Cognizant revenue, net income up as move to digital services continues

Cognizant Technology Solutions has logged a 10.7% increase in revenue for the first quarter of 2017 as the professional services company continues its shift to digital services and solutions.

The company recorded revenue of $3.55 billion, up from $3.2 billion for the same period a year ago.

GAAP net income was $557 million – a 26% increase on Q1 2016's $441 million.

The company is expecting second quarter revenue of between $3.63 billion and $3.68 billion and full year revenue of between $14.56 billion and $14.84 billion.

Francisco D'Souza, Cognizant chief executive officer, dubbed the financials 'solid results'.

"We… continued to build our digital solutions portfolio, expand our skills and enhance our engagement with clients," D'Souza says.

"We're making good progress in accelerating Cognizant's shift to digital services and solutions to create value for clients and shareholders, positioning us well to achieve both our revenue and margin targets for this year.

Earlier this year the company launched a Melbourne Digital Business 'Collaboratory' which is expected to bring 100 new jobs. The Collaboratory provides a dedicated space to work with clients to design, prototype and build new solutions.

Last month the company announced it had been selected by ABN AMRO Clearing as a strategic partner as the global clearing firm looks to cloud-enable its IT infrastructure and lay the foundation for digital transformation.