TTEC Holdings (NASDAQ: TTEC) reported Q3 EPS of $0.51, $0.03 worse than the analyst estimate of $0.54. Revenue for the quarter came in at $493 million versus the consensus estimate of $451.36 million.

"Our record results and business pipeline reflect the heightened demand for customer experience digitization and virtualization solutions across our clients and prospects," commented Ken Tuchman, chairman and chief executive officer of TTEC. "Our ability to rapidly enable large commercial enterprise and government clients with frictionless and fully digitized employee and customer experiences has never been more critical and relevant. We continue to build sustainable momentum with our agile operating model and proprietary Humanify® Cloud Technology Platform."

Tuchman continued, "Our end-to-end approach to designing, building, and operating CXaaS is resonating with organizations that are handling increasingly complex, high-end and mission-critical customer engagement. The market is requiring large brands to make a rapid shift to digital first, fully virtualized customer experience. TTEC has emerged as a partner of choice in this substantial transformation for global enterprise customers."

GUIDANCE:

TTEC Holdings sees FY2020 EPS of $2.92-$3.02, versus the consensus of $2.40. TTEC Holdings sees FY2020 revenue of $1.881-1.893 billion, versus the consensus of $1.78 billion.

"This has been an incredibly busy year met with its own unique set of challenges and opportunities, and we are extremely pleased with how we are executing across the business," commented Regina Paolillo, chief financial and administrative officer of TTEC. "We are winning in the marketplace due to the wide-range of tech-enabled services and support capabilities that our CXaaS platform delivers to clients both rapidly and reliably. It is our end-to-end differentiated offering that is resulting in year-to-date record financial results. With third quarter overperformance and strong fourth quarter revenue backlog, we are raising our full-year 2020 outlook. While we are mindful of the continued uncertainty that persists in the global economy, we are increasingly more optimistic on the ability of our business to capitalize on near and long-term CX demand."

Our raised full-year 2020 outlook, which excludes restructuring and impairment charges, is as follows:

Revenue between $1.881 and $1.893 billion, an increase between 14.5 and 15.2 percent over the prior year.

Operating Income margins between 10.1 and 10.3 percent.

• Margins of approximately 15.2 percent for TTEC Digital and 9.2 percent for TTEC Engage

Adjusted EBITDA margins between 14.9 and 15.0 percent.

• Margins of approximately 21.0 percent for TTEC Digital and 13.8 percent for TTEC Engage

Earnings Per Share between $2.92 and $3.02.

Capital expenditures are estimated to be between 3.1 and 3.3 percent of revenue, of which approximately 70 percent is growth oriented.

Effective tax rate for the full year is estimated between 21 and 24 percent.

Diluted share count for the full year is estimated between 46.9 and 47.1 million.

We estimate the Digital - Engage segment 2020 mix as follows:

• Revenue: 16 percent Digital, 84 percent Engage.
• Operating Income: 24 percent Digital, 76 percent Engage.
• Adjusted EBITDA: 22 percent Digital, 78 percent Engage.

For earnings history and earnings-related data on TTEC Holdings (TTEC) click here.