Cognizant raises 2021 revenue guidance as digital biz grows

BENGALURU : Cognizant Technology Solutions Corp. raised its 2021 revenue growth guidance from 4-7% to 5.6-7.6% in constant currency, it had earlier guided that the business is picking up, especially in the digital transformation space. The revenue for the second quarter is expected to grow 8-9% in constant currency in the range of $4.42 billion-$4.46 billion.

The Teaneck, New Jersey-based firm posted revenues of $4.4 billion, up 2.4% annually in constant currency, for the first quarter ended March, driven by digital revenues that grew 15% year-on-year.

The digital business now contributed 44% to the company’s total revenue in the March qua, up from 39% in the same quarter of the previous year. The company follows the calendar year.