Concentrix Corp (CNXC) shares are experiencing a significant pre-market plunge of 8.40% following the release of its second-quarter earnings report for fiscal year 2025. The customer experience solutions provider's results fell short of analysts' expectations, disappointing investors and triggering a sell-off.

The company reported adjusted earnings per share (EPS) of $2.70 for the fiscal second quarter, missing the analyst consensus estimate of $2.75. Although this represents a slight increase from $2.69 per share in the same period last year, it wasn't enough to satisfy market expectations. Concentrix's quarterly revenue reached $2.417 billion, surpassing the estimated $2.381 billion and marking a 1.5% year-over-year increase. However, the positive revenue performance was overshadowed by other concerns.

Adding to investor worries, Concentrix provided weaker-than-expected guidance for the third quarter. The company projects adjusted EPS between $2.80 and $2.91, falling below the consensus estimate of $2.92. Furthermore, Concentrix reported a decrease in its adjusted operating margin to 12.6%, primarily attributed to temporary program pauses mid-quarter and investments made in anticipation of accelerated growth in the second half of the year. Despite raising its full-year revenue growth outlook and plans to return over $240 million to shareholders in fiscal 2025 through share repurchases and dividends, the market appears to be focusing on the current quarter's shortfall and near-term challenges, as reflected in the sharp pre-market stock decline.