Cognizant reports attrition 21% compared to 19% in the previous quarter
Cognizant, one of the world’s leading professional services companies, today announced its first-quarter 2021 financial results. The company’s revenues grow 2.4% in the March quarter and attrition by 21% compared to 19% in the previous quarter.
Announcing the results Brian Humphries, Chief Executive Officer, Cognizant said, “In the first quarter, we successfully executed our strategy of embracing digital, investing in international expansion, and repositioning the Cognizant brand. Cloud migration and digital adoption create a significant opportunity for Cognizant in the coming years,”
“The ongoing humanitarian crisis, especially in India, is deeply concerning. We have made a series of investments to support India in this time of need and continue to prioritize the health and safety of our associates while we serve our clients.” Brian added.
Cognizant beat street estimates posting revenue growth of 4.2% year-over-year (2.4% in constant currency CC terms) for the January-March quarter (Q1). At $4.4 billion, revenue grew marginally from the quarter ended December 2020 when the company’s revenues declined 2% at $4.2 billion.
Attrition remained a cause for concern for the company, as total attrition (quarterly annualized) in Q1 stood at 21% compared to 19% in the previous quarter. This is again the highest ‘Attrition Rate’ among top IT firms.
“Our first-quarter performance reflects solid revenue growth in our digital services and consistent execution of our strategy,” said Jan Siegmund, Chief Financial Officer,
“To support our commercial momentum, we are increasing our investments in recruiting and talent.” CFO added.