Note 13 - Segment and Geographical Information

3 Months Ended

Mar. 31, 2023

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

The Company provides business process outsourcing services (“BPO”) to clients in various 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) who has been identified as the Chief Operating Decision Maker ("CODM"), reviews financial information mainly on a geographical basis.

Our operating business model is focused on the 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 the Company. In the previous year with operations in Middle east and Argentina being considered as held for sale and discontinued operations, 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

	Three Months Ended
	March 31,
	2023		2022
Revenue
Americas		44,477		45,415
India & Sri Lanka		23,247		27,961
Malaysia		10,582		11,280
Australia		8,988		9,480
South Africa		4,766		6,190
Rest of World		29		766
Total		92,089		101,092

	Three Months Ended
	March 31,
	2023			2022
Operating income (loss)
Americas		2,125			(2,319	)
India & Sri Lanka		238			3,467
Malaysia		2,890			2,026
Australia		560			1,101
South Africa		227			1,178
Rest of World		(1,123	)		(559	)
Segment operating income		4,917			4,894
Startek consolidation adjustments
Private offer transaction cost		-			(500	)
Intangible amortization		(2,561	)		(2,561	)
Total operating income		2,356			1,833

A single client in the Americas segment accounted for 10% of the consolidated total net revenue during the three months ended March 31, 2023 and 2022, respectively.

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

	As of		As of
	March 31, 2023		December 31, 2022
Property, plant and equipment, net
Americas		8,912		9,718
India & Sri Lanka		9,465		8,340
Malaysia		2,208		2,390
Australia		729		829
South Africa		1,322		1,508
Rest of World		148		160
Total		22,784		22,945

Investment in Equity Accounted Investees

On February 25, 2021, the Company had 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. On December 27, 2022, the Company had redeemed its investment in CSS Corp LP and received proceeds of $45.6 million and recognized a gain on sale of investment of $8.4 million.