SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2020

SEGMENT INFORMATION [ABSTRACT]

SEGMENT INFORMATION

(3)SEGMENT INFORMATION

The Company reports the following two segments:

● TTEC Digital designs, builds and delivers tech-enabled, insight-based and outcome-driven customer experience solutions through our professional services and suite of technology offerings. These solutions are critical to enabling and accelerating digital transformation for our clients.

o Technology Services:  Our technology services design, integrate and operate highly scalable, digital omnichannel technology solutions in the cloud, on premise, or hybrid, including journey orchestration, automation and AI, knowledge management, and workforce productivity.

o Professional Services:  Our management consulting practices deliver customer experience strategy, analytics, process optimization, and learning and performance services.

● TTEC Engage provides the essential technologies, human resources, infrastructure and processes to operate customer care, acquisition, and fraud detection and prevention services.

o Customer Acquisition Services:  Our customer growth and acquisition services optimize the buying journeys for acquiring new customers by leveraging technology and analytics to deliver personal experiences that increase the quantity and quality of leads and customers.

o Customer Care Services:  Our customer care services provide turnkey contract center solutions, including digital omnichannel technologies, associate recruiting and training, facilities, and operational expertise to create exceptional customer experiences across all touchpoints.

o Fraud Prevention Services:  Our digital fraud detection and prevention services proactively identify and prevent fraud and provide community content moderation and compliance.

The Company allocates to each segment its portion of corporate operating expenses. 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 September 30, 2020

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	76,571	$	—	$	76,571	$	3,537	$	13,043
TTEC Engage		416,409		—		416,409		15,985		40,356
Total	$	492,980	$	—	$	492,980	$	19,522	$	53,399

Three Months Ended September 30, 2019

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	78,577	$	43	$	78,620	$	2,512	$	11,704
TTEC Engage		316,887		—		316,887		14,147		14,277
Total	$	395,464	$	43	$	395,507	$	16,659	$	25,981

Nine Months Ended September 30, 2020

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	231,520	$	(250)	$	231,270	$	10,103	$	37,677
TTEC Engage		1,147,004		—		1,147,004		46,951		105,400
Total	$	1,378,524	$	(250)	$	1,378,274	$	57,054	$	143,077

Nine Months Ended September 30, 2019

							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	223,198	$	(206)	$	222,992	$	8,055	$	27,172
TTEC Engage		959,386		—		959,386		42,397		53,774
Total	$	1,182,584	$	(206)	$	1,182,378	$	50,452	$	80,946

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2020		2019		2020		2019
Capital Expenditures
TTEC Digital	$	1,635	$	318	$	6,961	$	9,714
TTEC Engage		14,277		15,692		40,866		34,724
Total	$	15,912	$	16,010	$	47,827	$	44,438

	September 30, 2020		December 31, 2019
Total Assets
TTEC Digital	$	283,792	$	238,081
TTEC Engage		1,193,228		1,138,707
Total	$	1,477,020	$	1,376,788
	September 30, 2020		December 31, 2019
Goodwill
TTEC Digital	$	111,382	$	66,275
TTEC Engage		233,737		235,419
Total	$	345,119	$	301,694

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

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Revenue
United States	$	346,095	$	240,863	$	936,079	$	713,561
Philippines		82,147		89,876		252,520		274,456
Latin America		23,550		24,454		72,002		73,645
Europe / Middle East / Africa		20,772		15,187		55,077		46,838
Asia Pacific / India		14,483		14,733		43,377		41,713
Canada		5,933		10,394		19,219		32,165
Total	$	492,980	$	395,507	$	1,378,274	$	1,182,378