TTEC Holdings, Inc.

Welcome to T-TECH's second quarter 2022 earnings conference call. I would like to remind all parties that you will be in a listen-only mode until the question and answer session. This call is being recorded at the request of T-TECH. I would now like to turn the call over to Paul Miller, T-TECH Senior Vice President, Treasurer and Investor Relations Officer. Thank you, sir. You may begin.

Good morning, and thank you for joining us today. T-TECH is hosting this call to discuss its second quarter financial results for the period into June 30th, 2022. Participating on today's call are Ken Tuchman, T-TECH's Chairman and Chief Executive Officer, Dustin Simak, T-TECH's Chief Financial Officer, and Shelley Swanback, Chief Executive Officer of T-TECH Engage. Yesterday, T-TECH issued a press release announcing its financial results. While this call will reflect items discussed within this document, For complete information about our financial performance, we also encourage you to read our second quarter 2022 quarterly report on Form 10-Q. Before we begin, I want to remind you that matters discussed on today's call may include forward-looking statements related to our operating performance, financial goals, and business outlook, which are based on management's current beliefs and assumptions. Please note that these forward-looking statements reflect our opinions as of the date of this call, and we undertake no obligation to revise this information as a result of new developments that may occur. Forward-looking statements are subject to various risks, uncertainties, and other factors that could cause our actual results to differ materially from those expected and described today. For a more detailed description of our risk factors, please review our 2021 Annual Report on Form 10-K. A replay of this conference call will be available on our website under the Investor Relations section. I will now turn the call over to Ken. Thank you, Paul.

Good morning, everyone, and thank you for joining us today. Our results for the second quarter exceeded our revenue and profit expectations as we continued to make meaningful progress on several of our key initiatives. For the quarter, bookings were $170 million, revenue was $604 million, and adjusted EBITDA was $84 million, reflecting our planned increase in growth-oriented investments. And we signed 26 new clients in our digital and engaged business units. Shortly, Shelley will provide an update on the business, and Dustin will share financial details. I'll focus my comments today on our progress with our strategic priorities. We understand that the current dynamic macro environment is top of mind for everyone. For our part, we remain highly confident in the enduring strength of our business. Our digitally enabled customer experience solutions continues to deliver the business outcomes our clients need most. Our ability to help companies and government entities attract, retain, serve, and grow profitable customer relationships remains mission critical in any economic cycle. In a strong economy, consumers are bombarded with options. They choose brands that differentiate with personalized, engaging, and effortless experiences. In a challenging economy, however, consumers become more selective and discerning. They spend their precious dollars with fewer, highly trusted brands that consistently treat them with compassion and respect. We've seen this time and time again. Companies that devote resources to strengthening their customer experiences in a challenging economy are in a far better position to retain their customers for the long run. Over the years, we've created a highly differentiated platform that blends best of breed customer experience technology with exceptional operational delivery. We've built trusted relationships with over 760 global brands and public sector entities, and we've diversified our business across industries, capabilities, and geographies. Our strategy remains steadfast, We will continue to expand our geographic footprint, innovate new digital CX solutions, deliver superior services to our clients, and invest dollars wisely for the future. Now I'll provide more detail on our progress with several of our key strategic pillars. Let's start with technology innovation and differentiated IP. The total addressable market for customer experience technology and services is greater than $115 billion. As a one-stop shop for CX transformation, T-TECH Digital operates at the heart of this massive market opportunity. With our comprehensive suite of strategy, analytics, and technology solutions, we take a consultative approach to addressing the full range of digital customer experience business challenges that the market faces today. Our CX transformation platform is supported by strong partnerships with several technology leaders including AWS, Cisco, Genesis, Google, and Microsoft, to name a few. Our position as a technology agnostic partner with dedicated practices across all the premier CX Cloud platforms puts T-TECH Digital in a class all of its own. Here are a few highlights from the T-TECH Digital ecosystem this quarter. Last month, Microsoft expanded its CX footprint with the launch of their new digital contact center platform. We're proud to be chosen as the strategic launch partner and are currently implementing the platform with several of our Microsoft clients. We look forward to rolling out this transformational platform to new segments of the market soon. Cisco's move from premise-based platform to the cloud has accelerated multiple cloud conversion initiatives. Many of our Cisco clients are immense organizations that delayed move to the cloud for as long as they could. They have finally realized that the features and benefits enabled by the cloud are essential to their future. As these clients migrate, T-TECH has become the partner of choice to lead these complex omnichannel cloud conversions. Our global AWS Connect team continues to be recognized as the market leader T-TECH was awarded the 2022 Contact Center Partner of the Year for the Australia-New Zealand region and is the largest Amazon Connect partner in the world today. Our global practice is highly relevant to companies who are seeking CX expertise to unlock the benefits of AWS's flexible platform. As demand for digital transformation accelerates, we continue to build robust, best shore digital delivery capabilities. Overall, our T-TECH digital team in India has grown 57% over the last year. To further advance growth and optimize profit, we continue to pursue acquisitions that will expand T-TECH's digital scale and scope. The next pillar in our strategy is deep industry verticalization. We have deliberately doubled down on verticals that are highly defensible regardless of economic cycles. In particular, healthcare, public sector, and automotive, all of which are delivering strong results. In healthcare, year over year, we've made compelling progress across all our KPIs. Revenue and bookings both grew double digits in the second quarter as the size of the deals, velocity of the win rates, and client net promoter scores continue to rise. Our deep industry expertise is creating opportunities with net new clients as well as opening new lines of business within our embedded base. On the public sector side, last quarter I shared our strategy behind our focus on government. The presidential mandate has put citizen centricity in focus and demand for CX transformation is now robust. Second quarter's revenues grew 59% year over year. driven by the acquisition of certain fanual assets. We expect the momentum in the vertical to continue to accelerate in the quarters to come. We have a long history in the automotive vertical, serving multiple clients across the globe. Digitization, increasing automation, and new business models have revolutionized the industry, creating new challenges and opportunities to build engagement with customers. Revenue has grown 22% year-over-year in this vertical as we continue to partner with multinational automotive brands to reimagine and digitize the entire automotive customer lifecycle. Now, I'd like to hand it over to Shelly to share her perspectives on the business.