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Cognizant Technology Solutions (CTSH) FY2016 results: revenue $13.5 billion, up 8.6% on the year

Cognizant Technology Solutions Corp. (CTSH) reported revenue of $13.5 billion for fiscal 2016, the year ended 31 December 2016, up 8.6% on the year before. Net income was $1.6 billion, down 4.3%, and diluted earnings per share $2.55. The figures are the company's own, from the 10-K it filed with the SEC on 19 February 2019.

Revenue
$13.5 billion
+8.6% on the year
FY2009FY2016
Operating margin
17.0%
17.3% a year earlier
FY2009FY2016
Net income
$1.6 billion
-4.3% on the year
FY2009FY2016
Diluted EPS
$2.55
-3.8% on the year
FY2009FY2016

this yearthe year beforeHover a bar for its figure.

The year in brief

Income statement (profit and loss)

$ millionFY2016FY2015FY2014On the yearLast 8 years
Revenue13,48712,41610,263+8.6%
Selling, general and administrative2,7312,5092,037+8.9%
Operating income2,2892,1421,885+6.9%
Operating margin17.0%17.3%18.4%
Interest expense19.018.03.0+5.6%
Pre-tax income2,3572,1641,924+8.9%
Income tax805540485+49.1%
Effective tax rate34.2%25.0%25.2%
Net income1,5531,6241,439-4.3%
Net margin11.5%13.1%14.0%
Diluted EPS$2.55$2.65$2.35-3.8%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2016FY2015FY2014On the yearLast 8 years
Operating cash flow1,6452,1871,473-24.8%
Capital expenditure300273212+10.0%
Free cash flow1,3451,9141,261-29.7%
Free cash flow margin10.0%15.4%12.3%
Cash from investing-963-1,371-3,161
Cash from financing-743-6821,503
Depreciation and amortisation379330208+14.8%
Share-based compensation217192135+13.0%
Buybacks512460248+11.3%
Dividends paid0.00.0n/a
Dividend per share$0.00$0.00n/a
Diluted shares, weighted610m613m612m-0.5%
Shares outstanding at period end608m609m609m-0.2%

Balance sheet

$ millionFY2016FY2015FY2014On the yearLast 8 years
Shareholders' equity10,7289,2787,740+15.6%
Debt8811,2831,638-31.3%
Other liabilities2,6532,5042,101+5.9%
Total liabilities and equity14,26213,06511,479+9.2%
Fixed assets1,3111,2711,247+3.1%
Goodwill2,5542,4052,414+6.2%
Intangible assets951864954+10.0%
Investments3,1972,8241,765+13.2%
Trading assetsn/a0.0n/a
Cash and equivalents2,0342,1252,010-4.3%
Receivables2,5562,2531,969+13.5%
Other assets1,6591,3231,121+25.4%
Total assets14,26213,06511,479+9.2%

10-K for the year ended 31 December 2016, filed 19 February 2019: the filing.