Cognizant Q4 net income up 39 p.c

BANGALORE, INDIA: Cognizant Technology Solutions Corporation today posted net income of $96.3 million for the fourth quarter ended December 31, 2007, up 39 per cent, as against $69.5 million posted for the same quarter previous year.

Revenue for the fourth quarter increased to $600.0 million, up 41 per cent from $424.4 million reported for the fourth quarter of 2006.

The company’s revenue for 2007 increased to $2.136 billion, up 50 per cent from $1.424 billion for 2006.

Net income was $350.1 million compared to $232.8 million for 2006.

Gordon Coburn, chief financial and operating officer, said, “We generated approximately $150 million of cash from operations in the fourth quarter. After the acquisition of marketRx and buying back approximately 3.39 million shares of Cognizant stock for $105.4 million, we ended the year with over $670 million in cash and short-term investments on our balance sheet.”

Francisco D’Souza, president and CEO of Cognizant, said, “Our leadership positions in key industry verticals resulted in strong revenue performance in our Healthcare and Financial Services business segments. I am pleased with our performance in Europe, where revenue grew 89 per cent, compared to the fourth quarter of 2006.”