TTEC Holdings, Inc. (NASDAQ:TTEC) Q4 2022 Earnings Call Transcript

It’s quite a heavy lift. There’s quite a bit of – we’re very early days with not only where the technology is, but also where clients are. And so there’s a lot of proof of concepts, a lot of experimentation going on, and we’re really grateful that the hyperscalers have chosen to partner with us in a very significant way and that they obviously have a very large pipeline, and we’re there to service that pipeline as well as our embedded base clients on Engage. So across the board, we see significant opportunity in this area. We also see some exciting opportunities over time in how we actually price and how we can move to much more of an outcomes-based set of pricing when we’re introducing this type of technology, which we believe has the potential to drive significantly higher margins versus our classic way that we do business today.

So hopefully, that’s helpful. I don’t want to suck up all the oxygen on the call.

George Sutton: That’s great. Just one other question. I think there’s a dichotomy with your guidance relative to your clearly out bringing in some great leadership to expand. I know your plans to expand to a much larger company. Can you just give us a sense of how that growth is going to come? Is it predominantly organic and the team you’re building sort of what – just give us some sense of that dichotomy that I don’t think the market appreciates.

Ken Tuchman: I would say that it is going to be predominantly organic. We feel really comfortable with where we are in the marketplace and the amount of business. And if we just look at year-over-year pipeline and we look at how our conversions are going right now, et cetera, we feel very confident that we can get to where we ultimately have been communicating to the Street. We brought Shelly in, we brought Dave in, and we actually brought in a myriad of other very senior leaders that have all come on board over the last, let’s just say, 12 months. And their entire focus is execution to double the business and double it in the shortest period of time possible while significantly increasing our margins. And I have absolutely no doubt that we have the right team.

There is a reason why we brought Shelly in intentionally did not bring in a BPO type person. We wanted somebody that understood technology, understood technology implementation. We wanted somebody that understood digital and we wanted somebody to understood very large scale. Shelly with her experience of basically being one of the key people and building Accenture Digital from zero to $20 billion has that experience, understands those capabilities. It allows her to partner very closely with Dave Seybold, who also has a multibillion-dollar experience on the digital side as well. And so consequently, it’s really allowing me now to spend much more of my time on strategy, on vision, on potential future M&A, as well as on partnerships with these large technology players at a very senior level and then helping on the acquisition of large clients.

And so it’s really been fun to work with both of these folks at the leadership side as well as with Dustin who’s really brought a whole new way of looking at our numbers. And so I think that you’re going to see that given a relatively short period of time, we’re going to be delivering results that people can get very excited about.

George Sutton: Thanks, Ken.

Ken Tuchman: Thank you.

Operator: Thank you. Next question is from the line of Vincent Colicchio of Barrington Research. Your line is now open.

Vincent Colicchio: Yes. Ken, Curious, are you seeing meaningful consolidation opportunities? And if so, to what extent are they baked into the 2023 outlook?