TTEC Records $205M Goodwill Impairment, Guides 7.6% EBITDA Growth to $230M
Full-year 2025 revenue fell 3.2% to $2.14B while adjusted EBITDA rose to $214M and EPS jumped to $1.10 from $0.71, driven by margin expansion. The company recorded a $205M non-cash goodwill impairment and guides 2026 adjusted EBITDA of $230M (up 7.6%) with non-GAAP EPS of $1.19.
1. Full-Year 2025 Financial Results
TTEC reported full-year 2025 revenue of $2.136 billion, a 3.2% decline from the prior year, while adjusted EBITDA rose 5.6% to $214 million and adjusted operating income increased to $155 million (7.3% margin). Adjusted EPS improved to $1.10 from $0.71, and the company generated $83 million in cash flow, using proceeds to reduce credit facility borrowings by $70 million.
2. Fourth-Quarter Segment Performance
In Q4, total revenue edged up to $570 million with adjusted EBITDA of $62 million (10.9% margin) and adjusted EPS of $0.47. The Engage segment delivered $444 million in revenue (down 1.8%) with operating income margin expanding to 8.1%, while the Digital segment saw 9.2% revenue growth to $125 million driven by product resale, despite a slight dip in recurring and professional services revenue.
3. Goodwill Impairment and 2026 Guidance
Management recorded a $205 million non-cash goodwill impairment in the Digital recurring unit due to shifts toward AI-led consulting and analytics. For 2026, TTEC forecasts Engage revenue down ~4% and Digital down ~8.4%, but anticipates adjusted EBITDA of $230 million (up 7.6%) and non-GAAP EPS of $1.19, with profitability weighted to the second half and continued investment in AI-enabled customer experience.