Cognizant's Q1 Net Profit Drops To $546 Million
Cognizant's Q1 net profit drops to $546 million, a 5.8% decline year-on-year, with revenue at $4.76 billion.
Nasdaq-listed IT services company Cognizant has reported a 5.8% year-on-year decline in consolidated net profit for the March quarter to $546 million.
The company in a release said its revenue guidance for the full year 2024 is 'unchanged' in the band of 2% decline to a 2% growth in constant currency.
For the first quarter ended March 31, 2024 (the company follows a calendar year cycle), the revenue came in at $4.76 billion, a decline of one per cent over the same period previous year.
"During the first quarter, we delivered revenue above the high-end of our guidance range and continued to make progress against our strategic priorities," Cognizant CEO Ravi Kumar S said in a release.
"We have built upon our large deal momentum of 2023, signing eight deals during the quarter, each with a total contract value of at least $100 million."
"As our clients navigate an uncertain economic environment, we are adapting to the market dynamics by helping them achieve operational efficiencies, supporting their innovation agendas, and preparing them for AI-driven transformation across their businesses," he said.
Cognizant said the 2024 revenue guidance remains unchanged at 2% in constant currency.
"Full-year 2024 revenue is expected to be $18.9-19.7 billion, a decline of 2.2% to growth of 1.8% as reported, or a decline of 2% to growth of 2% in constant currency. This assumes up to 100 basis points of inorganic contribution," the release said.
Total headcount at the end of the first quarter was 344,400, a decrease of 3,300 from Q4 2023 and a decrease of 7,100 from Q1 2023.
