Key Highlights

● Third-quarter fiscal 2026 included a non-cash goodwill impairment of $1,050.0 million.

● Revenue was $2,453.7 million, down 1.2%, while adjusted EBITDA margin rose to 14.8%.

● Operating cash flow was $268.2 million and free cash flow $221.2 million.

● Fiscal 2026 guidance includes non-GAAP operating income of $1,206 million to $1,216 million.

Latest verified development

Concentrix Corporation (NASDAQ:CNXC) reported third-quarter fiscal 2026 results on 29 September 2026, for the quarter ended 31 August. The headline was a $1,050.0 million non-cash goodwill impairment, which turned a year-earlier GAAP profit of $1.34 per diluted share into a loss of $16.24 per share. Because the charge is non-cash, it does not reduce cash, and the figure is best read alongside the operating measures below.

On 8 September the company also announced the acquisition of CastleHill, which it described as strengthening enterprise risk and compliance capabilities.

Operating results

Revenue was $2,453.7 million, down 1.2% as reported and 0.5% in constant currency. Non-GAAP diluted earnings per share were $2.92, up 5.0%. Adjusted EBITDA, a non-GAAP measure, was $363.0 million, a 14.8% margin against 14.5% a year earlier. Chief executive Chris Caldwell said the company had reached an inflection point at which half of its revenue comes from business it has won and deployed.

The divergence between falling revenue and rising adjusted profit is the central feature of the quarter. Margin has improved while sales have slipped, and the open question is how much of the gain reflects efficiency and mix and how much reflects the exclusion of certain items from adjusted measures.

The GAAP loss also shapes full-year guidance: the company guided a GAAP operating loss of $512 million to $522 million for fiscal 2026 alongside non-GAAP operating income above $1.2 billion. The two sets of figures measure different things.

Cash flow, debt and dividends

Operating cash flow was $268.2 million and free cash flow was $221.2 million. At 31 August, debt comprised $450.0 million current and $3,925.4 million long-term, net, and the company had redeemed $600 million of senior notes early during the nine months. Concentrix made no share repurchases in the quarter, leaving $396.6 million under its authorisation.

A dividend of $0.36 per share was paid on 4 August, and a $0.37 quarterly dividend is payable on 3 November to holders of record on 23 October.

Total debt of about $4,375 million, the sum of the current and long-term portions, is large relative to quarterly free cash flow, so interest costs and refinancing remain relevant. Maturities are set out in the filings.

Fourth-quarter and full-year guidance

For the fourth quarter, management guided revenue of $2.410 billion to $2.460 billion, a constant-currency decline of 3.0% to 5.0%, and non-GAAP earnings of $2.86 to $2.98 per share. For fiscal 2026 it guided revenue of $9.827 billion to $9.877 billion, non-GAAP operating income of $1,206 million to $1,216 million and adjusted free cash flow of $630 million to $650 million.

Impairment, margin and the guided fourth quarter

Impairments of this kind can reflect management's lower expectations for the value of acquired businesses, and the notes to the company's financial statements identify which reporting units were affected and why.

The guided fourth-quarter revenue range of $2.410 billion to $2.460 billion sits close to the $2,453.7 million reported for the third quarter, so the margin of 14.8% and the $396.6 million of unused buyback authorisation are the figures that will show how the year closes.