Friday, May 8, 2020

Cognizant net income declines 17%; to hire 20,000 at entry-level in 2020


The company is aiming to invest in business and would onboard around 20,000 entry-level executives in 2020.

Teaneck-based IT major Cognizant has reported a decline of 16.78 per cent in net income at $367 million for the quarter ended March 31, 2020, as compared to $441 million in the same period a year ago.

The company is aiming to invest in business and would onboard around 20,000 entry-level executives in 2020.

Its revenue grew by 2.8 per cent to $4.22 billion during the quarter compared to $4.11 billion a year ago, after a negative 50 basis points impact from the exit of certain content services business it had announced earlier.

The company said that the Covid-19 related disruption reduced revenue in March, reflecting delays in project fulfilment while the company shifted to work-from home capabilities.

The highest growth in revenue during the quarter came from Communications, Media and Technology, which grew 5.2 per cent to $626 million. Financial services and healthcare, which contribute around 34.3 per cent and 28.3 per cent of its revenues, grew by 1 per cent and 2.5 per cent, respectively. Products and resources grew 4.4 per cent to $954 million.

Growth in banking was driven by the contribution of the previously announced partnership with three Finnish financial institutions to transform and operate a shared core banking platform and regional banks in North America.

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