ctsh-20211027

Exhibit 99.1

COGNIZANT REPORTS THIRD QUARTER 2021 RESULTS

•Revenue of $4.7 billion grew 11.8% year-over-year (11.0% in constant currency1)

•Digital revenue grew 18% year-over-year

•Q3 bookings grew 24% year-over-year, bringing year-to-date bookings growth to 13%

•2021 revenue growth guidance 11.1%, or 9.8% in constant currency

TEANECK, N.J., October 27, 2021 - Cognizant (Nasdaq: CTSH), one of the world’s leading professional services companies, today announced its third quarter 2021 financial results.

“I’m pleased with our third quarter performance. While the industry faces an unprecedented competition for talent, we attracted a record number of employees to Cognizant, and stayed focused on delivering against our client commitments and our strategic repositioning,” said Brian Humphries, Chief Executive Officer. “We continue to make important investments to ensure Cognizant is well positioned to serve our clients as they embrace digital business models.”


	Q3 2021		Q3 2020
Revenue (in billions)	$4.7		$4.2
GAAP operating margin	15.4	%	14.2	%
Adjusted Operating Margin1	15.8	%	15.9	%
GAAP diluted EPS	$1.03		$0.64
Adjusted Diluted EPS1	$1.06		$0.97

Third Quarter 2021 Performance by Business Segment

Financial Services revenue grew 5.1% year-over-year, or 4.3% in constant currency, which included the benefit of recently completed acquisitions and revenue growth generated by our digital services in both banking and insurance. Declines related to our non-digital services reflected clients' continued focus on cost optimization of supporting their legacy systems and operations.

Healthcare revenue grew 10.0% year-over-year, or 9.8% in constant currency. Revenue growth among our life sciences clients was driven by increased demand for our services among pharmaceutical companies. Revenue growth among our healthcare customers benefited from increased demand for our integrated software solutions.

Products and Resources revenue grew 19.4% year-over-year, or 18.1% in constant currency, which included the benefit of recently completed acquisitions and revenue growth driven by our clients' adoption of digital technologies. We experienced improved demand across retail, consumer goods, travel, and hospitality following the negative impact from the pandemic in 2020.

1 Constant currency ("CC") revenue growth, Adjusted Operating Margin and Adjusted Diluted Earnings Per Share ("Adjusted Diluted EPS") are not measures of financial performance prepared in accordance with GAAP. See “About Non-GAAP Financial Measures and Performance Metrics” for more information and, where applicable, reconciliations to the most directly comparable GAAP financial measures at the end of this release.

Communications, Media and Technology revenue grew 20.0% year-over-year, or 19.1% in constant currency. Revenue growth included the benefit of recently completed acquisitions and continued strong demand from technology clients.

Return of Capital to Shareholders

During the third quarter, the Company repurchased 1.3 million shares for $100 million at an average price of $76.10 under its share repurchase program. As of September 30, 2021, there was $2.2 billion remaining under the current share repurchase authorization. In October 2021, the Company declared a quarterly cash dividend of $0.24 per share for shareholders of record on November 19, 2021. This dividend will be payable on November 30, 2021.

“During the third quarter, we drove strong bookings growth and maintained our revenue momentum in a robust demand environment. We are pleased with our ongoing investments in recruiting, which enabled us to support accelerating demand by meaningfully scaling our headcount,” said Jan Siegmund, Chief Financial Officer. “We now expect full-year revenue growth of approximately 10% in constant currency, towards the high-end of our prior range.”

Fourth Quarter and Full Year 2021 Outlook

The Company provided the following guidance:

•Fourth quarter revenue is expected to be $4.75-$4.79 billion, or growth of 13.5-14.5% (13.3-14.3% in constant currency).

•Full year 2021 revenue is expected to be approximately $18.5 billion, or growth of 11.1% ( 9.8% in constant currency).

•Full year 2021 Adjusted Operating Margin2 is expected to be approximately 15.4%.2

•Full year 2021 Adjusted Diluted EPS2 is expected to be in the range of $4.02-$4.06.

Conference Call

Cognizant will host a conference call on October 27, 2021, at 5:00 p.m. (Eastern) to discuss the Company’s third quarter 2021 results. To listen to the conference call, please dial (877) 810-9510 (domestic) or +1 (201) 493-6778 (international) and provide the following conference passcode: “Cognizant Call.”

The conference call will also be available live on the Investor Relations section of the Cognizant website at http://investors.cognizant.com. An earnings supplement will also be available on the Cognizant website at the time of the conference call.

For those who cannot access the live broadcast, a replay will be available. To listen to the replay, please dial (877) 660-6853 (domestically) or +1 (201) 612-7415 (internationally) and enter 13723436 from two hours after the end of the call until 11:59 p.m. (Eastern) on Wednesday, November 10, 2021. The replay will also be available at Cognizant’s website www.cognizant.com for 60 days following the call.

2021 Investor Briefing

Cognizant will host a virtual Investor Briefing on Thursday, November 18, 2021, beginning at 8:30 a.m. (Eastern) and expected to end around 10:30 a.m. (Eastern). The event will include discussion of the company's strategy and financial outlook, featuring presentations from Chief Executive Officer Brian Humphries and Chief Financial Officer Jan Siegmund. The event will be webcast live and will be accessible on Cognizant's Investor Relations website at http://investors.cognizant.com.

2 A full reconciliation of Adjusted Operating Margin and Adjusted Diluted EPS guidance to the corresponding GAAP measure on a forward-looking basis cannot be provided without unreasonable efforts, as we are unable to provide reconciling information with respect to unusual items. See “About Non-GAAP Financial Measures and Performance Metrics” for more information and a partial reconciliation at the end of this release.

About Cognizant

Cognizant (Nasdaq: CTSH) engineers modern businesses. We help our clients modernize technology, reimagine processes and transform experiences so they can stay ahead in our fast-changing world. Together, we’re improving everyday life. See how at www.cognizant.com or @cognizant.

Forward-Looking Statements

This press release includes statements that may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the accuracy of which are necessarily subject to risks, uncertainties, and assumptions as to future events that may not prove to be accurate. These statements include, but are not limited to, express or implied forward-looking statements relating to our expectations regarding the impact of the COVID-19 pandemic on our business,

opportunities in the marketplace, investment in and growth of our business, the effectiveness of our recruiting and talent efforts, the impact of the 2020 Fit for Growth Plan, our and our clients’ shift to digital solutions and services and our anticipated financial performance. These statements are neither promises nor guarantees, but are subject to a variety of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those contemplated in these forward-looking statements. Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ materially from those expressed or implied include general economic conditions, the competitive and rapidly changing nature of the markets we compete in, the competitive marketplace for talent and its impact on employee recruitment and retention, legal, reputational and financial risks resulting from cyberattacks, the impact of and effectiveness of business continuity plans during the COVID-19 pandemic, changes in the regulatory environment, including with respect to immigration and taxes, and the other factors discussed in our most recent Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Cognizant undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities law.

About Non-GAAP Financial Measures and Performance Metrics

To supplement our financial results presented in accordance with GAAP, this press release includes references to the following measures defined by the Securities and Exchange Commission as non-GAAP financial measures: Adjusted Income From Operations, Adjusted Operating Margin, Adjusted Diluted EPS, free cash flow, net cash and constant currency revenue growth. These non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and may be different from non-GAAP financial measures used by other companies. In addition, these non-GAAP financial measures should be read in conjunction with our financial statements prepared in accordance with GAAP. The reconciliations of our non-GAAP financial measures to the corresponding GAAP measures should be carefully evaluated.

Our non-GAAP financial measures, Adjusted Operating Margin, Adjusted Income From Operations and Adjusted Diluted EPS exclude unusual items. Additionally, Adjusted Diluted EPS excludes net non-operating foreign currency exchange gains or losses and the tax impact of all the applicable adjustments. The income tax impact of each item is calculated by applying the statutory rate and local tax regulations in the jurisdiction in which the item was incurred. Free cash flow is defined as cash flows from operating activities net of purchases of property and equipment. Net cash is defined as cash and cash equivalents and short-term investments less short-term and long-term debt. Constant currency revenue growth is defined as revenues for a given period restated at the comparative period’s foreign currency exchange rates measured against the comparative period's reported revenues.

Management believes providing investors with an operating view consistent with how we manage the Company provides enhanced transparency into our operating results. For our internal management

reporting and budgeting purposes, we use various GAAP and non-GAAP financial measures for financial and operational decision-making, to evaluate period-to-period comparisons, to determine portions of the compensation for our executive officers and for making comparisons of our operating results to those of our competitors. Therefore, it is our belief that the use of non-GAAP financial measures excluding certain costs provides a meaningful supplemental measure for investors to evaluate our financial performance. Accordingly, we believe that the presentation of our non-GAAP measures, when read in conjunction with our reported GAAP results, can provide useful supplemental information to our management and investors regarding financial and business trends relating to our financial condition and results of operations.

A limitation of using non-GAAP financial measures versus financial measures calculated in accordance with GAAP is that non-GAAP financial measures do not reflect all of the amounts associated with our operating results as determined in accordance with GAAP and may exclude costs that are recurring such as our net non-operating foreign currency exchange gains or losses. In addition, other companies may calculate non-GAAP financial measures differently than us, thereby limiting the usefulness of these non-GAAP financial measures as a comparative tool. We compensate for these limitations by providing specific information regarding the GAAP amounts excluded from our non-GAAP financial measures to allow investors to evaluate such non-GAAP financial measures.

Bookings are defined as total contract value (or TCV) of new contracts, including new contract sales as well as renewals and expansions of existing contracts. Bookings can vary significantly quarter to quarter depending in part on the timing of the signing of a small number of large contracts. Our book-to-bill ratio is defined as bookings for the trailing twelve months divided by revenue for the same period. Measuring bookings involves the use of estimates and judgments and there are no independent standards or requirements governing the calculation of bookings. The extent and timing of conversion of bookings to revenues may be impacted by, among other factors, the types of services and solutions sold, contract duration, the pace of client spending, actual volumes of services delivered as compared to the volumes anticipated at the time of sale, and contract modifications, including terminations, over the lifetime of a contract. The majority of our contracts are terminable by the client on short notice often without penalty, and some without notice. We do not update our bookings for material subsequent terminations or reductions related to bookings originally recorded in prior year periods or foreign currency exchange rate fluctuations. Information regarding our bookings is not comparable to, nor should it be substituted for, an analysis of our reported revenues. However, management believes that it is a key indicator of potential future revenues and provides a useful indicator of the volume of our business over time.

We disclose digital revenue as management believes it provides additional insights into the Company’s business. Measuring digital revenue requires the use of estimates and judgement, there are no independent standards or requirements governing the calculation and our calculation may differ from the calculations underlying similar such metrics disclosed by other companies.

Investor Relations Contact:

Media Contact:

Tyler Scott

Jeff DeMarrais

VP, Investor Relations

VP, Corporate Communications

551-220-8246

475-223-2298

[email protected]

- tables to follow -

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)


(in millions, except per share data)	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Revenues	$	4,744	$	4,243	$	13,730	$	12,468
Operating expenses:
Cost of revenues (exclusive of depreciation and amortization expense shown separately below)	2,947		2,647		8,574		8,009
Selling, general and administrative expenses	924		804		2,632		2,226
Restructuring charges	—		51		—		177
Depreciation and amortization expense	144		138		430		407
Income from operations	729		603		2,094		1,649
Other income (expense), net:
Interest income	7		27		23		105
Interest expense	(3)		(6)		(7)		(21)
Foreign currency exchange gains (losses), net	(3)		(1)		(19)		(105)
Other, net	1		1		(1)		1
Total other income (expense), net	2		21		(4)		(20)
Income before provision for income taxes	731		624		2,090		1,629
Provision for income taxes	(187)		(276)		(531)		(552)
Income (loss) from equity method investment	—		—		2		(1)
Net income	$	544	$	348	$	1,561	$	1,076
Basic earnings per share	$	1.04	$	0.64	$	2.96	$	1.98
Diluted earnings per share	$	1.03	$	0.64	$	2.96	$	1.98
Weighted average number of common shares outstanding - Basic	525		542		527		543
Dilutive effect of shares issuable under stock-based compensation plans	1		1		1		—
Weighted average number of common shares outstanding - Diluted	526		543		528		543

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(Unaudited)


(in millions, except par values)	September 30, 2021		December 31, 2020
Assets
Current assets:
Cash and cash equivalents	$	1,664	$	2,680
Short-term investments	749		44
Trade accounts receivable, net	3,510		3,087
Other current assets	1,072		1,040
Total current assets	6,995		6,851
Property and equipment, net	1,179		1,251
Operating lease assets, net	956		1,013
Goodwill	5,451		5,031
Intangible assets, net	1,198		1,046
Deferred income tax assets, net	282		445
Long-term investments	466		440
Other noncurrent assets	705		846
Total assets	$	17,232	$	16,923
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	351	$	389
Deferred revenue	312		383
Short-term debt	38		38
Operating lease liabilities	200		211
Accrued expenses and other current liabilities	2,418		2,519
Total current liabilities	3,319		3,540
Deferred revenue, noncurrent	37		36
Operating lease liabilities, noncurrent	804		846
Deferred income tax liabilities, net	214		206
Long-term debt	636		663
Long-term income taxes payable	378		428
Other noncurrent liabilities	298		368
Total liabilities	5,686		6,087
Stockholders’ equity:
Preferred stock, $0.10 par value, 15 shares authorized, none issued	—		—
Class A common stock, $0.01 par value, 1,000 shares authorized, 525 and 530 shares issued and outstanding as of September 30, 2021 and December 31, 2020, respectively	5		5
Additional paid-in capital	29		32
Retained earnings	11,479		10,689
Accumulated other comprehensive income (loss)	33		110
Total stockholders’ equity	11,546		10,836
Total liabilities and stockholders’ equity	$	17,232	$	16,923

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

Reconciliations of Non-GAAP Financial Measures

(Unaudited)


(dollars in millions, except per share amounts)	Three Months Ended September 30,						Nine Months Ended September 30,						Guidance
	2021			2020			2021			2020			Full Year 2021
GAAP income from operations	$	729		$	603		$	2,094		$	1,649
Class Action Settlement Loss(a)	20			—			20			—
Realignment charges(b)	—			8			—			40
2020 Fit for Growth Plan restructuring charges(c)	—			43			—			137
COVID-19 charges(d)	—			21			—			52


Adjusted Income From Operations	$	749		$	675		$	2,114		$	1,878

GAAP operating margin	15.4		%	14.2		%	15.3		%	13.2		%
Class Action Settlement Loss	0.4			—			0.1			—			0.1%
Realignment charges	—			0.2			—			0.3			—
2020 Fit for Growth Plan restructuring charges	—			1.0			—			1.1			—
COVID-19 charges	—			0.5			—			0.5			—

Adjusted Operating Margin	15.8		%	15.9		%	15.4		%	15.1		%	~15.4%

GAAP diluted earnings per share	$	1.03		$	0.64		$	2.96		$	1.98
Effect of above adjustments to income from operations, pre-tax	0.04			0.13			0.04			0.42			$0.04
Non-operating foreign currency exchange (gains) losses, pre-tax(e)	0.01			—			0.03			0.19			(e)
Tax effect of above adjustments(f)	(0.02)			(0.06)			(0.01)			(0.10)			(a), (e)

Tax on Accumulated Indian Earnings(g)	—			0.26			—			0.26			—

Adjusted Diluted Earnings Per Share	$	1.06		$	0.97		$	3.02		$	2.75		$4.02 - $4.06

Notes:

(a)In the third quarter of 2021, the parties to the consolidated putative securities class action suit filed a settlement agreement that, subject to the approval of the United States District Court for the District of New Jersey, would resolve the consolidated putative securities class action against us and certain of our former officers. The settlement agreement provides for a payment of $95 million to the putative class (inclusive of attorneys’ fees and litigation expenses). Adjusting for indemnification expenses, legal fees and other covered expenses incurred through September 7, 2021, the remaining available balance under the applicable directors and officers insurance policies was $75 million. As a result, we recorded a Class Action Settlement Loss of $20 million in "Selling, general and administrative expenses" in our unaudited consolidated financial statements. Our guidance anticipates an impact of $0.04 per diluted share for the full year 2021, with a tax impact of $0.01 per diluted share.

(b)As part of the realignment program, during the three and nine months ended September 30, 2020, we incurred employee retention costs and professional fees. The total costs related to the realignment plan are reported in "Restructuring charges" in our unaudited consolidated statement of operations.

(c)As part of our 2020 Fit for Growth plan, during the three and nine months ended September 30, 2020, we incurred certain employee separation, employee retention, facility exit costs and other charges. The total costs related to the 2020 Fit for Growth Plan are reported in "Restructuring charges" in our unaudited consolidated statement of operations.

(d)During the three and nine months ended September 30, 2020, we incurred costs in response to the COVID-19 pandemic including a one-time bonus to our employees at the designation of associate and below in both India and the Philippines, certain costs to enable our employees to work remotely and costs to provide medical staff and extra cleaning services for our facilities. Substantially all of the costs related to the pandemic are reported in "Cost of revenues" in our unaudited consolidated statement of operations.

(e)Non-operating foreign currency exchange gains and losses, inclusive of gains and losses on related foreign exchange forward contracts not designated as hedging instruments for accounting purposes, are reported in "Foreign currency exchange gains (losses), net" in our unaudited consolidated statements of operations. Non-operating foreign currency exchange gains and losses are subject to high variability and low visibility and therefore cannot be provided on a forward-

looking basis without unreasonable efforts.

(f)Presented below are the tax impacts of each of our non-GAAP adjustments to pre-tax income for the three and nine months ended September 30:


	Three Months Ended September 30,		Nine Months Ended September 30,
(in millions)	2021	2020	2021	2020
Non-GAAP income tax benefit (expense) related to:
Class Action Settlement Loss	6	—	6	—
Realignment charges	—	2	—	10
2020 Fit For Growth Plan restructuring charges	—	11	—	36
COVID-19 charges	—	6	—	14
Foreign currency exchange gains and losses	3	15	(3)	(3)

(g)During the third quarter of 2020 we reversed our indefinite reinvestment assertion on Indian earnings accumulated in prior years and recorded a $140 million Tax on Accumulated Indian Earnings. The recorded income tax expense reflects the India withholding tax on unrepatriated Indian earnings, which were $5.2 billion as of December 31, 2019, net of applicable U.S. foreign tax credits.

Reconciliations of net cash


(in millions)	September 30, 2021		December 31, 2020
Cash and cash equivalents	$	1,664	$	2,680
Short-term investments	749		44
Less:
Short-term debt	38		38
Long-term debt	636		663
Net cash	$	1,739	$	2,023

The above tables serve to reconcile the Non-GAAP financial measures to the most directly comparable GAAP measures. Refer to the “About Non-GAAP Financial Measures and Performance Metrics” section of our press release for further information on the use of these Non-GAAP measures.

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

Revenue by Business Segment and Geography

(Unaudited)


(dollars in millions)	Three Months Ended September 30, 2021
					Year over Year
	$		% of total		% Change		Constant Currency % Change (a)
Revenues by Segment:
Financial Services	$	1,544	32.6	%	5.1	%	4.3	%
Healthcare	1,354		28.5	%	10.0	%	9.8	%
Products and Resources	1,107		23.3	%	19.4	%	18.1	%
Communications, Media and Technology	739		15.6	%	20.0	%	19.1	%
Total Revenues	$	4,744			11.8	%	11.0	%
Revenues by Geography:
North America	$	3,486	73.5	%	9.7	%	9.5	%
United Kingdom	430		9.1	%	24.6	%	18.8	%
Continental Europe	484		10.2	%	10.8	%	9.6	%
Europe - Total	914		19.3	%	16.9	%	13.7	%
Rest of World	344		7.2	%	22.0	%	21.0	%
Total Revenues	$	4,744			11.8	%	11.0	%

	Nine Months Ended September 30, 2021
					Year over Year
	$		% of total		% Change		Constant Currency % Change (a)
Revenues by Segment:
Financial Services	$	4,504	32.8	%	4.4	%	2.5	%
Healthcare	3,967		28.9	%	10.7	%	10.0	%
Products and Resources	3,160		23.0	%	15.0	%	12.5	%
Communications, Media and Technology	2,099		15.3	%	15.2	%	13.2	%
Total Revenues	$	13,730			10.1	%	8.4	%
Revenues by Geography:
North America	$	10,141	73.9	%	8.2	%	7.9	%
United Kingdom	1,203		8.8	%	20.8	%	12.6	%
Continental Europe	1,422		10.3	%	10.0	%	3.8	%
Europe - Total	2,625		19.1	%	14.7	%	7.6	%
Rest of World	964		7.0	%	19.9	%	16.4	%
Total Revenues	$	13,730			10.1	%	8.4	%

Notes:

(a)Constant currency revenue growth is not a measure of financial performance prepared in accordance with GAAP. See “About Non-GAAP Financial Measures and Performance Metrics” section of our press release for further information.

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)


(in millions)	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Cash flows from operating activities:
Net income	$	544	$	348	$	1,561	$	1,076
Adjustments for non-cash income and expenses	237		499		769		986
Changes in assets and liabilities	167		78		(660)		339
Net cash provided by operating activities	948		925		1,670		2,401
Cash flows from investing activities:
Purchases of property and equipment	(51)		(104)		(214)		(309)
Net (purchases) sales of investments	(299)		26		(737)		189
Payments for business combinations, net of cash acquired	(57)		(580)		(715)		(1,069)
Net cash (used in) investing activities	(407)		(658)		(1,666)		(1,189)
Cash flows from financing activities:
Repurchases of common stock	(129)		(248)		(689)		(833)
Repayment of term loan borrowings and finance lease and earnout obligations	(12)		(12)		(40)		(37)
Proceeds from borrowings under the revolving credit facility	—		—		—		1,740
Dividends paid	(127)		(120)		(382)		(362)
Issuance of common stock under stock-based compensation plans	29		33		104		109
Net cash (used in) provided by financing activities	(239)		(347)		(1,007)		617
Effect of exchange rate changes on cash and cash equivalents	(6)		94		(13)		(38)
Increase (decrease) in cash and cash equivalents	296		14		(1,016)		1,791
Cash and cash equivalents, beginning of period	1,368		4,422		2,680		2,645
Cash and cash equivalents, end of period	$	1,664	$	4,436	$	1,664	$	4,436

SUPPLEMENTAL CASH FLOW INFORMATION

(in millions)

Three Months Ended

Stock Repurchases under Board of Directors' authorized stock repurchase program:

September 30, 2021

September 30, 2020

Number of shares repurchased

1.3

4.1

Remaining authorized balance as of September 30, 2021

2,185

Reconciliation of Free Cash Flow Non-GAAP Financial Measure


(in millions)	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Net cash provided by operating activities	$	948	$	925	$	1,670	$	2,401
Purchases of property and equipment	(51)		(104)		(214)		(309)
Free cash flow	$	897	$	821	$	1,456	$	2,092

Third Quarter 2021 Financial Results and Highlights October 27, 2021 Exhibit 99.3

Forward-Looking Statements This earnings supplement includes statements that may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the accuracy of which are necessarily subject to risks, uncertainties, and assumptions as to future events that may not prove to be accurate. These statements include, but are not limited to, express or implied forward-looking statements relating to our expectations regarding the impact of the COVID-19 pandemic on our business, opportunities in the marketplace, investment in and growth of our business, the effectiveness of our recruiting and talent efforts, the impact of the 2020 Fit for Growth Plan, our and our clients’ shift to digital solutions and services and our anticipated financial performance. These statements are neither promises nor guarantees, but are subject to a variety of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those contemplated in these forward-looking statements. Existing and prospective investors are cautioned not to place undue reliance on these forward- looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ materially from those expressed or implied include general economic conditions, the competitive and rapidly changing nature of the markets we compete in, the competitive marketplace for talent and its impact on employee recruitment and retention, legal, reputational and financial risks resulting from cyberattacks, the impact of and effectiveness of business continuity plans during the COVID-19 pandemic, changes in the regulatory environment, including with respect to immigration and taxes, and the other factors discussed in our most recent Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Cognizant undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities law. 2

Results Summary: Q3 2021 1 See “About Non-GAAP Financial Measures” at the end of this earnings supplement for more information and reconciliations to the most directly comparable GAAP financial measures, as applicable. REVENUE Up 11.8% Y/Y as reported and 11.0% Y/Y in constant currency1 OPERATING MARGIN CASH FLOW 3 $4,243M $4,744M Q3 2020 Q3 2021 DILUTED EARNINGS PER SHARE 14.2% 15.4% Q3 2020 Q3 2021 15.9% 15.8% Q3 2020 Q3 2021 $925M $948M Q3 2020 Q3 2021 $821M $897M Q3 2020 Q3 2021 $0.64 $1.03 Q3 2020 Q3 2021 $0.97 $1.06 Q3 2020 Q3 2021 GAAP Operating Margin Adjusted Operating Margin1 GAAP Diluted EPS Adjusted Diluted EPS1 Operating Cash Flow Free Cash Flow1

$4,110 $4,141 $4,248 $4,284 $4,225 $4,000 $4,243 $4,184 $4,401 $4,585 $4,744 $0.91 $0.94 $1.08 $1.07 $0.96 $0.82 $0.97 $0.67 $0.97 $0.99 $1.06 Revenue Adjusted Diluted EPS Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 $ In Millions Except Per Share Amounts Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '201 Q1 '21 Q2 '21 Q3 '21 Y/Y 5.1% 3.4% 4.2% 3.8% 2.8% (3.4%) (0.1%) (2.3%) 4.2% 14.6% 11.8% Y/Y CC 6.8% 4.7% 5.1% 4.2% 3.5% (2.5%) (0.7%) (3.0%) 2.4% 12.0% 11.0% GAAP Operating Margin 13.1% 14.9% 15.7% 14.6% 13.7% 11.7% 14.2% 11.1% 15.2% 15.2% 15.4% Adjusted Operating Margin 16.0% 16.1% 17.3% 17.0% 15.1% 14.1% 15.9% 12.3% 15.2% 15.2% 15.8% GAAP Diluted EPS $0.77 $0.90 $0.90 $0.72 $0.67 $0.67 $0.64 $0.59 $0.95 $0.97 $1.03 Adjusted Diluted EPS $0.91 $0.94 $1.08 $1.07 $0.96 $0.82 $0.97 $0.67 $0.97 $0.99 $1.06 Revenue, EPS and Operating Margin Revenue Growth, Operating Margin and GAAP EPS 1 Cognizant made an offer in Q4 2020 to settle and exit a large customer engagement in the financial services segment in Continental Europe. As a result of this offer, in Q4 2020, we recorded a reduction of revenue of $107 million, or -2.5 percentage points impact Y/Y, and additional expenses of $33 million. This impacted Q4 2020 GAAP / Adjusted Operating Margin by ~3.0 percentage points and GAAP / Adjusted Diluted EPS by -$0.25. In Q2 2021, we reached a settlement with two of the three customers that were part of the engagement and it did not impact earnings for the quarter. 1 4

$3,486 $914 $344 $1,544 $1,354 $1,107 $739 Revenue Performance: Q3 2021 PRODUCTS & RESOURCES COMMUNICATIONS, MEDIA & TECHNOLOGY HEALTHCARE FINANCIAL SERVICES NORTH AMERICA EUROPE REST OF WORLD Segments $ IN MILLIONS Geography $ IN MILLIONS +20.0% Y/Y +19.1% Y/Y CC +19.4% Y/Y +18.1% Y/Y CC +10.0% Y/Y +9.8% Y/Y CC +5.1% Y/Y +4.3% Y/Y CC +16.9% Y/Y +13.7% Y/Y CC +22.0% Y/Y +21.0% Y/Y CC +9.7% Y/Y +9.5% Y/Y CC 5

$1,075 $327 $142 Financial Services NORTH AMERICA EUROPE REST OF WORLD Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '201 Q1 '21 Q2 '21 Q3 '21 Y/Y (1.7%) 0.3% 1.9% 1.2% 1.0% (5.2%) (1.5%) (11.1%) 0.5% 7.6% 5.1% Y/Y CC 0.2% 1.7% 3.0% 1.5% 1.8% (4.3%) (2.2%) (11.4%) (1.7%) 4.8% 4.3% +7.6% Y/Y +6.6% Y/Y CC +7.6% Y/Y +5.0% Y/Y CC Revenue Revenue Growth $ IN MILLIONS $ IN MILLIONS Q3 2021 Geography 4.1% Y/Y 3.8% Y/Y CC $1,436 $1,473 $1,492 $1,468 $1,451 $1,396 $1,469 $1,305 $1,458 $1,502 $1,544 Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 6 1 Cognizant made an offer in Q4 2020 to settle and exit a large customer engagement in the financial services segment in Continental Europe. As a result of this offer, in Q4 2020, we recorded a reduction of revenue of $107 million. This impacted the Q4 2020 Y/Y growth rate for Financial Services by approximately -7.3 percentage points Y/Y. In Q2 2021, we reached a settlement with two of the three customers that were part of the engagement and it did not impact earnings for the quarter. 1 Revenue growth included the benefit of recently completed acquisitions and revenue growth generated by our digital services in both banking and insurance. Declines related to our non-digital services reflected clients' continued focus on cost optimization of supporting their legacy systems and operations.

$1,162 $162 $30 Healthcare NORTH AMERICA EUROPE REST OF WORLD +42.9% Y/Y +42.6% Y/Y CC +3.8% Y/Y +2.4% Y/Y CC +10.2% Y/Y and CC Revenue $ IN MILLIONS $ IN MILLIONS Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Y/Y 3.9% (1.9%) (1.2%) 1.6% 2.5% 2.0% 4.8% 4.0% 7.9% 14.5% 10.0% Y/Y CC 4.6% (1.5%) (0.9%) 1.8% 2.7% 2.2% 4.2% 3.3% 7.0% 13.4% 9.8% $1,165 $1,134 $1,175 $1,221 $1,194 $1,157 $1,231 $1,270 $1,288 $1,325 $1,354 Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 7 Revenue Growth Q3 2021 Geography Healthcare growth was driven by demand from life sciences clients and increased demand for our integrated software solutions among payers and providers.

$749 $270 $88 NORTH AMERICA EUROPE Products & Resources +12.5% Y/Y +12.3% Y/Y CC 39.9% Y/Y 34.9% Y/Y CC 29.4% Y/Y 27.6% Y/Y CC REST OF WORLD Revenue $ IN MILLIONS $ IN MILLIONS Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Y/Y 11.3% 10.4% 11.9% 8.1% 4.4% (6.5%) (4.0%) (1.6%) 4.6% 21.7% 19.4% Y/Y CC 13.8% 12.3% 13.4% 8.6% 5.3% (5.0%) (4.6%) (2.4%) 2.4% 17.8% 18.1% $914 $927 $966 $963 $954 $867 $927 $948 $998 $1,055 $1,107 Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 8 Revenue Growth Q3 2021 Geography Revenue growth included the benefit of recently completed acquisitions and was driven by our clients' adoption and integration of digital technologies. We experienced improved demand across retail, consumer goods, travel, and hospitality following the negative impact from the pandemic in 2020.

$500 $155 $84 $595 $607 $615 $632 $626 $580 $616 $661 $657 $703 $739 Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Communications, Media & Technology NORTH AMERICA REST OF WORLD +37.7% Y/Y +37.6% Y/Y CC +20.2% Y/Y +16.1% Y/Y CC +17.4% Y/Y and CC EUROPE Revenue $ IN MILLIONS Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Y/Y 16.9% 12.2% 9.4% 8.0% 5.2% (4.4%) 0.2% 4.6% 5.0% 21.2% 20.0% Y/Y CC 19.6% 14.1% 10.6% 9.0% 6.3% (3.2%) (0.2%) 3.4% 3.1% 17.9% 19.1% Impact from exit of certain content services ~(2.0%) ~(3.9%) ~(7.9%) ~(9.2%) ~(7.9%) ~(6.0%) ~(1.9%) N/A 9 Revenue Growth Q3 2021 Geography Revenue growth included the benefit of recently completed acquisitions and continued strong demand from technology clients. $ IN MILLIONS

83% 83% 84% 85% 83% 80% 85% 87% 85% 84% 84% 91% 92% 92% 92% 91% 91% 93% 91% 92% 92% 91% Offshore, Excluding Trainees % Onsite % Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Employee Metrics Headcount and Annualized Attrition Utilization 285.8 288.2 289.9 292.5 291.7 281.2 283.1 289.5 296.5 301.2 318.4 19% 23% 24% 21% 22% 24% 18% 19% 21% 31% 37% 16% 19% 18% 16% 13% 11% 10% 16% 18% 29% 33% Headcount (in thousands) Quarterly Annualized Attrition Quarterly Annualized Voluntary Attrition Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 10 NUMBER OF EMPLOYEES IN THOUSANDS

$453 $480 $500 $617 $1,123 $769 $2,247 $1,621 $1,477 FY2019 FY2020 Trailing 12-Months AcquisitionsShare Repurchases $120 $118 $128 $127 $127 $580 $310 $348 $57 $248 $788 $240 $320 $129 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Cash Flow, Balance Sheet & Capital Allocation $ IN MILLIONS Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 OPERATING CASH FLOW $269 $575 $717 $938 $497 $979 $925 $898 $181 $541 $948 FREE CASH FLOW $163 $479 $620 $845 $385 $886 $821 $809 $93 $466 $897 CASH AND SHORT-TERM INVESTMENTS1 $3,668 $3,003 $3,077 $3,424 $4,282 $4,582 $4,575 $2,724 $2,158 $1,850 $2,413 TOTAL DEBT $746 $746 $747 $738 $2,468 $2,459 $2,450 $701 $692 $683 $674 1 Q1 ’19 to Q4 ’19 cash and short-term investments included restricted time deposits in India. Beginning in 2020, these restricted time deposits were classified as long- term investments and therefore are no longer included in cash and short-term investments. Annual Quarterly Dividends 11 $ 54

FY2021 Guidance1 1 Guidance is as of October 27, 2021 2 A full reconciliation of Adjusted Operating Margin, Adjusted Diluted EPS and Adjusted effective tax rate guidance to the corresponding GAAP measures on a forward- looking basis cannot be provided without unreasonable efforts as we are unable to provide reconciling information with respect to unusual items, net non-operating foreign currency exchange gains or losses, and the tax effects of these adjustments. See “About Non-GAAP Financial Measures” for more information, the definition of Adjusted effective tax rate and a partial reconciliation to the most directly comparable GAAP financial measure at the end of this earnings supplement. FY2020 FY2021 Guidance Assumptions Revenue $16.7B ~$18.5B ~11.1% Y/Y or ~9.8% Y/Y CC Adjusted Operating Margin2 14.4% ~15.4% Assumes sequential decline in Q4 as a result of merit increases Interest Income $119M ~$30M Reflects lower interest income Y/Y as a result of less cash in India, where yields are generally higher Adjusted effective tax rate2 25.8% 25-26% Share Count 541M ~528M Adjusted Diluted EPS2 $3.42 $4.02-$4.06 Q4 2020 Q4 2021 Guidance Assumptions Revenue $4.2B $4.75 - $4.79B 13.5-14.5% Y/Y or 13.3-14.3% Y/Y CC 12

APPENDIX: About Non-GAAP Financial Measures

To supplement our financial results presented in accordance with GAAP, this earnings supplement includes references to the following measures defined by the Securities and Exchange Commission as non-GAAP financial measures: Adjusted Income From Operations, Adjusted Operating Margin, Adjusted Diluted EPS, free cash flow, Adjusted effective tax rate, and constant currency revenue growth. These non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and may be different from non-GAAP financial measures used by other companies. In addition, these non-GAAP financial measures should be read in conjunction with our financial statements prepared in accordance with GAAP. The reconciliations of our non-GAAP financial measures to the corresponding GAAP measures should be carefully evaluated. Our non-GAAP financial measures, Adjusted Operating Margin, Adjusted Income From Operations and Adjusted Diluted EPS exclude unusual items. Additionally, Adjusted Diluted EPS excludes net non-operating foreign currency exchange gains or losses and the tax impact of all the applicable adjustments. The income tax impact of each item is calculated by applying the statutory rate and local tax regulations in the jurisdiction in which the item was incurred. Free cash flow is defined as cash flows from operating activities net of purchases of property and equipment. Constant currency revenue growth is defined as revenues for a given period restated at the comparative period’s foreign currency exchange rates measured against the comparative period's reported revenues. Adjusted effective tax rate reflects a tax rate commensurate with our non-GAAP Adjusted EPS. We believe providing investors with an operating view consistent with how we manage the Company provides enhanced transparency into our operating results. For our internal management reporting and budgeting purposes, we use various GAAP and non-GAAP financial measures for financial and operational decision- making, to evaluate period-to-period comparisons, to determine portions of the compensation for our executive officers and for making comparisons of our operating results to those of our competitors. Therefore, it is our belief that the use of non-GAAP financial measures excluding certain costs provides a meaningful supplemental measure for investors to evaluate our financial performance. Accordingly, we believe that the presentation of our non-GAAP measures, when read in conjunction with our reported GAAP results, can provide useful supplemental information to our management and investors regarding financial and business trends relating to our financial condition and results of operations. A limitation of using non-GAAP financial measures versus financial measures calculated in accordance with GAAP is that non-GAAP financial measures do not reflect all of the amounts associated with our operating results as determined in accordance with GAAP and may exclude costs that are recurring such as our net non-operating foreign currency exchange gains or losses. In addition, other companies may calculate non-GAAP financial measures differently than us, thereby limiting the usefulness of these non-GAAP financial measures as a comparative tool. We compensate for these limitations by providing specific information regarding the GAAP amounts excluded from our non-GAAP financial measures to allow investors to evaluate such non-GAAP financial measures. About Non-GAAP Financial Measures 14

Reconciliations of Non-GAAP Financial Measures Please refer to page 16, 17 and 18 of this earnings supplement for corresponding Non-GAAP notes. (in millions, except per share amounts) Three Months Ended: Full Year Mar 31, 2019 Jun 30, 2019 Sep 30, 2019 Dec 31, 2019 Mar 31, 2020 Jun 30, 2020 Sep 30, 2020 Dec 31, 2020 Mar 31, 2021 Jun 30, 2021 Sep 30, 2021 Dec 31, 2020 Guidance Full Year 2021 GAAP income from operations $ 539 $ 619 $ 669 $ 626 $ 579 $ 467 $ 603 $ 465 $ 669 $ 696 $ 729 $ 2,114 Class Action Settlement Loss(a) — — — — — — — — — — 20 — Realignment charges(b) 2 49 65 53 20 12 8 2 — — — 42 2020 Fit for Growth Plan restructuring charges(c) — — — 48 35 59 43 36 — — — 173 COVID-19 charges(d) — — — — 6 25 21 13 — — — 65 Incremental accrual related to the India Defined Contribution Obligation(e) 117 — — — — — — — — — — — Adjusted income from operations $ 658 $ 668 $ 734 $ 727 $ 640 $ 563 $ 675 $ 516 $ 669 $ 696 $ 749 $ 2,394 GAAP operating margin 13.1 % 14.9 % 15.7 % 14.6 % 13.7 % 11.7 % 14.2 % 11.1 % 15.2 % 15.2 % 15.4 % 12.7 % Class Action Settlement Loss — — — — — — — — — — 0.4 — 0.1% Realignment charges — 1.2 1.6 1.3 0.5 0.3 0.2 — — — — 0.3 — 2020 Fit for Growth Plan restructuring charges — — — 1.1 0.8 1.5 1.0 0.9 — — — 1.0 — COVID-19 charges — — — — 0.1 0.6 0.5 0.3 — — — 0.4 — Incremental accrual related to the India Contribution Obligation 2.9 — — — — — — — — — — — (e) Adjusted operating margin 16.0 % 16.1 % 17.3 % 17.0 % 15.1 % 14.1 % 15.9 % 12.3 % 15.2 % 15.2 % 15.8 % 14.4 % ~15.4% GAAP diluted earnings per share $ 0.77 $ 0.90 $ 0.90 $ 0.72 $ 0.67 $ 0.67 $ 0.64 $ 0.59 $ 0.95 $ 0.97 $ 1.03 $ 2.57 Effect of above adjustments, pre-tax 0.20 0.09 0.12 0.18 0.11 0.18 0.13 0.10 — — 0.04 0.52 (a), (e) Effect of non-operating foreign currency exchange (gains) loss, pre-tax(f) (0.01) (0.03) 0.09 0.08 0.19 — — 0.02 0.02 0.01 0.01 0.22 (f) Tax effect of above adjustments(g) (0.05) (0.02) (0.03) (0.05) (0.01) (0.03) (0.06) (0.04) — 0.01 (0.02) (0.15) (a), (e), (f) Tax on Accumulated Indian Earnings(h) — — — — — — 0.26 — — — — 0.26 — Effect of the equity method investment impairment(i) — — — 0.10 — — — — — — — — — Effect of the India Tax Law(j) — — — 0.04 — — — — — — — — — Adjusted diluted earnings per share $ 0.91 $ 0.94 $ 1.08 $ 1.07 $ 0.96 $ 0.82 $ 0.97 $ 0.67 $ 0.97 $ 0.99 $ 1.06 $ 3.42 $4.02 - $4.06 15

Reconciliations of Non-GAAP Financial Measures Notes: (a) In the third quarter of 2021, the parties to the consolidated putative securities class action suit filed a settlement agreement that, subject to the approval of the United States District Court for the District of New Jersey, would resolve the consolidated putative securities class action against us and certain of our former officers. The settlement agreement provides for a payment of $95 million to the putative class (inclusive of attorneys’ fees and litigation expenses). Adjusting for indemnification expenses, legal fees and other covered expenses incurred through September 7, 2021, the remaining available balance under the applicable directors and officers insurance policies was $75 million. As a result, we recorded a Class Action Settlement Loss of $20 million in "Selling, general and administrative expenses" in our unaudited consolidated financial statements. Our guidance anticipates an impact of $0.04 per diluted share for the full year 2021, with a tax impact of $0.01 per diluted share. (b) During 2019 and 2020, we incurred realignment charges that consisted of employee separation costs, employee retention costs and professional fees. The total costs related to the realignment are reported in "Restructuring charges" in our consolidated statements of operations. (c) During 2019 and 2020, we incurred restructuring charges as part of our 2020 Fit for Growth Plan that included employee separation costs, employee retention costs and facility exit costs and other charges. The total costs related to the 2020 Fit for Growth Plan are reported in "Restructuring charges" in our consolidated statements of operations. (d) During 2020, we incurred costs in response to the COVID-19 pandemic, including a one-time bonus to our employees at the designation of associate and below in both India and the Philippines, certain costs to enable our employees to work remotely and costs to provide medical staff and extra cleaning services for our facilities. Most of the costs related to the pandemic are reported in "Cost of revenues" in our consolidated statement of operations. (e) During the first quarter of 2019, a ruling of the Supreme Court of India in interpreting certain statutory defined contribution obligations of employees and employers (the "India Defined Contribution Obligation") altered historical understandings of such obligations, extending them to cover additional portions of the employee's income. As a result, the ongoing contributions of our affected employees and the Company have increased. In the first quarter of 2019, we accrued $117 million with respect to prior periods, assuming retroactive application of the Supreme Court's ruling. There is significant uncertainty as to how the liability should be calculated as it is impacted by multiple variables, including the period of assessment, the application with respect to certain current and former employees and whether interest and penalties may be assessed. Since the ruling, a variety of trade associations and industry groups have advocated to the Indian government, highlighting the harm to the information technology sector, other industries and job growth in India that would result from a retroactive application of the ruling. It is possible that the Indian government will review the matter and there is a substantial question as to whether the Indian government will apply the Supreme Court's ruling on a retroactive basis. As such, the ultimate amount of our obligation may be materially different from the amount accrued. The incremental accrual related to the India Defined Contribution Obligation is reported in "Selling, general, and administrative expenses" in our consolidated statement of operations. (f) Non-operating foreign currency exchange gains and losses, inclusive of gains and losses related to foreign exchange forward contracts not designated as hedging instruments for accounting purposes, are reported in "Foreign currency exchange gains (losses), net" in our consolidated statements of operations. Non-operating foreign currency exchange gains and losses are subject to high variability and low visibility and therefore cannot be provided on a forward-looking basis without unreasonable efforts. 16

Reconciliations of Non-GAAP Financial Measures (g) Presented below are the tax impacts of each of our non-GAAP adjustments to pre-tax income: 2019 2020 2021 FY Three months ended: Mar 31 Jun 30 Sep 30 Dec 31 Mar 31 Jun 30 Sep 30 Dec 31 Mar 31 Jun 30 Sep 30 2020 Tax impacts of non-GAAP adjustments: Class Action Settlement Loss $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ 6 $ — Realignment charges — 13 17 13 5 3 2 1 — — — 11 2020 Fit for Growth restructuring charges — — — 13 9 16 11 9 — — — 45 COVID-19 charges — — — — 2 6 6 3 — — — 17 Incremental accrual related to the India Defined Contribution Obligation 31 — — — — — — — — — — — Foreign currency exchange gain and losses 1 — (2) — (10) (8) 15 9 — (6) 3 6 Adjusted Effective Tax Rate Reconciliation Guidance FY 2020 FY 2021 GAAP effective tax rate 33.6 % Effect of adjustments to income from operations, pre-tax (4.0) (a), (e) Effect of non-operating foreign currency exchange (gains) losses, pre-tax (1.3) (f) Tax effect of above adjustments 3.1 (a), (e), (f) Tax on Accumulated Indian Earnings (5.6) Adjusted effective tax rate 25.8 % 25%-26% 17 (h) During the third quarter of 2020, after a thorough analysis of the impact of several changes in tax law on the cost of earnings repatriation and considering our strategic decision to increase our investments to accelerate growth in various international markets and expand our global delivery footprint, we reversed our indefinite reinvestment assertion on Indian earnings accumulated in prior years and recorded a $140 million tax on Accumulated Indian Earnings. The recorded income tax expense reflects the India withholding tax on unrepatriated Indian earnings, which were $5.2 billion as of December 31, 2019, net of applicable U.S. foreign tax credits. (i) During the fourth quarter of 2019, we determined that the carrying value of one of our equity method investments exceeded its fair value and therefore recorded an impairment charge of $57 million within the caption "Income (loss) from equity method investments" in our consolidated statement of operations. (j) During the fourth quarter of 2019, the Government of India enacted a new tax regime ("India Tax Law") effective retroactively to April, 2019 that enables domestic companies to elect to be taxed at a lower income tax rate of 25.17%, as compared to the current income tax rate of 34.94%. Once a company elects into the lower income tax rate, a company may not benefit from any tax holidays associated with Special Economic Zones and certain other tax incentives, including Minimum Alternative Tax credit carryforwards, and may not reverse its election. As a result of the enactment of the India Tax Law, we recorded a one-time net income tax expense of $21 million due to the revaluation to the lower income tax rate of our India net deferred income tax assets that were expected to reverse after we elected into the new tax regime.

Reconciliations of Non-GAAP Financial Measures Reconciliation of free cash flow Three Months Ended (in millions) Mar 31, 2019 Jun 30, 2019 Sep 30, 2019 Dec 31, 2019 Mar 31, 2020 Jun 30, 2020 Sep 30, 2020 Dec 31, 2020 Mar 31, 2021 Jun 30, 2021 Sep 30, 2021 Net cash provided by operating activities $ 269 $ 575 $ 717 $ 938 $ 497 $ 979 $ 925 $ 898 $ 181 $ 541 $ 948 Purchases of property and equipment (106) (96) (97) (93) (112) (93) (104) (89) (88) (75) (51) Free cash flow $ 163 $ 479 $ 620 $ 845 $ 385 $ 886 $ 821 $ 809 $ 93 $ 466 $ 897 18



Delaware	0-24429	13-3728359
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Class A Common Stock, $0.01 par value per share	CTSH	The Nasdaq Stock Market LLC


Exhibit No.						Description
99.1						Press Release of Cognizant Technology Solutions Corporation, dated October 27 , 2021.
99.2						Investor Infographic, dated October 27 , 2021.
99.3						Investor Presentation, dated October 27 , 2021.
104						Cover Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document).


COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

By:			/s/ Jan Siegmund
Name:			Jan Siegmund
Title:			Chief Financial Officer


☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425).


☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12).


☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).


*			The information in Item 2.02, Item 7.01, Exhibit 99.1, Exhibit 99.2 and Exhibit 99.3 of this current report on Form 8-K shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as expressly set forth by specific reference in such a filing.