Cognizant cuts revenue forecast, flags attrition impact on business

CEO says revenue and bookings below expectations, but company will return to 'accelerated growth'

Unlike its peers, Nasdaq-listed IT services firm Cognizant continues to see attrition that is impacting operations. The company, in its Q3 results report, guided for a decline in Q4 and full-year revenue.

The company’s Q4 revenue guidance is a decline of 0.2 per cent to 1.2 per cent (growth of 2-3 per cent in constant currency). This means that its full year revenue guidance has also come down. The company now expects its FY22 guidance to be 7 per cent in constant currency from the earlier 8.5 per cent to 9.5 per cent.

Q3 revenue came in at $4.9 billion,