Cognizant cuts growth forecast

US-based Cognizant, which has a significant number of its employees in India, on Friday slashed its full-year revenue outlook, following disappointing numbers in the first quarter and the possibility of a slower growth in the financial services and healthcare verticals.

The development had its impact on the domestic bourses with the shares of IT companies falling up to 3.7 per cent. Tata Consultancy Services (TCS) was the worst hit as its shares ended lower by 3.7 per cent to Rs 2132.50, while the Wipro and Infosys counters dropped around one per cent. Tech Mahindra was lower by 2.16 per cent.

Cognizant, which is listed on the Nasdaq, reported a 15.19 per cent drop in net income for the quarter ended March. Net income came in at $441 million compared with $520 million in the corresponding period of the previous year.