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SEGMENT INFORMATION
3 Months Ended
Mar. 31, 2019
SEGMENT INFORMATION [ABSTRACT]  
SEGMENT INFORMATION

(3)SEGMENT INFORMATION

The Company reports the following four segments:

·

the CSS segment provides professional services in customer experience strategy and operations, insights, system and operational process optimization, and culture development and knowledge management.

·

the CTS segment includes system design consulting, customer experience technology product, implementation and integration consulting services, and management of clients’ cloud and on-premise solutions;

·

the CGS segment provides technology-enabled sales and marketing solutions that support revenue generation across the customer lifecycle, including sales advisory, search engine optimization, digital demand generation, lead qualification, and acquisition sales, growth and retention services; and

·

the CMS segment includes the customer experience delivery solutions which integrate innovative technology with highly-trained customer experience professionals to optimize the customer experience across all channels and all stages of the customer lifecycle from an onshore, offshore or work-from-home environment;

The Company allocates to each segment its portion of corporate operating expenses. During the first quarter of 2019, the Company enhanced the allocation methodology for the corporate shared expenses by adding more detailed calculations and allocations by department. These enhancements did not materially change the allocations per segment. All intercompany transactions between the reported segments for the periods presented have been eliminated.

The following tables present certain financial data by segment (in thousands):

Three Months Ended March 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    

 

 

    

 

 

    

 

 

    

Depreciation

    

Income 

 

 

 

Gross

 

Intersegment

 

Net

 

&

 

(Loss) from

 

 

 

Revenue

 

Sales

 

Revenue

 

Amortization

 

Operations

 

Customer Strategy Services

 

$

13,430

 

$

 —

 

$

13,430

 

$

534

 

$

(1,228)

 

Customer Technology Services

 

 

52,611

 

 

(188)

 

 

52,423

 

 

1,774

 

 

8,987

 

Customer Growth Services

 

 

38,934

 

 

 —

 

 

38,934

 

 

632

 

 

4,250

 

Customer Management Services

 

 

289,569

 

 

 —

 

 

289,569

 

 

13,803

 

 

20,083

 

Total

 

$

394,544

 

$

(188)

 

$

394,356

 

$

16,743

 

$

32,092

 

 

Three Months Ended March 31, 2018

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    

 

 

    

 

 

    

 

 

    

Depreciation

    

Income 

 

 

 

Gross

 

Intersegment

 

Net

 

&

 

(Loss) from

 

 

 

Revenue

 

Sales

 

Revenue

 

Amortization

 

Operations

 

Customer Strategy Services

 

$

14,860

 

$

 —

 

$

14,860

 

$

522

 

$

502

 

Customer Technology Services

 

 

35,208

 

 

 —

 

 

35,208

 

 

1,630

 

 

4,844

 

Customer Growth Services

 

 

32,540

 

 

 —

 

 

32,540

 

 

595

 

 

1,380

 

Customer Management Services

 

 

292,641

 

 

 —

 

 

292,641

 

 

15,177

 

 

18,215

 

Total

 

$

375,249

 

$

 —

 

$

375,249

 

$

17,924

 

$

24,941

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended 

 

 

 

March 31,

 

 

 

2019

    

2018

    

Capital Expenditures

 

 

 

 

 

 

 

Customer Strategy Services

 

$

422

 

$

124

 

Customer Technology Services

 

 

3,319

 

 

31

 

Customer Growth Services

 

 

 —

 

 

 —

 

Customer Management Services

 

 

9,459

 

 

7,353

 

Total

 

$

13,200

 

$

7,508

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2019

    

December 31, 2018

 

Total Assets

 

 

 

 

 

 

 

 

Customer Strategy Services

 

 

$

68,658

 

$

60,755

 

Customer Technology Services

 

 

 

164,216

 

 

162,222

 

Customer Growth Services

 

 

 

52,070

 

 

42,981

 

Customer Management Services

 

 

 

903,698

 

 

788,550

 

Total

 

 

$

1,188,642

 

$

1,054,508

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2019

    

December 31, 2018

 

Goodwill

 

 

 

 

 

 

 

 

Customer Strategy Services

 

 

$

24,328

 

$

24,179

 

Customer Technology Services

 

 

 

42,006

 

 

41,979

 

Customer Growth Services

 

 

 

24,439

 

 

24,439

 

Customer Management Services

 

 

 

114,407

 

 

114,036

 

Total

 

 

$

205,180

 

$

204,633

 

 

 

 

 

 

 

 

 

 

 

The following table presents revenue based upon the geographic location where the services are provided (in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

 

 

    

2019

    

2018

    

 

Revenue

 

 

 

 

 

 

 

 

United States

 

$

236,967

 

$

209,848

 

 

Philippines

 

 

93,179

 

 

89,205

 

 

Latin America

 

 

24,135

 

 

30,498

 

 

Europe / Middle East / Africa

 

 

16,041

 

 

15,971

 

 

Asia Pacific / India

 

 

12,826

 

 

13,437

 

 

Canada

 

 

11,208

 

 

16,290

 

 

Total

 

$

394,356

 

$

375,249