omnichannel Digital Sales
of the Year Post-sale Enablement
Engagement
• Award winning Training
Gamification Project Digital Build &
Insights & Omnichannel
• Partner in sales, support, and Analytics Engineering
retention programs on a
global basis for commercial
CX Strategy & Insights &
and consumer customers in Design: Digital Analytics
multiple languages Blueprints
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY LEADING GLOBAL TECHNOLOGY BRAND
The Power of
Concentrix + Catalyst
CHALLENGE
Build a turn-key as-a-service solution for large SMB market. Outsource
infrastructure and programmatic processes, including building out the
strategy, offer details and operationalizing the product globally
SOLUTION
POTENTIAL
Awareness Loyalty &
Purchase Engagement
Consideration Retention
OUTCOMES
$1B +10%
SMB Sales Increase in
⚫ E2E SMB GTM Strategy ⚫ Partner Enablement ⚫ Loyalty / Customer in 5 Years Renewal Rates
& CX Design Success Strategy & CX
⚫ Pre-sales Engagement
$10M
Design
⚫ Solution Roadmap ⚫ Post- Sale Engagement
⚫ Customer Success
⚫ Digital Sales & Success ⚫ Deployment & Usage Content Engagement Estimated Efficiency
Content & Tools Build Savings
Development
⚫ Sales Insights & ⚫ Retention / Customer
⚫ Engagement Automation Build Success Insights &
Analytics
⚫ Engagement Insights & Analytics Analytics
⚫ Customer Lifetime Value
Optimization Roadmap
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY GLOBAL FOOTWEAR/ATHLETIC BRAND
The Power of
Concentrix + Catalyst
Delivering end-to-end CX solutions to create new high impact
possibilities and drive value for fanatical consumers
CHALLENGE SOLUTION POTENTIAL OUTCOMES
⚫ Very highly engaged ⚫ Concentrix: Membership support &
customer segments enrollment in voice and digital channels
⚫ Opportunity to deepen ⚫ Concentrix Catalyst: Membership design &
membership engagement build for the primary digital membership
and grow spend Expand Member Spend/Member
⚫ Concentrix + Concentrix Catalyst: Member Effort
Enrollment
⚫ Membership design and o Design, build, operate, and optimize Best in class digital consumer engagement
operations effective but not consumer support more seamlessly
integrated across all remote interactions
⚫ Strategic priority to engage o Re-imagine and integrate MX
in the metaverse
o Establish membership and meta- Metaverse
commerce MX and CX journeys in Engagement
metaverse
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / TOP 5 FINTECH
Reimagining CX to
enable innovation
and hypergrowth
Partnering with high-flying FinTech as the catalyst to enable new
product launches and growth, applying a re-imagined CX and
operational framework to serve over 13 million consumers and growing
CHALLENGE SOLUTION OUTCOMES
⚫ Mission to deliver customer-centric ⚫ Design and optimize critical and non-
financial products and better standardized customer processes Automated
25-40%
mobile banking
⚫ Act as launchpad for new product
⚫ Experiencing significant growth, of introductions and pilot programs social media interaction categorization
~10M+ customers YOY
⚫ Support non-traditional BPO functions
⚫ High CX expectations of Gen Z such as enterprise incident, project
and workforce management
Premier Partner
and Millennial customers
To help design, build and deliver strategic
⚫ Reinvent customer journeys through initiatives and new product launches
⚫ Opportunity to optimize voice,
process mapping and operational
digital and social interactions
analytics
Driving Compliance in
⚫ Need to better support complex
and disparate business functions
⚫ Test and deploy social media and Record Time
digital interaction strategies
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / GLOBAL LEADING CRYPTO WALLET/EXCHANGE
Strategic brand
partnership driving
hypergrowth
Helping one of the world’s largest digital currency exchanges globally and
rapidly scale their global business model to support users in 100+ countries
CHALLENGE SOLUTION OUTCOMES
⚫ Increasing consumer and ⚫ Consistent operational framework to
regulatory pressure to offer support most critical CX customer
Delivered Improved Helping to re-imagine
live support touchpoints across multiple live channels
CX Journeys for
⚫ Launching 24/7 live global ⚫ Designed, built and enabled a domestic >56M customers omni-channel CX
multi-site approach and introduce Work at across multiple-markets
support across phone and in record time
messaging Home brand ambassadors
⚫ Customer utilization ⚫ Designed and implemented operational
volume of live support + framework to support rapid domestic growth Partnering to meet a dynamic set of
interaction types unknown and global expansions
global regulatory
⚫ Expert analysis captured areas to drive expectations
improved OpEx, quality, cost containment
and re-imagining innovation targets
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / GOVERNMENT AGENCY
Making a difference
with a human-centric
design approach
Reimagining the user experience to help people that are deaf, hard of
hearing and/or have a speech impairment to make and receive phone calls
CHALLENGE SOLUTION OUTCOMES
⚫ Hearing and speech impaired ⚫ Partnered with Australian
30% 46%
Australian citizens in need of government in a 3-month Agile
critical relay services had been Design & Build project to deliver
receiving a poor experience new iOS and Android apps of call volume now YoY cost savings through a
running through the robust and transparent operation
⚫ Needed a fresh, new solution ⚫ Designed, Built and delivered a new Concentrix mobile apps with new mobile app interface
that was cost effective and tech- omni-channel infrastructure and
updated to deliver improved relay officer model leveraging our
consumer support and human-centric design approach.
satisfaction and drive usage Re-Imagined E2E Experience
⚫ Provided new SMS, Messaging and Significantly improved satisfaction rate, re-use rate,
Video capabilities creating greater and better empowered the extended base of
access for relay users. hearing-impaired users.
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / ICONIC HOME GOODS RETAIL BRAND
Reinventing the retail
experience through
digital transformation
Outcome-focused approach drives technology-enabled,
digital-first transformation
CHALLENGE SOLUTION OUTCOMES
⚫ Support needed for high ⚫ CX Analytics identified 80+ opportunities
growth e-comm traffic to improve customer journey
41% 20%
⚫ Lack of modern digital ⚫ Deployed XP Messaging to offer of messaging reduction in cost per
channel-of-choice and deflect voice calls interactions deflected transaction through
self-service channels or resolved by bots digital shift
⚫ Need for agile and tech- ⚫ Deployed Conversational AI to enable
27% 4 Million
enabled CX platform self-service via SMS text, social, web
messaging or voice virtual assistant
⚫ Desire to improve reduction in AHT for Voice with conversations shifted to
⚫ Captured client journey information to messaging in 2021
response levels and CSAT 8% improvement in CSAT
more quickly resolve customer issues
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
CASE STUDY / HEALTHCARE PROVIDER
Bringing the focus
back to patient care
Designed a transformation strategy for a regional healthcare system
with 220 clinicians that streamlines infrastructure, allows greater
access to information, and improves the patient experience
CHALLENGE SOLUTION OUTCOMES
⚫ Heavy technical debt from ⚫ Multiple legacy systems migrated to
maintaining multiple legacy one cloud-based Amazon Connect
systems environment
⚫ Siloed systems, limited data ⚫ Brand ambassadors to support patient 85% 40%
sharing assistance center reduction in calls reduction in
abandoned overall costs
⚫ On-boarding new clinics was ⚫ Conversational AI lets patients express
complex – taxing time and
resources
what they need, in their own words
$500k
⚫ Introduced digital self-service channels annual savings to
including text and chatbots on-board new clinics
⚫ Patients frustrated by long
hold times causing 40% of ⚫ Integrated data between channels so
calls to be abandoned patient calls are routed properly
without repeating information
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / U.S. BANK
Reimagining the
banking experience
through feedback
Our enterprise feedback management platform – ConcentrixCX
– was deployed across 16 listening posts, capturing feedback
and guiding improvement decisions in real-time
CHALLENGE SOLUTION OUTCOME
⚫ Incumbent partner with dated ⚫ ConcentrixCX was deployed across 16
technology moments of truth
⚫ Lack of customer feedback ⚫ Millions of customer signals are flowing
20% 15K+
across moments into the bank in real-time providing
feedback on digital interactions, advisor
⚫ Not enough insight into CX interactions, branch experiences, etc.
breakpoints increase in customer bank staff have adopted
⚫ Professional services deployed loyalty in 12 months ConcentrixCX
⚫ The bank did not have an easy alongside technology
way to analyze results and drive
⚫ Feedback is used to drive strategy
action across the business
decisions, guide teller behavior and
⚫ Lots of data, no insights customer recovery initiatives
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentCASE STUDY / GLOBAL LEADING SOCIAL BRAND
Strategic brand partnership
driving innovation +
organic growth
Helping a leading global social business protect their brand and capture/
support substantial growth in advertising and consumer products
CHALLENGE SOLUTION OUTCOMES
⚫ Velocity to support industry pace ⚫ Dedicated teams to address high impact
business lines and deliver top 85% 26%
⚫ Agility to adjust to business changes operational scores 2018-2021 CAGR in 2018-2021 CAGR in
client’s spend client’s revenue
⚫ Growing capacity to support critical ⚫ Demonstrated excellence and agility with Concentrix
programs in multiple markets across all business lines
#1 Partner
⚫ Very high service quality expectation ⚫ Developed a custom rapid deployment
model for each business
⚫ Cost effective and efficient support In most recent
⚫ Deployed analytics and process experts Strategic Scorecard
⚫ Increasing consumer and to identify innovation opportunities
governmental expectations of “Concentrix continues to be one of our top partners not
⚫ Invested in unique success assets only in operational excellence and performance, but in
social interventions
innovation, transparency and in providing leadership to
⚫ Selected to pilot new business changes our global network of partners.” Client Executive
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentLeading with Innovation
Wellnest Care Program
Wellnest Reach Wellnest Surround
Clinically-led 5-stage recurring Clinically-designed wellbeing foundation
psychometric assessment suite to training and certification for all staff.
monitor cognitive resiliency by work-type.
Cognitive Innovation
Research Hub Wellnest Inform
Behavioral studies that explore relationship Personalized wellness plans and reporting to
between preventative Mental Health support measure utilization, feedback and effectiveness
and role of Content Moderation.
11.5k >20 40+ 2.2Bn
Trust and Safety Languages supported Clinical Wellness Annual Content and Social
experts worldwide in 14 countries professionals globally Moderation reviews
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentWellnest Comprehend
Innovating with AI and Neuroscience
⚫ Wellnest Comprehend transforms how we
understand human performance by
focusing on psychological safety and
engagement
⚫ Correlates VHR trends with AI intelligence
on oxytocin to identify vulnerability in
resiliency and allow for proactive
intervention and change
⚫ Enables data backed insights to effect
change in shift durations, task rotation,
tenure, skills profiling.
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentTransformation is Happening Everywhere
Tech is accelerating transformation for clients and operations
Customer Transformation Operating Automation
Experience
Collaborative
Design Environments
Process
Website Automation
Self-Service
CX Quality
Candidate Insights
Cloud
Experience
Insights
Digital
Training
VOC AI Biometrics &
Data Security Virtual &
Community
Customer Contact Center Hubs
Smart
Journey Technology
Ambassador
Assist
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentTechnology Embedded Across Operations
89% 104K+ 160M+
Virtual Hires Digitally Trained Images auto-
screened weekly
114K+ 2K 1.1B
Ambassadors with Innovators Interactions
Smart Assist Tech Automated
61% 29% 65% 45%
Clients (62% New YoY growth for Clients more Clients buying YoY growth for New
Economy) rated Innovation with 93%+ rating (37% Talent +Tech YoY Economy clients
100% or higher YoY for New Economy) (71% more New Economy) buying Talent +Tech
Proven Value from Technology at Scale
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentWe’re Just Getting Started
The Future of CX
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPriorities for Future Growth
Growth Strategy 2022 Priorities
Continued execution on our
1 Expand wallet share through
deeper client relationships client strategy
Invest in technology solutions
2 Relentlessly innovate,
develop new digital solutions to disrupt and differentiate
Continue to expand in
3 Further invest in
emerging markets emerging markets
4 Selectively pursue
strategic acquisitions
Expand capabilities in key
growth areas
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPriorities for Future Growth
Growth Strategy 2022 Priorities
Continued execution on our
1 Expand wallet share through
deeper client relationships client strategy
2 Relentlessly innovate,
develop new digital solutions
3 Further invest in
emerging markets
4 Selectively pursue
strategic acquisitions
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur Client Partnerships
Enterprise + New Economy Client Base
At the perfect intersection for Convergence and Growth
Client Priorities
⚫ Scale 2021 Revenue Mix
⚫ Efficiency
⚫ Predictability
Enterprise ⚫ Depth of Experience
Evolved 80%
Enterprise
Enterprise
⚫ Nimble
⚫ Scaled
⚫ Smart 20%
New
⚫ Adaptive Economy
New Client Priorities
Economy ⚫ Hypergrowth
⚫ Agility
⚫ Disruption
⚫ Fresh Perspective
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur Client Partnerships
Three types of partner relationships
Stickiness
Strategic Brand
Partner
Integrated • Extension of brand
Partner • High value
• Impact operations • Long-term
Partner • Influence brand • Organic growth
• Minimal ops impact • Multi-line
27% of Revenue
• Single-line • More complex
+35% Growth
• Less complex
60% of Revenue
13% of Revenue +18% Growth
+3% Growth
Depth of Relationship
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPriorities for Future Growth
Growth Strategy 2022 Priorities
Continued execution on our
1 Expand wallet share through
deeper client relationships client strategy
Invest in technology solutions
2 Relentlessly innovate,
develop new digital solutions to disrupt and differentiate
3 Further invest in
emerging markets
4 Selectively pursue
strategic acquisitions
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentHow Digital is Built into Our Business
Integrated into our Independently procured Imbedded in our
solutions offering technology platforms operations
and solutions
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur Technology Capabilities & Partnerships
Innovating to enable new CX solutions
Technology-infused Solutions Leading Technology Partners
Experience Platforms & Technology &
Design App Development Systems
Integration
Digital Innovation,
Automation & IVR
Self-Service
Optimization
Voice of the Analytics & Speech & Text
Customer Consulting Insights
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPriorities for Future Growth
Growth Strategy 2022 Priorities
Continued execution on our
1 Expand wallet share through
deeper client relationships client strategy
Invest in technology solutions
2 Relentlessly innovate,
develop new digital solutions to disrupt and differentiate
Continue to expand in
3 Further invest in
emerging markets emerging markets
4 Selectively pursue
strategic acquisitions
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentThe Value of Our Emerging Markets
Growing at 20%+
⚫ Innovative go to market execution
Serving domestic demand in emerging markets
⚫ Incubation for new technology-
infused solutions
⚫ Supporting new emerging brands
o ~ 27% of our new economy Brazil India China ROC
clients start in these markets, and
will be the next global brands
⚫ Leverage global reach to expand
with multinational brands
o Growing with clients in regions
they see growth opportunities
Thailand Indonesia Vietnam
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPriorities for Future Growth
Growth Strategy 2022 Priorities
Continued execution on our
1 Expand wallet share through
deeper client relationships client strategy
Invest in technology solutions
2 Relentlessly innovate,
develop new digital solutions to disrupt and differentiate
Continue to expand in
3 Further invest in
emerging markets emerging markets
4 Selectively pursue Expand capabilities in key growth
strategic acquisitions areas
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentPursue Strategic Acquisitions
Focus Strong Track Record
⚫ Deep domain expertise
CX design &
digital engineering, sales gen, analytics, engineering at scale
banking, healthcare…
⚫ Attractive client portfolios CX client portfolio
& footprint
new economy clients…
CX design &
⚫ New technology that enhances overall business engineering
ethical AI, VOC, CX technology… CX clients &
capabilities
Disciplined approach
⚫ Financially accretive to overall business CX scale & vertical
expertise
CRM BPO
⚫ Ability to pay higher multiples for higher value
capabilities that bring long term value
⚫ Cultural alignment
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentOur Path Forward
Our Financial Objectives
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentShaping the Future of CX
CX will evolve into an intelligent, immersive,
and connected experience for consumers.
$800B
Market by
20241
4 From CX → MX
Building virtual experiences in
$87B
the Metaverse
Market by
4 20262
3 From CX → ICX
Building immersive
experiences on the Edge $320B
Market by
From CX → BX
20273
2
3
Connecting the Front to the
Back is critical 2 $308B
Market by
1
1
20274
From CX → IX
Building Intelligent Experiences
Now 12-18 Months 18-24 Months 24+ Months
1- Bloomberg. (n.d.). Metaverse Market Size . Bloomberg.com. Retrieved January 20, 2022, from https://www.bloomberg.com/professional/blog/metaverse-may-be-800-billion-market-next-tech-platform/
2 - ReportLinker. https://www.globenewswire.com/news-release/2021/11/16/2335773/0/en/The-edge-computing-market-size-is-expected-to-grow-from-USD-36-5-billion-in-2021-to-USD-87-3-billion-by-2026-at-a-Compound-Annual-Growth-Rate-CAGR-of-19-0.html.
3 - MarketWatch. (2022, January 12). Hyper Automation market . MarketWatch. Retrieved January 21, 2022, from https://www.marketwatch.com/press-release/hyper-automation-market-size-growing-at-9-cagr-to-hit-usd-3199-billion-by-2027-2022-01-12
2022 Concentrix Corp. All Rights Reserved.
4 - “Artificial Intelligence Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027.” Size, Share, Growth, Trends 2022-2027, https://www.imarcgroup.com/artifical-intelligence-market. Slides Not for Publication Without Express Written Consent1 From CX to IX
Building Intelligent Experiences
Envisioning a future of personalized (1:1) interactions across each
moment that matters in a customer journey, infused through AI/ML
algorithms modeled on customer data and insights. For example,
effective AI that drives a better conversational experience on the
“Voice” side of interactions will be very efficient with the potential
for new innovations in the contact center.
1:1 Ambient Augmented
Personalization Experience Assistants
Personalizing the
Intelligent conversational Brand Ambassadors
customer journey with
interfaces that sense and providing voice/
automated data insights
respond to the customer messaging services ,
about the customer.
in real-time augmented with AI agents to
drive a better CX
EXAMPLE
Conversational AI,
reimagining the
insurance claim
experience
Catalyst created Alexa Created AI based virtual
based ordering assistant assistant for messaging
services
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent2 From CX to BX
Connecting the Front to the Back
BX will evolve with Hyper-Automation and the middle platform. The
middle platform is comprised of APIS, Event Driven architectures
that drive an exceptional customer experience. An exceptional CX is
only possible if enterprises build an effective and efficient middle
platform. The current landscape, with a war for talent, will drive
demand for automation, low-code/no-code as effective approaches
to address the digital demand problem.
Hyper-
Automation Middle Platform Data Fabric
Going beyond RPA and A dynamic enterprise A Data Fabric that pulls
looking at automating that is built on APIs and together data across
digital operations across Event Driven will deliver multi-cloud as well as
each touchpoint in a a better CX across all on-prem to drive better
customer journey from touch points insights driving better CX
front to back.
EXAMPLE
Frictionless payments
and money lending
$22B $7B regardless of bank
Market by 2027 Market by 2026 affiliation
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent3 From CX to ICX
Creating Immersive Experiences
This is the final area that will drive significant investments especially
around connected experiences ( BOPIS/BOPAC/Smart Everything).
This is all about the intersection of 5G, Cloud , AI on the Edge.
Technological advancements, including 5G and IoT, create touchpoints
for digital engagement that bring new expectations and opportunities.
AR/VR and Smart Connected
Mixed Reality Everything Vehicles
Immersive experiences Smart Cities , Smart Evolving the experience
blending the physical with Factories, and the in the cars and machine
the digital world brought connected edge. Data to machine interactions,
to life through interactive, and Intelligence as the Car becomes the
motion design. deployed on the edge to new mobile phone. EXAMPLE
drive a better CX
Adaptive and Predictive
Maintenance + Machine
$36.1B $312B $30B
Learning for Intuitive
By 2024 By 2023
By 2024 Infotainment Systems
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written Consent4 From CX to MX
Building For The Metaverse
The world's largest brands across industries can no longer ignore the
reality of the Metaverse and the value of emergent virtual economies
as virtual environments become more mainstream. The necessity to
build and equip teams to serve the metaverse is clear, just as it was
for the transformation from physical (in-store) to Digital.
Relevant Use Cases for the Metaverse
Brand Virtual Virtual Virtual
Engagement Events Workplaces
Evolving brand experiences
in the metaverse. Virtual Community Driven virtual The evolution of the
Real Estate and Brand events and possibly employee workplace will
Presence with immersive virtual concerts, sporting be in the metaverse.
content events can shift to the
metaverse.
$800B
Market by 20241
EXAMPLE
Virtual Retail Simulation & Increasing brand
Stores Training engagement through
Brand focused retail Metaverse
Immersive real-time 3D
stores showcasing
experiences with semantic Applications
products and driving
content, physics engine ,
engagement in the
delivering for the
metaverse
enterprise
2022 Concentrix Corp. All Rights Reserved.
1- Bloomberg. (n.d.). Metaverse Market Size . Bloomberg.com. Retrieved January 20, 2022, from https://www.bloomberg.com/professional/blog/metaverse-may-be-800-billion-market-next-tech-platform/ Slides Not for Publication Without Express Written ConsentInventing New Value Streams
Building For Web 3.0 NFTs and
Blockchain, Market
Web 3.0 is the next evolution of the internet. It is about a new technology DAOs, Places
stack that is open, permissionless, trustless and completely decentralized. Decentralized
This is the "internet in real-time 3D". Experiences
Moving from information exchange in Web 2.0 to value exchange in Web3
which is community driven and open.
Digital Assets /
Human
Virtual Goods
Web 1.0 Web 2.0 Web 3.0 Interface
• Static Web Pages • Mobile Apps • Semantic Web
• Portals providing • Social Media • Realtime 3D
content
content • Walled Digital
• dApps
Identities
• e-Commerce Gardens for
Tokens/
Content
• Java /JavaScript • NFTs /Avatars
• UGC
• VR/AR and XR Crypto
• High Speed
• Blockchains Currencies
Data / Comms
• Digital Avatars
• AI Driven
• Trustless and Virtual
Permissionless Platforms
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentThe Future of CX
Q&A
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentStrong Growth Across
Verticals and Geographies
Revenue Growth Across Revenue Growth Across
Vertical Segments ($M) Geographies Served
5,587
(1)
17% Other
23%
4,720 Asia-Pacific
Healthcare 26%
Europe
Banking, financial
services and ins 17%
Americas
Retail, travel and
ecommerce
Communications and ⚫ Differentiated brand experience
media
⚫ High compliance and barriers to entry
Technology and
consumer electronics ⚫ One-to-many
⚫ Engineered obsolescence
2020A 2021A 2020A 2021A
(1) Constant currency revenue growth, excluding revenue for businesses acquired or divested since the beginning of the prior year. 2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentAccelerating Post-Covid Revenue Growth,
Margin Expansion, Cash Flow Generation
Strong Revenue Growth Operating Income Expansion (1)
$5,587 $734
$4,708 $4,720 $542 $509
2019A 2020A 2021A 2022P 2019A 2020A 2021A 2022P
Non-GAAP
Operating 11.5% 10.8% 13.1%
Margin
EBITDA Margin Expansion (1) Strong Free Cash Flow (2)
$874
$677 $639
$339 $336 $365
2019A 2020A 2021A 2022P 2019A 2020A 2021A 2022P
Adjusted
EBITDA 14.4% 13.5% 15.6%
Margin
2020A financials include impact from COVID-19
Note: USD in millions.
(1) Excludes acquisition-related and integration expenses, including related restructuring costs, share-based compensation, spin-off related
expenses, amortization of intangible assets and gain on divestitures and related transaction costs. See Appendix for more information. 2022 Concentrix Corp. All Rights Reserved.
(2) Free Cash Flow calculation: Net cash provided by operating activities, less capital expenditures. See Appendix for more information. Slides Not for Publication Without Express Written ConsentCurrent Business Outlook
Q1 2022
Revenue $1.51-1.54B
(2)
Non-GAAP OI $190-205M
FY 2022
Revenue $6.45-6.60B
Revenue Growth (1)
(Adjusted Constant Currency) 9-12%
Non-GAAP OI
(2)
$890-930M
Non-GAAP (3)
Op Margin ~ 13.9%
(1) Constant currency revenue growth, adjusted for divested businesses and pro forma for PK acquisition.
(2) Non-GAAP operating income excludes acquisition-related and integration expenses, share-based compensation and amortization of intangible assets. 2022 Concentrix Corp. All Rights Reserved.
(3) Represents Non-GAAP operating income margin at the midpoint of the guidance ranges for non-GAAP operating income and revenue. Slides Not for Publication Without Express Written ConsentLong-Term Financial Targets ≥ $10B By 2025
Sources of ≥ $10B Revenue By 2025 2023-25 Targets
Total Revenue ≥$10B by 2025
Revenue
~$1.5B
from M&A
Annual Organic (1)
~9%
Organic Future Revenue Growth
Growth M&A
Non-GAAP (2)
~14.5% by 2025
Op Margin
Technology-infused
>95% by 2025
Revenue
(1) Represents constant currency revenue growth rate. 2022 Concentrix Corp. All Rights Reserved.
(2) Non-GAAP operating income excludes acquisition-related and integration expenses, share-based compensation and amortization of intangible assets. Slides Not for Publication Without Express Written ConsentPath to Above-Market Growth
Potential Impacts
Revenue Margin
Organic growth Growth in more complex services
New Economy client
growth Operational efficiencies
Enterprise client growth
Internal technology automation
Digital service growth
End-to-end process
Acquisitions
Well-capitalized to continue Outcomes-based models
to pursue M&A
Focused on driving strong
financial returns
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentEvolving Mutually-Beneficial Financial Model
Client outcomes-based model provides opportunity for
margin expansion
Today Future
Transaction-based Outcomes-based
⚫ Revenue driven by successfully ⚫ Aligned goals with client
completing a ”unit of Measure”
⚫ Ability for non-linear growth with labor
⚫ Revenue to labor growth linear
⚫ Gain share, fixed price, % of
2022 Concentrix Corp. All Rights Reserved.
Slides Not for Publication Without Express Written ConsentYou can also read
