Cognizant Technology Solutions Corporation has posted an 18.1 per cent year-on-year growth in first quarter revenue at $2.02 billion. The company has also reaffirmed full-year guidance of 17 per cent growth in revenue.
During the quarter ending March 31, 2013, net income rose 17 per cent to $284.2 million, from $243.7 million in the comparable quarter the previous year.
Quarterly diluted EPS on a GAAP basis was $0.93 ($0.79)
Francisco D’Souza, Chief Executive Officer, attributed the growth to emerging offerings in new markets, new technologies (social, mobile, analytics and cloud), and non-linear solutions and services.
The company expects second quarter revenue to be at least $2.13 billion; EPS at $0.97 on a GAAP basis. Revenue for the fiscal year 2013 is expected to be $8.60 billion, up 17 per cent compared to 2012.
The company also announced that its Board of Directors has approved an expansion of its stock repurchase programme. The Board increased the stock repurchase programme by $500 million to $1.5 billion, and extended the term of the programme to December 31, 2014. To date, the company has repurchased $940 million of its shares under this programme.
“Our financial model continues to allow us to deliver solid top-line growth with stable margins, while investing in our next generation of services to spur long-term strength,” said Karen McLoughlin, Chief Financial Officer.
In the first quarter, net income rose sequentially by 2 per cent, while revenue grew 3.7 per cent sequentially. Net headcount addition was around 6,000, taking the global headcount to 1,62,700 as of March 31, 2013.