TDCX (TDCX) 22 Nov 222022 Q3 Earnings call transcript

Hello! And welcome to the TDCX Q3 2022 Results Announcement. My name is Alex. I’ll be coordinating the call today. [Operator Instructions]. I’ll now hand over your host, Jason Lim, Head of Investor Relations. ahead. go Please

call. welcome call. And of third XXXX on quarter Relations. Hello name to is conference the management introduce My me Head Jason earnings Allow everyone! to TDCX Lim, Investor the

Junique; We have our Mr. EVP Mr. Chairman, Founder Edward our Goh. Tze and Corporate our Mr. Neng; and Chin of CFO, CEO, Executive Laurent Development

the risks Before future. be statements which forward-looking we will we continue, make not I may would subject like and to to realized and in remind you that uncertainties are

place financial You any and statements. as not on should any discussion forward-looking EBITDA Also, reliance the includes of adjusted adjusted income. this measures call net certain non-IFRS such

available measures refer reconciliation press Form release the non-IFRS IFRS are closest the to our to on For website. our please measures, or of which the X-K,

of not a of me translation representation construed to any let done have to hand dollar the This at this that, should please. translation rate that over Laurent. other at Singapore converted U.S. amount a or rates. We This be for the With S$X.XXXX. Singapore call can dollar. the be Laurent, was dollar into as USD any to convenient US$X provided

addition new one network. the one brings global our I'm a been and third Turkey. to welcome thank recognize strong best. of in and their once us everyone and in the share interesting for to we once XXXX. quarter building very results. two Philippines, of but that solid an do the campuses our campuses, has the our a year, to results plans with We've team delivered Hello them. Istanbul, to continue It quarter of the XX expansion globally take briefing happy want Iloilo by total another I the This shows driven to as team’s the in execution to opportunity in again TDCX continued to again continued this of This

namely QX, revenue four of South which Colombia, XXXX. India, in greater QX, Korea, to newer against Romania from seeing geographies, made for contribution up XXXX are We growth our XX% year-on-year close and the

and and with positioning Our Europe space, changes stronger CX forward. Pacific, footprint competitive the will condiment outsourcing emerge going us enhanced ourselves expansion in our amid with in was objective Asia I’m the the strategically well of provide LatAm to edge planned

the the quarter, During quadrant. were also We have The global capabilities, leading named technology Center the recognized. report. XXXX to our we research Contact Leader top by are firm, of advisory our had report proud and in acknowledged us at practices their Singapore/Malaysia positioning ISG, industry

positive we impact our ESG the front, be with transformation we On drive for help the to communities. commitment disadvantaged greater community social the to will the Foundation. TDCX Through Foundation deepened bringing of able to launch the

revenue We from robust growth was by me financial mentioned space, highlights QX next to geographies rose our or the as strong of some performance. clients delivered earlier. as revenue our from Let in and hospitality particular key million. travel verticals, XX.X% This driven across new in contributions million well XXXX, as as US$XXX cover S$XXX

outside pace the client our helped to at twice grow group than more Clients of concentration. top based. broad five has diversify the in was growth growth Our This XXXX. revenue continued QX, our rapidly,

XX% to XX% two of compared last at year. top compared top XX% last at XX% QX five Our stood to while clients stood year, the

and and QX, clients by and from to performance existing new XX% travel In terms was growth compared XXXX. in its higher of boosted revenue hospitality contribution trajectory clients, was On exciting contributions top of up we continued added this that the strong from vertical. verticals,

we double-digit is top there and deliver and us strong Asian the US$XXX services to by to the be sales new FinTech is long hope to the the as in social over has well vertical, The Despite QX at and for to advertising them posted high travel clients. growing platform strength third for the short-form meaningfully remains driven moving as we US$XXX The that pre-pandemic the and the still to room levels; market turbulence, Our in hospitality for and and service, and able forward. reach growth video, latest vertical advertising on-boarded even by CAGR global North in the According reopen. billion global now The starts our media as particular markets, are in leading digital of to attractive and quarterly revenues digital growth our grow, travel key a recently to however, research marketing acquisition of year-on-year back marketing remains started media our XXXX, when vertical market period. billion projected remains segment is digital vertical. to by some percentages digital advertising over for estimated report XXXX XX.X% more largest the recent an term. contribute

Payment continue verticals e-commerce makes space this and Crypto to add Other to include gaming. verticals, such other X%. try will a contribution to across in than companies. FinTech up less small and revenues clients these three around we group crypto exchanges clients Gateway, as than Our different

US$XX income of terms that performance share to rose comparison for quality which million. cost million a strips growth, deliver and numbers growth, basis earnings or In continue adjusted earnings showed quality plan out we our S$XX year-on-year to XX% like-for-like net the

earnings remains Once cash operating industry activities net translated margin year-on-year. flows. into XXXX. leading cash XXXX the US$XX our Our of strong was again, EBITDA levels, at XX.X% million, XX.X% from QX, adjusted growth QX, quality is up at for

sections. numbers Our in later CFO will details share more the on the

earlier, terms starting the geographies, in show expansion up are In geographic mentioned numbers. as to our initiatives of strategic

services to in starting of different across pockets and able from different strong of the use our weight and revenue a pull footprint, that TDCX are America. to are is clients geographies of geographies. with building to and contributions Latin parts didn’t range new such their Asia we North Our TDCX as world expanding provide With solutions full be

better the strengthens our Turkey we to the X,XXX meters. in the During also and Middle capability East serve offer to addition will Turkish This as growing German. Arabic such European square languages quarter be launched to back spanning our campus on a of able TDCX us into into In October the our tap in owned from Greater company will China demand brands. to Hong we better restructuring the subsidiary. market allow opportunities strong wholly Kong This completed associated area. of

as as as Moving Asian opportunities American into to exciting Indonesia centralized to as Indonesia, and offer a expand to further multilingual forward, languages population, a an decentralized serve the key and geography we plan model. flexibility well Brazil. Vietnam Brazil model, Vietnam markets. is a huge Southeast Latin has well in broader with

continued It XX in months logos of momentum, on or QX. was we setting development we delivering nine a up a the months we quarter nine first total the executing front, XXXX, up in of where development business our against our signed signed the have for XX XX% a business back XX for On focused launched the first we clients logos XXXX. and of

Our client higher. September XXth count to XX count June XXXX. a XXth XX now now is compared year of of XXXX, Compared XX% at as as ago stands to the client

in to an Now, as I’ll guidance. cover to on to update detail, the well as hand the Mr. provide financials over Chin

Laurent. you, Thank

last growth we quarter what are line The margin million performance. it margin QX Revenue driven in EBITDA adjusted year Let a sales digital with four an EBITDA we details high, CX improved which have provided. in present have was on we QX margin a $XX actually content, by across is more and key trust XXXX to this rose to QX XX.X% the basis, XX.X% declined QX, there distorted some the was first $XXX comparison. compared X.X% of marketing, XX.XX%. to XXXX, rose safety performance guidance omni-channel, and of our me financial basis on service If XXXX million, XX.X% XX.X% also with to reasons EBITDA This definition. for adjusted as a from for for to achieved margin throughout The of XX%. exceptionally year to led year-on-year were sequential analyze Adjusted lines. on the margins line and

in Asian higher volume as period during XXXX’s and lines preceding to clients significantly business from digital productivity increased service was from QX CX and quarters. Firstly, key marketing sales two projects the omnichannel, this

lowered agreement Secondly, warrant catch-up group the of QX, following execution was the XXXX. by revenue September Airbnb a reduction in XXXX revenue

to had of cumulative top our the service dated on period the in for start agreement to we XXXX master account of As current quarter.

with the Thirdly, cope we our to with business increasing strengthen in increased. and campaign year, was overheads past TDCX in for requirements. Also expansion increase company corporate XXXX structure management a listed some being

QX, rising competition talent Lastly, adjustments since current began the that that in year. we continue XXXX into response instituted to compensation

adjusted on Let to income. net me next move

that largely rose income did the Our at period share XX% implementation adjusted last for of $XX due to occur profit net a a million. reported the Net the performance in to plan year. period lower same X.X% the not on rose basis,

QX Revenue was our service we to by performance Next, from on share to high existing due million, up and XX% revenue campaigns of mainly US$XX the by insights in driven the business omnichannel, volumes FinTech the expansion technology solutions verticals. some CX lines.

increased arising million this from travel borders XX% sales continue our services advertising throughout reopening our business of with QX, by key trust US$XX the increase safety volumes $XX Revenue X% and and CX of campaigns clients digital rose to an content, and and marketing media to recovery gain respectively. and content, up and XX% addition, hospitality expansion existing volumes. from In to at of the service digital while momentum, from year. XX% of XX% clients. key omnichannel, by digital and our safety total XXXX sales marketing business, In to made services due trust from million business in Revenue contributed

our on elaborate operating expenses. next me Let

costs revenue XXXX of operating a at For QX, XX.X%. as percentage stood

than earlier like-for-like Excluding This costs adjusted EBITDA to XX.X%. for reasons higher at stood QX the this I due a last XX.X% margins. gave PSP year basis, on on was

XX% expense for benefits employee QX. to increased by million $XX Our

for required in, talent campaign a higher Wage benefit living. by employee funds. to like-for-like adjustments to employee due due would dynamics increased that and account operate management PSP increased we Excluding and XX% market cost have expense of basis, cost on

office period rose Thailand higher in expenditure and incurred. expenses other XX% largely fully expansion Our due business recruitment, capital depreciation telecommunication by cope slightly for driven Singapore, QX, XXXX, with big demand. the no with by well depreciated operating expenses other Philippines being declined ticket technology, as renovation assets to volume to as expenses All certain X%, and during

to year. across to the Adjusted as same guidance appear the nine mainly period expense which $XXX our net the Revenue by due declined X.X%, while XX.X% similarly XX.X% not income in did Next, margins performance. let to to plan three million, to at rose rose driven million lowest for me share by XX% month the year. Adjusted lines. XX.X% growth within EBITDA performance financial our net all business US$XXX range income some slightly rose service share million, last XXXX rose on details US$XX

XX% arose by by from solutions US$XXX CX omnichannel form marketing digital million. services and trust content, $XX revenue front, services Revenue $XX to XX% increased million. from to revenue million, months nine to and the rose For sales revenue while X% safety

CX For months up respectively. the and of of sales business, safety omnichannel, is content, nine marketing while mix and our at XX% XX% XXXX digital and trust XX% total

share nine details next stood Operating at a on months me revenue nine some percentage as of our XXXX. Let expenses. XX.X% for months cost

at increased Employee this cost, and PSP competitive million US$XXX and talent management the stood requirement of on mainly PSP conditions. due market Excluding to XX% expenses benefit higher wage higher cost, and XX% funds, XX.X%. costs employee without account to landscape increased campaign by

driven other declined expenses due well expenses increase. to All with other fully being spending assets depreciated recruitment, to operating rose lesser major capital expenses technology, XX% with depreciation X%, by certain largely telecommunications cope and volume by business as as input. renovation by Our

our let Lastly, me on an XXXX year full provide update outlook.

the full range outlook XXXX come reiterating revenue of financial the while closer end as year the narrowing at the are year. to We we the midpoint,

full financial S$XXX.X XXXX. to at guidance year is remains growth. has to S$XXX information XX% in S$XXX midpoint dollars. a company's range stated million, Our S$XXX million to the to year million previously. represents range S$XXX XX.X% XXXX representing growth been to full million The million narrow from The The narrowed of revenue Singapore revenue of compared unchanged XX.X%

understand would our US$X readers With this in productivity, emphasis June full million. $XXX XX, and rate approximate XXXX would of above the maintain $XXX in million to of me be EBITDA in XX% that, we At a effect of Jason. to million on be XXXX S$X.XXXX, management the context approximately adjusted $XXX to US$X S$X.XXXX the our to September XX, and XXXX million. translation quantum margin cost guidance employee the hand as U.S. continued dollars. to rate as to With approximate over XX%. to convenience of approximate However, help year $XXX be back we let provide effect Applying the of to numbers revenue

Chin. Thank Mr. you

keep please. you. I now Operator, to request floor for the questions, please. of you May Q&A. three yourself that each us open Let Thank

Thank you. Instructions]. [Operator

today Our is now KC, line for KC first question CIMB-CGS. from your Ong from comes open.

Thanks Hi! taking questions. I have for Good question. two evening. my

you guidance color volume Firstly, in saw projections for any on this line can for are your decision. I’m XXXX, have terms FY’XX. you seeing Thanks. in I top just you both what client's outlook that margin? And to and narrowed latest terms secondly, which the revenue provide led of wondering, of

right, hi for KC! Thank the All you question.

So well ninth months. year. close nine month. quite looking completing to getting just at end our the we're of look, the now We're completed We've the

we than our visibility, guidance open leaving have We for felt to was rather so it full it enough narrowed transparency. duty a communicate

and now to really S$XXX enough the now sometimes around visibility the million of to well end unchanged happen. So S$XXX. our the the having on narrowed and book of pending year, clients any back we've from until is million from year will the unforeseen that's of in the which it it to circumstances, Midpoint S$XXX S$XXX order end

quite really we our year too their We're discussions our have the of rest we Relating second clients. around to give are next are results visibility it's budgets, over announce year. set the in XXXX. and in your early here a question details issue outlook, when with QX will on March So, working good to formal guidance for as we and

not However, color, just have you give of a to bit fundamentals changed.

in We’re the Asia. the in region growing in faster world, still

service. our need companies economy New

got companies recent that the new you've economy, heard the Google time, we've bright At new the Asia. you’ve and a a side, for Temasek from bleaker the stuff, shows growth the moving XX% forward companies. latest report in economy new clients Southeast outlook layoffs number that economy got with On of same

growth are does forces stabilizes, change. two play not those outlook think macro I term assuming our backdrop So in long

back So track growth plans. we'll get our on

in long growth. our geography, in arsenal our made new momentum. We've basically, next term also progress good So development number a we remain added solutions have we on confident We've our for business so year. of

So we're looking XXXX. in digit double growth a at

Got it. Thank you.

Thank you, KC.

you. Thank

question a now line comes your of open. next Sachs. Vitt from Pang is Pang, Goldman Our

line the opportunity and you the evening for Hi! Thank much very good everyone here. on

Just three side. from my question

seen global of Firstly, could Meta us reduction slowdown, headcount going you been impact program. we colors internet what the key the with help in business. your terms have some of like provide your have Post to some client's on

in this outsourcing to the business. terms And of how to has terms this addressed Question can in they the your Which question risk Why with going So Is what growth level. return interact their, kind been omnichannel, despite is well. that’s to forward continue margins. so has that last is number CX of your we travel there related exposure your as impacted been one segment subdued one has I in pre-COVID its Meta hear into lastly, number customer wanted expect year, of as quarter growth and to the way revenue TDCX partner. of next of to and the any two one. main going

margin You risk the into over contract? are able next as to sustain over discussing Any your going last Any or potentially the year? customer the your few cutting from cost implication of the XX% quarter.

All right, see Nice again. you Pang. to thank you

at as industry the think digital Regarding at number level comment of clients, layoffs that well. look impact who on If announcing I the clients. specifics a a advertising maybe cannot the I because around as clients whole really are I for whole, is

very the are course, concern and closely. watching is we us there that Of for

money usually their a can there's up On in alternative. That reducing imagine consider cost. possibility could some to an the labor for as outsourcing and invest clients – to we growth them they frees the that bright side, are

as want optimistic, to caution, lot we than I of but Again, watch So a a to very don't we sound is this advertising potential digital client. yet our one have this business more opportunity. of with made just closely see

moving the profiles at watch. place strong let's on digital who have look clients We global of have basis. not advertising the world so some it's a growth Again, forward, to only

for is it our look advertising is most Asia most which the still area for we and where in digital in of it Let's growing a of general TDCX, operate at this clients.

the front, the growth in XX% seen we’ve – growth in the On significant on travel, industry. the Quite digital OCX up. travel

year comes OCX continue this China growth well expect double whether no space. our to grow into indications We growing to was see for and we'll at us, FinTech as all digit as next we possibility, a play as know. in

number also of spot. in clients space that at that's double and a that We bright growth have our are a our growing

next and this at reminder still from that derives and of once margin I'm than pace has with this. in I result still more that good as business-to-business question, will a From a that working model a very that. offshore view, work from business lot engagements just engagement, our point again probably so consumers all as addresses We not a so of grow would a revenue a TDCX So third confident of changed, your CX year complex we say derive well. with revenue of as our companies do rather that

So our this, result and margins. continue really expect maintain to work up as to our we doing to more of margins complex that to drive a do we and tends intend

don't stay into employee that's to have where new in lower expanded and certain some dramatically, are we will margin the should profile regular that geographies be are we within reviewing in them strategy our However, revenue be change of we basis. a long also as we But all-in-all, our countries for per account. range on average a taken and as

Thank you.

Pang. you, Thank

Thank you.

question Morgan. Qiu comes Sigrid from next JP Our from

ahead. now Your open. go line is Please

questions. my taking I for much very you questions. Thank have evening! Good Hi! three

sort The from follow-up of Pang’s first is question. a question

TDCX. three you also And by these could be, would you. also business, yes, lastly, type? observe and could Meta you you would new new out my second you of to question of own business attrition how what account your category? the types, different latest impact the with profile their tell core the logos rate, do and if employee be do three business what's main probably share each logo us Thank could on sign your your wondering, recent describe and us up contribute your most And Just maybe downsizing

the around first much one really right, the so I'll the and give again, to cannot client back specifics comment coming really you I as particular cannot on All back go details unfortunately to question we’re I watching think industry prospect same and space the digital look, for that Pang optimistic advertising overall. I digital answer for with a year. But of TDCX advertising next around cautiously around whole as

we're As far actually as precise. employee in XX,XXX It point; this giving something to stands it be to be be than as a sure a higher are up that on XX,XXX for sure, and recruitment to should not teams so detail, good it a trend more of has by things. side our gone deliver required clients. involuntary used to at the both looking Attrition with bit we concerned, to employees The the I’m at but our plus count is the pre-pandemic, is this headcount we voluntary between able continues XX,XXX slightly. news

have organizational not but recruit, getting changes our strengthen are management systems, it’s acquisition through talent some the technology, we to although deliver we leveraging So able leveraging made capabilities. having also to easier our to

higher So attrition it be. to than used is

more of deliver like. edge challenges, our the harder you'd to the sword a they services, are of recruit, to we required we double experiencing have. and clients able delivering kind number what gets if it's yet The same need leveraging the because still are are We headcount it

that growth helping cloud, of business sell is have up, logos space, so in a only the cloud. not here. terms we client opportunity interesting new we This In in signed so to

the client food interesting and in we out of an India Colombia. both run that have delivery We automated

– really the position future. Something a towards

have new been in so from the RFPs company search logos We've also also Malaysia We and implemented quarter, busy. we've existing busy that's new a XX past economy operation. replying our as well clients. interesting been We've in

to So starting there's overall well as their clients P&L. momentum are those a our good in and pull weight

Thank you.

Jonathan, your Woo question Our now Philip Jonathan line next open. of from Securities. is comes

too. question Evening management, Thanks. for thanks taking my

you you second factors levels The all, where is were you little the factors that just campaigns What wanted maybe I you on given slower have where call to all, whether kind but on want and that? first that of were last comment back bit XX led did this in would you noticed your a of what want up little of this. launch implementation. a kind are that first be, implementation was the to that I than to it to where it be. bit suspect of it quarter, – mentioned for the that you it Can is be to

the interest nine just months compared noticed I a and year. nine for nine to not quarter, income last increase big is, of other – in but the second the of third operating The for months the months this year for

could You Thank share think a of this. you. bit you on color

we Sorry the the second missed Jonathan, question. mind Do second repeating you one?

nine yeah. Sure, big and the year months and interest increase in compared third a this income kind year. a for last for the was of other income to There operating quarter of

Just a that, yeah. color on bit of little

it. Got

I other on interest income income think operating the Mr. will Chin answer later. and

is Your I confirm just first, on can implementation. it

campaigns? are about or You implementation talking

yes. Yep, correct. Yes,

the Yeah, we to have Laurent question. first take

in quite significant so a on experience, implementation at We've side business on XX a third of – as the some and business the XX% implemented had new growth well with we summer the of as well. Yeah, increase the travel logos the travel XXX% here and quarter. campaign up, hospitality on

in over hand but our so income. interest a the a the completely capability really Mr. scale clients hard, quarter new challenging it's the around indication of I our second looking quickly new that quality question of terms was for. to are to on to So Chin programs, deliver and good know I'll XX has delivering new team delivering headcount, and it implementations, clients, worked the

coming from a to still in flow Yes. instruments had quarter, of the business we we primarily a bearing Hi from a out place excess to in that cash the sort interest Jonathan! On completed IPO placement more income funds, up funds especially have step operating for keeping. due are the quarter. third interest – bump picked The the them this top of that, the and of

exchange last have opposed The income in As the front yet we foreign because in XQ, IPO currency the with to main projects largely delivery we year funds IPO sites key that due to projects, the gain of deal the key of rate we operate, in dollars against the better operating didn't were with. we October. culminating exchange from that from primarily U.S. is various

the from culminating foreign recent expected significant higher the as in into into exchange line. move the other operating So jump foreign income from two, the quarter taken again exchange,

Great! Thank you.

comes Our from Ahuja [Operator your you. Instructions] open. line Credit Thank is next Varun question from Suisse. Varun, now

three you. congrats on Good set a good questions. and numbers. got of Thank management, I evening,

new on margin it's opening if you offices. up front you’re believe XX%, but I locations I from are two, excited your can -- judicious at potentially that's Now, and First about will a perspective be think when growth. you to just think years seeing Laurent, you it Number margin you XX% upside? your around about XX.X% double-digit a of XX% the it, think much but is you on higher at quarter, – older, next this one. surprise understand if – more XX% look still you which range vertical you may look XX%, to – number to just verticals the the But industry the if blended about around you mentioned are and at look

have they contribute last locations to If the revenue. at and you new starting are three up two years, to opened you look

of at that So how can perspective, locations margin? how on When to question now, think months contributing and months. last more valuation you not group that that the XX, sides, now think a you we think positive how should the looking right think right been front? the Thank within for How various have over you M&A we from XX think about know start are the XX you. utilization, cash update fit they seeing we about, or it, is as not opportunities, to will should why various now? they are as and been the going profile we M&A fit? provide that do those yet about blip in, new the should you where the in given any next should of closer issue? to about evaluation So Is to that margin contributing right looking Last location you locations? add you’ve it margin XX you Where the technology find the and on opportunities is and the are able

advertising I'm about and you, you OCX should overall, still have safety limited it's Thank in whether it that's us about still our again fairly trust moderation, see industries, The I'm first to pending hospitality really travel once growth steady. and year. Sales again so on for to a work for good around really and that's of have year a is recession And services year, so again, group. mind, question one. that's Marketing next content take a and to excited slowdown, because a Digital potential next until happening when number thought next Sales I'll think be we that at again Nice Varun. questions. the do see of some there, next that are from and of part winner three will I answer team We're digital the we going I three your again. The Industries SDM, also where pretty and excited and these profile growth? coming growth Marketing, cloud think Digital see from a you well. so us advertising. as of into what from an At interesting things still next stage, featuring a year play there's digital with of FinTech we're for nicely well, be could to Gaming strong or together as where is going when materialize? year? can

to on Ed I'll So for Maybe margins. it's defer deliver the that. easier these ask the question on Chin the third areas. I’ll to us Mr. cover for Chin, and then Mr. for to margins,

yet revenue. up On sure Talking years sites blended new productivity, of ago, feet. even a margin still the Showing Yep, terms last we in the finding they wise, are big contribution, terms mature still to lacking of Laurent. year in the throughout of proficiency units are the exaggerating that about, of up signs scale. the support bring year their of lending the sites beginning level deliver until margins to of experiential, set still talk mature this couple the units. about to four reach the units the new They yes, which of the these units, of largely probably that to bit are their speed and a up business because you scale

to the Maybe quite one our working in closest coming of are in hard the Europe South probably actually the was we – that margin business still are we Asia, first up perhaps the on the to setting bringing doing margin is rest a level. whilst that setup in to infancy unit at be. Japan setup, hoped are them So that level we

We bring now. into the I behind. they year, phase the would our having way are all of are in through up them, probably in have units on probably we – utilize I just – and the continue year, especially bit fully that say QX, the motions are capacity mature forward But a the in into next to back last for revenue we that is to the to the is QX side, designed still the well, breaking during we to early they the going still will going use was part efforts are stabilizing, QX. improvement notable Yup, that that think the yet whilst quite still in revenue to probably of speed, level them

Mr. want Chin, – to finish Hey would Varun, at you please? it sorry,

about introduce was I to done. I'm the third question. to you No,

have. that M&A, continuing Chin. you of the thank are Okay, Mr. review we Varun, building the pipeline Hey up on the with of and you topic we know

sort are of we're think you good as do selective well. to in quite but We know be to we obviously We have a position. something, keen

I the cash but there's available. act profile I in position think good there's think in we is right understand environment a puts a when we buildup, sort rising of cost a credit, the us financial of current have to where that target

valuations. views to certain is where I from quality of year, adjusted but their still it’s there's have sort obviously think I evaluation concerned, that out companies think last continues there obviously on

staying of front. on these some to sort close update are when and we development that opportunities there's very of So will

know view Chin up, the to of utilization, I enhance proactive interest think to plan as a coming I front. the on beginning really cash the management, is sort the have Mr. the approach, cash think On mentioned, to to I see think more income you

sort that's of capital our the view on current allocation. So

Thank you.

Thank you.

from comes Goldman Sachs. question next open. Our Pang, Pang line Vitt of is you now

Hi! Thank here. a just follow-up quick you. And

you recall about Airbnb got I September. mentioned signed in warrant that Firstly,

service agreement with can regards wondering was potential as this there share around well. warrants risk? you warrant to the in the Are dilution your any price So with there, change any whether master associated and colors

in on moderation So number investigation peers color wondering so I post, concerns can your of that, Question content wondering about whether any you growing two, any just share your was there one. Colombia. is number one that's whether question business

that business. So we wondering whether there's anything monitoring content out worry about looking should the – for or be in

Hi here! take Maybe the the Pang, first I'll on Ed questions warrant.

you’re right. So

filing. the X-K have think that I would announcement you in seen

finally we Airbnb. discussions reach that So quite we with a pleased conclusion to are the

think amends relationship agreement; Airbnb. basically the I this with this

I being of further this that, convert it I with XK two also the of ADSS’s, agreement involves met aligns you. that Airbnb their liberty accounting terms between disclose and in measurement in it, the allows IFRS standards. I not to to am at period. measurement interest volumes more be the Thank the respective that with line XXX,XXX can a up with think certain but share the for a will than companies to share subject in to underlying intention warrants, basically the into it which

Pang, in Colombia, with authorities disputes we at not have provider it, the on challenges relating the back to to just the looked obviously, moderation, decided of some providing some content and services to stop article case the labor content moderation in relating but read some challenges.

very on So all, other parts of that do. a services doesn't we business content first TDCX of provide This currently in in to is carry do Asia. much Colombia. We to moderation and like

really employees services the to a whole have these with programs lowest the the care staff world in and services, services a illustrate, we've is and locations, We infrastructure we to whatnot. wellness today's careful with very, way deliver employees. to care we've it infrastructure a lot which necessary are, deliver an we that great management, with approach in society, designed and to we who of that And this those able very very these specific it. is in really find just experiencing delivering all deliver, around our for turnover to training a be business makes That because in approach built the of to

not general trust So providing in and at do a moderation and in safety. see for I point, TDCX content concern this

Thank you.

you. Thank

Ong line KC follow-up now question a is from your KC next open. is question CIMB-CGS. of Our

taking Thanks again. Hi! question once for my

questions, housekeeping Just a few questions.

in hedge side, year. ForEx part later the Firstly, the do especially this exchange on of volatility you given that

rate think on a Secondly, rate, recall rate tax year? this How Malaysia quite is about bit tax should year on probably we going thirdly And of Airbnb. elevated, we and tax next again a where into of because see I Philippines. is year

revenue Can I Airbnb us color the like catch think quarter How you a on front? a offset third reduction would this you in without more did mention your in remarks, one bit prepared of revenue from that up. this? the provide it something or is look just

Yes, is Chin KC. hi here. This

the and side and the But the the revisiting of position, as next going executed revisit or steep into forward recent was in we hedging the revising to situation, well in we – due recent as given the to naturally. the our quite Tax are tax the position, to ForEx of of ForEx we times ForEx our to year I'm ForEx trend so due possible the our from any the the plans for to direction. in any due possibility new Philippines. of position XXXX in perspective, mitigate in in action we set the device turning of Philippines in that exposure risk major on PEZA currencies rate in unit the PEZA the of probably wise, the reduction relation rate the seeing Philippines rate the tax other our of a any hedging maintained looking companies, going cost not and incentive revise have breaks On trend pretty primarily developments are – things, ForEx, to trending latest

are our closely into strategy avail going incentive with them year. map to ourselves next with to to consultants tax the next We connecting engaging and our

year, was by the previous absence in budget prosperity factored was in, As the of proposal current of situation, a for next but to the situation in Malaysian for new Government this – be prosperity this the current. political it an how tax tax the remains taken Unit, going government Malaysia, the the Due there the light to seen into future. tax of will at look

with And Airbnb of comment cleared the it has thing, the is outlook the really much Agreement warrant Service just warrant I the to Agreement, on setting Master as what conditions business political situation Services yeah, until of – – because the one So this bit tax can't renewed and last the September was warrant agreement situation a as is year, the year. mentioned up. whereas it the of the prescribing a the volumes was, link Edward Master executed TDCX on – now, in has

TDCX in the measurement Master the was concluded So – before to of reduction catch first which was Service be for warrant Airbnb had the executed. up Agreement volumes to of the that the awarded agreement for was alignment was done period with one, the by

Services bit a the as a signs, maximum warrant agreement – the up reflects the of with quarter quarter was Agreement up the spirit as catch commercial two this the first to period. of is correlation in which well three, post Master July So from that there on elections catch the September,

was was reflected in catch that the that that QX So up the financials.

up, I mentioned and you a or more it’s margin revenue When of a thanks. it, assume that impact, catch not… is Got impact

a revenue, revenue impact. was It

it. Thanks. got Okay,

Thank you.

question Qiu next comes JPMorgan. open. from Sigrid, from now Our your is Sigrid line

have for three answering Hi! Thank you questions previously. questions. follow-up my I

to OCX, I split. want for level, what's aggregate revenue and onshore understand firstly the So offshore on just the

percentage Philippines, service your support customer the moved overseas goes to go – what percentage and for some work support are their for would clients, example, So largest offshore. be to And business business clients move that of domestic increasingly also agents sitting what of operations. their in their

So process you do the do offshore Is with you see us employees. compared the split share on lastly, this your And clients are level And peers to some lowest secondly, I determine your this of of compensation sort could you the in vendor side how as think change? give in the CX consolidation. of or onshore to high and of your biggest you industry.

you a see in do Thank this process? share So, take you. yourself bigger up

and something reason really we positively footprint consolidation it to clients a that's said you It top very start to vendors think reverse. one you. the able big global clients. to Vendor say year in and number is happy the wanted the we're is We closely I'll ago. are we Thank that that of that those to of the beneficiaries market for watching probably enough be in we consolidation top to have we made I the the questions. of Thank so a going to be and be happen. to our pursue – the went of used happy strategy, that we've to future quite participate

in that happening to see I'm this and year. space So are that happy quite we there

the that in peers our I’m On comparison have that that result versus peers. and its a have say at we official there but the can It an market is than to was confident to study, it be to had don't attrition TDCX we peers, a good pay compensation compensation, audited, last as would the our levels of that, I lower indicated of that time mention. officially

that is So corroborates market, good kind again, against the enough just to not headcounts of we're deliver. the we to regularly which employees. benchmarked peers, the our delivering that asked compensation, are And attract are is

of do say XX%, only Now, delivered the versus thriving that covering the are work, of the offshore. America all we Singapore and ratio or primarily, or the in and Philippines, in in Japan do and but on North the Thailand in offshore, China Colombia even and Barcelona as delivering work we we work do of in amount onshore on is is of result work offshore Europe, let’s Malaysia out XX% been we've offshore a

in do or Turkey, to is Korea, potentially are future, decentralization accommodate the we've won't Good that a there impact set Vietnam, per lower we've could eventually So Vietnam. future, to to may news Malaysia, who say our Indonesia, locations, need set looking as, client centralizing in maybe news be we've which the set in locally clients a in up we've work in be by in cost in designed the revenue up in up is where set the Colombia. that's an TDCX employee. Indonesia opened we've up good But reducing network we've not to for

requirements So hope I we number solution have clients and to offshore if to products your answering and a that's migrate question. to or of our were onshore, from offshore to onshore offer to they

Got it. Thank you very much.

you. Thank

you. Thank

to Lim back further We for have any hand so for no I’ll remarks. Jason today, questions further

everybody thanks for No, us tonight. spending with time

any feel holiday a you, season Thank to ahead. out all got happy Wishing you reach free guys. you follow-on, very to If just me.

joining Thank you call. today’s for

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