TTEC Holdings, Inc.

Welcome to TTAC's fourth quarter and full year 2024 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 TTAC. I would now like to turn it over to Bob Belknap, TTAC's Group Vice President, Corporate Finance. Thank you, sir. You may begin.

Good morning and thank you for joining us today. T-TECH is hosting this call to discuss its fourth quarter and full year results for the period ended December 31st, 2024. Participating on today's call are Ken Tuchman, Chairman and Chief Executive Officer of T-TECH, and Kenny Wagers, Chief Financial Officer of T-TECH. Yesterday, T-TECH issued a press release announcing its financial results. While this call will reflect items discussed within that document, for complete information about our financial performance, we also encourage you to read our full year 2024 annual report, on Form 10-K. 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 opinion 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 inscribed today. For a more detailed description of our risk factors, please review our 2024 Annual Report on Form 10-K. Before we proceed, I would like to state that our call today will not be addressing Mr. Tuchman's proposal to take T-TECH private. The Special Committee of the Board formed to evaluate that proposal, together with its independent legal and financial advisors, continue to engage with Mr. Tuchman, and the proposal evaluation is ongoing. The company cannot comment on that process and will not be responding to any questions about it. 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.

Good morning and thank you for joining us today. As previously shared, 2024 was a transitional year for T-TECH. Across the company, we continued to advance on three major priorities. Our diversification strategy, with a broadened geographic delivery footprint and client portfolio, our expanded digital CX value proposition with differentiated technology enabled solutions, and our overall goal of achieving and exceeding our historical growth and run rate margins in the near term. For the full year 2024, revenue and non-GAAP adjusted EBITDA were in line with the guidance commentary that we provided last quarter. representing $2.2 billion and $202 million, or 9.2% respectively. With a disciplined focus on these priorities, we made progress on many fronts in 2024. We continued our success winning new clients. These deals are diversified across our solutions and core industries of financial services and healthcare, as well as emerging verticals including retail, travel, and streaming services. We established and strengthened additional relationships with over a dozen CX technology partners through collaborative product development, joint engineering efforts, and shared go-to-market strategies. We advanced AI adoption internally for our own associates and with our embedded-based clients in both business segments and have accelerated the infusion of AI capabilities into every new sales opportunity. And for the second consecutive year, we were recognized as a great place to work in 15 geographies where we operate. Although we are pleased with our improvements in key areas of our business in 2024, we were constructively dissatisfied with our overall financial results for the year. While our forecasted margin improvements reflect our progress, top-line revenue is impacted by two client business decisions unrelated to our performance. The relationships with both clients remained strong with ample opportunity for growth. Additionally, our top line was also being impacted by a muted open enrollment healthcare season and our continued focus on rationalizing client engagements that don't meet our target financial profile. Kenny will share details on those topics in his comments shortly. Moving on to the discussion about the industry. The AI revolution is creating exciting opportunities for us. Innovative technologies are flooding the market with entirely new ways to advance the customer journey and the associate experience. In this environment, the needs of clients, chief operating officers, and chief information officers are converging. They're working together to find approaches that go far beyond labor augmentation and point solutions. They're looking for the integration of CX technology and services that seamlessly work together, end-to-end, to increase operating efficiencies, improve customer experiences, and strengthen the top and bottom line. This capability is right in our sweet spot and remains a differentiator for T-TECH. With our heritage of digital innovation woven into everything we do, we're uniquely prepared to take advantage of this moment. It took us many years to build the capabilities and perfect the solutions that are resonating with clients today. We believe these capabilities and solutions, if carefully inspected, are highly differentiated relative to what our competitors claim to have. We have done the hard work to complete thousands of technology implementations for leading brands across the globe, developed collaborative partnerships with all the dominant CX technology leaders, and build a deep and enviable bench of full stack CX technologist, data scientist, and customer journey strategist. As the digital customer experience transformation company, clients are looking to us as they navigate the complex CX ecosystem. Across our two business segments, T-TECH Engage and T-TECH Digital, we offer the breadth and depth of CX expertise unmatched in the industry. At this pivotal time, in the market we're helping clients create experiences that feel seamless and intuitive, and even if they're being delivered by a combination of human interaction and modern technology. Now let's move on to an update on our two business segments, starting with T-TECH Engage. Over the past six months, we've strengthened our T-TECH Engage management team with several strategic hires to capitalize on numerous opportunities in the market. We've brought in experienced client-focused professionals worldwide including our new president, three vertical industry executives, and operational leaders in the Americas and EMEA. Each of these leaders blend strategic thinking with a focus on performance, and they're accelerating our momentum while also delivering measurable client value. In T-TECH Engage, our sales momentum is beginning to improve. In 2024, with 15 new enterprise client wins, our go-to-market engine exceeded its new client acquisition goal. Though many of these new relationships start with a single line of business, they offer significant potential for future expansion with new solutions and additional business units. Increasingly, these deals are being delivered offshore as evidenced by our growth in our new geographies year over year. We continue to leverage technology at scale in T-TECH Engage to amplify the skills and the talent of our frontline teams. Internally, we're using AI-enabled solutions data-driven insight across the entire associate lifecycle to recruit, train, engage, and empower our people. In addition, we are implementing solutions that directly improve the customer journey, including self-service knowledge management, accent neutralization capabilities, and our proprietary voice translation applications. While it is still early days, We're encouraged by the potential of these technologies to increase quality, efficiencies, and customer satisfaction. Several wins this quarter underline the value of our digital-first expertise. For example, a recent success with a popular travel platform stemmed from their dissatisfaction with their CX partners' lack of innovation. They chose us for our proven ability to enhance quality and operational efficiency through human-enabled, AI-powered solutions. This new program will utilize the full extent of our operating model, including learning, knowledge optimization, voice translation, and conversational analytics. Now on to T-TECH Digital. This year, we closed 55 new clients, including many larger enterprise-sized companies that provide significant runway for future expansion. As clients' technology needs shift from cloud migration services to more complex enterprise-wide digital transformations, we are dramatically expanding our total addressable market. These multifaceted engagements typically start with shorter cycle professional services and grow into longer term recurring managed service engagements. Let me share a few examples. We started our relationship with a regional healthcare provider by implementing their new CRM system. During the project, we recognized the need for a customized modern CCAS platform. By utilizing our proprietary software, we connected to two systems and now provide ongoing, holistic support through our surround CX managed services methodology. We've streamlined various systems to enhance connectivity for our clients' patients and caregivers. Throughout this process, we've established a long-term, trusted partnership that will continue to grow. In another healthcare example, we're partnering with a Fortune 10 global healthcare solutions company to modernize their infrastructure for enhanced voice and digital interactions. Our collaboration began nearly a decade ago with a Cisco deployment. Following a major acquisition in 2024, they recognized the need to centralize and modernize their critical CX interactions. Together, we developed a robust technology roadmap that will transition them from a rigid legacy IVR system to an intuitive conversational AI platform. Simplifying interactions, streamlining routing, reducing cost, while improving healthcare outcomes across their network. We have several client engagements like this in development, and I look forward to sharing both the customer experience and the business impact of these initiatives in the months to come. In closing, our goal remains the same, to be the undisputed leader in the future of CX, where human expertise integrates seamlessly with advanced technologies. As the digital customer experience transformation company, we will continue to deliver an end-to-end portfolio of outcome-based CX technology and services. As we move into 2025, we remain focused on growing our business by diversifying our client base, solutions, and geographic footprint, improving our operating leverage and profitability, and continuing to strengthen the intensity of our performance-based culture. We are confident that our priorities will drive our vision forward and position the company for success in 2025 and beyond. On behalf of our global team, board of directors, and leadership, thank you for your continued support. Now I'll hand it over to Kenny.