Revenue up 32% on year-ago
Cognizant Technology Solutions Corp has made some reassuring noises about its future, posting numbers that showed revenue at the IT and business processing outsourcing services group jumped in its last full year to $2.8 billion, an increase of 32% from the year ago.
It has forecast strong revenue for 2009, saying it expected to be capable of driving levels to at least $3.1 billion, up at least 10% compared to 2008.
Gordon Coburn, CFO and COO at the New Jersey-based company said, “In addition, we finished the year with the strongest balance sheet in our history, including over $924 million in cash and short-term/long-term investments.”
Founded in 1994 as the captive offshore arm of Dun & Bradstreet, Cognizant Technology Solutions primarily operates in North America but most of its employees are based in India. It is ranked as one of the largest software exporters among India service providers.
Its background has led it to develop a reputation in analytics and software applications services. This week it acquired Canada-based Active Intelligence for a modest but undisclosed sum.
A specialist in Oracle retail applications, the bolt-on purchase will help to underpin the company’s retail practice, which is said to be one of Cognizant’s fastest growing business units.
Cognizant Technology has regularly managed to outgrow its domestic Indian IT rivals, and in recent years has shown growth rates of up to 60% compared with the average 40% among its competitors.