Core Insights - CGI Group reported quarterly earnings of $1.52 per share, exceeding the Zacks Consensus Estimate of $1.51 per share, and up from $1.4 per share a year ago [1] - The company achieved revenues of $2.96 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.43% and increasing from $2.68 billion year-over-year [3] Earnings Performance - The earnings surprise for the quarter was +0.66%, with CGI having surpassed consensus EPS estimates three times over the last four quarters [2] - The company had a previous quarter earnings expectation of $1.5 per share but reported $1.48, resulting in a surprise of -1.33% [2] Revenue Insights - CGI's revenue growth reflects a positive trend, having topped consensus revenue estimates three times in the last four quarters [3] - The current consensus EPS estimate for the upcoming quarter is $1.53 on revenues of $2.94 billion, and for the current fiscal year, it is $6.01 on revenues of $11.41 billion [8] Market Performance - CGI shares have declined approximately 8.6% since the beginning of the year, contrasting with the S&P 500's gain of 8.3% [4] - The company's Zacks Rank is currently 3 (Hold), indicating expected performance in line with the market in the near future [7] Industry Context - The Computer - Services industry, to which CGI belongs, is currently in the bottom 33% of over 250 Zacks industries, suggesting potential challenges ahead [9] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact CGI's stock performance [6]

Core Insights - CGI reported a revenue of CAD 4.09 billion for Q3-F2025, reflecting an 11.4% year-over-year growth, with a constant currency growth of 7.0% [3][12] - The company emphasized its focus on AI-related services, indicating strong momentum in this area [2][4] Financial Performance - Earnings before income taxes were CAD 551.6 million, down 7.1% year-over-year, with a margin of 13.5% compared to 16.2% in the previous year [4][6] - Adjusted earnings before interest and taxes increased by 10.5% year-over-year to CAD 666.1 million, with a margin of 16.3% [4][6] - Net earnings decreased by 7.2% to CAD 408.6 million, resulting in a margin of 10.0% [5][6] - Adjusted net earnings rose by 6.8% to CAD 470.1 million, with an adjusted diluted EPS of CAD 2.10, up 9.9% year-over-year [7][12] Operational Metrics - Cash provided by operating activities was CAD 486.6 million, representing 11.9% of revenue [7][12] - Bookings totaled CAD 4.15 billion, yielding a book-to-bill ratio of 101.4% [8][12] - The backlog reached CAD 30.58 billion, equivalent to 2.0 times the annual revenue [8][12] Capital Management - The company invested CAD 105.1 million back into its business and CAD 286.2 million for share repurchases [9][12] - A quarterly cash dividend of CAD 0.15 per share was approved, payable on September 19, 2025 [16] Debt and Financial Ratios - Long-term debt and lease liabilities increased to CAD 4.24 billion from CAD 3.05 billion year-over-year [10][12] - Net debt rose to CAD 3.12 billion, with a net debt-to-capitalization ratio of 23.4% [10][12]

Core Insights - CGI has launched CGI SpeedOps, a business operations transformation solution that integrates advanced technologies like AI with business expertise to enhance operational agility and deliver sustainable value across various sectors [1][2]. Group 1: Product Overview - CGI SpeedOps is designed to help clients achieve faster, smarter, and more adaptive outcomes by leveraging AI, cloud, automation, and data-driven insights [2]. - The solution is built on a scalable platform that connects people, processes, data, and systems, and is currently in production with clients in energy, utilities, and banking sectors [2][3]. - CGI SpeedOps is a key component of CGI's BPO 5.0 strategy, aimed at transforming business operations and enhancing agility, intelligence, and resilience for clients in a digital-first environment [3]. Group 2: Performance and Efficiency - When combined with CGI DigiOps, CGI SpeedOps can deliver efficiency improvements exceeding 40% [3][4]. - The integrated toolset of proprietary technologies within CGI SpeedOps modernizes and optimizes service delivery, unlocking new levels of operational value for clients [4]. Group 3: Company Background - Founded in 1976, CGI is one of the largest independent IT and business consulting services firms globally, with a workforce of 94,000 professionals [5]. - CGI reported a revenue of CA$14.68 billion for Fiscal 2024 and operates through a local relationship model supported by a global delivery network [5].

Group 1 - CGI Inc. is a Canadian IT consulting company with a global workforce of 94,000 consultants [1] - The company faces potential growth challenges due to its 13%+ revenue exposure to the U.S. federal sector [1]

SACRAMENTO, Calif., July 24, 2025 /PRNewswire/ - CGI (TSX: GIB.A) (NYSE: GIB), one of the world's leading independent technology and professional services firms, today announced a three-year, US$200-million contract extension with the State of California. Under the agreement, CGI will continue delivering end-to-end managed services for the Case Management, Information and Payrolling System (CMIPS), which supports California's In-Home Supportive Services (IHSS) program. The program provides essential care to ...

Core Viewpoint - The market anticipates CGI Group (GIB) to report a year-over-year increase in earnings driven by higher revenues for the quarter ended June 2025, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - The consensus estimate for CGI's quarterly earnings is $1.51 per share, reflecting a year-over-year increase of 7.9%, while revenues are projected to be $2.91 billion, up 8.6% from the previous year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised 0.1% higher, indicating a slight positive reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for CGI is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -0.24%, suggesting a bearish outlook from analysts [12]. Historical Performance - In the last reported quarter, CGI was expected to post earnings of $1.50 per share but delivered $1.48, resulting in a surprise of -1.33%. Over the last four quarters, the company has beaten consensus EPS estimates twice [13][14]. Investment Considerations - Despite the negative Earnings ESP, the stock currently holds a Zacks Rank of 3, making it challenging to predict an earnings beat conclusively [12]. Investors are advised to consider other factors beyond earnings results when making investment decisions [15][17].

Company Overview - CGI is one of the largest independent IT and business consulting services firms globally, founded in 1976 [3] - The company employs 94,000 consultants and professionals worldwide, offering a comprehensive portfolio of services including strategic IT and business consulting, systems integration, managed IT and business process services, and intellectual property solutions [3] - CGI reported revenue of CA$14.68 billion for fiscal year 2024 [3] Upcoming Financial Results - CGI will release its third quarter fiscal year 2025 results on July 30, 2025, before the markets open [1] - The conference call to discuss the results will be held at 9:00 a.m. (EDT) on the same day, featuring management including François Boulanger, President and CEO, and Steve Perron, Executive Vice-President and CFO [2] - Interested parties can access a replay of the call until August 30, 2025, and a live webcast will be available on the company's investor relations website [2]

FAIRFAX, Va., July 8, 2025 /PRNewswire/ -- CGI (TSX: GIB.A) (NYSE: GIB), one of the largest independent technology and professional services firms, today announced the successful launch of an upgraded financial and administrative system for the City of Rockville, Maryland. The transformation moves Rockville's existing systems to the upgraded CGI Advantage® enterprise resource planning (ERP) platform, a cloud-based solution providing the City with enhanced capabilities, streamlined processes, and improved op ...

Core Insights - CGI's annual global research reveals that organizations are increasingly focused on digital transformation, with AI and automation being the top investment priorities for executives [2][5] - The research indicates a significant shift towards fewer enterprise-level partners, emphasizing the need for partners with both technical expertise and deep industry experience [2][5] - The findings highlight that while organizations are investing in AI, they face challenges such as legacy systems and talent constraints that hinder their ability to achieve tangible ROI [5][6] Digital Transformation Trends - Two-thirds of executives report that digitization is reshaping business models, with a notable increase in this sentiment from previous years [5] - The pressure from macroeconomic and geopolitical uncertainties is pushing enterprises to cut costs while accelerating digital transformation efforts [5] - Despite challenges, nearly two-thirds of executives plan to maintain or increase capital expenditure next year, with over half intending to invest more than $200 million in new IT programs over the next three years [5] AI Implementation and Adoption - AI implementation is viewed as a key lever for driving efficiency and innovation, with 35% of organizations implementing traditional AI and 26% adopting generative AI, both showing year-over-year growth [5] - CGI emphasizes a structured approach to help clients integrate responsible AI into their operations, aiming for innovation and data-driven decision-making [3][5] Company Overview - CGI is one of the largest independent IT and business consulting services firms globally, with reported revenue of CA$14.68 billion for Fiscal 2024 [7] - The company employs 94,000 consultants and professionals worldwide, offering a comprehensive portfolio of services from strategic consulting to managed IT services [7]

CGI's CLS Manager solution and market expertise help ABN AMRO Bank reduce risk and expand third-party service offeringsNEW YORK, June 18, 2025 /PRNewswire/ -- CGI (NYSE: GIB) (TSX: GIB.A), one of the world's largest independent technology and professional services firms, today announced that the Netherlands' ABN AMRO Bank recently selected CGI's industry-leading Continuous Linked System (CLS) Manager solution to support its transition from a third-party participant to a full settlement member of the interna ...