On Aug. 27, 2024 Cognizant finalized the acquisition of Belcan, a prominent global provider of Engineering Research and Development (ER&D) services, for approximately $1.3 billion in cash and stock. The acquisition enhances Cognizant’s engineering capabilities, particularly in the high-growth aerospace and defense (A&D) sectors. Belcan’s established With Belcan’s integration, Cognizant has updated its financial guidance for 2024. Third-quarter revenue is expected to reach $4.95 - $5.02 billion, while full-year revenue is projected to increase to $19.5 - $19.8 billion. This guidance reflects the inclusion of Belcan’s contributions, which are expected to add approximately 200 basis points to the full-year revenue. Despite transaction-related costs, the company's adjusted operating margin for 2024 is forecasted between 15.0% and 15.2%, with adjusted diluted earnings per share ranging from $4.56 to $4.64. This acquisition positions Cognizant for continued growth in engineering and digital transformation services.
Cognizant Strengthens Aerospace and Engineering Capabilities with Belcan Acquisition
expertise in aerospace, defense, and industrial engineering, with a workforce of over 6,500 engineers, will complement Cognizant's leadership in the Internet of Things (IoT) and digital engineering fields. Cognizant CEO Ravi Kumar S. expressed confidence in the partnership, emphasizing the global scale and value this acquisition brings to their diverse clientele.