Core Insights - Cognizant reported strong second quarter 2025 financial results, with revenue exceeding guidance and demonstrating effective strategy execution in the AI era [2][9] - The company achieved organic year-over-year revenue growth for the fourth consecutive quarter, alongside margin expansion and significant bookings, including two deals worth over $1 billion each [2][5] Financial Performance - Q2 2025 revenue reached $5,245 million, an increase of 8.1% year-over-year, with constant currency growth of 7.2% [3][9] - GAAP operating margin improved to 15.6%, up 100 basis points from the previous year, while adjusted operating margin also increased to 15.6% [3][9] - GAAP diluted EPS was $1.31, reflecting a 15% increase year-over-year, and adjusted diluted EPS was also $1.31, up 12% [3][9] Growth Drivers - Recent acquisitions contributed approximately 400 basis points to year-over-year revenue growth in both Q2 2025 and year-to-date [3][40] - Bookings for the trailing twelve months rose 6% year-over-year to $27.8 billion, with a book-to-bill ratio of approximately 1.4x [5][9] Shareholder Returns - The company repurchased 4.5 million shares for $354 million in Q2 2025, with a total of 6.8 million shares repurchased year-to-date for $544 million [7][9] - Cognizant plans to return approximately $2.0 billion to shareholders in 2025, an increase from the previous estimate of $1.7 billion [4][9] Future Guidance - For Q3 2025, revenue is expected to be between $5.27 billion and $5.35 billion, representing growth of 4.6% to 6.1% [8][9] - Full-year 2025 revenue guidance is narrowed to $20.7 billion to $21.1 billion, with expected growth of 4.7% to 6.7% [13][9] Operational Metrics - Voluntary attrition in tech services was 15.2% in Q2 2025, a slight decrease from 15.8% in Q1 2025 [6] - Total headcount as of June 30, 2025, was 343,800, an increase of 7,500 from both Q1 2025 and Q2 2024 [6] Strategic Initiatives - Cognizant is focusing on building a portfolio of capabilities to advance an AI-led future through client agreements and platform enhancements [11][12] - The company launched Cognizant Agent Foundry, designed to help enterprises deploy autonomous AI agents at scale [14][15]

Core Insights - Cognizant is attempting to set a GUINNESS WORLD RECORDS title for the most participants in an online generative AI hackathon, with over 250,000 employees registered to participate [1][2] - The event, known as Vibe Coding Week, aims to enhance AI fluency across various talent ranks and capitalize on the increasing integration of AI in coding [3][4] Company Initiatives - In 2023, Cognizant committed to investing $1 billion in AI over three years, focusing on productivity gains and high-value engagement from its talent [3] - The company has partnered with platforms like Lovable, Windsurf, Cursor, Gemini Code Assist, and GitHub Copilot to support employees of varying technical skills during the Vibe Coding event [4][5] Employee Engagement - The Vibe Coding event includes hands-on workshops, a prompt engineering toolkit, best-practice sessions, and an innovation competition, aiming to engage thousands of employees [5] - Cognizant's grassroots innovation initiative, Bluebolt, has led to over 528,505 ideas shared by employees, with more than 80,000 already implemented with clients [6][7] Training and Development - Cognizant has launched a global training initiative called Synapse, aiming to upskill one million people by 2026 to harness the innovation potential of AI [7]

Partnership combines Cognizant's deep industry and domain expertise and WRITER's end-to-end agentic platform to help enterprises deploy secure, specialized AI agents at scale. TEANECK, N.J., July 30, 2025 /PRNewswire/ -- Cognizant (NASDAQ: CTSH) announced a strategic partnership with WRITER, a leader in agentic AI for the enterprise, to help global enterprises implement secure, domain-specific AI agents designed for complex environments, including regulated industries such as financial services and life sci ...

Cognizant is a data and AI model training partner, long trusted by large digital native pioneers to help train some of the most advanced AI /ML models in the world "At Cognizant, we're committed to helping our clients accelerate their AI innovation at scale. By launching AI Training Data Services, we're advancing this commitment and providing enterprises with the high-quality, multi-modal data they need to build sophisticated AI solutions," said Ravi Kumar S., CEO of Cognizant. "In leveraging this specializ ...

Core Viewpoint - Cognizant Technology Solutions (CTSH) is expected to report second-quarter 2025 results on July 30, with earnings estimated at $1.26 per share, reflecting a 7.69% increase year-over-year [1][2] Revenue Expectations - The Zacks Consensus Estimate for second-quarter revenues is $5.19 billion, indicating a year-over-year increase of 7.06% [2] - Cognizant anticipates revenues between $5.14 billion and $5.21 billion, representing growth of 5.9%-7.4% [1][8] Performance Drivers - The company's performance is likely to benefit from an expanding clientele and a robust pipeline, including a significant contract valued at over $500 million secured in Q1 2025 [3] - Investment in artificial intelligence (AI) platforms, such as Neuro IT Ops and Flowsource, is expected to drive growth as clients increasingly adopt AI-driven automation [4] - Growing demand for GenAI solutions in sectors like financial services, healthcare, and manufacturing is anticipated to provide continued growth opportunities [5] Client Expansion and Partnerships - Cognizant's extensive partner network, including companies like Google Cloud, Pegasystems, and NVIDIA, is likely to have contributed to growth in Q2 2025 [7] - Recent collaborations, such as the expanded partnership with Pegasystems and the launch of Cognizant Autonomous Customer Engagement with Google Cloud, are expected to enhance service offerings and drive enterprise growth [8][9] Challenges - Despite the positive outlook, macroeconomic challenges and cost optimization pressures in certain sectors may impact top-line growth [6] - Broader market weakness in the tech sector and concerns over U.S. tariffs are additional pressures facing the company [6] Conclusion - Cognizant's expanding clientele and robust AI-driven solutions are expected to support growth prospects and drive top-line growth in the upcoming quarter [11]

In its upcoming report, Cognizant (CTSH) is predicted by Wall Street analysts to post quarterly earnings of $1.26 per share, reflecting an increase of 7.7% compared to the same period last year. Revenues are forecasted to be $5.19 billion, representing a year-over-year increase of 7.1%.Over the last 30 days, there has been an upward revision of 0.1% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial f ...

Core Insights - Cognizant's AI Lab has achieved significant milestones in 2025, including the granting of two new U.S. patents and receiving a Gold Award at the GECCO conference for its research on AI [1][3][6] Patent Achievements - The AI Lab now holds a total of 59 U.S. patents, with 23 additional patents pending [2][3] - The two newly granted patents focus on enhancing deep neural network architectures and optimizing loss functions, which are crucial for improving model performance and training efficiency [8] Research and Development - The AI Lab has open-sourced its Neuro AI Multi-Agent Accelerator, aimed at making AI more practical and accessible for businesses [5] - The RHEA project, which won the Gold Award, utilizes evolutionary AI to enhance decision-making strategies by combining insights from human expert teams [6][7] Leadership and Collaboration - Cognizant's AI Lab is led by notable figures in the AI field, including Babak Hodjat and Risto Miikkulainen, and collaborates with academic institutions and technology partners [10] - The lab's mission is to maximize human potential through Decision AI, which integrates various AI technologies to improve decision-making processes for organizations [9]

Core Viewpoint - Clorox Company has filed a lawsuit against Cognizant Technology Solutions for gross negligence and breach of trust following a cyberattack that resulted in nearly $380 million in damages due to Cognizant's failure to adhere to cybersecurity protocols [1][5][6]. Group 1: Incident Overview - Clorox relied on Cognizant for operating its employee service desk, which included critical tasks like password recovery and credential resets for over a decade [2]. - On August 11, 2023, a cybercriminal gained direct access to Clorox's network credentials through the Cognizant-run service desk without proper authentication checks, which occurred multiple times [4]. - The cyberattack severely disrupted Clorox's corporate network and supply chain, impairing its ability to fulfill orders [5]. Group 2: Allegations Against Cognizant - Clorox alleges that Cognizant ignored established security procedures designed to prevent such attacks, leading to significant damages [5][6]. - The lawsuit claims that Cognizant's mishandling of credential requests was exacerbated by a poor incident response and disaster recovery effort [5]. - Despite claiming cybersecurity expertise and training for its staff, Cognizant's actions were described by Clorox as a "devastating lie," suggesting that the breach could have been avoided with proper adherence to protocols [6]. Group 3: Financial Impact - Clorox reported over $49 million in direct recovery costs and hundreds of millions more in business interruption losses due to the cyberattack [6]. - In contrast, Cognizant reported $20 billion in revenue for 2024, showing no immediate negative impact on its brand or financial performance [7].

Core Viewpoint - Clorox has filed a lawsuit against Cognizant, alleging negligence in handling a cyberattack that resulted in significant financial damages due to a breach by the hacking group Scattered Spider in August 2023 [1][2][4]. Group 1: Cyberattack Details - The cyberattack was executed by Scattered Spider, which is known for tricking IT help desks into providing access credentials [1][6]. - Clorox claims that the hacker gained access by simply requesting passwords from Cognizant's support staff without any sophisticated techniques [2][3]. - The lawsuit includes transcripts of conversations where Cognizant staff reset passwords without verifying the hacker's identity [4]. Group 2: Financial Impact - The total damages from the cyberattack are estimated at $380 million, with approximately $50 million attributed to remedial costs and the remainder due to Clorox's inability to ship products to retailers [4]. - Clorox's operational recovery was further complicated by Cognizant's failures, such as not deactivating certain accounts and improperly restoring data [5].

Legal & Regulatory - SEC moved to dismiss bribery case against former Cognizant executives [1] - Case dismissal signals potential shift in enforcement of Foreign Corrupt Practices Act under the Trump administration [1]