Financial Data and Key Metrics Changes - Revenue for Q4 2025 was $5.3 billion, representing a 3.8% year-over-year growth in constant currency, all organic [25][30] - Full-year revenue reached $21.1 billion, growing 6.4% in constant currency, surpassing the $20 billion mark [6][25] - Adjusted Operating Margin improved to 16%, up 30 basis points year-over-year, with a full-year adjusted operating margin of 15.8%, exceeding guidance by 50 basis points [6][30] - Adjusted diluted EPS for Q4 was $1.35, up 12% year-over-year, leading to a full-year EPS of $5.28, an 11% increase from the prior year [31][34] Business Line Data and Key Metrics Changes - Financial Services segment led growth with a 9% year-over-year increase in constant currency for Q4 and 7% for the full year, marking the highest annual level since 2016 [5][25] - Health Sciences segment grew at over 6%, significantly above the company average, driven by strong performance in administrative and clinical processes [78] - Digital Engineering practices saw an 8% year-over-year growth in Q4, supported by proprietary platforms [19] Market Data and Key Metrics Changes - North America was the standout region with over 4% year-over-year growth in constant currency, primarily driven by financial services and healthcare [28] - Europe experienced a 2% growth in constant currency, with healthy performance in financial services and life sciences [28] - The Rest of World segment grew in line with the total company, driven by the Middle East [28] Company Strategy and Development Direction - The company aims to bridge the AI velocity gap, focusing on transforming AI technology into measurable returns for clients [11][12] - Cognizant's strategy includes a three-vector approach to capture demand, emphasizing AI-led productivity and the development of new agentic software [12][13] - The company plans to maintain its position in the industry's winner's circle by 2027, having achieved this goal two years early [8][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining growth in 2026, supported by a strong pipeline of large deals and a focus on AI integration [24][58] - The operating environment remains complex, but management views it as an opportunity to capture wallet share in large deals and help clients reinvest savings into innovation [25][26] - The company anticipates a modest increase in defined benefit costs due to recent labor law changes in India, but this is not expected to materially impact the P&L [30] Other Important Information - The company returned $2 billion to shareholders through dividends and share repurchases in 2025 [10][32] - Cognizant completed the acquisition of 3Cloud, adding over 1,200 Azure specialists to enhance its capabilities in AI and application innovation [10][32] - The company has a healthy M&A pipeline and intends to maintain an active acquisition strategy aligned with its AI builder strategy [32][34] Q&A Session Summary Question: Insights on AI's impact on revenue and package implementation - Management sees AI as a net positive, increasing total addressable spend and creating opportunities for innovation and productivity [40][41] Question: Gross margin dynamics for 2026 - The decline in Q4 gross margin was primarily due to higher variable compensation, but management remains confident in maintaining margins through productivity measures [47][50] Question: Confidence in large deal growth for 2026 - Management expressed strong confidence in the pipeline for larger deals, expecting timely ramps and acceleration in growth throughout the year [55][58] Question: Risks and opportunities of fixed-price contracts - Management indicated that while delivery risk resides with the service provider, they have a robust process to monitor performance and maintain margins [66][67] Question: Durability of BPO growth - Management believes the BPO segment will continue to grow due to the need for ongoing transformation and maintenance of processes enabled by AI [71][74] Question: Health Sciences segment growth amidst regulatory pressures - Management is confident in the Health Sciences segment's growth, leveraging their platform to transform administrative processes and improve patient care [78][80]

Financial Data and Key Metrics Changes - Revenue for Q4 2025 was $5.3 billion, growing 3.8% year-over-year in constant currency, all organic [24] - Full-year revenue reached $21.1 billion, a 6.4% increase in constant currency, surpassing the $20 billion mark [5][24] - Adjusted Operating Margin for Q4 was 16%, improving by 30 basis points year-over-year, while full-year adjusted operating margin was 15.8%, exceeding guidance by 50 basis points [5][28] - Adjusted diluted EPS for Q4 was $1.35, up 12% year-over-year, leading to a full-year EPS of $5.28, an 11% increase from the prior year [29] Business Line Data and Key Metrics Changes - Financial Services segment led growth with constant currency revenue increasing 9% year-over-year in Q4 and 7% for the full year, marking the highest annual level since 2016 [4][24] - Health Sciences showed resilient performance despite industry cost pressures, with growth driven by cost savings and productivity improvements [25] - Digital Engineering practices experienced an 8% year-over-year growth in Q4 and full year, fueled by proprietary platforms [17] Market Data and Key Metrics Changes - North America was the standout region with over 4% year-over-year growth in constant currency, primarily driven by financial services and healthcare [26] - Europe grew 2% in constant currency, with healthy growth in financial services and life sciences [26] - The Rest of World segment grew in line with the total company, driven by the Middle East [26] Company Strategy and Development Direction - The company aims to bridge the AI velocity gap, focusing on converting AI technology into measurable returns for clients [9] - A three-vector strategy is being implemented to capture demand, including applying AI-led productivity to traditional software cycles and building new cycles of agentic capital [10][11] - The company is committed to maintaining its position in the industry's winner's circle and aims to lead as an AI builder [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining growth in 2026, supported by a strong pipeline of large deals and a focus on AI-driven productivity [23][50] - The operating environment remains complex, but the company views it as an opportunity to capture wallet share in large deals [24] - Management highlighted the importance of reinvention and reimagination of processes to leverage new technologies effectively [39] Other Important Information - The company returned $2 billion to shareholders through dividends and share repurchases [8] - The acquisition of 3Cloud was completed, adding over 1,200 Azure specialists to enhance capabilities in Azure data and AI [8] - The company is targeting 2,000 campus hires in the U.S. and approximately 20,000 in India for 2026 [17] Q&A Session Summary Question: Insights on AI's impact and revenue from package implementation - Management noted that new technology creates more opportunities rather than replacing old ones, emphasizing the need for process reinvention to realize value [38][39] Question: Gross margin dynamics for 2026 - Management indicated that Q4's gross margin decline was primarily due to higher variable compensation, but they expect to maintain productivity and manage costs effectively [43][45] Question: Confidence in large deal growth for 2026 - Management expressed excitement about the strong bookings and pipeline for larger deals, indicating a solid ramp-up expected in 2026 [50][54] Question: Risks and opportunities of fixed-price contracts - Management explained that delivery risk primarily resides with the service provider, and they have a robust process to monitor deal performance, ensuring they meet budgeted goals [60][63] Question: Durability of BPO growth - Management sees BPO as a significant growth area, driven by the need for transformation and maintenance of processes enabled by AI [68][69] Question: Growth margins and regulatory pressures in Health Sciences - Management expressed confidence in the Health Sciences segment's growth, highlighting the company's strong position and the potential for transformation amid regulatory uncertainties [72][75]

Cognizant (CTSH) came out with quarterly earnings of $1.35 per share, beating the Zacks Consensus Estimate of $1.32 per share. This compares to earnings of $1.21 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +1.96%. A quarter ago, it was expected that this information technology consulting and outsourcing firm would post earnings of $1.29 per share when it actually produced earnings of $1.39, delivering a surprise of +7.75%. ...

Exhibit 99.3 Fourth Quarter and Full Year 2025 Financial Results and Highlights February 4, 2026 © 2026 Cognizant Forward-looking statements This earnings supplement includes statements that may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the accuracy of which is necessarily subject to risks, uncertainties and assumptions as to future events that may not prove to be accurate. These statements include, but are not ...

Core Viewpoint - Cognizant Technology forecasts annual revenue exceeding Wall Street estimates, driven by strong demand for IT services as businesses integrate artificial intelligence into their operations [1] Group 1 - The company anticipates robust growth in revenue due to the increasing adoption of artificial intelligence in various business workflows [1]

Financial Performance - Fourth quarter revenue reached $5.33 billion, a 4.9% increase year-over-year, while full-year revenue was $21.11 billion, up 7.0% year-over-year[4] - Full-year GAAP operating margin improved to 16.1%, a 140 basis point increase year-over-year, while adjusted operating margin was 15.8%, up 50 basis points year-over-year[4] - Adjusted diluted EPS for 2025 was $5.28, reflecting an 11% increase year-over-year, while GAAP diluted EPS was $4.56, a 1% increase year-over-year[4] - Revenues for Q4 2025 reached $5,333 million, a 4.9% increase from $5,082 million in Q4 2024[28] - Full year 2025 revenues totaled $21,108 million, up 6.9% from $19,736 million in 2024[28] - Operating income for Q4 2025 was $853 million, compared to $751 million in Q4 2024, reflecting a 13.6% increase[28] - Net income for Q4 2025 was $648 million, an increase from $546 million in Q4 2024, representing an 18.6% growth[28] - Adjusted diluted EPS for Q4 2025 was $1.34, up from $1.10 in Q4 2024, marking a 22% increase[28] - Adjusted net income for the year ended December 31, 2025, was $2,582 million, an increase from $2,363 million in 2024, representing a growth of 9.3%[32] Shareholder Returns - The company plans to return $1.6 billion to shareholders in 2026 through share repurchases and dividends, including $1 billion in share repurchases[4] - The company repurchased 4.3 million shares in Q4 2025, compared to 1.8 million shares in Q4 2024, indicating a significant increase in share repurchase activity[45] - Dividends paid in Q4 2025 were $151 million, slightly up from $150 million in Q4 2024, indicating stable dividend policy[43] - The remaining authorized balance for stock repurchases as of December 31, 2025, was $1,918 million, indicating strong capacity for future buybacks[45] Growth and Acquisitions - The company signed 28 large deals in 2025, with total contract value (TCV) growth of nearly 50% year-over-year, contributing to trailing 12-month bookings of $28.4 billion, which increased 5% year-over-year[2][6] - Cognizant's acquisition of Belcan contributed approximately 260 basis points to revenue growth for the full year ended December 31, 2025[2] - The company completed the acquisition of 3Cloud, enhancing its expertise in Azure and AI enablement[16] - The acquisition of Belcan contributed approximately 260 basis points to overall revenue growth for the year ended December 31, 2025[41] Operational Efficiency - Voluntary attrition in tech services decreased to 13.9% for the period ended December 31, 2025, down from 15.9% a year earlier[7] - Cost of revenues for Q4 2025 was $3,534 million, an increase from $3,297 million in Q4 2024[28] - The company recognized a gain of $62 million from the sale of property and equipment in 2025[28] - The company reported adjustments for non-cash income and expenses of $94 million in Q4 2025, compared to $40 million in Q4 2024, indicating a rise of 135%[43] Cash Flow and Assets - The company reported a free cash flow of $2,230 million for the full year 2025, compared to $2,240 million in 2024[28] - Net cash provided by operating activities for the twelve months ended December 31, 2025, was $2,883 million, up from $2,124 million in 2024, reflecting a growth of 36%[43] - Free cash flow for Q4 2025 was $781 million, slightly down from $837 million in Q4 2024, while for the twelve months, it increased to $2,665 million from $1,827 million, a growth of 46%[45] - Cash and cash equivalents decreased to $1,901 million in 2025 from $2,231 million in 2024, a decline of 14.8%[36] - Total assets increased to $20,692 million in 2025, up from $19,966 million in 2024, representing a growth of 3.6%[30] - Total liabilities increased to $5,677 million in 2025, compared to $5,558 million in 2024, reflecting a growth of 2.1%[30] - The net cash used in investing activities for the twelve months ended December 31, 2025, was $(230) million, a decrease from $(1,646) million in 2024, reflecting improved cash management[43] Market Position and Strategy - The company launched Cognizant® Resilient IT Operations and expanded partnerships with Microsoft and Adobe to enhance AI capabilities and digital transformation services[13][11] - The company is focused on enhancing its capabilities in AI and digital transformation services, positioning itself as a leader in the market[20] - Cognizant's book-to-bill ratio indicates strong future revenue potential, with significant contracts contributing to bookings[25]

across key sectors including Financial Services, Healthcare and Life Sciences, Retail, and Manufacturing. The partnership will embed agentic AI and Copilot powered by Work IQ, Foundry IQ and Fabric IQ capabilities into mission-critical workflows. This partnership also expands on the Cognizant Neuro® AI Suite of offerings Cognizant is bringing to the market which leverage Microsoft cloud and AI services.- Adopted Anthropic's Claude, one of the world's most powerful family of large language models (LLMs), to ...

Indian information technology companies lost nearly Rs 2 lakh crore in market capitalisation on Wednesday in their worst session in several years after Anthropic launched a new enterprise AI automation tool that sparked fears it could eat into the core businesses of data and information services firms. The Nifty IT index comprising of 10 largest companies ended nearly 6% lower, the biggest single day fall in six years.Infosys Ltd. and Tata Consultancy Services Ltd. fell the most.Anthropic included a legal t ...

Pzena Investment Management recently released its fourth-quarter 2025 commentary for “Pzena Focused Value Strategy.” A copy of the letter can be downloaded here. The fourth quarter was defined by strong AI momentum and continued market dominance by mega-cap stocks. In this environment, Pzena Focused Value Strategy underperformed the Russell 1000® Value Index, delivering a net return of 2.5% vs. 3.8% for the Index. Given the limited leadership in the market, the firm still observes appealing valuation differ ...

Key Takeaways CTSH is set to report Q4 results on Feb. 4, with consensus EPS of $1.32, up 9.09% from the year-ago quarter.Cognizant expects Q4 revenues of $5.27-$5.33B, indicating year-over-year growth of up to 4.8%.CTSH's expanding large deals pipeline and rising GenAI demand are expected to support near-term growth.Cognizant Technology Solutions (CTSH) is scheduled to report its fourth-quarter 2025 results on Feb. 4, 2026.The Zacks Consensus Estimate for fourth-quarter 2025 earnings is pegged at $1.32 per ...