Cognizant pips Infosys in quarterly sales, net at $252 million
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IT major Cognizant Technology Solutions has reported a higher quarterly profit on increased demand for its outsourcing services. It has also managed to upstage Infosys as the second largest Indian IT software services outsourcer in revenue terms.
Cognizant said quarterly revenue rose to $1.795 billion, up 4.9 per cent sequentially and 20.9 per cent from the year-ago quarter. In contrast, Infosys had reported a marginal decline in dollar revenue at $1.752 billion in the June quarter against $1771 million in the previous quarter.
The information technology services provider's net income rose to $251.9 million, or 82 cents per share, for the second quarter from $208 million, or 67 cents per share, a year earlier. Excluding items, the company earned 88 cents per share.
Cognizant said operating margin was 20 per cent, at the top end of the company’s targeted 19-20 per cent range.
The company reaffirmed its guidance for 2012 to be at least $7.34 billion, up at least 20 per cent compared to calendar 2011. If it manages to meet its guidance for the full year, Cognizant and Infosys will be locked for the second spot in terms of dollar revenues for the full year. That's because Infosys sees its revenue in dollar terms rising 5 per cent to $7.34 billion in the year to March 2013.