Concentrix Corporation · NASDAQ:CNXC
Concentrix — Investor Day (January 2022)
91 slides from Concentrix's investor day presentation, Jan 25, 2022
Slide 1: Reimagining Everything CX
Reimagining Everything CX Concentrix Investor Day January 25, 2022
Slide 2: Safe Harbor Statements
Safe Harbor Statements This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements include, but are not limited to, statements regarding the Company’s expected
Slide 3: Today’s Agenda
Today’s Agenda 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 4: Today’s Team
Today’s Team Chris Caldwell Dinesh Venugopal Rick Rosso Denise McCutchen-Grace Kathy Juve President and CEO President Executive Vice President GVP, Customer Interaction Technologies Executive Vice President Concentrix Corporation Concentrix Catalyst Sales and Account Management CX Technology, Analyt
Slide 5: Today’s Key Messages
Today’s Key Messages We are Reimagining Everything CX, to be the greatest customer engagement company in the world Market leader driving revenue growth and margin expansion Dynamic and Exceptional client Industry-leading growing market base and strategic capabilities, with partnerships a view to the
Slide 6: We’re Just Getting Started
We’re Just Getting Started 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 7: CX isn’t what it used to be
CX isn’t what it used to be Letter In 800# Person 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 8: The CX ecosystem has expanded
The CX ecosystem has expanded Creating new ways for customers and brands to connect The Market Web $90B In Social Person Mobile 800# Source: Everest, IDC, Gartner, HFS, Chat Letter Markets and Markets, Nelson Hall, and other industry research. 2022 Concentrix Corp. All Rights Reserved. Slides Not fo
Slide 9: Experiences are now personalized and dynamic
Experiences are now personalized and dynamic Enabled by data and analytics Expanded Personalization Market $410B Web AI Feedback In Social Person Mobile Voice Proactive Insights Notifications Source: Everest, IDC, Gartner, HFS, Markets and Markets, Nelson Hall, Chat Letter and other industry researc
Slide 10: CX is seamless across physical & virtual
CX is seamless across physical & virtual Enabled by platforms and technology Digital IT Interconnectivity Our TAM Services Market $550B+ $270B Web 3.0 17% growth Personalization Cloud Experience Platforms Web AI Feedback In Social Person APIs Data Lakes Mobile Voice Proactive Insights Notifications
Slide 11: CX “Solution” Market is large and growing
CX “Solution” Market is large and growing Few competitors can offer complete solution CX Adjacent CX BPO Digital IT Markets Market Services Market $320B $90B $270B 8% growth 5% growth 17% growth Source: Everest, IDC, Gartner, HFS, Markets and Markets, Nelson Hall, and other industry research. 2022 C
Slide 12: CX BPO and Adjacent Markets
CX BPO and Adjacent Markets Market Size and Peers ⚫ ~$90B core CX BPO market o Expected CAGR of ~5% in 2021-2025 Other BPO Digital CX Adjacent o Only ~28% of the CX market is outsourced today Services Markets $320B o Includes ~$8B Digital CX, growing considerably Consulting 8% growth & Design faster
Slide 13: Digital IT Services Market
Digital IT Services Market Market Size and Peers ⚫ Total IT services market size at ~$1T in 2020 o ~9% CAGR in 2020-2022 ⚫ Includes $270B digital IT spend o 17% estimated growth o Areas include: Digital IT • Consulting Services Market • App Development $270B • Cloud access services 17% growth • Appl
Slide 14: Addressing a Large and Growing TAM of $550B+
Addressing a Large and Growing TAM of $550B+ Digital IT Services Market CX BPO Market $320B $90B $270B 8% growth 5% growth 17% growth CX CX Strategy & Design Adjacent Markets Experience Platforms Digital Services CX Engineering VOC Analytics Data & Analytics Consulting Automation & Operations AI Sou
Slide 15: What We Do: Reimagining Everything CX
What We Do Talent We are the leading global provider of CX solutions and technology Reimagining Everything CX Strategy Technology 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 16: You count on us every single day
You count on us every single day 3:28 p.m. 5:14 pm 1:15 p.m. 6:10pm Applied for Ordered a new dinner Approved mortgage delivery Shopped for elective for NFT on medical procedure Metaverse 10:57 a.m. 7:19pm Browsed Configured social a new car and video confirmed content delivery 9:42 a.m. 8:49 pm Acc
Slide 17: The Evolution of CX: Our Path Forward
The Evolution of CX Our Path Forward 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 18: CX is a Key Strategic Initiative
CX is a Key Strategic Initiative Top 5 Executive Business Priorities Top 3 Digital IT Business Priorities 58% 57% Improve customer experience 47% 60% Customer Increase efficiency/lower costs Customer Trust & Experience Loyalty 44% Increase revenue 37% Increase innovation 51% Customer 35% Retention I
Slide 19: What We Believe…
What We Believe… Our job is to make Our guiding principles clients shine Diversity is a strength CX is a strategic Convergence We imperative of services & continually disrupt technology our own to solutions Longevity Industry business is here is driven consolidation by deep is inevitable partnership
Slide 20: Our Board of Directors
Our Board of Directors Engaged, driven and diverse Director Chair of the Board Director Director Director Director Director Director 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 21: Our Executive Leadership
Our Executive Leadership Experienced, diverse and global Guy Brosseau Monica Egger Kathy Juve Rick Rosso Andre Valentine Executive Vice President Senior Vice President Executive Vice President Executive Vice President Chief Financial Officer Information Systems and Security Financial Planning and An
Slide 22: 2021 ESG Commitment in Action
2021 ESG Commitment in Action 72,000+ Metric ton reduction of CO2 100K+ Japan Volunteer hours in Helping single mothers 2021 Philippines Measles immunization drive United States India Community COVID relief efforts Fighting hunger 87,000+ pounds of Malaysia E-Waste Helping underprivileged children e
Slide 23: How We See the Market Working Over Time
How We See the Market Working Over Time Supercycles ⚫ Emerging drivers of new revenue ⚫ Characterized by period of high, robust growth ⚫ Many successful players in early stages of cycles that might be smaller ⚫ Consolidation for scale over time with partners that offer ”more” ⚫ Participants with sca
Slide 24: Supercycles
Supercycles Successfully executing to scale and drive long term growth Content Moderation Digital Late 2010s Transformation Early 2010s Concentrix eCommerce Offshore 2000s ⚫ Focused on long-term Outsourcing growth and real value 2000s ⚫ Deep expertise in multiple disciplines ⚫ Execute through to sca
Slide 25: Next Gen Supercycles
Next Gen Supercycles Ethical AI Web3 Metaverse … Privacy … Anti-bias Blockchain Non-discrimination VR / AR Security Transparency Networking Interoperability Algorithm Digital economy Semantic Web Edge computing Decentralization Crypto NFT 2022 Concentrix Corp. All Rights Reserved. Slides Not for Pub
Slide 26: A Journey of Bold Transformation
PK is A Journey of Bold Transformation acquired Concentrix completes 2021 $4.7B spin-off in revenue 2020 2019 Convergys IBM CRM & is acquired Industry Vertical Business $2.0B is acquired in revenue 2018 $1.1B $189M in revenue 2017 in revenue 2016 2015 Initial 2014 Investment 2013 2011 2009 2004 2007
Slide 27: Clients have responded with opportunities
Clients have responded with opportunities Delivering strong revenue growth and margin expansion (1) $6,028 ($M) Catalyst PF $4,920 $4,720 $4,708 50% CAGR ’13-’21 $2,463 $1,990 $1,588 $1,417 $1,096 $160 $189 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Non-GAAP Operating Income % (3) 6.9% > +630
Slide 28: Concentrix Today
Concentrix Today UNPARALLELED DEEP EXCEPTIONAL ability to deliver high-value industry and domain technology, digital, and CX and technology globally knowledge analytics expertise ~$6.0B* ~$800M* ~$380M* Fiscal 2021 Fiscal 2021 Fiscal 2021 Revenue Non-GAAP OI Free Cash Flow 16 years 168 70+ 40+ count
Slide 29: Trusted Partner to Enterprise and New Economy Brands
Trusted Partner to Enterprise and New Economy Brands Select Fortune Global 500 & New Economy Clients (1) 8 of the 3 of the 4 of the 3 of the 4 of the 4 of the 7 of the 5 of the Top 10 Top 5 Top 5 Top 5 Top 5 Top 5 Top 10 Top 5 US health consumer 2021 global social tech fintech US e-comm insurance el
Slide 30: Scalable Worldwide Presence
Scalable Worldwide Presence ⚫ Global consistency, local intimacy EMEA ⚫ Robust, redundant infrastructure Bulgaria, Egypt, France, Georgia, Germany, Hungary, Ireland, Italy, ⚫ 95% of world population North America Mauritius, Netherlands, Poland, Canada, USA Portugal, Romania, Slovakia, languages spok
Slide 31: Acknowledged Industry Leadership
Acknowledged Industry Leadership Analyst Recognition ⚫ NelsonHall Ltd. Digital Experience Consulting NEAT ⚫ Forrester Customer Analytics WaveTM Contender ⚫ Everest Group CX Analytics PEAK Matrix® Leader ⚫ Forrester RPA WaveTM Strong Performer ⚫ NelsonHall Cognitive CX Services NEATTM Leader ⚫ Gartne
Slide 32: Recognized as a Leading Employer
Recognized as a Leading Employer People, Culture & Diversity Our commitment to staff, diversity, culture and thought leadership makes us one of the most awarded and globally recognized companies in the industry 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Wri
Slide 33: Our First Year as a Public Company
Our First Year as a Public Company Growth Strategy 2021 Progress $5.6B 1 Expand wallet share through Growing 35% with Strategic Brand Partners revenue deeper client relationships and 18% with Integrated Partners * 17.3% (1) 2 Relentlessly innovate, develop Further investments in digital CX transform
Slide 34: Our Recent Strategic Acquisition
Our Recent Strategic Acquisition Enhancing our end-to-end technology capabilities Brings strong portfolio of intellectual assets and advanced CX technology Significantly enhances CX digital transformation capabilities at scale Strengthens presence in high growth, $270B digital IT services market Enh
Slide 35: PK: A Leading CX Design Engineering Company
PK: A Leading CX Design Engineering Company Capabilities + Solutions = Outcomes $530M expected revenue* CX Acceleration $85M expected adjusted EBITDA* Customer Acquisition Strategy Experience & Design Platforms Intelligent Automation 20%+ expected revenue growth* Customer Engagement Integrated Human
Slide 36: Concentrix Catalyst Leading Capabilities
Concentrix Catalyst Leading Capabilities PK + Tigerspike = Catalyst (1) $630M Strategy & Experience Digital Cloud Data & Automation expected Design Platforms Engineering Engineering Analytic & Operations revenue 23% of rev 16% of rev 13% of rev 20% of rev 15% of rev 13% of rev (1) • Enterprise Strat
Slide 37: Case Studies
Case Studies Reimagining Everything CX The power of For our clients Driving growth Concentrix + + our operations + innovation Concentrix Catalyst 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 38: Better Together
CASE STUDY / LEADING GLOBAL TECHNOLOGY BRAND Better Together Client Relationship • 15+ years trusted partnership CURRENT STATE • Thought Leader in Revenue CX Strategy Growth & Design Operational Delivery of CX Services • Top 5 client account • 2019 & 2021 Finalist, Supplier Omnichannel Digital Sales
Slide 39: The Power of Concentrix + Catalyst
CASE STUDY LEADING GLOBAL TECHNOLOGY BRAND The Power of Concentrix + Catalyst CHALLENGE Build a turn-key as-a-service solution for large SMB market. Outsource infrastructure and programmatic processes, including building out the strategy, offer details and operationalizing the product globally SOLUT
Slide 40: The Power of Concentrix + Catalyst
CASE STUDY GLOBAL FOOTWEAR/ATHLETIC BRAND The Power of Concentrix + Catalyst Delivering end-to-end CX solutions to create new high impact possibilities and drive value for fanatical consumers CHALLENGE SOLUTION POTENTIAL OUTCOMES ⚫ Very highly engaged ⚫ Concentrix: Membership support & customer segm
Slide 41: Reimagining CX to enable innovation and hypergrowth
CASE STUDY / TOP 5 FINTECH Reimagining CX to enable innovation and hypergrowth Partnering with high-flying FinTech as the catalyst to enable new product launches and growth, applying a re-imagined CX and operational framework to serve over 13 million consumers and growing CHALLENGE SOLUTION OUTCOMES
Slide 42: Strategic brand partnership driving hypergrowth
CASE STUDY / GLOBAL LEADING CRYPTO WALLET/EXCHANGE Strategic brand partnership driving hypergrowth Helping one of the world’s largest digital currency exchanges globally and rapidly scale their global business model to support users in 100+ countries CHALLENGE SOLUTION OUTCOMES ⚫ Increasing consumer
Slide 43: Making a difference with a human-centric design approach
CASE STUDY / GOVERNMENT AGENCY Making a difference with a human-centric design approach Reimagining the user experience to help people that are deaf, hard of hearing and/or have a speech impairment to make and receive phone calls CHALLENGE SOLUTION OUTCOMES ⚫ Hearing and speech impaired ⚫ Partnered
Slide 44: Reinventing the retail experience through digital transformation
CASE STUDY / ICONIC HOME GOODS RETAIL BRAND Reinventing the retail experience through digital transformation Outcome-focused approach drives technology-enabled, digital-first transformation CHALLENGE SOLUTION OUTCOMES ⚫ Support needed for high ⚫ CX Analytics identified 80+ opportunities growth e-com
Slide 45: 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 46: Bringing the focus back to patient care
CASE STUDY / HEALTHCARE PROVIDER Bringing the focus back to patient care Designed a transformation strategy for a regional healthcare system with 220 clinicians that streamlines infrastructure, allows greater access to information, and improves the patient experience CHALLENGE SOLUTION OUTCOMES ⚫ He
Slide 47: Reimagining the banking experience through feedback
CASE STUDY / U.S. BANK Reimagining the banking experience through feedback Our enterprise feedback management platform – ConcentrixCX – was deployed across 16 listening posts, capturing feedback and guiding improvement decisions in real-time CHALLENGE SOLUTION OUTCOME ⚫ Incumbent partner with dated
Slide 48: Strategic brand partnership driving innovation + organic growth
CASE STUDY / GLOBAL LEADING SOCIAL BRAND Strategic brand partnership driving innovation + organic growth Helping a leading global social business protect their brand and capture/ support substantial growth in advertising and consumer products CHALLENGE SOLUTION OUTCOMES ⚫ Velocity to support industr
Slide 49: Leading with Innovation
Leading with Innovation Wellnest Care Program Wellnest Reach Wellnest Surround Clinically-led 5-stage recurring Clinically-designed wellbeing foundation psychometric assessment suite to training and certification for all staff. monitor cognitive resiliency by work-type. Cognitive Innovation Research
Slide 50: Wellnest Comprehend
Wellnest Comprehend Innovating with AI and Neuroscience ⚫ Wellnest Comprehend transforms how we understand human performance by focusing on psychological safety and engagement ⚫ Correlates VHR trends with AI intelligence on oxytocin to identify vulnerability in resiliency and allow for proactive int
Slide 51: Transformation is Happening Everywhere
Transformation is Happening Everywhere Tech is accelerating transformation for clients and operations Customer Transformation Operating Automation Experience Collaborative Design Environments Process Website Automation Self-Service CX Quality Candidate Insights Cloud Experience Insights Digital Trai
Slide 52: Technology Embedded Across Operations
Technology Embedded Across Operations 89% 104K+ 160M+ Virtual Hires Digitally Trained Images auto- screened weekly 114K+ 2K 1.1B Ambassadors with Innovators Interactions Smart Assist Tech Automated 61% 29% 65% 45% Clients (62% New YoY growth for Clients more Clients buying YoY growth for New Economy
Slide 53: We’re Just Getting Started: The Future of CX
We’re Just Getting Started The Future of CX 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 54: Priorities for Future Growth
Priorities for Future Growth Growth Strategy 2022 Priorities Continued execution on our 1 Expand wallet share through deeper client relationships client strategy Invest in technology solutions 2 Relentlessly innovate, develop new digital solutions to disrupt and differentiate Continue to expand in 3
Slide 55: Priorities for Future Growth
Priorities for Future Growth Growth Strategy 2022 Priorities Continued execution on our 1 Expand wallet share through deeper client relationships client strategy 2 Relentlessly innovate, develop new digital solutions 3 Further invest in emerging markets 4 Selectively pursue strategic acquisitions 20
Slide 56: Our Client Partnerships
Our Client Partnerships Enterprise + New Economy Client Base At the perfect intersection for Convergence and Growth Client Priorities ⚫ Scale 2021 Revenue Mix ⚫ Efficiency ⚫ Predictability Enterprise ⚫ Depth of Experience Evolved 80% Enterprise Enterprise ⚫ Nimble ⚫ Scaled ⚫ Smart 20% New ⚫ Adaptive
Slide 57: Stickiness
Our Client Partnerships Three types of partner relationships Stickiness Strategic Brand Partner Integrated • Extension of brand Partner • High value • Impact operations • Long-term Partner • Influence brand • Organic growth • Minimal ops impact • Multi-line 27% of Revenue • Single-line • More comple
Slide 58: Priorities for Future Growth
Priorities for Future Growth Growth Strategy 2022 Priorities Continued execution on our 1 Expand wallet share through deeper client relationships client strategy Invest in technology solutions 2 Relentlessly innovate, develop new digital solutions to disrupt and differentiate 3 Further invest in eme
Slide 59: How Digital is Built into Our Business
How Digital is Built into Our Business Integrated into our Independently procured Imbedded in our solutions offering technology platforms operations and solutions 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 60: Our Technology Capabilities & Partnerships
Our Technology Capabilities & Partnerships Innovating to enable new CX solutions Technology-infused Solutions Leading Technology Partners Experience Platforms & Technology & Design App Development Systems Integration Digital Innovation, Automation & IVR Self-Service Optimization Voice of the Analyti
Slide 61: Priorities for Future Growth
Priorities for Future Growth Growth Strategy 2022 Priorities Continued execution on our 1 Expand wallet share through deeper client relationships client strategy Invest in technology solutions 2 Relentlessly innovate, develop new digital solutions to disrupt and differentiate Continue to expand in 3
Slide 62: The Value of Our Emerging Markets
The Value of Our Emerging Markets Growing at 20%+ ⚫ Innovative go to market execution Serving domestic demand in emerging markets ⚫ Incubation for new technology- infused solutions ⚫ Supporting new emerging brands o ~ 27% of our new economy Brazil India China ROC clients start in these markets, and
Slide 63: Priorities for Future Growth
Priorities for Future Growth Growth Strategy 2022 Priorities Continued execution on our 1 Expand wallet share through deeper client relationships client strategy Invest in technology solutions 2 Relentlessly innovate, develop new digital solutions to disrupt and differentiate Continue to expand in 3
Slide 64: Pursue Strategic Acquisitions
Pursue Strategic Acquisitions Focus Strong Track Record ⚫ Deep domain expertise CX design & digital engineering, sales gen, analytics, engineering at scale banking, healthcare… ⚫ Attractive client portfolios CX client portfolio & footprint new economy clients… CX design & ⚫ New technology that enhan
Slide 65: Our Path Forward: Our Financial Objectives
Our Path Forward Our Financial Objectives 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 66: Shaping the Future of CX
Shaping the Future of CX CX will evolve into an intelligent, immersive, and connected experience for consumers. $800B Market by 20241 4 From CX → MX Building virtual experiences in $87B the Metaverse Market by 4 20262 3 From CX → ICX Building immersive experiences on the Edge $320B Market by From CX
Slide 67: From CX to IX
1 From CX to IX Building Intelligent Experiences Envisioning a future of personalized (1:1) interactions across each moment that matters in a customer journey, infused through AI/ML algorithms modeled on customer data and insights. For example, effective AI that drives a better conversational experi
Slide 68: From CX to BX
2 From CX to BX Connecting the Front to the Back BX will evolve with Hyper-Automation and the middle platform. The middle platform is comprised of APIS, Event Driven architectures that drive an exceptional customer experience. An exceptional CX is only possible if enterprises build an effective and
Slide 69: From CX to ICX
3 From CX to ICX Creating Immersive Experiences This is the final area that will drive significant investments especially around connected experiences ( BOPIS/BOPAC/Smart Everything). This is all about the intersection of 5G, Cloud , AI on the Edge. Technological advancements, including 5G and IoT,
Slide 70: From CX to MX
4 From CX to MX Building For The Metaverse The world's largest brands across industries can no longer ignore the reality of the Metaverse and the value of emergent virtual economies as virtual environments become more mainstream. The necessity to build and equip teams to serve the metaverse is clear
Slide 71: Inventing New Value Streams
Inventing New Value Streams Building For Web 3.0 NFTs and Blockchain, Market Web 3.0 is the next evolution of the internet. It is about a new technology DAOs, Places stack that is open, permissionless, trustless and completely decentralized. Decentralized This is the "internet in real-time 3D". Expe
Slide 72: The Future of CX Q&A
The Future of CX Q&A 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 73: Strong Growth Across Verticals and Geographies
Strong Growth Across Verticals and Geographies Revenue Growth Across Revenue Growth Across Vertical Segments ($M) Geographies Served 5,587 (1) 17% Other 23% 4,720 Asia-Pacific Healthcare 26% Europe Banking, financial services and ins 17% Americas Retail, travel and ecommerce Communications and ⚫ Dif
Slide 74: Accelerating Post-Covid Revenue Growth, Margin Expansion, Cash Flow Generation
Accelerating Post-Covid Revenue Growth, Margin Expansion, Cash Flow Generation Strong Revenue Growth Operating Income Expansion (1) $5,587 $734 $4,708 $4,720 $542 $509 2019A 2020A 2021A 2022P 2019A 2020A 2021A 2022P Non-GAAP Operating 11.5% 10.8% 13.1% Margin EBITDA Margin Expansion (1) Strong Free
Slide 75: Current Business Outlook
Current Business Outlook Q1 2022 Revenue $1.51-1.54B (2) Non-GAAP OI $190-205M FY 2022 Revenue $6.45-6.60B Revenue Growth (1) (Adjusted Constant Currency) 9-12% Non-GAAP OI (2) $890-930M Non-GAAP (3) Op Margin ~ 13.9% (1) Constant currency revenue growth, adjusted for divested businesses and pro for
Slide 76: Long-Term Financial Targets ≥ $10B By 2025
Long-Term Financial Targets ≥ $10B By 2025 Sources of ≥ $10B Revenue By 2025 2023-25 Targets Total Revenue ≥$10B by 2025 Revenue ~$1.5B from M&A Annual Organic (1) ~9% Organic Future Revenue Growth Growth M&A Non-GAAP (2) ~14.5% by 2025 Op Margin Technology-infused >95% by 2025 Revenue (1) Represent
Slide 77: Path to Above-Market Growth
Path to Above-Market Growth Potential Impacts Revenue Margin Organic growth Growth in more complex services New Economy client growth Operational efficiencies Enterprise client growth Internal technology automation Digital service growth End-to-end process Acquisitions Well-capitalized to continue O
Slide 78: Evolving Mutually-Beneficial Financial Model
Evolving Mutually-Beneficial Financial Model Client outcomes-based model provides opportunity for margin expansion Today Future Transaction-based Outcomes-based ⚫ Revenue driven by successfully ⚫ Aligned goals with client completing a ”unit of Measure” ⚫ Ability for non-linear growth with labor ⚫ Re
Slide 79: Revenue Growth Drivers
Revenue Growth Drivers $1.5B ≥ $10B $8.5B (2) (1) $6.5B $6.0B Catalyst PF Catalyst PF CNXC CNXC 2021A 2022 Guidance New Economy Client Enterprise Client Inorganic Growth 2025 Revenue Target Growth Growth (1) Pro forma for PK acquisition. 2022 Concentrix Corp. All Rights Reserved. (2) Represents the
Slide 80: Margin Expansion Drivers
Margin Expansion Drivers (3) ~14.5% (2) 13.9% Catalyst PF (1) 13.2% Catalyst PF CNXC CNXC 2021A 2022 Guidance Growth in More Operational End-to-end Process 2025 Non-GAAP Complex Services Efficiencies & & Outcomes-based Operating Margin Automation Models Target (1) Pro forma for PK acquisition. Non-G
Slide 81: Capital Structure Overview
Capital Structure Overview Total Liquidity Strong liquidity position Cash and Cash Equivalents (1) $182 Capacity on A/R Securitization (2) $45 Strong balance sheet New Undrawn Revolver $1,000 Total Liquidity $1,227 Strong cash flow generation for ⚫ Debt paydown Total Debt (3) New Revolver - ⚫ Return
Slide 82: Concentrix Capital Allocation
Concentrix Capital Allocation Top Priorities Investments in Investments in Strategic Shareholder Key Verticals Technology M&A Return • Disciplined CapEx spend in line with ~3% of revenue annually CapEx • Investment in expansion and enhancing capabilities to drive organic growth M&A • Disciplined M&A
Slide 83: Solid shareholder return since spin
Solid shareholder return since spin Stock performance since spin Undervalued vs peers ’22 EV/EBITDA CX Digital 27.8x BPO/ITS 15.0x CX BPO 12.2x CNXC +62% Concentrix 10.9x ’22 P/E CX BPO (1) +21% CX Digital 44.1x S&P 500 +20% BPO/ITS 23.3x NASDAQ +11% CX BPO 20.6x Concentrix 14.0x ___________________
Slide 84: In Summary
In Summary Attractive Investment Profile ⚫ Market leader in digital CX o Innovating to become greatest customer engagement company in the world ⚫ Executing successful strategy to stay differentiated o Revenue growth o Margin expansion ⚫ Unmatched CX capabilities o Strategy, talent, technology o Futu
Slide 85: Our Financial Objectives
Our Financial Objectives 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 86: Appendix
Appendix 2022 Concentrix Corp. All Rights Reserved. Slides Not for Publication Without Express Written Consent
Slide 87: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to disclosing financial results that are determined in accordance with GAAP, we also disclose certain non-GAAP financial information, including: ⚫ Constant currency revenue growth, which is revenue growth adjusted for the translation effect of foreign currenci
Slide 88: Historical Performance
Historical Performance Fiscal Years Ended November 30, 2019A 2020A 2021A CAGR ‘19A-’21A Revenue $4,707.9 $4,719.5 $5,587.0 8.9% % Growth 91.1% 0.2% 18.4% Non-GAAP operating income (1) 542.0 509.4 733.7 16.3% % Margin 11.5% 10.8% 13.1% +160 bps Adjusted EBITDA (1) 676.8 638.5 874.0 13.6% % Margin 14.
Slide 89: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Fiscal Years Ended November 30, 2019A 2020A 2021A Operating income $294.3 $308.8 $572.4 Acquisition-related and integration expenses 70.5 27.9 0.8 Spin-off related expenses - 9.5 - Amortization of intangibles 166.6 147.3 136.9 Share-based compensation 10.6 15.9 36.8 G
Slide 90: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Fiscal Years Ended November 30, 2019A 2020A 2021A Operating margin 6.3% 6.5% 10.2% Non-GAAP operating margin 11.5% 10.8% 13.1% Adjusted EBITDA margin 14.4% 13.5% 15.6% Fiscal Year Ended November 30, 2021A Revenue $5,587.0 Revenue growth, as reported under U.S. GAAP 18
Slide 91: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Fiscal Year Ended November 30, 2021 Revenue $5,587.0 (1) PK revenue 441.2 Pro forma revenue $6,028.2 Fiscal Year Ended November 30, 2021 Non-GAAP operating income $733.7 (1) PK Non-GAAP operating income 63.0 Pro forma Non-GAAP operating income $796.7 Pro forma Non-GAA