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Better-Than-Expected Teleservices Financials

March 12, 2008
Outsourced call center services provider Sykes this week posted better-than-expected financial results (revenue of $197.7M was ahead of the consensus $189.9M estimate, and OPM of 7.7 percent was above the 7.2 percent consensus estimate). Analyst group Stifel Nicolaus Business Services (www.stifel.com) has chalked it up to the fact that the company is experiencing "sustained, broad-based demand (across all verticals including financial services) from both new and existing clients, and the company plans to add 3,000-4,000 additional seats over 2008 and into 2009 to meet this demand."

This demand, according to the Stifen Nicolaus report, is good news for the outsourced contact center service provider market as a whole, and indicates that "clients continue to spend on customer service work despite broader economic issues."

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