Concentrix cuts annual forecast as clients trim spend; shares fall
Concentrix Corporation CNXC | 0.00 |
June 29 (Reuters) - Concentrix CNXC.O cut its annual revenue and adjusted profit forecasts on Monday, pointing to increased financial pressure on clients, sending the customer experience firm's shares down 22% in extended trading.
California-based Concentrix is a global provider of technology-infused customer experience solutions and business process outsourcing services.
Here are a few details on the results:
Concentrix expects a nearly 2% headwind to its outlook for the third quarter and the rest of the year, driven by reduced spending from clients facing mounting financial pressures, CEO Chris Caldwell said on a post-earnings call.
While budget constraints have fueled demand for Concentrix's automation and offshoring solutions, they have also prompted clients to prioritize expenditures and trim overall outlays, Caldwell said.
For full-year 2026, the company now expects revenue in the range of $9.93 billion to $10.03 billion, compared to its prior projection of between $10.04 billion and $10.18 billion.
It sees adjusted profit between $10.83 and $11.18 per share for the year ending November 30, 2026, also below an earlier forecast of between $11.48 and $12.07.
Concentrix expects third-quarter revenue between $2.47 billion and $2.49 billion, while four analysts polled by LSEG expect revenue of $2.53 billion.
The company reported second-quarter revenue of $2.46 billion for the period ending May 31, slightly missing an estimate of $2.47 billion.
