Note 12 - Segment Reporting

9 Months Ended

Sep. 30, 2020

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

The Company provides business process outsourcing services (“BPO”) to clients in a variety of industries and geographical locations. Our approach is focused on providing our clients with the best possible combination of services and delivery locations to meet our clients' needs in the best and most efficient manner. Our Global Chief Executive Officer (CEO) and President, who have been identified as the Chief Operating Decision Maker ("CODM"), reviews financial information mainly on a geographical basis.

In the fourth quarter of 2019, we reorganized our operating business model. Our new operating business model is focused on geographies in which we operate. Our CODM reviews the performance and makes resource allocation geography wise, hence the geographical level represents the operating segments of Startek, Inc.

Prior period results have been revised for segment disclosure to conform to current period presentation. We report our results of operations as follows in Six reportable segments:
a) Americas
b) India and Sri Lanka
c) Malaysia 
d) Middle East 
e) Argentina & Peru
f) Rest of World

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2020		2019		2020		2019
Revenue:
Americas		64,597		67,072		191,244		184,070
India & Sri Lanka		19,821		28,362		60,771		84,519
Malaysia		13,933		13,312		37,835		46,508
Middle East		43,665		31,816		114,425		97,150
Argentina & Peru		9,312		11,637		28,517		36,060
Rest of World		11,359		12,431		32,961		38,017
Total	$	162,687	$	164,630	$	465,753	$	486,324

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2020			2019			2020			2019
Operating income (loss):
Americas	$	4,052		$	3,170		$	4,723		$	2,232
India & Sri Lanka		(1,633	)		1,050			(2,538	)		1,302
Malaysia		3,580			1,749			8,520			5,621
Middle East		3,156			(445	)		5,371			4,939
Argentina & Peru		854			1,317			494			1,197
Rest of World		609			787			1,335			1,635
Segment operating income		10,618			7,628			17,905			16,926
Startek consolidation adjustments
Goodwill impairment		-			-			22,708			-
Intangible amortization		2,603			2,286			7,766			7,662
Total operating income/ (loss)	$	8,015		$	5,342		$	(12,569	)	$	9,264

Property, plant and equipment, net by geography based on the location of the assets is presented below:

	As on		As on
	September 30, 2020		December 31, 2019
Property, plant and equipment, net:
Americas		11,800		14,156
India & Sri Lanka		12,067		10,772
Malaysia		3,854		4,375
Middle East		4,468		4,722
Argentina & Peru		1,396		1,701
Rest of World		838		1,781
Total	$	34,423	$	37,507