Cognizant is giving positive vibes to the Indian IT industry with strong revenue growth and an improving attrition rate
CognizantTechnology Solutions posted highest-ever quarterly revenue growth of 14.5% in constant currency to $4.8 billion for the fourth quarter ended December
- Moreover, the company also forecasted for a highest-ever revenue growth of 8.5-11.5% for 2022.
- Shares of the IT major ended 2% higher on February 2 on Nasdaq.
AdvertisementNasdaq-listed information technology (IT) major Cognizant Technology Solutions has delivered its highest-ever quarterly revenue in October to December quarter, signalling positive cues to its Indian counterparts like Infosys, TCS, Wipro etc. It has posted a revenue growth of 14.5% in constant currency to $4.8 billion.
Moreover, it forecasts revenue growth of 8.5-11.5% in constant currency for next year 2022 at $20.0-$20.5 billion. The company follows the calendar year for its financial performance.
Following strong quarterly earnings, shares of the IT major ended 2% higher on February 2 on Nasdaq.
Another positive element in Cognizant’s earnings, which can be a sign of relief for the Indian IT industry, is its improving rate of attrition.
Cognizant’s attrition rate has improved to 31% in the fourth quarter from 33% in the third quarter with 3.30 lakh total employees.
“During 2021, we continued to invest in our people and strategic initiatives while navigating the heightened cost pressures driven by the labor supply demand imbalance,” said Jan Siegmund, chief financial officer at Cognizant.
However, Cognizant still has the highest attrition rate compared to its Indian peers.
SEE ALSO: Here’s why analysts are saying Manyavar’s IPO is heavily expensive leaving very little room for investor profit
More employees are leaving Tech Mahindra than TCS and Wipro
Popular on BI
- Here’s how much banks have increased home loan interest rates
- Avatar 2, Black Panther 2, Ant Man — Here is a complete list of Hollywood movies expected to hit Indian theaters in the next 6-7 months
- Taj Hotels’ Qmin food delivery app claims to be the only profitable business among its peers
- India's foreign exchange reserves fall to $573 bn
- India's retail inflation dropped below 7% in July for the first time in four months