The call reflected a positive sentiment with strong revenue growth, improved margins, and significant advancements in AI technologies. The company showcased its ability to win large deals and successfully integrate strategic acquisitions, despite facing challenges in certain segments like CMT and Europe.

Company Guidance

During Cognizant Technology Solutions' Q3 2024 earnings call, the company reported several key metrics reflecting positive performance and strategic progress. Revenue reached $5 billion, marking a 3.5% sequential growth in constant currency and a 2.7% year-over-year increase, aided by 200 basis points from acquisitions. The adjusted operating margin improved to 15.3%, bolstered by operational rigor and increased automation. The company highlighted a significant achievement of signing six deals, each valued at over $100 million, bringing the year-to-date total to 19, surpassing the 17 large deals signed in 2023. Health Sciences emerged as a strong segment, growing 7.6% year-over-year in constant currency, while Financial Services returned to growth. Additionally, Cognizant continued to focus on AI initiatives, having rapidly developed tools that enable productivity improvements, such as generating 2 million lines of accepted code annually, and announced plans to invest $1 billion in AI platforms and capabilities. With over 1,000 GenAI early engagements, Cognizant demonstrates significant traction in leveraging AI for client and internal productivity gains.

Strong Revenue and Margin Performance

Third quarter revenue was $5 billion, growing 3.5% sequentially in constant currency, and 2.7% year-over-year. Adjusted operating margin improved to 15.3%, driven by strong cost discipline and automation.

Health Sciences and Financial Services Growth

Health Sciences increased 7.6% year-over-year in constant currency, while Financial Services returned to year-over-year growth, driven by an uptick in discretionary spending.

AI and Technology Advancements

Significant traction with AI-led revenue opportunities, with over 1,000 GenAI early engagements. Launched new platforms like Neuro AI and Neuro Cybersecurity, enhancing client offerings.

Large Deal Momentum

Signed 6 deals with total contract values of $100 million or more in the quarter, totaling 19 deals year-to-date, surpassing the 17 deals signed in 2023.

Strategic Acquisitions

Completed acquisition of Belcan, enhancing access to the $190 billion ER&D services market, with anticipated revenue synergies exceeding $100 million within 3 years.

---

Cognizant (CTSH) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

CTSH Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Jan 30, 2025	2024 (Q4)	1.12 / -	1.18	―	―	―
Oct 30, 2024	2024 (Q3)	1.15 / 1.25	1.16	7.76% (+0.09)
Jul 31, 2024	2024 (Q2)	1.12 / 1.17	1.1	6.36% (+0.07)
May 01, 2024	2024 (Q1)	1.11 / 1.12	1.11	0.90% (+0.01)
Feb 06, 2024	2023 (Q4)	1.04 / 1.18	1.01	16.83% (+0.17)
Nov 01, 2023	2023 (Q3)	1.10 / 1.16	1.17	-0.85% (-0.01)
Aug 02, 2023	2023 (Q2)	0.99 / 1.10	1.14	-3.51% (-0.04)
May 03, 2023	2023 (Q1)	1.05 / 1.11	1.08	2.78% (+0.03)
Feb 02, 2023	2022 (Q4)	1.02 / 1.01	1.1	-8.18% (-0.09)
Nov 02, 2022	2022 (Q3)	1.16 / 1.17	1.06	10.38% (+0.11)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

---

CTSH Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Oct 30, 2024	$74.06	$74.30	+0.32%
Jul 31, 2024	$75.09	$75.71	+0.83%
May 01, 2024	$64.58	$65.47	+1.38%
Feb 06, 2024	$77.48	$76.76	-0.93%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

---