SRT - Earnings call transcript Q2 2021

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Operator

Good afternoon, everyone, and thank you for participating in today's Conference Call to Discuss StarTek's Financial Results for the Second Quarter Ended June 30, 2021.

Joining us today are StarTek's Executive Chairman and Global CEO, Aparup Sengupta; and the Company's CFO, Vikash Sureka.

Following their remarks, we'll open the call for your questions.

Before we continue, we'd like to remind all participants that the discussion today may contain certain statements, which are forward-looking in nature pursuant to the Safe Harbor editions of the Federal Securities Laws. These statements are based on information currently available to us and are subject to various risks and uncertainties that could cause actual results to differ materially. uncertainties. listening XX-K call for posted of risks those latest review a all these and XX-Q on and advises to to this the summary StarTek its website update StarTek any does the not responsibility forward-looking undertake statements. to Further, measures. some the today discussion include non-GAAP may Regulation Company has with to amounts reconciled the measurement. GAAP-based closest G, accordance these back In the The Investors website. the section be in earnings the found can of reconciliations release the on a Section webcast available would the replay today's everyone like I www.startek.com. be Investors to call at via website that the of remind Company's will of

Now, StarTek's I CEO, would over like to turn Executive Aparup the call to Global Chairman and Sengupta.

Aparup Sengupta

[Jasprit], growth, with thank you the demonstrating our team the you, strong operational we all pleased this afternoon, of generate very as resilience quarter of I'm Thank everyone, our results continue and Good profitability for foundation. and and to joining. revenue

line growth key careful verticals drives United as Our and further across promising across driven the verticals organization. we cost helped trends including was the States. support cost top both improvements vaccine focus contributions enhance of on throughout our the our continued efficiency from these we by our operational the management growth Underlying was significant our

their growth color we delivered our and performance flexibility our additional eased restrictions e-commerce, our verticals the return vertical, and financial across service the throughout long-challenged quarter. of even recovery growth recovery and of our business COVID-XX across on recoveries-related also U.S., services in the tailwinds travel. existing as trends have and strong during To helped helped macro solid has traction continued to to we pandemic-related lows. progress. Meanwhile, some drive improved demonstrated generated certain base continued outbreak These both out In some the from geographies quarter. clients' provide QX, verticals the gradual tailwinds trends economy media our local year's industry-specific across to India have the addition factors during to the began rates vaccination last navigate from vaccination and quarter's support verticals as growth by cable, we to and last during recovery them The high-quality including

deeply our prolonged a we did most to by are retail Certain COVID-XX challenged both as and attentive travel, increase, our revenues of and over by period such the sequential to year-over-year variant. intercontinental affected verticals changing and to last closely volatility telecom instance, basis and protocols remain decline automobile remaining For year health brick-and-mortar on were segment developments as that related Delta began segments. a further pandemic-related

these as driven on our developments flexible maintain all across and partnerships. strong growth by program revenue vigilant U.S. remain supported assistance our COVID-XX was in to largely verticals segment, the will we and geographies and our of Healthcare We commitment Within Education well supportive as

to make progressed answer rollouts access our logistics U.S. range across as vaccine Within platform, thousands some a were were have health we domestic of ready of we communities able As vaccination U.S. and greater to to expanded regarding answers patients' vaccine capabilities to of able well assist able hotline as and leverage available. a throughout country, time the facilitate frame, readily these questions to short nationwide. facilitate agents

contracts. other is global similar duration, to quantity communities such operate, the upholding initiative our workforce, which U.S. to for broader geographies, or This not but IDIQ scale for time operational We critical of support agility indefinite health indefinite services only safety government's we all and agreement important this as our States. leverage in are the proud BPO of our government to are known need based on health. very health we a and in the to and Across United many the especially also the for these committed

in currently do positions the the this to us able year. bit comprehensive we support this have we flexibility our our extensive the ones provide I of continue faced particular clients detail the to well and bulk half future program to to will government attack the turn a in the XX, I the for regions, Given have agents our not June to in for encryption QX, cybersecurity support it, concentration customers around into of no on provide greater rollout but resources where which would the systems. like disruptions before anticipate experienced later did Sureka, certain efforts, That's was large-scale to were of more of vaccine the second call. threat home. Many speak some support of regions I and occurred working clock face support. optimization previously disruptions remedy, call government the of platform over we CFO, additional during But that involved worked opportunities, Vikash other we a the around our we from initial not some cybersecurity of to we

abundance our connectivity clients receiving caution. services, others suspend While to to networks the several with of and maintain out network impacted an of close to continued temporarily chose our access

forensic to restored steps allow security occurring us monitor incidents cybersecurity in incident the to in information our collaboration experts. the process systems environment, entire network prevent understand since help and our the we from work security have and close of and the similar future. implemented improvements why way We enhanced These and leading occurred with various networks, external

of last that for on may revenues As the expect incident day the occurred the impact half we second quarter, our of incident the second XXXX. the

the our quick gives me comprehensive on of However, response our team's our and flexibility in confidence platform. operational bolstering focus and our strength

driving I'm broader in year. the the of whole, recovery and very lows threat team's this pandemic adaptability from our both last the our proud On of

have further addition, leveraging our best-in-class we of maintained and strong on to diligently focus the capabilities support. client a comprehensive enhancing In provide platform

call these Vikash? second I'd walk discuss Vikash quarter our in further, greater through to Before you to like to the efforts CFO, performance Sureka I turn over detail. our financial

Vikash Sureka

$XXX.X generated during I'm revenue increased $XXX and to quarter, in compared quarter financial increased compared key very from the This on our sustained to XX.X% our and everyone, evening, On million reflects the across We good U.S. contract. constant a and you promising across key call. revenue the growth thank pleased growth the ago Aparup, quarter. for across two year-over-year report currency to in growth our by top the net the verticals including Starting quarter. government's contributions line, joining performance you, trends XX% million, ago basis, metrics. strong year assistance year net COVID-XX significant verticals, to Thank

our points currently in of compared profit quarter in margin reflects in for profit and basis ago sequential across to quarter XX.X% million some decreased $XX.X Gross strong Aparup program top to the growth in government to not expenses and to U.S. our the administrative, verticals. per top XXX to into on QX increases million expect Selling, year Similar the quarter. Gross increased compared increased the year-over-year three. which $XX.X in general million margin to in two line $XX.X to may SG&A year ago line, mentioned, quarter. $XX.X As gross XX% million client to XXXX, quarter. the half year result for we short, ago this second XX% do the continue compared softness

the compared on cost during of in increase term the X.X% we our earlier, near remedy marginally incident quarter. our client-facing As improved net This threat, diligently costs a back terms SG&A security as Returning to We to leverage the in we mentioned incremental revenue of situation, work to percentage we organization. enhance look quarter. believe information reflects the briefly of generated related overall XX.X% absolute higher our incur cybersecurity environment. this year to security to to operating SG&A expect as investments make revenue, strengthen would as in the the our the the to ago Aparup base we to and

compared this attributable is to contained shareholders $X.X StarTek also to to exceptional Adjusted increased during in or quarter. was for as year QX $X.X income Net $X.XX the or isolated EBITDA normalized rate the to quarter tax recorded share million $X.XX onetime QX confident million per during are improved quarter. year more threat reflects a effective compared The increase We significantly to loss million net the ago negative ago costs of per in eradicated. $X.X and or in to shareholders two, our $XX.X million there no significantly quarter. StarTek attributable share

XX.X%, ago subdued quarter. year percentage a EBITDA up was by revenue, primarily growth The to the comps of adjusted to XXX and our increased which increase driven year. revenue basis As in was points X.X% compared robust last

have While one-off delivered one very pleased double-digit EBITDA quarters both driven events we these two. been have by some margins, quarter quarter of and are adjusted consecutive in to

a From to million continue perspective, the sheet this compared grant second the related XX, $XX.X We we $X.X anticipate revenue the present, at at XXXX, into having second we past March quarter, two to At of quarters. in cash similar generated receivables in to million decrease income received third growth with XX, receive the of increased our quarter. XXXX, restricted some $XX.X continue during grants June totaled million due income the and quarter. cash to to balance

June at million negative few XX, has the XX, third $XXX.X operations at from was XXXX. at XXXX. was first compared million normalized second cash to quarter. led already March to this XX, debt June million XXXX, debt been XX, $XXX.X flow the While XXXX, at $XXX.X $XXX.X this in million compared Total to quarter, weeks in the Net of March

remain our well refinancing, quarter's Xx. a trailing net on to under last basis continues XX-month Following leverage

As the ensuring are stands manner into growth in of initiatives, and in we position the we continue today remain key capabilities positioned it planning the continue to second with well advancing XXXX, most liquidity comfortable requisite cost-effective half investments as we possible. market-facing that our start

will As security employees. network and for we network and our necessary our improve are and both the we clients design investments all our discussed, to security reviewing make

beyond. my We back including capabilities will our remarks. you. remainder Aparup, of to foundation concludes go-to-market sales and strategy further over call making in for investments now XXXX Aparup. our will be turn This strengthen, the our and to to also I the prepared IT

Aparup Sengupta

Thank you, Vikash.

in industry Before optimization we and have the scale initiatives environment. have leveraged Cloud our today's garnered of hybrid up employment and enable reviewing the to Since drivers essential this questions, I'd and the addition height year, the growth efficiency. of to that Across frameworks, on They providing solutions implementing our flexible this detail open flexibility have remote growth. work last pandemic initiative other for facilitate second core more propelling time year. we not digital the and and but some innovation these level at our recognition further to continue like spend become StarTek our verticals, cloud-based half our also only to in of platform call

we drive already that automation, outpaced to announced allocate AI-powered of cloud-based or on a which spending core to time data collaboration optimize, first our at with working services streamline already transactions time allow will services business will represents process Cloud Automation APAC, grew that building growing being Services a Information instance, implement quarter, QX RPA, in comprehensive For record the robotic highly information support complex quarter. experience and reports customers organize a their able costs of trend and capabilities In better rapid across this value the a capabilities are to back-end they and the front-end U.S. will Automation more to storage. capabilities more levels IT our effective can Anywhere, personnel. region's customers' another services are and in and service execution our we and where for Group necessity us on in spending enable out Subsequent area. seamlessly we the in to organizations and our our set chain. continue industry, to officially geographies overall

from so As lifetime capabilities cycle and identify enable efficiency a robust us ends, and to prioritize customer that can build accelerating enhanced they opportunities value. features these operations, or to tasks experience taking focus help time solutions, away and On organizations streamline client their our projects. customer the CX business-critical automation reminder, automation repetitive

vital XX%. turnaround As in over our for an process on the time retailer, their deals deployment reduce example, large that sellers automation a e-commerce by platform, a with

full-time an over an at a deployment our solution reduction verification, in has automation equivalents in XX% in deployed. projected leader Additionally, global background ongoing

innovation forward look progressing we As and these partnerships and we strengthen further our supporting our platform's these capabilities. further automation advantage, develop features to

and to I'll the half spend of drivers with reviewing As our as then a opportunities. parting our second year. overview organic our like inorganic time thought margin key growth progress the call, for move levers I'd we some a start into of growth into quick growth drivers expansion today's

plan leverage our Cloud and terms new In growing StarTek technology our our innovations and existing services of clients. organic automation growth, to and to RPA with we both expand differentiate

with conditions environment, and surrounding we share our to rapidly e-commerce, and services such increase global evolving high-growth so dynamic verticals, global Against a clients and pandemic within education, targeting retail. macroeconomic continue backdrop, trends. the financial wallet care, made this as operating by are business We large more will and health working recovery

having solutions to organizational Within footprint processes across these countries, a and to campuses potentially and shoring right new gives offer XX and client other us markets, robust XX make efficient delivery more capabilities clients' cost-effective. our geographic

on to are clients, as to our high-margin is as sustainable opportunities, home continuing to we shifts today. resources worked from with To contract global scale work greater target assistance and COVID-XX and We such prioritize the but high-growth, U.S. have widely something now more pandemic, models specifically accepted hybrid speak capacity, we become during this larger discussed earlier. already to the optimize more government

versus proportion agents who view and split, XX% the to campus As we remotely XX% work stated a at we on continue quarter, respectively. agents last long-term have we of

This While reach can this agents us -- ability quality these processes bandwidth our greater Cloud capacity, we to service reach on our to relatively we allowing our we provide reinvest when SG&A still and in in provide asset-light a benefits numbers, reengineer have has can sales to our what proven scale efforts, StarTek greater and turn limited engine, high of flexibility. value, expansion our margin bolstered and giving to visibility in manner. optimize

Finally, an the we inorganic our in relationship lever CSS have Corp. growth with

partnership strategy plan. early in a currently value is role will ahead and pivotal it is Although days, play of to this our tracking scale growth and adding

potential also media value our greater from can derive other partnerships. digital Automation such collaborations As even this we as strategic and other relationship, RPA, we and Anywhere develop social

and where our core very I'm and the are actions our on we management. well now are our to have organizational significant far preserve last efficiency thus sustained experiences, quickly Abbigail, of the cost digital operational to demonstrated seamless ones proud the positioned believe open at we of financial have reach We serve continue broaden to get both and focus call we achieved as optimizing today. pandemic optimally we growth efficiency with adaptability to our platform for customers. our and platform. investments going strengthening protect of the are of These our and we and progress innovation we agents will moved balancing the where operational year, the outset our that to Since capabilities facilitate have we careful and workforce, our remain questions.

Operator

now our first comes And Instructions] Zach B. the Riley from of line question with [Operator Kamans Securities.

Your line is now open.

Zach Cummins

in in Congrats you was on just the Can vaccination QX. the vertical efforts? care sense, start a that around the you quantifying in strong health by COVID-XX much upside results centered the here how of off saw

Aparup Sengupta

take would question? you that like to Vikash,

Vikash Sureka

can I Zach. Aparup. Yes, take that, Hi,

government's I in the said generated like yes, drive on vaccination. the the this U.S. commentary, So was through

of we unlikely So, about year, generated second was is the revenue successfully the of completed. in $XX that quarter half two, million in given the program which continue to

Zach Cummins

federal sense Is trying the that overall for kind your to decline your get other drivers were just of the business business compared of Understood. services? some to to that government? related of That's saw the margin? helpful. we I'm of sequential in a that margin gross is what And lower

Vikash Sureka

No.

that fact, right? would margin fact this is does And actually value that this level, business somewhat it However, say In nature. the not was at our margin generate I is in average EBITDA we reflect the accretive. temporary margins to is it program

revenue on margin and two. both benefit did we So quarter in front

it margin However, certainly will continue, dilutive. this as not not we forward, move program but is

Zach Cummins

that be that about return are basis, how Is nice expectation strategy sequential is both mean in can And on that grower? consistent I to mean, that something the that the telecom to your year-over-year a Or what a moving I you of Understood. vertical? forward? thinking for in vertical, terms growth see and

Aparup Sengupta

covering for I'll and take I and that, us. lot Zach. appreciate this call, Thanks a your supporting

significant So lives in part their is force telecom working are it see in important this has and higher significantly, it part that driving work see resulting suddenly seeking we data an using areas. the the therefore, these therefore, which -- this or basically, that be are that frequently, are has it remotely using happening more phenomenon we devices very spend a means that network globally people, or people been of a become the the of is of where era voice into volumes consumers higher and be Consumers such and, in support. and telecom

probably I that's telecom the sector. we over say, So reason seen the have that few months last, in the would

be And home. number from large a will a will in potentially, reduce. So I their data or workforce spend the a the be our lead a phone and work people on time of therefore, of probably devices, where of could will And this operate on believe, is of strategy consumers also engagement. additional to to having therefore, trend hybrid light on-campus will lot the it going

trend that's that the So we seeing. are

Zach Cummins

Understood.

Aparup Sengupta

other won know, you thing, Africa. that. let to as And in South the a large telecom I also contract very Zach, wanted is We

back. of potentially So value million total period. coming is $XXX And a is contract that five-year about telecom over

exciting. that's So

Zach Cummins

great coming That's how impact cybersecurity about relationships with seen the you you're as But from trying any of specific win. as quarters to the sense impact Congrats to get regions? we I thinking incident? the large mean, with as a potential the or can I'm hear. you've the far just incident, speak go client fallout sort on into that the of to

Vikash Sureka

look at... See, I today, think you if

Aparup Sengupta

Cybersecurity. Viaksh. go go Yes, Please ahead, ahead.. please

Vikash Sureka

Okay.

Sorry, Aparup.

on June. I itself Zach, So of occurred XXth mean, this incident

and that stabilize I some the that we incur has to some to we well stabilize incur this take will costs incident our happened impact will that, totally should completely a incidents, in is of secure, to experts what into also dimensions really of we as we we And As to we very sites. mean, So however, quarter event, costs cause as expect And Through thoughted three, precautionary any and appointed what various the forward. forensic speak get as know, of number the right? we incident. right? network two, you hardly event we us type saw is understand do quarter go itself and these one have measures

when more expect to environment, you the CapEx over right? internal a we and invest quarters, have on the do we I want will next we three, months our the may comment on front. And Aparup, better question? lot security OpEx customer will sense of and IT few to that both speak So, you that and quarter in a in

Aparup Sengupta

Yes.

I correct, at part today, large -- think. we that Yes, Zach, that's you look mean, I environment. of mean are if very client from the a clients' I work

lot So to information a ecosystem. large hold not extent, our within a of we do clients'

So whenever effectively. future happened whatever required, are a both today, as we with the systems, and secure. basically all threats. a challenges kind well And a control as some is them device-level of recovered for our had -- but of at had perimeter-level very And we control internal attack we are that doing some any

Zach Cummins

Understood. helpful. And schedule. any over sounds I can your time? you and like provide strategy It question solution update mean, just of And relationship That's as your around go-to-market I'm me, ahead CSS Corp? impacting with evolves portfolio that's to how how the just for potentially final curious

Aparup Sengupta

Oh, absolutely.

last which are I basically front partnering I think we end, the quarter. in mentioned at the

does a work. CSS understand, you tech of lot If support

the significantly a being So hyper-growth tech lot such of organizations, that is support we of a a expertise kind growing void had. bring intrinsically in are Gap] ahead of never they part that and and [Audio company, areas. in a area a

kind customers pockets tech they And of do consumer wallets. experience of for of we the share some kind also and support work, have of whom

we together where that's joined CSS. So with have

same that support. kind in consumer And to in the also the opportunities we the have brings We of experience CSS team work value non-tech some where time, bring side the built of we common at together on value CSS. bring a for

been continue therefore, a very would we to front at I that that. good, So end, there is develop will do we have to say, synergy the and able

Zach Cummins

the results. on strong Congrats Understood.

Aparup Sengupta

Zach. Thanks,

Operator

comes question from Bamberger next Our with Baird. Rob

Your line is open. now

Rob Bamberger

really the the sequential margins. XXX at expected cause have just bit little acceleration. sequential looking what revenue about would gross acceleration? Maybe was given than XX% But I compression. It guess for nice the basis was we of revenue the what weaker points Yes. gross a margin

low caused compression? coming guess I government program maybe wasn't the What assistance at this on margins. sequential margin So

Vikash Sureka

Yes, I Aparup, right? take can that,

Aparup Sengupta

Sure.

Vikash Sureka

the mean across that margins of of the itself saw well. So if gross in right? margin quarters, verticals were you're We we our strongly that mix four your impacted India overall, And dilute gross government and generate question you it's revenue grow margin. fairly various three, trend at terms we've as I look right. much. there, is we seen contract a of bit on But didn't last general But our stable. various geographies, that little a

and are way and growth would be leaps gross the trajectory. fairly margins. the three, revenue see gets pandemic stable sometimes, the skewed that overall, on quarters, out to an of Our the the that now over impact I way coming last in is has and the upward appears the four But our of margin back, we coming

Rob Bamberger

government, Okay. back be U.S. back in to of since the going program just That's of going as you not there any is agents, one-off involves down costs Or half? it great. margin off it that is thousands to the said? coming program, dilutive And government winding maybe

Vikash Sureka

Yes.

wind and the which while Aparup a they mentioned, on are cost no easily. is combine right? So these commitment specific that there programs he Like there quite program, to doesn't is one-off have commenting, was

that there ramp-up bake while these a already we So is in cost contracts. we price

project. And we will went as in incurred extra program, this the us. already we no executed for QX on cost that's there as So be

margin So the of dilutive that be us for subsequent year. in will the half not

Rob Bamberger

guess, in grants, maybe much the then some you forward impact. expect, going and thinking Great. about Okay. QX QX grants? had just first the the How from grant two do I quarters And

Vikash Sureka

not it as be in come that it income question. two, as I benefited be as expect in grant is well. through QX. me three I'm $X.X But grant but have not last seeing for will right? I high million the the QX. over quarters. hard to good cannot This QX, predict, we low some we Yes, mean, as are to sure do of

$X anywhere I expecting is unpredictable, I'm So again, which want underscore. $X.X fairly million is this QX. to between come million, in to But something that

Rob Bamberger

sense. makes question XX% in And your XX% And XX% a on what percentage guess of is the from about term. this split noted maybe quarter, That doing workforce office you cost home. just work work-from-home Yes. then I Does long environment? last of And the employees currently in still could sense over home from from over make time. efficiencies this? work any last

Vikash Sureka

It's XX% which situation. about to It's And XX%. through the very various as we struggling vaccination it And between in dynamic XX%, keeps initiatives. still and countries. of hovers We countries going. nature a you operate depending surges operate that on lot seeing the on are program in the coming for are we and whole know, variance and in

But continues and may to guesstimate, remain very it's dynamic our that I XX%, XX% word, volatile. range. within if So the use

So that probably will continue as we speak.

Rob Bamberger

any And that normal? range to Great. relative being cost in from Okay. efficiencies time over

Vikash Sureka

remain home you if what aligned look believe today, I much. a two you specific XX% of huge workforce is gives because is reasons. at say it you do we mean, a center. amount to will flexibility of that would pretty for at the I Yes, are not One

workforce it years flexible could to home, in when access we from from So of was work. with now you that workforce, happening ourselves are from drive centered workforce two not around entire geography. where our is home can the work people neighborhood, the to if specific earlier center this because -- and radius that you working just a you let's have have is remind kind you're XX-mile But where and XX-mile which say, a XX% or constrained XX-mile a

the we operate. very over labor it's across that almost all phenomena, not just and So we U.S. countries large a pool can tap it's into globe, the there

that's a a a infrastructure very that, a lot of this liking. of capacities interesting we at-home stuff flexibility. heightened the lot work. to back centers They're of finding the evaluating have are cost due clients And also are So, and that of lot at

staff that work. of future back for we of who require come and would the premises, that clients many conservative we who for growth like capacity nature ensure to up the kind might on-campus work opened are from So have in additional controlled kind

that us a both we from ways. infinite and capacity, of home. have it At kind allows customers a which have to growth, of been lot vacant of issues work is allowed kind this So it have a come an who the have worked up to work. of of some beneficial flexibility accessing of and ability an improvised it's kind would have of same like It's because do the that vacant of work-from-home time, capacities

Operator

question [Operator is Omar Samalot. Instructions] Our next from

line Your open. now is

Omar Samalot

guys, amazing. expected that. I quarter, Great never

relief wondering be of of the terms cyber if that I risks was -- threat, policy guys there maintain? In would you terms any in insurance these against

Vikash Sureka

Yes.

So that, Aparup. take I can

some So comprehensive yes, in so place. was we foresight there do policy our have in very a cybersecurity And thinking.

costs are that incur And identify. ecosystem of that -- as right? a complete which the policy, of last event, lot certain well, could on will prepared this we to IT certain to will will deep lot largely be strengthen will confidence that that, Company, In confidence. and OpEx of we the have stabilize give prospects customers gaps therefore, backbone, through going insurance naturally us in or to make identified are the just we investments, right? a we doing CapEx, the which both the I covered and fact, year, having our coverage lot lead give right? said just entire increased think, are to our So we a when we reading dive of were policy, by we the fact, to However, in incident, And our

insurance of that and in by covered policy. managing largely So the cost I the over itself to thought the expect but come into our time, incident will be P&L cost

But that that, Of course, it's think have on we'll I define. always deductibles beyond subject policy. we the to

Omar Samalot

mean, SG&A Good. guys the to That's helpful. you do amazing line. And of obviously, job Okay. in continue terms I an

can So there it there's business. obviously cybersecurity invest that some back and security you the into the the leverage of

Vikash Sureka

That is right.

However, having said client invest having organization. plans bit that, on a also are a to Omar, casing we

over number be SG&A that will quarters. see you next there that could our stable, on the is So largely slight while couple of uptake

Omar Samalot

enough. Fair Okay.

So quarter, being out call in historically revenue putting growth you the if lowest growth, piece. despite amazing and there that aside QX care still you take volume showed health the even

evidence that new and programs clients grow new of to that continuing is So, the for Company?

Vikash Sureka

think I of is both. Yes, it combination a

offer They a cycles in what customers. amount is because growth also I opened through up. you. from happens larger new have of you and clients have your business, They innovation They new gets they with As comes go they existing this our of know, the business grow that lines volumes. products that large think to

of industry. is kind which generic in the a very something phenomena, that's So BPO

other and I India well to well are added force. is the wanted the the pandemic, an been some thing they sectors, that doing there extraordinarily of is out that The of bring sector e-commerce coming and on has

kind I of did the At very coming same the in new that this scale basically we are called the whenever clients. the of though course, beacon are the U.S. of growth. also with South Africa. time, win customers getting comes up it's to testifies is vaccine for agility for a we that temporary have there And existing about just in nature, work program that onboarded. handy those So some mentioned our

and tech, retail. will capacity growth up, edu was And coming good there in for therefore, education believe in that capability. clearly in health a our the the be care, the that I So especially very such sector, in test

So these are well. also coming back

nondiscretionary popularly do new if business. with consumer additional are what light would I be both experience, spend. and we customer seeking. you continue clients that well is if opportunities to custodian a from growth, you the from as overall, say will experience business existing as they of the continuing manage the It's that the very And is and to it I called So right on be you reward

Omar Samalot

those Okay. how be you you like had misplaced. that Very explain how maybe of it seemed in brought you talk now market and grossly there concerning market during fears were the good. perform you about the India. up it India some to what what And misunderstanding positioned terms are for in And you India? Could fears worked me QX? would in seems could And

Vikash Sureka

See, two there parts. are

domestic which geography, the India as look at one call serving you citizens, what is If I a citizen is is growth.

has pandemic that with a during momentum, seen something is therefore, So era especially e-commerce that companies. the

given one, lot definitely growth. of which that's a So us has

are look of clients. at that The second destination offshore also if India some for is an you thing, they our

an of was back, is therefore, U.S. that the with mean, led to recovery, came to So which hampered growth, is growth has the additional back -- which and coming India. bound that they some I

say others, So manner. the a in big were such especially, resilience has that and preparedness therefore, lockdowns navigate I would very allowed wave and effective to India we to that especially, that jolt additional with us wave basically the a us, prepared, us first was gave second prepared,

in team do It's easy to into or not It's basically or a that not to that move done few struggling assets developed people. go we homes entire we was figure first and work out that There homes. They by heroic a were in few and miles The of not everybody how got of their up. our do was wave work stranded of as you come India. show the do miles. tens to could as a hundreds miles

has and allowed So we capability to that capacity and work, those that be did all of resilient. us now

So we others lockdowns say, second, of the very and constraints would I of effectively. wave navigated

I is from planning would for something, are understanding say, looking outside? was in probably that India not So in, baked at people who and

Omar Samalot

helpful. very That's Okay.

Vikash Sureka

significantly. you see announced. hyperscale some all of of the in mean are IPOs I the latest observed a can I also them back you up if lot growing of And IPOs mean, and of they we companies. into coming marketplace, they India, I spread that mean, coming, are of the are range

is us. momentum that helping So also

Omar Samalot

Okay.

small had a be the to you're question months, current now, disconnect achieving months, the EBITDA, I and between And past very year performance Company's don't a seems Was the future there regarding in share XX close your in prospects. right performance. to subject. if you that even your and stock market price June at next over XX could of and $XX million Finally, just that views disconnect? the on open tend to highlight looking not I your stock purchase know trailing in

Vikash Sureka

is in one believe believe this that personally of I I if personal you're that you by, personal the market, talking company. my that talking a open are was buy market in of? the open That

Omar Samalot

sir. yes, Yes,

Vikash Sureka

Yes.

of to not beyond very stock no be how sense internally, the will Company, So able reflect shares Company however, the market at there in value this mean, the control. But that growth, being the to you I the works, behaves that in very, therefore, and the It's are is wanted what I the of how being I the control. But comment. and was -- it we and the heart my believe not have does bullish the as buy probably I I know, should looking it Company. at reflect.

whatever some of make a I my sure I that own piece I'm personal capacity, upcoming do, wanted day. capacity, have could to come in will sure growth, which I that So

Omar Samalot

congratulations very wonderful, you guys, wonderful thank on Okay, quarter. a much and

Aparup Sengupta

Thank Omar. you,

Vikash Sureka

you, Thank Omar.

Operator

over concludes Please And our Sengupta. I back proceed. you. this to Mr. turn to now Thank session. question-and-answer the call like would

Aparup Sengupta

speaking Thank support sessions I us listening you And look everybody for third for forward all you, quarter afternoon Abbigail, to joining StarTek. for thank with we these you you results. us next thank and this continued patiently. when your so conducting for to report for our

Operator

ladies gentlemen. and you, Thank

You may now disconnect.

Vikash Sureka

quarter. Thank you, everyone, see you next

Startek (SRT) 10 Aug 212021 Q2 Earnings call transcript