This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

TeleTech Announces Fourth Quarter And Full Year 2011 Financial Results

Stocks in this article: TTEC

TeleTech Holdings, Inc. (NASDAQ: TTEC), a leading global provider of technology-enabled customer engagement and experience solutions, today announced financial results for the fourth quarter and fiscal year ended December 31, 2011. The Company also filed its Annual Report on Form 10-K with the Securities and Exchange Commission for the year ended December 31, 2011.

“During 2011, we continued to execute on our mission to build the premier, next generation customer experience delivery platform,” said Ken Tuchman, TeleTech chairman and chief executive officer. “The nearly doubling of our global client base to 175 in 2011 is testament to our ability to address the evolving needs of our clients through our ongoing commitment to innovation and investment in our higher-growth businesses. We continue to deliver data-driven, technology-rich solutions that effectively grow, serve and retain an increasingly mobile, social and demanding customer base. These expanded offerings enabled us to add 41 new clients, up from 14 new clients in 2010, and sign $355 million in annualized new business in 2011, up 18 percent over the amount signed during 2010. Our new business wins reflect a solid mix of solutions from our expanding portfolio and create a much larger client base to leverage going forward.”


  • Full year 2011 revenue increased 7.7 percent to $1.18 billion compared to $1.09 billion in 2010.
  • Full year 2011 income from operations increased 26.7 percent to $93.5 million or 7.9 percent of revenue compared to $73.7 million or 6.7 percent of revenue in 2010.
  • Full year 2011 fully diluted earnings per share attributable to shareholders increased 58.0 percent to $1.28 compared to $0.81 in 2010.
  • Full year 2011 annualized new business signings increased 18.3 percent to $355 million compared to $300 million of new signings in 2010.
  • Approximately 17 percent of TeleTech’s full year 2011 revenue came from its continuing revenue diversification efforts into higher-growth businesses.
  • TeleTech’s digital sales and marketing services business organically grew 21.1 percent to $95.6 million in 2011.
  • TeleTech’s technology solutions business grew to $66.4 million in 2011, complemented by the acquisition of certain assets of eLoyalty Corporation in late May 2011.
  • Full year 2010 revenue included $80.7 million of revenue from the technology-enabled solution delivered for the decennial U.S. Census program in 2010.
  • Full year 2011 income from operations included $3.9 million of restructuring and asset impairments along with $1.1 million of acquisition-related expenses.
  • Full year 2011 tax expense included a one-time net tax benefit of $4.7 million.


  • Fourth quarter 2011 revenue increased 7.2 percent to $300.5 million compared to $280.4 million in the fourth quarter 2010.
  • Fourth quarter 2011 revenue decreased 1.2 percent compared to $304.2 million in the third quarter 2011 reflecting a negative foreign currency impact of $6.0 million due to the strengthening of the U.S. dollar.
  • Fourth quarter 2011 income from operations increased 35.7 percent to $20.8 million or 6.9 percent of revenue compared to $15.3 million or 5.5 percent of revenue in the fourth quarter 2010.
  • Fourth quarter 2011 fully diluted earnings per share attributable to TeleTech shareholders was 28 cents compared to 7 cents in the fourth quarter 2010.
  • During the fourth quarter 2011 TeleTech signed an estimated $85 million in annualized revenue from both new and expanding client relationships.
  • Income from operations for the fourth quarter 2011 included $1.4 million of restructuring charges.
  • Fourth quarter 2011 income from operations was adversely impacted by higher than normal operational severance expense as TeleTech undertook steps to exit certain unprofitable clients, programs and geographies.


  • As of December 31, 2011, TeleTech had cash and cash equivalents of $156.4 million, $64.0 million of borrowings on its credit facility and total other debt of $2.4 million, resulting in a net positive cash position of $90.0 million. TeleTech had $281.5 million of additional borrowing capacity available under its revolving credit facility as of December 31, 2011.
  • Cash flow from operations in the fourth quarter 2011 increased by $59.8 million to $74.3 million from $14.5 million in the fourth quarter 2010.
  • Capital expenditures in the fourth quarter 2011 were $17.1 million compared to $9.4 million in the fourth quarter 2010. Capital expenditures for full year 2011 were $38.3 million compared to $26.8 million in 2010. The higher capital expenditures are primarily related to select expansion of capacity in line with TeleTech’s 2011 new business wins as well as increased investment in its technology-based offerings.
  • TeleTech repurchased approximately 340,000 shares of common stock during the fourth quarter 2011 for a total cost of $5.3 million. For the full year 2011, TeleTech repurchased 3.4 million shares for a total of $63.7 million. As of December 31, 2011, there was approximately $31.7 million authorized for future share repurchases. TeleTech’s Board of Directors has approved an additional authorization of $25 million to increase authorized future share repurchases to $56.7 million as of December 31, 2011.


As TeleTech remains sharply focused on achieving its 2014 longer term goals outlined below, the Company plans to take the appropriate steps in 2012 to continue to build a stronger, more profitable company going forward.

1 of 4

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs