NASDAQ$CNXC

Concentrix Corporation · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Concentrix's Q4 2020 financial performance showed revenue growth and profitability exceeding expectations.

Concentrix reported a revenue of $1,300.9 million for Q4 2020, a 7.3% increase compared to the prior fiscal year's fourth quarter. The company's operating income was $120.2 million, and non-GAAP operating income was $175.4 million. Adjusted EBITDA reached $211.2 million.

  • Revenue was $1,300.9 million, up 7.3% year-over-year and 6.3% on a constant currency basis.
  • Operating income was $120.2 million, representing 9.2% of revenue.
  • Non-GAAP operating income was $175.4 million, or 13.5% of revenue.
  • Adjusted EBITDA was $211.2 million, or 16.2% of revenue.

Headline financials

Total Revenue

$1.3B

Previous: $4.71B-72.4%
EPS (adj)

$2.07

Previous: $2.27-8.8%
Revenue Growth

7.3%

Previous: 24.7%-70.4%
Capital Expenditures

$65.1M

Previous: $111M-41.4%
Free Cash Flow

$54M

Previous: $339M-84.1%
Net Income

$64.6M

Previous: $31.9M+102.8%
Operating Income

$120M

Previous: $101M+18.5%
Gross Profit

$459M

Previous: $458M+0.0%
Cash & Equivalents

$153M

Previous: $83.5M+82.8%
Total Assets

$5.18B

No prior period
Stock-Based Comp

$3.75M

Previous: $10.4M-63.8%

Revenue & EPS history

Concentrix · Revenue · Quarterly

$1.3B

Q4 2020-72.4%vs Q4 2019
Beat estimate in 6 of 9 quarters(67%)
ActualEstimate

Revenue by segment

Concentrix · $1.3B total across 6 segments · Q4 2020

  • Tech & Electronics
    $411M+19.4%
  • Comms & Media
    $239M-12.4%
  • Retail & E-comm
    $238M+19.7%
  • BFSI
    $186M+4.6%
  • Healthcare
    $119M+17.2%
  • Other
    $109M-8.2%

Forward guidance

Concentrix expects revenue to be in the range of $1.260 billion to $1.310 billion for Q1 2021. Operating income is expected to be in the range of $107 million to $121 million, and non-GAAP operating income is expected to be in the range of $148 million to $162 million. The effective tax rate is expected to approximate 29%.

Tailwinds

  • Revenue is expected to be between $1.260 billion and $1.310 billion.
  • Operating income is projected to be between $107 million and $121 million.
  • Non-GAAP operating income is anticipated to be between $148 million and $162 million.
  • Effective tax rate is expected to be approximately 29%.

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 Q4 2020

Historical avgQ4 2020

+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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