Concentrix Corporation

mode. After the speaker's presentation, there will be a question and answer session. To ask a question during this session, you will need to press star one on your telephone. Please be advised that today's conference is being recorded. If you require any further assistance, please press star then zero. I would now like to hand the conference over to one of your speakers today, Mr. David Stein, Vice President of Investor Relations. Sir, please go ahead.

Thank you, Michelle, and good morning. Welcome to the Concentrix Fourth Quarter and Full Year Fiscal 2020 Earnings Call. This call contains forward-looking statements that address our expected future performance and that by their nature address matters that are uncertain. These uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements as a result of new information or future events or developments. please refer to yesterday's earnings release and our most recent filings with the SEC for additional information regarding uncertainties that could affect our future financial results. This includes the risk factors provided in our Form 10 information statement. Also during the call, we will discuss non-GAAP financial measures, including free cash flow, non-GAAP operating income, adjusted EBITDA, and adjusted EPS, as well as constant currency revenue growth. A reconciliation of these non-GAAP measures is available in the news release and on the Concentrix Investor Relations website under financials. With me on the call today are Chris Caldwell, our President and Chief Executive Officer, and Andre Valentine, our Chief Financial Officer. Chris will provide a summary of our operating performance and growth strategy, and Andre will cover our financial results and business outlook. Then we'll open the call for your questions. Now I'll turn the call over to Chris.

Thank you very much, David. Good morning, everyone, and welcome to the first Concentrix Corporation earnings call. Let me first start by thanking all our Cynics colleagues, and specifically Dennis Polk, Peter LaRock, and Marshall Witt for all the support over the years to get us to this point, and last but not least, Bob Wong, the founder of Cynics, who decided to start investing in the BPO business those 16 years ago. I'm extremely proud with what we've accomplished over the last 16 years. we have built an award-winning global delivery platform augmented by technology for our clients that delivers at scale incredibly well through very dynamic business environments. This has positioned us for a successful spinoff from Cinex on December 1, 2020, into our own publicly traded company. Even though we are 16 years into our history, I'm incredibly excited about the opportunities that lay in front of us. While the results we are announcing today were our last quarter as part of Cinex, I believe they demonstrate our strong positioning in the marketplace and our ability to execute as our own independent company. Our revenue growth and profitability exceeded our guidance and expectations driven by strong execution and our ability to ramp wins from our third quarter faster than originally forecasted. We also benefited from higher than expected volumes with a broad set of clients during the quarter. Fourth quarter revenue of $1.3 billion represents an increase of 7.3% compared with last year. On a cost and currency basis, revenue increased by 6.3%. Non-GAAP operating income of $175 million was up 6% compared with last year on an adjusted basis. An adjusted EBITDA increased 7% to $211 million compared with $198 million last year. These results also include an additional net expense of $21 million for our COVID-related costs. Our accelerated growth in the quarter came across several key verticals, including technology, retail, e-commerce, healthcare, and banking that Andre will provide more color on. This more than offset the impact of our portfolio rebalancing efforts and the COVID-related muted volumes in the travel vertical that we have been messaging about over the prior quarters. From a client demand perspective, our momentum continued with another very good quarter of strong new business signings. We are signing larger contract value deals and believe we are taking share with existing clients. During the fourth quarter, we signed more than two dozen new clients, including more than a half dozen new disruptive digital-only brands. Our pipeline remains strong and prospects for new businesses are nicely balanced across our verticals and geographies that we service. Recent examples of our wins with iconic and disruptive brands include end-to-end solutions for social media content moderation and and FinTech digital wallet support. We believe these new clients chose Concentrix because of our culture, global footprint, domain expertise, and technology solutions to help support the rapid growth in the marketplace. From a market standpoint, our wins also span many countries in Asia and Latin America, such as Australia, Japan, Korea, Singapore, India, and Brazil, as well as North America and Europe, furthering our strategy of a geographically diverse client base. While COVID-19 in 2020 has been a challenge for all companies, we are prepared for its continued impacts throughout the remainder of 2021. Client acceptance, accolades, and awards we have received during this pandemic reflect the quality of our response to the challenge, swift reaction to changing customer needs, quick deployment of work-at-home solutions at scale, and focus on the health and safety of our staff. 90% of our impacted clients indicated a willingness to give us more business based on our response when we surveyed them. In this environment, we remain focused on keeping our staff safe, over-delivering for our clients, and then emerging from the pandemic stronger. Today, approximately 60% of our staff globally are supporting our clients from home. In summary, I'm very pleased with the execution this quarter and for the full year. We deepened our partnerships with disruptive and iconic brands, deployed digital transformation and virtual engagement solutions that drove meaningful results for our clients, and delivered strong financial performance. Now, as our own independent company, we remain focused on four strategic drivers for sustainable and profitable growth. First, expanding wallet share through deepening relationships with our clients. Second, relentlessly innovating and developing our new digital solutions. Third, investing further in emerging markets around the globe. And finally, selectively pursuing strategic acquisitions, building on our track record as a proven, successful industry consolidator. Finally, I would like to thank our exceptional staff for their dedicated service, our clients for their trust, and our new, very talented, diverse board of directors for their support. And with that, I would like to turn the call over to Andre. Andre.