NASDAQ$CNXC

Concentrix Corporation · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Concentrix demonstrated strong financial performance, marked by double-digit revenue growth and strategic capital allocation.

Concentrix reported a strong third quarter in fiscal year 2021, with revenue up 20.1% year-over-year to $1,397.3 million. The company's operating income increased by 97.1% to $151.4 million, and diluted earnings per share rose by 136.4% to $2.08. Concentrix also announced a quarterly dividend of $0.25 per share and a $500 million share repurchase program.

  • Revenue increased by 20.1% year-over-year, reaching $1,397.3 million.
  • Operating income grew by 97.1% compared to the prior year, amounting to $151.4 million.
  • Diluted earnings per share significantly increased to $2.08, a 136.4% rise.
  • A quarterly dividend of $0.25 per share was declared, alongside a $500 million share repurchase program.

Headline financials

Total Revenue

$1.4B

Previous: $1.16B+20.1%
EPS (adj)

$2.49

Previous: $0.88+183.0%
Revenue Growth

20.1%

Previous: 0.2%+9950.0%
Capital Expenditures

-$113M

Previous: $37M-405.0%
Free Cash Flow

-$3.12M

Previous: $54.4M-105.7%
Net Income

$110M

Previous: $45.4M+141.8%
Operating Income

$151M

Previous: $76.8M+97.2%
Gross Profit

$481M

Previous: $413M+16.7%
Cash & Equivalents

$154M

Previous: $97.1M+58.8%
Total Assets

$5.01B

No prior period
Stock-Based Comp

$9.65M

Previous: $3.83M+151.8%

Revenue & EPS history

Concentrix · Revenue · Quarterly

$1.4B

Q3 2021+20.1%vs Q3 2020
Beat estimate in 6 of 9 quarters(67%)
ActualEstimate

Revenue by segment

Concentrix · $1.4B total across 6 segments · Q3 2021

  • Tech & Electronics
    $448M+24.3%
  • Comms & Media
    $256M+6.5%
  • Retail & E-comm
    $242M+26.4%
  • BFSI
    $211M+27.0%
  • Other
    $127M+11.3%
  • Healthcare
    $114M+23.9%

Forward guidance

Concentrix expects fourth quarter revenue to be in the range of $1.44 billion to $1.48 billion. Operating income is expected to be in the range of $149.6 million to $159.6 million, and non-GAAP operating income is expected to be in the range of $195.0 million to $205.0 million. The effective tax rate is expected to approximate 27% to 28%.

Tailwinds

  • Revenue is expected to be in the range of $1.44 billion to $1.48 billion.
  • Operating income is projected between $149.6 million and $159.6 million.
  • Non-GAAP operating income is anticipated to be in the range of $195.0 million to $205.0 million.
  • The company anticipates an effective tax rate of 27% to 28%.
  • Company expects above-market adjusted constant currency revenue growth to approximate 17 percent with meaningful profit margin expansion above pre-COVID levels.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+0.2%

Avg return

Earnings day

+1.8%

Avg return

5 days after

-2.3%

Avg return

30 days after

50%

13 / 26 earnings

Positive

+42.4%

Q1 2025

Best reaction

-19.8%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026
Q1 2026-19.8%+4.5%
Q4 2025-3.2%+6.6%-25.3%
Q3 2025-13.4%-12.3%-14.7%
Q2 2025-1.8%+3.3%-13.5%
Q1 2025+42.4%+18.3%+9.9%
Q4 2024+4.9%+5.3%+3.5%
Q3 2024-19.3%-19.7%-30.3%
Q2 2024+6.7%+8.4%+14.6%
Q1 2024+4.1%+5.8%-11.4%
Q4 2023-16.4%-11.7%-20.6%
Q3 2023+10.9%+12.7%+1.9%
Q2 2023-3.5%-0.7%-0.3%
Q1 2023+0.3%+0.3%-19.3%
Q4 2022-1.6%-3.6%-1.1%
Q3 2022-3.3%+3.5%+7.7%
Q2 2022-3.9%-5.6%-9.2%
Q1 2022-10.5%-15.8%-17.0%
Q4 2019+12.0%+13.0%+10.6%
Q4 2021+1.5%+1.9%+20.0%
Q3 2020-0.9%+0.1%-3.2%
Q3 2021+2.5%+8.4%+4.8%
Q2 2020+1.1%+0.3%+2.6%
Q2 2021-2.0%+2.4%+4.0%
Q1 2020+1.5%+0.9%+3.2%
Q1 2021+8.9%+11.5%+24.6%
Q4 2020+7.9%+9.4%+1.0%
Q3 2019
Q2 2019
Q1 2019

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