CGI Inc
DUS:CJ5A
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C
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CGI Inc
DUS:CJ5A
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CA |
CGI Inc
CGI Inc. is a technology services company that helps large organizations design, build, and run their information systems. It does this through IT consulting, software development, systems integration, application management, and outsourcing services. Its clients include government agencies, banks, insurers, utilities, telecom companies, and other large enterprises that need help modernizing old systems, handling data, and keeping core business processes running. CGI makes money mainly by charging for project work, long-term service contracts, and managed services. In some cases it builds custom software or integrates third-party systems; in others it takes over day-to-day management of clients’ applications and infrastructure. That gives CGI a mix of one-time implementation revenue and steadier recurring service revenue. What makes CGI different is its role as a long-term back-office and technology partner rather than a pure software seller. Many of its clients rely on CGI to keep mission-critical systems working, especially in sectors where reliability, security, and compliance matter. That makes the business less about selling a product off the shelf and more about delivering technical labor, domain knowledge, and ongoing support.
CGI Inc. is a technology services company that helps large organizations design, build, and run their information systems. It does this through IT consulting, software development, systems integration, application management, and outsourcing services. Its clients include government agencies, banks, insurers, utilities, telecom companies, and other large enterprises that need help modernizing old systems, handling data, and keeping core business processes running.
CGI makes money mainly by charging for project work, long-term service contracts, and managed services. In some cases it builds custom software or integrates third-party systems; in others it takes over day-to-day management of clients’ applications and infrastructure. That gives CGI a mix of one-time implementation revenue and steadier recurring service revenue.
What makes CGI different is its role as a long-term back-office and technology partner rather than a pure software seller. Many of its clients rely on CGI to keep mission-critical systems working, especially in sectors where reliability, security, and compliance matter. That makes the business less about selling a product off the shelf and more about delivering technical labor, domain knowledge, and ongoing support.
Revenue Growth: CGI reported Q3 revenue of CAD3.62 billion, up 11.2% year-over-year (6.3% in constant currency), with broad-based growth across all sectors and strong performance in government.
Bookings Strength: Contract bookings reached CAD4.4 billion, up nearly 30% YoY, with a book-to-bill ratio of 121% and a record global backlog of CAD25.6 billion.
Margin Expansion: Adjusted EBIT margin grew to 16.1%, up 10 basis points YoY, driven by profitable revenue growth and operational discipline.
EPS & Net Earnings: Diluted EPS rose 15.9% YoY to $1.75; adjusted diluted EPS reached $1.80, up 16.9%. Net earnings increased to $415 million, up 13.9%.
AI Investment: CGI announced plans to allocate $1 billion over the next three years to expand AI services and solutions.
Managed Services & IP: Managed services made up 57% of bookings (up from 48% YoY), and IP bookings contributed 21% of total revenue, both driving longer deal sizes and higher margins.
Positive Outlook: Management expects continued margin improvement and growth, supported by demand for managed services and IP, despite some longer sales cycles and macro uncertainty.
