IT, consulting, and BPO services provider Cognizant Technology Solutions has reported a 28% increase in net income to $144m for the fourth quarter 2009, compared to $112.3m in the same quarter in the previous year. Revenue was up 20% at $903m.
Operating income grew 17% to $167m, while diluted EPS was $0.47, compared to $0.38 in the same quarter in the previous year. Cash and short and long-term investments increased by approximately $210m to a total of $1.55bn during the quarter.
During the quarter, the company agreed to acquire UBS Groups’ India-based captive service provider UBS India Service Centre Private Ltd, and also entered into a multi-year services agreement with UBS to provide business process outsourcing, knowledge process outsourcing, IT, and remote infrastructure management services globally. Cognizant also opened an expanded delivery center in Toronto to serve its US and Canadian clients.
For fiscal 2009, the company reported a 24% increase in net income to $535m, compared to $431m in fiscal 2008. Revenue was up 16% at $3.3bn.
Francisco D’Souza, president and chief executive at Cognizant, said: “Despite a very difficult economy, Cognizant delivered strong results with 16% annual revenue growth. The investments we made in our business leave us in an even stronger position than when we entered 2009. During the year, we grew our workforce by more than 16,700 people, improved our employee utilization, strengthened our client partnerships, and brought new services and capabilities to market. We believe Cognizant is set to deliver robust performance in 2010.”
Looking ahead to the first quarter 2010, it expects revenue of $935m and diluted EPS of $0.48. For fiscal 2010, it expects revenue of $3.94bn and diluted EPS of $2.03.
Source:http://www.istockanalyst.com/article/viewiStockNews/articleid/3856689
