Convergys Increases Revenue 3Q

Share this content:
Convergys Corporation reported increased results this week for the third quarter and nine-month period ended September 30, 1998.

Convergys' third quarter revenues were $370.3 million, up 55 percent from $238.5 million in the third quarter of 1997. In the first quarter of 1998, Convergys acquired AT&T Solutions Customer Care (formerly Transtech) and the teleservices operations of Maritz, Inc. These acquisitions contributed

approximately $111 million to the revenue increase in the third quarter. Excluding these acquisitions, revenues increased 9 percent on a year-over-year period.

Operating income increased 33 percent, to $45.8 million, compared to $34.5 million in the same quarter last year. Net income increased 8 percent to $25.6 million in the third quarter of 1998 from $23.6 million in the second quarter of 1998, but fell 3 percent compared to the third quarter of 1997.

Results for the third quarter 1998 compared with the third quarter of 1997 reflect a $6 million increase in amortization of goodwill and other intangibles and approximately $8 million in additional

interest expense related to the acquisitions. Additionally, third quarter Year 2000 compliance spending grew to $7 million from $3 million last year.

Diluted earnings per share totaled 18 cents for the third quarter 1998, compared to 19 cents for the same period last year.

The company's revenues for the first nine months of 1998 increased 44 percent to $1,042.5 million from $725.0 million in the same period last year. Transtech and Maritz contributed $261 million to the increase. Excluding acquisitions, revenues grew nearly 8 percent. Excluding an acquisition-related first quarter special item, operating income for the first nine months of 1998 was $128.7 million, up 17 percent from the same period last year. Net income for the first nine months of 1998 was $73.3 million or 52 cents per share, excluding the special item. Net income for the first nine months of 1997 was $81.4 million.

Next Article in Agency

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above