SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2022

SEGMENT INFORMATION [ABSTRACT]

SEGMENT INFORMATION

(3)SEGMENT INFORMATION

The Company reports the following two segments:

TTEC Digital is one of the largest pure-play CX technology service providers with expertise in CX strategy, digital consulting and transformation enabled by proprietary CX applications and technology partnerships. TTEC Digital designs, builds, and operates robust digital experiences for clients and their customers through the contextual integration and orchestration of CRM, data, analytics, CXaaS technology, and intelligent automation to ensure high-quality, scalable CX outcomes.

● Technology Services: Our technology services design, integrate, and operate highly scalable, digital omnichannel technology solutions in the cloud, on premise, or hybrid environment, including journey orchestration, automation and AI, knowledge management, and workforce productivity.

● Professional Services: Our management consulting practices deliver customer experience strategy, analytics, process optimization, and learning and performance services.

TTEC Engage provides the digitally enabled CX managed services to support our clients’ end-to-end customer interaction delivery at scale. The segment delivers omnichannel customer care, tech support, order fulfillment, customer acquisition, growth, and retention services with industry specialization and distinctive CX capabilities for hypergrowth brands. TTEC Engage also delivers digitally enabled back office and industry specific specialty services including AI operations, content moderation, and fraud management services.

● Customer Acquisition, Growth, and Retention Services: Our customer growth and acquisition services optimize the buying journeys for acquiring new customers by leveraging technology and analytics to deliver personal experiences that we believe increase the quantity and quality of leads and customers.

● Customer Care, Tech Support, and Order Fulfillment Services: Our customer care, technical support, and order fulfillment services provide turnkey contact center solutions, including digital omnichannel technologies, associate recruiting and training, facilities, and operational expertise to create exceptional customer experiences across all touchpoints. 

● Digitally Enabled Back Office and Specialty Services: Our digital AI operations, content moderation, and fraud detection and prevention services provide clients with data tagging and annotation capabilities to train and enable AI platforms, community content moderation, and compliance to meet client content standards, and proactive fraud solutions to assist our clients in the detection and prevention of fraud.

The Company allocates to each segment its portion of corporate operating expenses. All intercompany transactions between the reported segments for the periods presented have been eliminated.

The following tables present certain financial data by segment (in thousands):

Three Months Ended June 30, 2022

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	116,591	$	—	$	116,591	$	7,834	$	10,879
TTEC Engage		487,659		—		487,659		18,480		25,005
Total	$	604,250	$	—	$	604,250	$	26,314	$	35,884

Three Months Ended June 30, 2021

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	108,017	$	(22)	$	107,995	$	8,489	$	9,565
TTEC Engage		446,799		—		446,799		16,427		56,265
Total	$	554,816	$	(22)	$	554,794	$	24,916	$	65,830

Six Months Ended June 30, 2022

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	230,174	$	—	$	230,174	$	17,245	$	17,226
TTEC Engage		962,802		—		962,802		35,699		66,968
Total	$	1,192,976	$	—	$	1,192,976	$	52,944	$	84,194

Six Month Ended June 30, 2021

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	171,626	$	(44)	$	171,582	$	12,377	$	13,767
TTEC Engage		922,431		—		922,431		32,999		125,487
Total	$	1,094,057	$	(44)	$	1,094,013	$	45,376	$	139,254

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Capital Expenditures
TTEC Digital	$	2,476	$	1,898	$	3,473	$	3,430
TTEC Engage		16,623		10,130		32,317		20,163
Total	$	19,099	$	12,028	$	35,790	$	23,593

	June 30, 2022		December 31, 2021
Total Assets
TTEC Digital	$	822,199	$	828,255
TTEC Engage		1,342,994		1,168,549
Total	$	2,165,193	$	1,996,804

The following table presents the Company revenue based upon the geographic location where the services are provided (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Revenue
United States	$	417,174	$	372,851	$	811,786	$	731,180
Philippines		90,424		102,472		190,454		204,724
Europe / Middle East / Africa		34,233		27,640		65,797		53,557
Latin America		27,772		27,354		55,154		56,791
Asia Pacific / India		18,326		16,404		35,824		32,571
Canada		16,321		8,073		33,961		15,190
Total	$	604,250	$	554,794	$	1,192,976	$	1,094,013