Cognizant Posts Net Income Of $648 Million In Fourth Quarter
Cognizant posted a net income of $648 million for the fourth quarter ended December compared with a net loss of $18 million a year ago.
The IT company also announced that Brian Humphries, currently chief executive officer of Vodafone Business, will be its chief executive officer and member of the board of directors, effective April 1, 2019.
Revenue stood at $4.13 billion, up 7.9 percent from $3.8 billion in the year-ago quarter.
“Cognizant executed well in 2018, diversifying our revenue base and client roster, and investing to build distinctive leadership in six advanced digital capabilities,” Vice Chairman and Chief Executive Officer Francisco D’Souza said in a statement.
For the full year ended December, its net income rose 39.6 percent to $2.1 billion from $1.5 billion at the end of 2017.
The annual revenue of the company increased 8.8 percent to $16.1 billion in 2018 from $14.8 billion in the previous year.
“In 2018, we continued to focus on operational excellence to drive margin enhancement, while continuing to invest in the business. We also introduced a more balanced capital return programme to start in 2019,” Chief Financial Officer Karen McLoughlin said.
The company, however, said based on current foreign exchange rates, it expects first quarter and full year 2019 revenue growth to be negatively impacted by 170 basis points and 70 basis points, respectively.