EarningsQ2 2026 Earnings Report
MX:CTSH Q2 2026 EPS Results
Actual EPS$24.88
Consensus EPS$25.01
Beat/MissMissed by -$0.13
One Year Ago EPS$23.79
MX:CTSH Q2 2026 Revenue Results
Actual Revenue$99.54B
Expected Revenue$99.54B
Beat/MissBeat by +$4.30M
YoY Revenue Growth+4.50%
Earnings Announcement Details
QuarterQ2 2026
Date07/29/2026
TimeBefore Open
Conference CallWednesday, July 29, 2026
MX:CTSH Upcoming Earnings
Cognizant's next earnings date is estimated for November 4, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:CTSH Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a predominantly positive operational and strategic picture: revenue growth, margin expansion, strong bookings and large‑deal momentum (particularly in financial services), accelerated AI adoption and platform initiatives, meaningful share repurchases, and healthy free cash flow. Notable near‑term headwinds include Project LEAP costs, India labor reforms run‑rate impacts, higher interest expense from revolver use for acquisitions and buybacks, higher DSO, some industry pockets of muted demand, and observable AI execution/ROI challenges across a portion of the Global 2000. On balance, the positive growth, margin recovery, and AI‑led strategy and execution appear to outweigh the lowlights.Company Guidance
Revenue Growth
Total revenue grew 4.1% year-over-year in constant currency to $5.5 billion, with sequential organic growth at the high end of expectations driven largely by organic business.
Financial Services Outperformance
Financial services revenue grew nearly 12% year-over-year in constant currency — the second consecutive quarter of 10%+ growth — and cited as a leading indicator for broader industry adoption.
Bookings and Large Deal Momentum
Trailing 12‑month bookings increased 5%; signed seven large deals with TCV > $100M (including three new logos). Book-to-bill is ~1.3 and new + expansion bookings grew in the mid‑teens in H1.
Margin Expansion and Profitability
Adjusted operating margin (excluding specified impacts) was 16%, up ~40 basis points year-over-year, marking the sixth straight quarter of year-over‑year adjusted operating margin expansion. Adjusted operating margin guidance unchanged at 16%–16.2%.
Per‑Associate Productivity Gains
Revenue per associate increased 4.6% and adjusted operating income per associate increased 7.1%, reflecting productivity improvements tied to AI adoption.
AI Adoption and Platform Progress
Over 40% of software development is now AI‑assisted, >8,000 AI engagements in flight, launch of Cognizant AI delivery operating system and new AI market unit, and expanded partnerships (Google Gemini Enterprise, OpenAI Daybreak Cyber Partner, Anthropic premium partner).
TriZetto and Platform Momentum
TriZetto (healthcare platform) generates >$1.1 billion in annual revenue, grew faster than the overall company in H1 2026 and delivers substantially higher margins — presented as proof point for platform-led, recurring revenue growth.
M&A and Strategic Acquisitions
Completed acquisition of Astreya (IT managed services) and deployed $1.3 billion on acquisitions aligned with AI strategy; Astreya already contributing to momentum and Google-related managed services collaborations.
Capital Allocation and Share Repurchases
Returned significant capital to shareholders: deployed >$1.1 billion in share repurchases during Q2 (22M shares at ~$51 average) and $1.9 billion returned YTD; on pace to return ~ $2.6 billion for the year.
Cash Flow and EPS
Q2 free cash flow was $459 million (YTD $652 million). Q2 adjusted EPS was $1.37, up 5% year-over-year. Full‑year EPS guidance raised to $5.70–$5.82 (8%–10% growth).
MX:CTSH Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed