Teleperformance Reports Surge in Revenue on Acquisitions

French call center mammoth Teleperformance reported a big jump in revenues Monday for the third quarter of 2007 on the strength of acquired entities and expansion of operations in North America.

The Paris-based operator of 293 global call centers reported revenues of $534.6 million for the quarter, a 24.8 percent increase from revenues in the third quarter last year. Teleperformance did not release profit or earnings-per-share figures for the quarter as it does so only for half and full year results.

In North America – which Teleperformance defines as its NAFTA region – revenues rose 15.2 percent to $224.6 million in the quarter. Teleperformance’s NAFTA region counts 39 call centers in the U.S., five in Mexico, one in El Salvador, and 10 in Canada, with six of the Canadian centers catering to U.S. clients.

Although Teleperformance does not break out revenues by service line, the company dedicated quite a bit of earnings release space to discussing its recently-closed transaction of U.S. collection giant Alliance One. On August 1, Teleperformance announced that it was paying cash for the Exton, Pa.-based Alliance One (“French Call Center Giant Acquires Debt Collector AllianceOne,” 8/1). Teleperformance has not disclosed the purchase price. At the time, the company said that it was part of a strategic move into the accounts receivables management industry, which it already dabbled in overseas, and a push to further its reach in the U.S.

In the earnings release, Teleperformance said that the transaction closed on August 1 and Alliance One was integrated into its American subsidiary, Teleperformance USA, on the same day. The company reiterated its desire to push into ARM and stated that this was its first entry into the U.S. debt collection market. According to the release, Alliance One had revenues of $115 million in 2006.