Cognizant Lowers Revenue Outlook, Citing Softer Discretionary Spending

Cognizant lowered its full-year revenue outlook as macroeconomic uncertainty weighed on discretionary spending, while its forecast included earnings per share of $5.72 to $5.79 and a margin near 16.1%. The company cited uncertainty affecting spending, particularly in health care and consumer-facing sectors. It also expected a lower contribution from third-party resale and a larger fourth-quarter impact from furloughs. Third-quarter revenue grew 4.8% year over year on a constant-currency basis. Bookings rose 4%, with a 1.3-to-1 book-to-bill ratio, while Financial Services revenue increased 12%.

Source: TokenPost