Concentrix Corporation (NASDAQ: CNXC) is a global technology and services leader providing integrated, end-to-end solutions to help businesses enhance customer engagement and operational efficiency. The company focuses on transforming the way organizations connect and operate across various sectors, also emphasizing technology and artificial intelligence.

In its first quarter of fiscal 2025, Concentrix reported revenue of approximately $2.37 billion, reflecting a year-over-year decline of 1.3% but a constant currency growth of 1.3%. The decline relates to a decrease in dollar terms, affected by fluctuations in foreign exchange rates. However, revenue from its top 25 clients was noted to be growing at a faster pace than the overall business.

The company’s non-GAAP operating income was $321.5 million, a slight increase from $319.1 million a year earlier. This resulted in a non-GAAP operating income margin of 13.6%, up 30 basis points from the previous year. Adjusted EBITDA for the quarter was $374.2 million with an EBITDA margin of 15.8%, slightly lower than 16.0% in the prior year.

For profit metrics, Concentrix reported a non-GAAP net income of $188.1 million, an increase of 7.1% year-over-year. The corresponding non-GAAP diluted earnings per share (EPS) stood at $2.79 compared to $2.57 the previous year, marking an 8.6% increase. GAAP net income reached $70.3 million, with diluted GAAP EPS at $1.04.

The company’s guidance for the second quarter of fiscal 2025 indicates expected revenue between $2.37 billion and $2.39 billion, suggesting constant currency growth of 0.5% to 1.25%. It anticipates non-GAAP operating income between $315 million and $325 million, translating to non-GAAP EPS of approximately $2.69 to $2.80.

Looking ahead to the full fiscal year 2025, Concentrix reiterates its revenue guidance of $9.49 billion to $9.635 billion, projecting constant currency revenue growth of 0% to 1.5%. The expected non-GAAP operating income is estimated to be between $1.3 billion and $1.34 billion. Furthermore, guided non-GAAP EPS for the year is set between $11.18 and $11.77.

Adjusted free cash flow for the quarter was reported as a use of $40 million, an improvement from last year’s use of $81 million. Concentrix is on track to generate adjusted free cash flow between $625 million and $650 million for the full fiscal year. The company also repurchased approximately $26 million worth of its shares during the quarter and returned $22 million to shareholders in the form of dividends.

Total debt at the end of the quarter was approximately $4.9 billion, against cash and cash equivalents of $308 million. The liquidity position stood strong at about $1.5 billion, including a $1 billion undrawn line of credit.