Friday, November 11, 2022
Harte Hanks (NASDAQ: HHS) is a leading global customer experience company whose mission is to partner with clients to provide them with CX strategy, data-driven analytics and actionable insights combined with seamless program execution to better understand, attract, and engage their customers. Using its unparalleled resources and award-winning talent in the areas of Customer Care, Fulfillment and Logistics, and Marketing Services, Harte Hanks has a proven track record of driving results for some of the world’s premier brands including Bank of America, GlaxoSmithKline, Unilever, Pfizer, HBOMax, Volvo, Ford, FedEx, Midea, Sony, and IBM among others. Headquartered in Chelmsford, Massachusetts , Harte Hanks has over 2,500 employees in offices across the Americas, Europe and Asia Pacific .
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Patrick McCann, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Strong Q3 results. The company reported strong results despite a challenging macroeconomic environment. Third quarter revenue was $53.9 million, beating our estimate of $50.25 million by 7.2%. Adj. EBITDA of $5.3 million was a hair below our estimate of $5.5 million, largely due to the mix in lower margin revenue from its fulfillment & logistics segment.
Counter cyclical segments. The company has a unique revenue mix that carries counter cyclical qualities in its fulfillment & logistics and customer care segments. Fulfillment & logistics beat our revenue estimate of $19 million by 23.7%, and is expected to continue its strong performance through 2023.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.