Cognizant Technology Solutions (CTSH) FY2018 results: revenue $16.1 billion, up 8.9% on the year
Cognizant Technology Solutions Corp. (CTSH) reported revenue of $16.1 billion for fiscal 2018, the year ended 31 December 2018, up 8.9% on the year before. Net income was $2.1 billion, up 39.7%, and diluted earnings per share $3.60. The figures are the company's own, from the 10-K it filed with the SEC on 19 February 2019.
Revenue
$16.1 billion
+8.9% on the year
FY2011FY2018
Operating margin
17.4%
16.8% a year earlier
FY2011FY2018
Net income
$2.1 billion
+39.7% on the year
FY2011FY2018
Diluted EPS
$3.60
+42.3% on the year
FY2011FY2018
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Revenue
16,125
14,810
13,487
+8.9%
Cost of revenue
9,838
9,152
n/a
+7.5%
Gross profit
6,287
5,658
n/a
+11.1%
Gross margin
39.0%
38.2%
n/a
Selling, general and administrative
3,007
2,697
2,731
+11.5%
Operating income
2,801
2,481
2,289
+12.9%
Operating margin
17.4%
16.8%
17.0%
Interest expense
27.0
23.0
19.0
+17.4%
Pre-tax income
2,797
2,655
2,357
+5.3%
Income tax
698
1,153
805
-39.5%
Effective tax rate
25.0%
43.4%
34.2%
Net income
2,101
1,504
1,553
+39.7%
Net margin
13.0%
10.2%
11.5%
Diluted EPS
$3.60
$2.53
$2.55
+42.3%
$ 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
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Operating cash flow
2,592
2,407
1,645
+7.7%
Capital expenditure
377
284
300
+32.7%
Free cash flow
2,215
2,123
1,345
+4.3%
Free cash flow margin
13.7%
14.3%
10.0%
Cash from investing
-1,627
-582
-963
Cash from financing
-1,693
-1,985
-743
Depreciation and amortisation
498
443
379
+12.4%
Share-based compensation
267
221
217
+20.8%
Buybacks
1,261
1,889
512
-33.2%
Dividends paid
468
265
0.0
+76.6%
Dividend per share
n/a
$0.45
$0.00
Diluted shares, weighted
584m
595m
610m
-1.8%
Shares outstanding at period end
577m
588m
608m
-1.9%
Balance sheet
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Shareholders' equity
11,424
10,669
10,728
+7.1%
Debt
750
873
881
-14.1%
Other liabilities
3,672
3,679
2,653
-0.2%
Total liabilities and equity
15,846
15,221
14,262
+4.1%
Fixed assets
1,394
1,324
1,311
+5.3%
Goodwill
3,481
2,704
2,554
+28.7%
Intangible assets
1,150
981
951
+17.2%
Investments
3,430
3,366
3,197
+1.9%
Cash and equivalents
1,161
1,925
2,034
-39.7%
Receivables
3,190
2,865
2,556
+11.3%
Other assets
2,040
2,056
1,659
-0.8%
Total assets
15,846
15,221
14,262
+4.1%
10-K for the year ended 31 December 2018, filed 19 February 2019: the filing.