The following is a summary of the TELUS International (Cda) Inc. (TIXT) Q3 2024 Earnings Call Transcript:
Financial Performance:
TELUS International reported Q3 2024 revenue of $658 million with sequential improvement led by AI data solutions and overall growth in digital solutions.
Adjusted EBITDA margin stood at 14.4%, reflecting stabilization compared to prior quarters.
Year-to-date, revenue with their largest client, TELUS, grew 21% year-over-year, while revenue from Google, their second largest client, showed an increase of 12% year-to-date.Revenue increases in comms, media, and healthcare sectors were noted, along with boosted operations in sectors like BFSI, travel, hospitality, and retail driven by increased demand.
Central and South America, and Africa saw a revenue growth of 20% for the quarter.
Business Progress:
Focus on rejuvenating revenue growth includes new service offerings, cross-selling to existing clients, client diversification, and leveraging partnership with TELUS for rapid evolution of AI and CX capabilities.
Significant client wins and service expansions reported across various sectors, enhancing revenue diversification.
Advances in quality and differentiation in service delivery, recognized by industry leaders like Everest Group and NelsonHall.
Continuous investment in talent and expanding global sales teams to capture sales opportunities and align with strategic growth in AI data solutions and digital transformations.
Opportunities:
Expansion of AI capabilities and digital solutions directly address the growing global CX market, estimated at over $350 billion.
Introduction of proprietary platforms like Fuel iX to improve operational efficiency and client outcomes in CX.
Leveraging deep partnerships, especially with parent company TELUS, to test and refine cutting-edge AI technologies for broader market applications.
Risks:
Price competition in the industry remains a significant risk, impacting profitability and necessitating continuous innovation and efficiency to maintain competitive margins.
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
