SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2025

SEGMENT INFORMATION [ABSTRACT]

Segment Reporting Disclosure [Text Block]

(3)SEGMENT INFORMATION

The Company has two reportable segments, TTEC Digital and TTEC Engage, based on nature of product and independent management of each business segment. Each segment is led by a senior executive reporting to the CEO and the products and services sold are described below. Resources are allocated and performance is assessed by our CEO, who holds the function of Chief Operating Decision Maker (“CODM”) for the purposes of these disclosures. The CODM uses income from operations to assess the performance of each segment in the budgeting and forecasting process and when making decisions regarding allocating capital and personnel to the segments.

TTEC Digital and the CX Technology Services Industry

TTEC Digital clients are seeking solutions in many areas including cost optimization, CX technology modernization, including migration to a more agile cloud-based ecosystem, improved CX talent and expertise, and other practical solutions to further enable CX applications, such as the design, implementation and pragmatic delivery of AI capabilities. TTEC Digital takes a technology agnostic approach to these challenges and focuses on designing and delivering solutions to each client’s specific business needs at the intersection of contact center, CRM, and AI and Analytics. TTEC Digital supports the majority of CX platform and solution requirements through its strategic partnerships with the leading CX software vendors including Genesys, Microsoft, Cisco, AWS, Google, Salesforce, ServiceNow, and Nice among others.

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 five pillars of the Company offerings.

• Professional Services: System design, configuration and integration

• Managed Services: Cloud application and premise support

• CX Consulting: Transformation strategy and design

• CX Data and 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.

TTEC Engage and the CX Business Process Outsourcing 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

• Fraud Mitigation

• 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, the Company supports 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 following the Company’s standard accounting policies.

The following tables present certain financial data by segment (in thousands). The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.

Three Months Ended March 31, 2025

	TTEC Engage		TTEC Digital		Total
Revenue	$	426,188	$	108,040	$	534,228
Cost of services (exclusive of depreciation and amortization presented separately below) (1)		342,162		72,385		414,547
Selling, general and administrative		47,483		22,554		70,037
Depreciation and amortization		16,206		6,492		22,698
Other segment items(2)		2,012		745		2,757
Income from operations		18,325		5,864		24,189
Interest income						4,580
Interest expense						(19,797)
Other income (expense), net						3,589
Income before income taxes						12,561

Three Months Ended March 31, 2024

	TTEC Engage		TTEC Digital		Total
Revenue	$	464,607	$	112,031	$	576,638
Cost of services (exclusive of depreciation and amortization presented separately below) (1)		375,009		78,809		453,818
Selling, general and administrative		51,288		23,287		74,575
Depreciation and amortization		18,095		7,050		25,145
Other segment items(2)		792		(403)		389
Income from operations		19,423		3,288		22,711
Interest income						983
Interest expense						(21,071)
Other income (expense), net						206
Income before income taxes						2,829

⁽¹⁾ Cost of services primarily includes employee related and technology costs.

⁽²⁾ Other segment items include impairment losses and restructuring charges.

	Three Months Ended
	March 31,
	2025		2024
Capital Expenditures
TTEC Digital	$	2,106	$	1,787
TTEC Engage		3,300		11,686
Total	$	5,406	$	13,473

	March 31, 2025		December 31, 2024
Total Assets
TTEC Digital	$	769,068	$	776,099
TTEC Engage		957,168		977,281
Total	$	1,726,236	$	1,753,380

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

	Three Months Ended March 31,
	2025		2024
Revenue
United States / Canada	$	369,029	$	386,916
Philippines / Asia Pacific / India		91,254		120,465
Europe / Middle East / Africa		47,549		38,844
Latin America		26,396		30,413
Total	$	534,228	$	576,638