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Mar 31, 2023

Cognizant Q1 2023 Earnings Report

Cognizant's Q1 2023 results were announced, with revenue at $4.8 billion and bookings growth of 28% year-over-year.

Key Takeaways

Cognizant reported Q1 2023 results with revenue of $4.8 billion, a decline of 0.3% year-over-year, or an increase of 1.5% in constant currency. The company saw record trailing 12-month bookings of $25.6 billion and Q1 bookings growth of 28% year-over-year. They expect to return $1.4 billion to shareholders in 2023.

Revenue of $4.8 billion declined 0.3% year-over-year, or grew 1.5% in constant currency.

Record trailing 12-month bookings of $25.6 billion; Q1 bookings growth of 28% year-over-year.

Operating cash flow of $729 million and free cash flow of $631 million.

Expect to return $1.4 billion to shareholders through share repurchases and dividends in 2023.

Total Revenue
$4.81B
Previous year: $4.83B
-0.3%
EPS
$1.11
Previous year: $1.08
+2.8%
Gross Profit
$1.67B
Previous year: $1.73B
-3.5%
Cash and Equivalents
$2.46B
Previous year: $2.19B
+12.1%
Free Cash Flow
$631M
Previous year: $186M
+239.2%
Total Assets
$18.1B
Previous year: $17.4B
+4.1%

Cognizant

Cognizant

Cognizant Revenue by Segment

Cognizant Revenue by Geographic Location

Forward Guidance

Second quarter revenue is expected to be $4.83 - $4.88 billion, a decline of 0.6% to 1.6%, or a decline of 1.0% to flat in constant currency. Full-year 2023 revenue is expected to be $19.2 - $19.6 billion, or a decline of 1.2% to growth of 0.8%, or a decline of 1.0% to growth of 1.0% in constant currency. Full-year 2023 Adjusted Operating Margin is expected to be in the range of 14.2% to 14.7%. Full-year 2023 Adjusted EPS is expected to be in the range of $4.11 to $4.34

Revenue & Expenses

Visualization of income flow from segment revenue to net income