Q2 2021 Ibex Ltd Earnings Call
Ladies and gentlemen, please continue to hold your conference call will begin momentarily.
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Ladies and gentlemen, thank you for standing by and welcome to the IBEX second quarter 2021 earnings Conference call.
At this time all participants are in a listen only mode.
After the speaker presentation, there will be a question and answer session.
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I'd like to hand, the conference over to your speaker today to bring Lee Johnson with the Blue shirt group. Thank you. Please go ahead.
Good afternoon, and thank you for joining us today before we begin I want to remind you that the matters discussed on today's call may include forward looking statements related to our operating performance financial goals and business outlook, which are based on management's current beliefs and assumptions. Please note that these forward looking statements reflect our opinions as of the day of this call and we undertake no obligations for <unk>.
This information as a result of new developments, which may occur or looking statements are subject to various risks uncertainties and other factors that could cause our actual results to differ materially from those expected in dispatch day for more detailed description of our risk factors. Please review our final prospectus filed with the Securities and Exchange Commission on August 10, 2020, and our form 20-F filed.
On October 23rd 2020.
With that I'll turn it over to Bob decade C E L.
Thank you Brent Leigh good afternoon, and thank you all for joining US today as we discuss the second quarter fiscal year 'twenty 'twenty, one financial results for IDEXX.
We are excited to speak to you today is Carl and I share a business overview and the financial results.
In May 2015, when I joined IBEX as CEO I established three clear goals for the company for.
We would aim to be a growth leader.
Second we would become a leading player in the near shore markets.
Lastly, we would drive EBITDA margins to 15% and beyond.
I am proud to report that we are achieving each of these goals as demonstrated by our record second quarter results.
Revenues increased 9% over the prior year to an all time high.
$117 2 million.
Our organic growth continues to outpace the industry.
Second.
Our success in the near shore markets has been validated and recognized as we received the very prestigious Frost and Sullivan Central America, and Caribbean CX company of the year Award.
As a follow on to our Nearshore company of the year Award, which we received last year from Nearshore Americas.
And third.
We achieved 15% EBITDA margins for the quarter, an increase of 19% year over year.
The second quarter for us is all about execution.
As we need to deliver on critical seasonal ramps for our clients our operational teams were exceptional.
Notwithstanding the growing cases of COVID-19 throughout the world.
We've continued to keep all of our centers safe and functioning as well as leverage and scale our work at home agents.
On top of debt.
We are launching new centers around the globe at a faster pace than any of our competitors.
In the second quarter.
We added our fifth center in Jamaica, which comes on the heels for our September opening in Ocho Rios.
We also added significant capacity in the Philippines in both Metro Manila markets as well as in our provincial footprint on the island of ball.
Our reputation in differentiation as a leader in V. P. O 2.0 continues to fuel our growth and pipeline.
Deal flow becomes larger.
And has more velocity.
Q2 was an excellent quarter as we won several key new logos.
Two of which span into our strategic healthcare and utilities verticals.
We also had great traction on.
On significantly expanding our sales pipeline, which we believe will drive growth in the second half of FY 2021.
And future quarters.
Based on our strong performance, our success with winning new business and our unparalleled ability to protect the force of our embedded base clients. We are raising full year guidance once again.
We have some notable key elements that distinguish us and a record performance.
Our Windsor with clients that are transforming their customer experiences rapidly to a digital first offering.
These clients are new economy clients.
And blue chip clients that are digitally transforming themselves.
These iconic brands are looking for partners that can help enhance the customer experience at all points across the customer lifecycle.
By leveraging technology and analytics.
Amazing branding and culture and on demand scalability.
And the pandemic is amplified these requirements and as a result, the competitive landscape has further stratified from those who can.
And those who can't.
This is at the core of <unk> 2.0.
And at the heart of why we are winning faster than our competition.
Let me give you three specific examples of our leading solutions and how we integrate wave X technologies to win or expand with some of the biggest customers in the world.
First.
One of our largest blue chip clients is undertaking a strategic transformation.
Their core business to digital and streaming.
With the need to adjust to rapidly changing behaviors of consumers, we launched a platinum site in the U S. With the objectives of one provide frictionless customer service for their early tenure video customers.
And to elevate to a platinum customer experience for their high value customers.
Anchored by our waves X technology, we developed a P. P. O 2.0 solution that included our proprietary AI agent analytics and performance tool set to deliver a 20% faster path to proficiency.
Our enterprise grade B I suite to deliver end to end real time customer interaction analysis that has driven a 12% reduction in repeat and transferred calls.
The transformational customer experience is being complemented by a highly branded site.
And our award winning agent engagement.
And is now enabling our clients to win the J D Power award for customer service.
Not only have we exceeded our clients' objectives, we are now developing and deploying similar solutions across the retail lines of business.
As evidenced our wave ex purpose built technology stack is clearly playing a big role with both new economy and Blue chip clients.
These next two examples highlight our ability to consistently win on a big stage with clients on the E Commerce World as consumers are rapidly moving to digital first transactions and brick and mortar retailers convert to a click to home model.
For one of North America's largest specialty retail and E commerce companies.
<unk> displays are struggling vendor.
We were able to help.
On the client prepare for the fast approaching 2020 holiday season that was compounded by COVID-19.
And the volume shifts to digital support.
IBEX leveraged its highly scalable work at home operation.
And deployed 50% of the required staffing head count from at home locations in the Philippines with a total ramp to approximately 500 agents.
We leveraged our wave ex virtual performance management toolset that allows for real time Kpis management.
Desktop audio and visual monitoring Kpis gamification dashboards lifetime coaching.
And data security tool set to ensure a seamless and secure virtual engagement.
Using proprietary glidepath modeling developed in our wave X B I module.
Work Force management operations and training divisions, we're able to forecast the clients Black Friday through cyber week needs with remarkable degree of precision.
Impressively, we reached a forecasting accuracy for F. T E production hours of 19, 9% in November and 103% during December of 2020, ensuring success for this most important holiday season.
Now finally, we were able to assist one of the world's largest pure new economy E. Commerce companies based outside the U S debt have hundreds of millions of users.
The company was faced with the need for a secured on demand digital first solution.
They built a promotion replicating the shopping phenomenon of 11 11, Singles' day in China in new markets.
IBEX was selected as the strategic partner of choice in the region based on our ability to rapidly scale, our brick and mortar.
And work at home solution, along with our ability to integrate our wave X technologies into their core platforms to ensure a secure environment.
IBEX displayed the agility and flexibility to hire over 200 agents within days.
The partnership with IBEX resulted in our clients best ever returns on contact center answer efficiency rates.
Bundled with our trademark great customer experience scores as a result, we are now positioned for a multiyear close relationship and partnership.
In short IBEX has become the partner of choice for a growing Legion of iconic brands.
Not only are we securing new clients across the various segments.
Share of wallet Indian installed base continues to increase as we consistently win new lines of businesses, New services and expand new geographies.
Our employees remain our main priority.
I am delighted to report that.
We continue to pass 100% of our health products and as a result have had each of our centers operational for the past three quarters.
Additionally, we have mobilized close to 100% of our workforce back to pre COVID-19 levels.
I also want to thank our leadership and frontline personnel, who have demonstrated unbelievable perseverance and commitment in the face of AD versus <unk>.
Your resilience and agility are the foundation for our incredible results. Your performance is the gold standard.
I would also like to recognize and thank our shareholders for their continued support.
In summary, we continue to lead the <unk> 2.0 Revolution.
Our disruptive and innovative customer experience solutions uniquely position us to deliver breakthrough results for our clients our ability to provide complex critical support for our clients.
Highly digital economy are.
A recognition for exceptional performance and our strong financial results position IBEX for long term success.
I will now turn the call over to Carl gable, our CFO, who will walk you through the key financial highlights to the quarter and provide you with our updated guidance.
Sure.
Thank you Bob and good afternoon, everyone. Thank you for joining the call today.
Our significant growth is a result of increasing client demand for our critical value proposition and delivering on operational fundamentals that have made us successful.
We continue to see strong demand from our new economy clients.
Increased share in business from our installed client base.
Overall improvements in client concentration and we are optimistic about the outlook of the business.
Revenue in the second quarter of $117 2 million increased by eight 7% compared to the year ago quarter.
New economy revenue grew 10, 5% non voice revenue increased slightly and digital revenue decreased three 4% compared to the prior year quarter.
After adjusting for one client that was significantly adversely impacted by the pandemic, which we believe is more indicative of the business New economy revenue grew 28, 1% non voice increased by 16, 2% and digital growth was four 1%.
Revenues in the first half of the fiscal year were $226 million up.
11, 2% from prior year.
Net income in the second quarter of 'twenty 'twenty, one was $2 5 million, including $1 6 million of nonrecurring COVID-19 related costs compared to net income of $4 8 million for the same period last year on a.
A non-GAAP basis.
Excluding non recurring expenses.
Fair value adjustments and share based payments.
Adjusted net income was $6 2 million versus $5 6 million.
On the prior year quarter.
Non-GAAP pro forma fully diluted adjusted EPS was <unk> 33 in the second quarter of 2021 versus <unk> 30 in the prior year quarter based on 18 7 million shares outstanding.
Adjusted EBITDA increased 18, 7% from the prior year quarter to $17 6 million or 15% of revenue compared to $14 8 million were $13 eight per cent of revenue for the same period last year.
We are delivering adjusted EBITDA margin expansion by increasing our new economy revenues, which drives growth in our offshore and near shore geographies as well as growth of our high margin services, such as non voice and digital services.
Our achievement of 15% adjusted EBITDA margin is a significant milestone for the company.
Turning to client mix in the second quarter, our top three client concentration continues to decrease quarter over quarter.
In Q2 fiscal year 'twenty, one our top three clients represented 36, 4% of overall revenue down from 45, 1% for the <unk>.
Same period last year.
The revenue generated from clients outside of the top three increased by 25, 9% and are the main drivers of the overall revenue growth.
Vertical market telecommunications decreased to 29, 5% of revenue from $36 two in the prior year quarter, whereas retail and E. Commerce increased 22 six per cent of revenue from 16, 2% for the same period last year.
Second quarter operating cash flow decreased to $4 3 million from $5 9 million sequentially.
We had an increase in cash flow from operations, excluding working capital changes of $5 2 million, which was offset by a negative change in working capital of $6 8 million.
The negative change in working capital was primarily attributable to a timing difference in trade and other payables offset by a reduction in the DSL.
On a year over year basis second quarter operating cash flow decreased to $4 3 million from $18 6 million.
We had an increase in cash flow from operations, excluding working capital changes of $1 4 million offset by a negative change in working capital of $15 7 million.
The negative change in working capital was primarily attributable to a temporary DSO reduction mainly related to one key client in the prior year quarter.
On the timing of trade and other payables.
Dsos, which are currently below the industry average and for the second quarter was 48 days down three days for the same period last year down five days sequentially. We continue to focus on timely client invoice collections looking ahead expect our dsos to increase during the <unk>.
Remainder of the fiscal year 2021.
Has the temporary decrease related to one key client mentioned earlier is expected to reverse.
Our balance sheet remains strong with $74 6 million in cash compared to $21 9 million as of June 32020 strengthened by the net proceeds of the IPO in August.
Net debt increased to $50 7 million compared to $35.
$5 million as of September 32020, primarily due to an increase in lease liabilities associated with bringing on new capacity such as our new site in port Moresby acre growth.
Growth capital expenditures and a net working capital outflow offset by strong operating results for the quarter.
Capital expenditures were $7 2 million.
For a six 1% of revenue for the second quarter of 2021 versus $4 1 million or three 8% of revenue for the year ago quarter.
We added approximately 1000 workstations this quarter due to the expansion of our Philippine sites and adding the initial 400 seats and our new site in Port more Jamaica. This site in Jamaica has capacity for another 800 seats that are being built out over the next quarter.
On a normalized basis, excluding the effect of the warrant fair value adjustment, which is in a non taxable jurisdictions are second quarter on tax rate is 24%.
For the current fiscal year, we expect our normalized effective income tax rate to be between 17 and 20% in line with 18% for fiscal year 'twenty.
Before I turn to guidance I wanted to provide a quick update on frontier.
On recent publicly available news reports frontier appears to be on target to emerge from bankruptcy in early 2021.
Frontier has received regulatory approvals from the FCC and 17 out of 18 States. We are encouraged by this positive news and are proud to be partnering with frontier.
Turning now to our full year 2021 guidance.
Given our over performance for the second quarter and the strength of our deal flow and pipeline, we are raising our guidance for both top line and adjusted EBITDA. We are increasing revenue guidance to 445 for $448 million from 440 $443 million.
The midpoint of the increase represents a 10% increase from prior year.
Additionally, we are increasing guidance for adjusted EBITDA to 62.
$63 5 million from $65 62 billion.
Adjusted EBITDA midpoint represents a 16% increase in <unk>.
A 700 basis point improvement in margin from fiscal year 'twenty.
In closing.
The revenue momentum we experienced last fiscal year continued through the first half of fiscal year 2021.
We are focusing on strategic long term growth, which fuels our leadership position in B P. O two pointed out.
Our ability to transform the customer experience as evidenced by the pursuit and award of critical business from clients, who are focused on growth and improvements in their customer experience and as a result, we expect to continue to deliver impressive results.
With that Bob and I will now take questions. Operator, please open the lines.
Thank you Sir.
As a reminder to ask a question you would need to press star one on your telephone to withdraw your question. Please press the pound key please standby, while we compile the Q&A roster.
I show. Our first question comes from the line of Tobey Sommer from <unk> Securities. Please go ahead.
Thank you very much good afternoon.
Could you talk about.
What you've learned in terms of our.
On boarding.
Our new internal talent and agents in the in the pandemic and what you see the challenges are in managing those because you're growing so quickly that youre hiring must be very significant.
On another calls, but updated thoughts would be appreciated.
Sure Tobey.
Thanks for joining the call and I appreciate the question.
It's a great question.
First the hiring starts with the reputation that you have as an employer in the region.
And in our real growth markets.
<unk> for Jamaica and Av.
The nicaragua's the IBEX brand is second to none.
So when we need to.
Ramp up for and I'm, telling you for on demand capacity is really where the industry is right now.
We are able to.
Attract a significant number of candidates that want to come in and work for IBEX.
And especially in markets, like Jamaica, or Nicaragua or <unk>.
Provincial plays in the Philippines, where tourism has historically been a big part of their.
Of their economy.
We're able to attract some great people and great leadership and so we've been.
We've been able to.
100% of our classes globally.
We've been able to fill management very easily as we scale some of that comes from internal some of it comes from external.
And then the challenge is how do you train them and we between our wave ex trading.
Training modules that are.
In center and also.
<unk> been adapted now for work at home, we're able to get our agents trained skilled and ready to take phone calls and digital context real fast and so.
We feel like we have excelled in that in this industry versus anybody in this industry.
Thanks for a follow up question could you talk about the.
The gross impact.
Debt, both positive and negative on your customer base related to Covid pandemic kind of work from home and Lockdowns in how you see that the.
The impact of changing as the vaccine rollout continues and hopefully life.
Resume some normality.
Sure.
As you know theres been winners and losers in.
The industry, you know based on various market segments and business models.
Hum.
Does that have.
Many of our clients that we have by nature of new economy, and kind of digitally oriented did.
Digitally oriented client base have been on the winning side and so we.
On our requirements for our existing clients have been as strong as ever.
What has happened is with Covid they view that.
The ability to find a provider that can provide on demand capacity.
And the way they think of that as a combination of in center.
And work at home.
What they're looking for and and so.
More than ever.
We're looking for those that are aggressively going.
And expanding.
And that's why we looked at the market and we said we're going to continue to go down the path of building out centers.
And we put two centers in Jamaica in roughly 60 days one.
One that we fired up in September and one that we fired up.
In our.
Our Q2.
And having that capacity as clients are looking we're able to grab that volume faster than anybody else and then complement that with work at home. So I think that behavior has really changed in the speed.
The on demand capacity.
They are making decisions is really accelerated for velocity on those decisions are extremely fast and how do I think that looks out down the road.
I think that those characteristics and those attributes are the type of partner that clients are going to look for I think it plays more into continued outsourcing.
All of their strategies and not looking at.
So I think you'll see it.
The acceleration of <unk>.
Percentage of business that's in source to outsource I think clients are aggressively seeing this industry PPO is as a player.
For for that growth.
Thank you very much.
Thank you I show on next question comes from the line of Dave Koning from Baird. Please go ahead.
Yeah, Hey, guys great job again.
Thanks, Dave.
Yeah and I.
I guess I'm kind of wondering in the back half how we should think about the revenue trends kind of when we think about the wins the client wins coming on.
How should we think of that pacing out and maybe those wins are actually more impactful I would I would think I guess to 2022 and if if that's the pipeline that probably keeps the same level of growth kind of going into next year, just just sort of thinking about the pacing I mean should we think of both Q3 and Q4 being high single digits pretty similar and then into next year now pretty similar too.
Yeah. That's a good question David there is a lot of what I'll say upside that's out there that the teams are really.
Really looking at closing and then speed.
Back to this on demand capacity.
<unk> ability so there's a lot that's out there that I feel really really good about now.
Depending upon how fast those deals close and then how fast the actual client.
Requirements are.
There are some upside on that.
Beyond kind of this where we are where we are tracking right now, but that's stuff that we still have to go out and hit and I think you hit the nail on the head those definitely would have a big impact in 'twenty, two and to a lesser extent in in the second half for the year, but we feel good about.
Feel very good about the second half and that's why we why we moved up guidance to wear Carl Carl.
Talked about.
Yeah. It sounds great and then maybe just as a follow up you talked about the the heavier investment this quarter getting on new centers ramped up what you can leverage later is the rest of this year, though should we expect free cash flow positive now the rest of the year just given you did have your investment already.
Yeah, Great question so.
Karl why don't you jump in on that.
Yeah, David Good question.
If you look at the if you look at the first six months of the year is kind of on.
A good way to look at the cash structure for the company.
It takes out the timing difference with training on the payables. So if you look at it on a like from my perspective, yes.
The operating cash excluding working capital was about $21 million and then the working capital was really driven by the growth in the revenue right. So the way we look at on days like we said, we manage our working capital and on.
Dsos et cetera on a client collections, but we're in a position now with our capex.
That if there are good opportunities gain we can quickly go after new opportunities. So when you throw capex and it was about $7 million.
Which was about 6% for this quarter.
We said on our prepared comments there was about another 800 seats right.
Of the one site that can put more that's being built out in our Q3 so.
I think from a from a working capital perspective or from a cash flow perspective, rather you can look at those for six months and for when you look at the free cash flow as you layer in the Capex, we still have some some buildup settle in process, but we also have the balance sheet now on.
The demand is there we can act pretty quickly and capture that demand will be very quick with the capex. So.
Yeah, I think hopefully that answers. Your question I think if you look at the first six months, but I would just say for the Capex perspective.
Yes, if there is opportunities.
It was with a lot more to the company both on the balance sheet.
In Boston that Capex.
Yup got you thanks, guys great job.
I appreciate it.
Thank you.
Our next question comes from the line of Avi No money from Piper Sandler. Please go ahead.
Hi.
Thanks for taking my question and congrats on a net.
Another really good quarter.
I had a question more from a operational perspective.
How are you thinking about.
Thinking about staffing in a post pandemic environment.
Specifically.
As a company as I am sorry, Patrick.
Take more travel on vacation.
For the next 12 to 18 months I used to are you looking to staff at higher level.
Would've imagined.
For the productivity.
Price here.
You know just given that they've been.
I wanted to kind of comment a little bit more activity.
In a post pandemic environment.
Hey, Arvind thanks for joining and thanks for that question and that's a really good a really good call out on.
On.
We're.
Probably all business or.
We're going to go is not.
Not many traveling spin.
Occurred for anybody and so look I think we will find that.
That our folks will look to do that but again if you. If you think about the nature of the ancient and all of that not very often on these folks.
Yeah.
Getting on planes and flying.
Lying to you know.
Whatever destinations on all their their vacations their traveler.
Our local and so.
I don't see that there will be a massive.
You know kind of productivity losses out of that workforce through that you might have a little little bit that we might have might.
I might have to staff.
Step up a little bit for but.
We've done an amazing job and my operations and workforce planning team.
If.
If we're losing people for let's say.
And here's a perfect analogy when we.
When COVID-19 started heating up in the markets.
You would have in random agent that would have that.
And next thing you know you had.
Kind of 15, you might have 15 people that you have to <unk>.
From a contact tracing at all.
Our team has done an amazing job of driving productivity out of those work force leveraging overtime.
Things like that debt.
That yield the end result that we want and I'm pretty sure we'll be able to will.
We will be able to manage through that and not have it really impact on pensions business negatively.
Yeah.
That's turned around for them.
Yes.
Hum for Mike.
Demand perspective.
And our clients that are probably impacted then.
Difficult to.
So kind of panic for cadence on when they will come back.
But is there some.
Some level of sort of planning.
On.
In terms of net.
Making sure operationally ready to see a surge in demand from some compliance who.
I understand on there may be some pent up demand over the next couple of years.
Yeah. So we you know Greg so very very good question, we've been very lucky that not many of our.
Installed base clients, who have been.
Had been negatively impacted and we've been very I think that's a result of the types of clients. We have attracted now we all know that the world of sharing ride sharing and things like that have been.
Have been negatively impacted in a large way.
And.
We do a lot of digital work.
In that market.
And we've spent a lot of time working through models and leveraging our models on what we think.
Trajectory of the head count and as that comes back how fast does it come back in the contact centers.
And.
What I really would then call out is they're having those discussions with us and they're not with their other partners network because they trust us They trust us.
The intelligence of our workforce team and technology and just the partnership and so we built the models of where we're going with them and the type of market share gains that that we can grab out of that.
So we feel very strong about that relationship and the upside.
That would be out there for IBEX.
And winning more than our fair share and so it's really limited to one client as we think through that.
So many of the other clients are just really really aggressive growth which is.
Part of <unk>.
What we love about.
Our business and our vectors of growth that we built here.
Great.
Thank you very much and good luck for the rest of the year.
Great. Thanks.
Thank you.
As a reminder to ask a question do you have a need to press star one on your telephone to withdraw your question. Please press the pound key.
I show on next question comes from the line of Dan <unk> from Columbia Threadneedle. Please go ahead.
Dan If you have had on on mute. Please on mute your line.
Hi, guys I hope everyone is healthy and well I was hoping you can share what differentiation you are able to offer today that you weren't able to previously it's driving the customer service experience and also the customer value proposition, namely that your competitors arent able to do.
Right now, particularly around your new economy, and platinum business that really seems to be doing quite well.
I'd Love, if you guys can drill down into that more granularly to help us understand.
What really is being offered there that's new incremental and differentiated thank you.
Sure Dan Thanks, Thanks for joining and Great question.
This this business is a world of intangibles and so sometimes differentiation is.
Very small degrees of differentiation.
But.
In the world with B P O two point on which we've kind of been evangelizing.
We believe that we now start moving beyond subtle degrees of differentiation and into actual tangible differentiation.
It starts with the weighted <unk> technologies that we have in RBI technologies that are part of wave acts.
And these technologies are.
All geared.
Many are geared around.
Ensuring the effectiveness of the agents that were hiring.
Our.
Profile properly and better than that are trained better than and then when they are on.
On a contact that those technologies can make the agents more efficient for more effective on delivering an experience. Let me give you an example.
AI technology that.
Ken real time help and agent solve an issue so in the old world.
You would have an agent talking to a customer and then they'd be necessarily perhaps going and trying to get to in F. Q1 knowledge base, it's kind of hard to talk be really effective deliver an experienced while hunting and pecking for an article right.
That's a challenge.
A real challenging element of this job now.
Now having AI technology.
That enables an agent to have that information teed up that the technology is listening and tee up and so the agent has it at their fingertips and provides an answer.
Those things are very easy now in the sales cycle.
To articulate and demonstrate and so now you can go from these real subtle subtle piece.
Intangible differentiation to this is black and white.
And what's really interesting.
As in the world of virtual selling.
And zoom meetings and things like that those things come across those things come across a zoom call and they're easy to articulate.
What other things are are some intangibles.
<unk> culture.
What we do in a center and around our engagements and our branding.
It's come across.
In tidal waves.
On zoom calls as they do when when a client comes to our site, but what's interesting is we can get this done so much more efficiently and effectively right now.
So we're we're able to you don't have these have these site tours.
With key clients and the final decision, making and we're able to do those rapidly.
And then when at a disproportionate rate so that kind of gives you hopefully an idea of some.
Some of those things and so inside wave X there is a lot more.
A lot more under the covers but the AI.
<unk> technologies for agent effectiveness.
One that you just really really resonates well.
That's really helpful and you spoke earlier in a similar way about becoming more of a partner to some of your clients is this an area, where you could see yourself investing behind over the medium term, maybe even carving a different level of more qualified agents in your staff that you can go to market with and say here we have this pre.
Me I'm level offering end to end now and you get X you not only get the wave technology, but you get this higher trained higher paid better qualified team of people that will really become more brand ambassador alike.
Can you read the business plan of our platinum offer.
The solution that we that I talked about it.
Remarks, that's exactly what it is it was let's look at and again think about the U S market is.
Historically the agent the agent contact center job hasn't been the most desirable jobs, which is very different than.
In places.
Nearshore and offshore markets.
This is now geared at really.
Recreating.
On a really good job and so we're paying at a fairly.
Fairly good premium for these folks so we attract a much better talent the attrition.
Because you are paying that is significantly lower.
Additionally, one of the big drivers of agent attrition is.
Just kind of getting worn out by dealing with customers.
And time and time again that may be hostile.
Angry maybe complaining and the idea of now having a platinum experience where.
Win win win that contact takes place.
You've kind of already put a concierge close approach to it.
Distressed levels out and so I think that drives into that and so that really was the whole theory of of that and that's where we've been out there kind of a building and leveraging between.
Between the agent.
Facility and the branding that's inside the facility and then the technology we layered in.
And those results are are making an impact in our results are off the charts.
And for this one client really help them move up.
Up from middle of the pack to a J D Power Award winner.
Got it very helpful. Thanks, so much for answering the question Sean.
Thank you I show no further questions in the queue at this time I'd like to turn the call back over to management for closing remarks.
Sure. Thank you very much and thanks, all for attending the call and all and appreciate all the questions.
I think we just had a great first half of the year as off of a fantastic prior year.
And all key indicators of the business are really moving in the right direction for client concentration for the new economy growth near shore offshore growth new logo growth.
We feel really good about our business and we look forward to.
Getting together in the quarter for now and and sharing our results. So thanks for the participation I Hope you all stay healthy and if youre in the Midwest or such I Hope you all stay warm.
And.
So thanks, everybody and go IBEX.
Thank you ladies and gentlemen. This concludes today's conference call. Thank you for participating you may now disconnect.
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Yeah.
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