COGNIZANT TECHNOLOGY SOLUTIONS CORP

Cognizant Technology Solutions Corporation has entered into a new credit agreement that includes a $550 million term loan facility and a $1.85 billion revolving credit facility. The proceeds from the term loan were used to repay an existing term loan, and approximately $1.0 billion from the revolving credit facility was used to repay an existing revolving credit facility. The revolving credit facility will be used for general corporate purposes. The new facilities mature on October 3, 2031, and are unsecured. The agreement includes customary covenants and a financial covenant related to the Leverage Ratio.

Cognizant Technology Solutions reported Q2 2026 revenue of $5.48 billion, a 4.5% increase year-over-year, and diluted EPS of $1.36, up 3.8%. Net income for the quarter decreased slightly to $636 million. The company completed two significant acquisitions: 3Cloud for $733 million and Astreya Partners, Inc. for $665 million. Additionally, Cognizant initiated "Project Leap," a restructuring program aimed at streamlining operations and enhancing productivity through AI-led efficiencies, incurring $84 million in charges during the quarter.

Cognizant reported strong second-quarter 2026 financial results, with revenue reaching $5.5 billion, a 4.5% year-over-year increase, and adjusted diluted EPS of $1.37, up 4.6%. The company saw continued momentum in Financial Services with 12% year-over-year revenue growth. Cognizant also raised its full-year 2026 adjusted diluted EPS guidance to $5.70-$5.82 and completed the acquisition of Astreya for $634 million, while deploying $1.15 billion on share repurchases.

Cognizant Technology Solutions Corporation announced the preliminary approval of a $5.5 million settlement in a stockholder derivative action. The lawsuit, "Viswanatha Palempalli v. Michael Pastalos-Fox, et al.", alleged breach of fiduciary duty, waste of corporate assets, and FCPA violations. The settlement funds will be paid to Cognizant by its directors and officers insurance carriers, with a final approval hearing set for September 14, 2026.

Cognizant Technology Solutions Corporation announced its intent to borrow $1 billion under its existing revolving credit facility. The company provided notice to lenders on May 15, 2026, with the funding scheduled for May 20, 2026. This borrowing is pursuant to the Credit Agreement originally dated October 6, 2022, and amended on April 18, 2024.

Cognizant's Board of Directors approved a $2 billion increase to its existing stock repurchase program, bringing the total remaining authorization to approximately $3.45 billion as of May 17, 2026. The company also raised its 2026 share repurchase target by $1 billion to $2 billion, with the additional $1 billion expected to be completed in the second quarter of 2026. To fund this, Cognizant will draw $1 billion from its revolving credit facility, considering the upcoming Astreya acquisition. CEO Ravi Kumar S will also participate in a J.P. Morgan conference fireside chat today.

Cognizant Technology Solutions Corp (CTSH) acquired 3Cloud, a Microsoft Azure services provider and AI enablement solutions leader, for $728 million on January 1, 2026. For the first quarter of 2026, the company reported revenues of $5.41 billion, a 5.8% increase year-over-year, with diluted EPS rising to $1.39. Net income remained stable at $662 million. CTSH also declared a quarterly dividend of $0.33 per share and repurchased $448 million in common stock.

Cognizant reported strong first quarter 2026 results with revenue of $5.4 billion, up 5.8% year-over-year, and adjusted EPS of $1.40, a 13.8% increase. The company also announced "Project Leap," a restructuring program expected to generate $200M-$300M in-year savings and incur $230M-$320M in costs. This initiative led to an increased full-year 2026 adjusted operating margin guidance, alongside robust bookings growth and strategic AI partnerships.