SEGMENT INFORMATION

12 Months Ended

Dec. 31, 2023

SEGMENT INFORMATION [ABSTRACT]

SEGMENT INFORMATION

(3)SEGMENT INFORMATION

The Company reports the following two segments:

TTEC Digital and the CX Technology Services Industry

TTEC Digital buyers are seeking solutions in several areas including cost optimization, migration from outdated legacy platforms to more agile cloud environments, lack of CX talent and expertise and a need for a practical way forward with AI. TTEC Digital takes a technology agnostic approach to these challenges and focuses on designing and delivering solutions specific to each client’s specifications. TTEC Digital has entered into strategic partnerships with the leading CX software vendors including Genesys, Microsoft, Cisco, AWS and Google which positions TTEC Digital to support the majority of CX platform requirements.

TTEC Digital’s solutions are built to respond to market needs for both enterprise and small and medium-sized business clients. AI design and delivery capabilities are woven across all four pillars.

• Managed Services: Cloud application and premise support

• CX Consulting: Transformation strategy and design

• CX Analytics: Data science, engineering, and visualization

• IP & Software: Custom software engineering through TTEC Digital’s IP and Software division

The segment has a three-pronged go to market strategy that includes growing existing client relationships, partner channel motions and general market development. In 2023, TTEC Digital expanded its Hyderabad Innovation Studio in India with the goal of continuing to expand its offshore delivery capabilities, and currently approximately 40% of the staff are located in one of several offshore locations.

TTEC Engage and the CX BPO Services Industry

The TTEC Engage segment’s solutions are built to respond to the following market needs for clients.

• Customer Support  

• Tech Support

• Revenue Generation and Growth Services

• Trust & Safety

• AI Operations, including data annotation and labeling

• Back-office Support

TTEC Engage goes to market through a vertical approach with customized solutions that include industry specific talent, technology, certifications, and capabilities. For example, in the Banking, Financial Services and Insurance (BFSI) vertical, we support several lines of business with customized offerings for retail banking, online banking, credit card, property and casualty and loans. In healthcare, the segment supports care, technical support, revenue generation and back-office capabilities to meet the needs of payer, provider, clinical and pharma clients.

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):

Year Ended December 31, 2023

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	486,882	$	—	$	486,882	$	27,232	$	29,846
TTEC Engage		1,975,935		—		1,975,935		74,040		88,175
Total	$	2,462,817	$	—	$	2,462,817	$	101,272	$	118,021

Year Ended December 31, 2022

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	463,667	$	3	$	463,670	$	32,321	$	34,895
TTEC Engage		1,980,037		—		1,980,037		79,470		133,648
Total	$	2,443,704	$	3	$	2,443,707	$	111,791	$	168,543

Year Ended December 31, 2021

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	414,148	$	(44)	$	414,104	$	30,468	$	35,437
TTEC Engage		1,858,965		(7)		1,858,958		66,238		181,755
Total	$	2,273,113	$	(51)	$	2,273,062	$	96,706	$	217,192

	For the Year Ended December 31,
	2023		2022		2021
Capital Expenditures
TTEC Digital	$	8,232	$	9,155	$	8,919
TTEC Engage		59,607		74,857		51,439
Total	$	67,839	$	84,012	$	60,358

	December 31,
	2023		2022		2021
Total Assets
TTEC Digital	$	815,488	$	811,258	$	828,255
TTEC Engage		1,370,110		1,342,704		1,168,549
Total	$	2,185,598	$	2,153,962	$	1,996,804

The following tables present certain financial data based upon the geographic location where the services are provided (in thousands):

	As of and for the
	Year Ended December 31,
	2023		2022		2021
Revenue
United States / Canada	$	1,710,716	$	1,738,053	$	1,570,791
Philippines / Asia Pacific / India		477,455		457,526		476,395
Europe / Middle East / Africa		142,665		131,575		110,909
Latin America		131,981		116,553		114,967
Total	$	2,462,817	$	2,443,707	$	2,273,062
Property, plant and equipment, gross
United States / Canada	$	506,092	$	631,459	$	620,407
Philippines / Asia Pacific / India		170,403		162,857		173,075
Europe / Middle East / Africa		30,290		21,435		19,594
Latin America		45,731		41,892		47,540
Total	$	752,516	$	857,643	$	860,616
Other long-term assets
United States / Canada	$	90,810	$	56,372	$	68,052
Philippines / Asia Pacific / India		7,752		8,826		6,622
Europe / Middle East / Africa		2,021		1,306		1,735
Latin America		990		1,230		864
Total	$	101,573	$	67,734	$	77,273