Cognizant Technology Solutions, headquartered in New Jersey, reported a 0.1% decline in net profit for the first quarter of 2026, totaling $662 million, compared to $663 million in the previous year. Despite this marginal dip, the company achieved a 5.8% increase in revenue, reaching $5.4 billion, surpassing its forecasts. On a constant currency basis, revenue growth was 3.9%, exceeding the company’s earlier estimates. To address operational efficiency, Cognizant announced 'Project Leap', which may involve layoffs, although the exact number of affected employees has not been disclosed. Severance costs related to this restructuring are projected to be between $230 million and $320 million. CEO Ravi Kumar S emphasized the need for an agile operating model that integrates AI, while CFO Jatin Dalal noted the company’s commitment to hiring 20,000 freshers in 2026, following a successful recruitment of the same number last year. Cognizant also entered a definitive agreement to acquire Astreya, a US-based IT firm, for approximately $600 million, as part of its strategy to bolster its AI capabilities. The company anticipates revenue for the full year to be between $22.11 billion and $22.64 billion, reflecting a growth of 4% to 6.5% in constant currency. Despite the positive revenue outlook, the company acknowledges a challenging demand environment, with expectations of continued macroeconomic uncertainty.