Note 14 - Segment Reporting

12 Months Ended

Dec. 31, 2022

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

14. SEGMENT AND GEOGRAPHICAL INFORMATION

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 Chief Executive Officer (CEO), who have been identified as the Chief Operating Decision Maker ("CODM"), reviews financial information mainly on a geographical basis.

Our 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. In the current year with operations in Middle east and Argentina being considered as held for sale, we identified following geographies as reportable segments;

a) Americas
b) India and Sri Lanka
c) Malaysia 
d) Australia
e) South Africa
f) Rest of World

		Year Ended December 31,		Year Ended December 31,
Revenue	2022		2021
Americas		168,009		258,123
India & Sri Lanka		108,303		104,099
Malaysia		44,964		53,934
Australia		38,264		33,682
South Africa		22,325		16,992
Rest of World		3,209		3,499
Total		385,074		470,329

		Year Ended December 31,			Year Ended December 31,
Operating income (loss)	2022			2021
Americas		(360	)		(1,143	)
India & Sri Lanka		7,622			7,856
Malaysia		10,481			14,358
Australia		3,927			4,730
South Africa		2,953			1,796
Rest of World		(4,064	)		(1,361	)
Segment operating income (loss)		20,559			26,236
Startek consolidation adjustments
Private offer transaction cost		(2,867	)		-
Intangible amortization		(10,347	)		(10,348	)
Goodwill impairment		(8,052	)		-
Total operating income (loss)		(707	)		15,888

A single client in the Americas segment accounted for 10% of the consolidated total net revenue during the year ended December 31, 2022, and 2021.

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

	As of December 31, 2022		As of December 31, 2021
Property, plant and equipment, net
Americas		9,718		11,335
India & Sri Lanka		8,340		8,712
Malaysia		2,390		2,818
Australia		829		738
South Africa		1,508		1,649
Rest of World		160		176
Total		22,945		25,428

Investment in Equity Accounted Investees

On February 25, 2021, the Company have made a $25 million investment in CSS Corp LLP (“an Investment Limited Liability Partnership”), The Company accounted this investment under the equity accounted investee method of accounting in accordance with ASC 323-30-S99-1. The CODM receives a partnership statement of CSS Corp LP on quarterly basis and evaluates the carrying value of the investment in equity accounted investees. During the year, on December 27, 2022, the Company has redeemed its investment in CSS Corp LP and received proceeds of $45.6 million. Refer Note 18(a) for more details.”.