CTS Q4 2013 Results Highlights | Q4 2013 CTS Results | Cognizant Announces Record Results For Fourth Quarter 2013 | Cognizant Q4 2013 Results

CTS Q4 2013 Results Highlights | Q4 2013 CTS Results | Cognizant Announces Record Results For Fourth Quarter 2013 | Cognizant Q4 2013 Results

Cognizant on Wednesday reported a lower-than-estimated 2.2 per cent sequential rise in revenues for the three months to December. The New Jersey-based outsourcer reported revenues of $2355 million in its fiscal fourth quarter, which was over $500 million lower than Street estimates.

•          Quarterly revenue rose to $2.355 billion, up 20.9% from the year-ago quarter and 2.2% sequentially.

•          Quarterly diluted EPS on a GAAP basis was $1.06, compared to $0.92 in the year-ago quarter.

•          Quarterly diluted EPS on a non-GAAP basis, which excludes stock-based compensation expense and acquisition-related charges, was $1.15, compared to $0.99 in the year-ago quarter.

Cognizant's revenue growth was also sharply lower than its Indian rivals such as Tata Consultancy services and HCL Technologies. TCS, India's biggest outsourcer, reported a 3 per cent rise in US dollar sales during the December quarter, which is considered to be a weak period for companies because of furloughs and holidays in key markets such as US and Europe. Revenue for the fourth quarter of 2013 rose to $2.355 billion, up 20.9% from $1.948 billion in the fourth quarter of 2012. GAAP net income was $324.3 million, or $1.06 per diluted share, compared to $278.8 million, or $0.92 per diluted share, in the fourth quarter of 2012.

Diluted EPS on a non-GAAP basis was $1.15, compared to $0.99 in the fourth quarter of 2012. GAAP operating margin for the quarter was 19.0%. Non-GAAP operating margin was 20.7%, higher than the Company's targeted 19-20% range. Reconciliations of non-GAAP financial measures to GAAP operating results and diluted EPS are included at the end of this release. Profits (GAAP) stood at $324.3 million, up 16.3 per cent from the year-ago quarter, the company said in a statement.

Revenue for 2013 increased to $8.843 billion, up 20.4% from $7.346 billion for 2012. GAAP net income was $1.23 billion, or $4.03 per diluted share, compared to $1.05 billion, or $3.44 per diluted share, for 2012.  Diluted EPS on a non-GAAP basis was $4.38. GAAP operating margin was 19.0%. The company added a net of 5,000 employees during the quarter, taking its year-end headcount to approximately 1.71 lakh.