Cognizant attrition

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Market Live. Mind Matters. Climate Clock. Marquee Nights. Sections Market. Global Markets. Terms and Conditions Disclaimer. Terms of Use. Privacy Policy. American tech giant Cognizant Technology Solutions on Wednesday reported its financial results for the July to September quarter during which its revenue grew 2. American tech giant Cognizant Technology Solutions reported its financial results on Wednesday for the July to September quarter.

The company cut its revenue growth guidance in constant currency from 8. In reported terms, it gave a guidance of 6. This, it said, in part reflects the impact of supply-demand imbalances, elevated attrition and softer-than-expected hiring.

A note by Kotak Institutional Equities said the company has benefitted from a strong discretionary environment, which can moderate. It added that Cognizant is losing its share in key verticals. With regard to the demand environment, Chief Executive Officer Brian Humphries said the company was monitoring the impact of a worsening economy in the pipeline, but has not seen a significant slowdown for IT services so far.

It saw voluntary attrition of 32 percent on a trailing-twelve-month basis. Voluntary Annualised Attrition came in at 31 percent, and involuntary attrition rose to 5 percent. CFO Jan Siegmund said the second quarter is typically a higher attrition quarter for the company and has to do with the bonus payments given by the company at the end of March.

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