How does Cognizant (CTSH) make money?

Cognizant (CTSH) generates revenue primarily from Healthcare Segment, which accounted for 29.7% of total revenue in TTM through Q1 2026. The company reported $21.41B in revenue and converted 10.4% of it into net profit, equivalent to roughly $2.23B in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Cognizant (CTSH)?

Cognizant (CTSH) reported a gross profit margin of 32.1% in TTM through Q1 2026, equivalent to $6.86B in gross profit on $21.41B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Cognizant (CTSH)?

Cognizant (CTSH) reported an operating profit margin of 15.7% in TTM through Q1 2026, equivalent to $3.35B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Cognizant (CTSH)?

Cognizant (CTSH) reported a net profit margin of 10.4% in TTM through Q1 2026, equivalent to $2.23B in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Cognizant (CTSH) profitable?

Yes. Cognizant (CTSH) reported $2.23B in net income for TTM through Q1 2026, with a net profit margin of 10.4%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Cognizant (CTSH) spend on capital expenditures?

Cognizant (CTSH) spent $287.00M on capital expenditures (CapEx) during TTM through Q1 2026, roughly 1.3% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Cognizant (CTSH) generate?

Cognizant (CTSH) generated $2.47B in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 11.5%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Cognizant (CTSH)?

Cognizant (CTSH) had an effective tax rate of 36% in TTM through Q1 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Cognizant (CTSH)?

Cognizant (CTSH) reports revenue across 4 reportable product segments, led by Financial Services at 29.7% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

Where does Cognizant (CTSH) generate most of its revenue?

North America is the largest geographic market for Cognizant (CTSH), accounting for 74.6% of revenue in the most recent annual filing. The complete regional split — including international markets and any Rest-of-World rollup — is shown in the revenue-by-geography table on this page.

How Cognizant Makes Money: 2026 Visual Revenue Map

Cognizant (CTSH) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported April 29, 2026).

Cognizant (CTSH) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Cognizant (CTSH) in TTM through Q1 2026.
Segment	Revenue (USD)	% of total
Financial Services	$6.36B	29.7%
Healthcare Segment	$6.36B	29.7%
Products and Resources	$5.33B	24.9%
Communication, Media and Technology	$3.37B	15.7%
Total	$21.41B	100%

Financial Services$6.36B
Healthcare Segment$6.36B
Products and Resources$5.33B
Communication, Media and Technology$3.37B
Total$21.41B

Cognizant (CTSH) Revenue by Geography — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported regions changed mid-year.

Revenue contribution by geographic region for Cognizant (CTSH), TTM through Q1 2026
Region	Revenue (USD)	% of total
North America	$15.98B	74.6%
Europe	$4.10B	19.2%
Other Regions	$1.33B	6.2%
Total	$21.41B	100%

North America
Europe
Other Regions
Total

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Cognizant (CTSH) reports revenue across 4 operating segments; the largest segment was Financial Services at 29.7%, followed by Healthcare Segment (29.7%) and Products and Resources (24.9%). Separately, by end-market geography, North America accounted for 74.6% of revenue, followed by Europe (19.2%) and Other Regions (6.2%).

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