Revenue Growth and Performance: Cognizant reported a second-quarter revenue of $5.2 billion, reflecting a year-over-year growth of 7.2% in constant currency. This marks the fourth consecutive quarter of organic growth, primarily driven by strong performances in Financial Services (6% growth) and Health Sciences (5% growth). The company¡¯s bookings grew 18% year-over-year, indicating a positive momentum with the addition of six large deals valued at over $100 million.

Margin Expansion and Operational Efficiency: The adjusted operating margin improved by 40 basis points year-over-year to 15.6%. This reflects effective operational rigor, cost management, and an increase in headcount to support large deal ramp-ups. The company continues to target 20-40 basis points margin expansion for the full year, indicating strong operational discipline amidst labor cost inflation.

Strategic Focus on AI and Innovation: Cognizant is heavily investing in AI-led opportunities, with more than 2,500 early GenAI client engagements. The company launched several new AI platforms and tools, including Cognizant Agent Foundry, indicating strong momentum in innovation. This strategic focus is expected to enhance productivity for clients and create new spend cycles, bolstering revenue opportunities.