CGI reports fourth quarter and Fiscal 2025 results
Stock Market Symbols
GIB.A (TSX) GIB (NYSE)
cgi.com/newsroom
Fourth quarter revenue up 9.7% year-over-year
Announces 13% increase to its dividend
Q4-F2025 performance highlights
- Revenue of
$4.01 billion , up 9.7% year-over-year or 5.5% year-over-year in constant currency1; - Earnings before income taxes of
$516.2 million , down 12.9% year-over-year, for a margin1 of 12.9%; - Adjusted earnings before interest and taxes1,2 of
$667.4 million , up 11.2% year-over-year, for a margin1 of 16.6%; - Net earnings of
$381.4 million for a margin1 of 9.5%, and diluted EPS of$1.72 , down 9.9% year-over-year; - Adjusted net earnings1,2 of
$471.7 million for a margin1 of 11.8%, and adjusted diluted EPS1,2 of$2.13 , up 10.9% year-over-year; - Cash provided by operating activities of
$663.0 million , representing 16.5% of revenue1; and - Bookings1 of
$4.79 billion , for a book-to-bill ratio1 of 119.2%.
F2025 performance highlights
- Revenue of
$15.91 billion , up 8.4% year-over-year or 4.6% year-over-year in constant currency1; - Earnings before income taxes of
$2,242.2 million , down 2.1% year-over-year, for a margin1 of 14.1%; - Adjusted earnings before interest and taxes1,3 of
$2,610.9 million , up 8.1% year-over-year, for a margin1 of 16.4%; - Net earnings of
$1,658.3 million , down 2.0% year-over-year, for a margin1 of 10.4%, and diluted EPS of$7.35 , up 0.5% year-over-year; - Adjusted net earnings1,3 of
$1,871.5 million , up 6.0% year-over-year, or a margin1 of 11.8%, and adjusted diluted EPS1,3 of$8.30 , up 8.9% year-over-year; - Cash provided by operating activities of
$2,234.2 million , representing 14.0% of revenue1; - Bookings1 of
$17.57 billion , for a book-to-bill ratio1 of 110.4%; and - Backlog1 of
$31.45 billion or 2.0x annual revenue.
|
Note: All figures in Canadian dollars. F2025 MD&A, audited consolidated financial statements and accompanying notes can be found at cgi.com/investors and have been filed with the Canadian Securities Administrators on SEDAR+ at www.sedarplus.ca and the U.S. Securities and Exchange Commission on EDGAR at www.sec.gov. |
|
__________________________ |
|
1 Constant currency revenue growth, adjusted earnings before interest and taxes, adjusted earnings before interest and taxes margin, adjusted net earnings, adjusted net earnings margin and adjusted diluted EPS are non-GAAP financial measures or ratios. Earnings before income taxes margin, net earnings margin, cash provided by operating activities as a percentage of revenue, bookings, book-to-bill ratio, and backlog are key performance measures. See "Non-GAAP and other key performance measures" section of this press release for more information, including quantitative reconciliations to the closest International Financial Reporting Standards (IFRS Accounting Standards) measure, as applicable. These are not standardized financial measures under IFRS Accounting Standards and might not be comparable to similar financial measures disclosed by other companies. |
|
2 Q4-F2025 adjusted for $90.4 million of restructuring, acquisition and related integration costs, net of tax; Q4-F2024 adjusted for $3.2 million of restructuring, acquisition and related integration costs, net of tax. |
|
3 F2025 adjusted for $213.2 million of restructuring, acquisition and related integration costs, net of tax; F2024 adjusted for $73.2 million of restructuring, acquisition and related integration costs, net of tax. |
Q4-F2025 results
"In the fourth quarter, CGI delivered revenue growth, strong cash generation and double-digit EPS expansion led by our AI-embedded managed services, M&A and our share buyback program," said
"Looking ahead, our teams continue to turn client ambition into action and results — using our financial strength, disciplined execution, AI and emerging technology expertise and proximity-based relationships to fuel future growth. Our pipeline reflects this positioning, with a nearly 30% increase in new opportunities."
For the fourth quarter of Fiscal 2025, the Company reported revenue of $4.01 billion, representing a year-over-year growth of 9.7%. When excluding foreign currency variations, revenue grew by 5.5% year-over-year.
Earnings before income taxes were
Adjusted earnings before interest and taxes1 was $667.4 million, up 11.2% year-over-year, for a margin of 16.6%, up 20 basis points compared to the same period last year.
Net earnings were
Adjusted net earnings1 were
Cash provided by operating activities was $663.0 million, representing 16.5% of revenue.
Bookings were $4.79 billion, representing a book-to-bill ratio of 119.2% or 110.4% on a trailing twelve-month basis.
As of
During the fourth quarter of Fiscal 2025, the Company invested
|
__________________________________ |
|
1 Q4-F2025 adjusted for $90.4 million of restructuring, acquisition and related integration costs, net of tax; Q4-F2024 adjusted for $3.2 million of restructuring, acquisition and related integration costs, net of tax. |
F2025 results
The Company reported revenue of $15.91 billion, representing a year-over-year growth of 8.4%. When excluding foreign currency variations, revenue grew by 4.6% year-over-year.
Earnings before income taxes were
Adjusted earnings before interest and taxes1 was
Net earnings were
Adjusted net earnings1 were $1,871.5 million, up 6.0% compared with the same period last year, for a margin of 11.8%, down 20 basis points compared to the same period last year. On the same basis, diluted earnings per share increased by 8.9% to
Cash provided by operating activities was $2.23 billion, representing 14.0% of revenue, representing an increase of 1.3% on a year-over-year basis.
As of September 30, 2025, the Company's backlog reached $31.45 billion or 2.0x annual revenue.
During Fiscal 2025, the Company invested
As at
|
______________________________________ |
|
1 F2025 adjusted for $213.2 million of restructuring, acquisition and related integration costs, net of tax; F2024 adjusted for $73.2 million of restructuring, acquisition and related integration costs, net of tax. |
|
2 Net debt and net debt-to-capitalization ratio are non-GAAP financial measures or ratios. |
|
Financial highlights |
Q4-F2025 |
Q4-F2024 |
F2025 |
F2024 |
|
In millions of Canadian dollars except earnings per share and where noted |
|
|
|
|
|
Revenue |
4,013.8 |
3,660.4 |
15,912.7 |
14,676.2 |
|
Year-over-year revenue growth |
9.7 % |
4.4 % |
8.4 % |
2.7 % |
|
Constant currency revenue growth |
5.5 % |
2.0 % |
4.6 % |
0.9 % |
|
Earnings before income taxes |
516.2 |
592.4 |
2,242.2 |
2,291.0 |
|
Margin % |
12.9 % |
16.2 % |
14.1 % |
15.6 % |
|
Adjusted earnings before interest and taxes1,2 |
667.4 |
600.2 |
2,610.9 |
2,415.8 |
|
Margin % |
16.6 % |
16.4 % |
16.4 % |
16.5 % |
|
Net earnings |
381.4 |
435.9 |
1,658.3 |
1,692.7 |
|
Margin % |
9.5 % |
11.9 % |
10.4 % |
11.5 % |
|
Adjusted net earnings1,2 |
471.7 |
439.1 |
1,871.5 |
1,765.9 |
|
Margin % |
11.8 % |
12.0 % |
11.8 % |
12.0 % |
|
Diluted EPS |
1.72 |
1.91 |
7.35 |
7.31 |
|
Adjusted diluted EPS1,2 |
2.13 |
1.92 |
8.30 |
7.62 |
|
Weighted average number of outstanding shares (diluted) In millions of shares |
221.9 |
228.8 |
225.5 |
231.7 |
|
Net finance costs |
29.6 |
4.4 |
83.7 |
27.9 |
|
Cash and cash equivalents |
864.2 |
1,461.1 |
864.2 |
1,461.1 |
|
Long-term debt and lease liabilities3 |
4,331.3 |
3,308.4 |
4,331.3 |
3,308.4 |
|
Net debt3 |
3,451.4 |
1,819.8 |
3,451.4 |
1,819.8 |
|
Net debt to capitalization ratio3 |
25.1 % |
16.2 % |
25.1 % |
16.2 % |
|
Cash provided by operating activities |
663.0 |
629.1 |
2,234.2 |
2,205.0 |
|
As a percentage of revenue |
16.5 % |
17.2 % |
14.0 % |
15.0 % |
|
Days sales outstanding (DSO)3 |
45 |
41 |
45 |
41 |
|
Purchase for cancellation of Class A subordinate voting shares and related tax |
490.8 |
49.4 |
1,274.5 |
934.8 |
|
Return on invested capital (ROIC)3 |
13.6 % |
16.0 % |
13.6 % |
16.0 % |
|
Bookings |
4,786 |
3,823 |
17,572 |
16,044 |
|
Backlog |
31,451 |
28,724 |
31,451 |
28,724 |
To access the financial statements – click here
To access the MD&A – click here
|
_____________________________________ |
|
1 Q4-F2025 adjusted for $90.4 million of restructuring, acquisition and related integration costs, net of tax; Q4-F2024 adjusted for $3.2 million of restructuring, acquisition and related integration costs, net of tax. |
|
2 F2025 adjusted for $213.2 million of restructuring, acquisition and related integration costs, net of tax; F2024 adjusted for |
|
3 Net debt and net debt-to-capitalization ratio are non-GAAP financial measures or ratios. Long-term debt and lease liabilities include both the current and long-term portions of the long-term debt and lease liabilities. ROIC is a non-GAAP financial measure. DSO is a key performance measure. See "Non-GAAP and other key performance measures" section of this press release for more information, including quantitative reconciliations to the closest International Financial Reporting Standards (IFRS Accounting Standards) measure, as applicable. These are not standardized financial measures under IFRS Accounting Standards and might not be comparable to similar financial measures disclosed by other companies. |
Declaration of Dividend
On
Q4-F2025 results conference call
Management will host a conference call this morning at
About CGI
Founded in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With 94,000 consultants and professionals across the globe, CGI delivers an end-to-end portfolio of capabilities, from strategic IT and business consulting to systems integration, managed IT and business process services and intellectual property solutions. CGI works with clients through a local relationship model complemented by a global delivery network that helps clients digitally transform their organizations and accelerate results. CGI Fiscal 2025 reported revenue is
Forward-looking information and statements
This press release contains "forward-looking information" within the meaning of Canadian securities laws and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and other applicable
Further information on the risks that could cause our actual results to differ significantly from our current expectations may be found in the section titled Risk Environment of CGI's annual and quarterly MD&A, which is incorporated by reference in this cautionary statement. We also caution readers that the above-mentioned risks and the risks disclosed in CGI's annual and quarterly MD&A and other documents and filings are not the only ones that could affect us. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial could also have a material adverse effect on our financial position, financial performance, cash flows, business or reputation.
Non-GAAP and other key performance measures
Non-GAAP financial measures and ratios used in this press release: Constant currency revenue growth, adjusted earnings before interest and taxes, adjusted earnings before interest and taxes margin, adjusted net earnings, adjusted net earnings margin, adjusted diluted EPS, net debt, net debt to capitalization ratio, and return on invested capital (ROIC). CGI reports its financial results in accordance with IFRS Accounting Standards. However, management believes that these non-GAAP measures provide useful information to investors regarding the company's financial condition and results of operations as they provide additional measures of its performance. These measures do not have any standardized meaning prescribed by IFRS Accounting Standards and are therefore unlikely to be comparable to similar measures presented by other issuers and should be considered as supplemental in nature and not as a substitute for the related financial information prepared in accordance with IFRS Accounting Standards. Key performance measures used in this press release: cash provided by operating activities as a percentage of revenue, bookings, book-to-bill ratio, backlog, days sales outstanding (DSO), earnings before income taxes margin, and net earnings margin.
Below are reconciliations to the most comparable IFRS Accounting Standards financial measures and ratios, as applicable.
The descriptions of these non-GAAP measures and ratios and other key performance measures can be found on pages 3, 4, 5 and 6 of our F2025 MD&A which is posted on CGI's website, and filed with the Canadian Securities Administrators on SEDAR+ at www.sedarplus.ca and the U.S. Securities and Exchange Commission on EDGAR at www.sec.gov.
Q4-F2025
Reconciliation between constant currency revenue growth and growth.
|
|
For the three months ended September 30, |
||
|
|
2025 |
2024 |
% |
|
In thousands of CAD except for percentages |
|||
|
Total CGI revenue |
4,013,837 |
3,660,391 |
9.7 % |
|
Constant currency revenue growth |
5.5 % |
|
|
|
Foreign currency impact |
4.2 % |
|
|
|
Variation over previous period |
9.7 % |
|
|
Reconciliation between earnings before income taxes and adjusted earnings before interest and taxes.
|
|
For the three months ended September 30, |
|||
|
|
2025 |
% of revenue |
2024 |
% of revenue |
|
In thousands of CAD except for percentage and shares data |
|
|
|
|
|
Earnings before income taxes |
516,241 |
12.9 % |
592,412 |
16.2 % |
|
Plus the following items: |
|
|
|
|
|
Restructuring, acquisition and related integration costs |
121,560 |
3.0 % |
3,443 |
0.1 % |
|
Restructuring |
98,796 |
2.5 % |
— |
— % |
|
Cost Optimization Program |
— |
— % |
— |
— % |
|
Acquisition and related integration costs |
22,764 |
0.6 % |
3,443 |
0.1 % |
|
Net finance costs |
29,588 |
0.7 % |
4,394 |
0.1 % |
|
Adjusted earnings before interest and taxes |
667,389 |
16.6 % |
600,249 |
16.4 % |
Adjusted Net Earnings and Earnings per Share
|
|
For the three months ended September 30, |
||
|
|
2025 |
2024 |
Change |
|
In thousands of CAD except for percentage and shares data |
|
|
|
|
Earnings before income taxes |
516,241 |
592,412 |
(12.9 %) |
|
Add back: |
|
|
|
|
Restructuring, acquisition and related integration costs |
121,560 |
3,443 |
|
|
Restructuring |
98,796 |
— |
|
|
Cost Optimization Program |
— |
— |
|
|
Acquisition and related integration costs |
22,764 |
3,443 |
|
|
Adjusted earnings before income taxes |
637,801 |
595,855 |
7.0 % |
|
Income tax expense |
134,885 |
156,489 |
(13.8 %) |
|
Effective tax rate |
26.1 % |
26.4 % |
|
|
Add back: |
|
|
|
|
Tax deduction on restructuring, acquisition and related integration costs |
31,199 |
279 |
|
|
Impact on effective tax rate |
(0.1 %) |
(0.1 %) |
|
|
Tax deduction on restructuring |
27,175 |
— |
|
|
Impact on effective tax rate |
0.2 % |
— % |
|
|
Tax deduction on Cost Optimization Program |
— |
— |
|
|
Impact on effective tax rate |
— % |
— % |
|
|
Tax deduction on acquisition and related integration costs |
4,024 |
279 |
|
|
Impact on effective tax rate |
(0.3 %) |
(0.1 %) |
|
|
Adjusted income tax expense |
166,084 |
156,768 |
5.9 % |
|
Adjusted effective tax rate |
26.0 % |
26.3 % |
|
|
Adjusted net earnings |
471,717 |
439,087 |
7.4 % |
|
Adjusted net earnings margin |
11.8 % |
12.0 % |
|
|
Weighted average number of shares outstanding |
|
|
|
|
Class A subordinate voting shares and Class B shares (multiple voting) (basic) |
219,550,663 |
225,247,324 |
(2.5 %) |
|
Class A subordinate voting shares and Class B shares (multiple voting) (diluted) |
221,916,475 |
228,777,092 |
(3.0 %) |
|
Adjusted earnings per share (in dollars) |
|
|
|
|
Basic |
2.15 |
1.95 |
10.3 % |
|
Diluted |
2.13 |
1.92 |
10.9 % |
F2025
Reconciliation between constant currency revenue growth and growth.
|
For the years ended September 30, |
|||
|
|
2025 |
2024 |
% |
|
In thousands of CAD except for percentages |
|||
|
Total CGI revenue |
15,912,673 |
14,676,152 |
8.4 % |
|
Constant currency revenue growth |
4.6 % |
|
|
|
Foreign currency impact |
3.8 % |
|
|
|
Variation over previous period |
8.4 % |
|
|
Reconciliation between earnings before income taxes and adjusted earnings before interest and taxes.
|
|
For the years ended |
|||
|
|
2025 |
% of revenue |
2024 |
% of revenue |
|
In thousands of CAD except for percentage and shares data |
|
|
|
|
|
Earnings before income taxes |
2,242,190 |
14.1 % |
2,290,951 |
15.6 % |
|
Plus the following items: |
|
|
|
|
|
Restructuring, acquisition and related integration costs |
285,031 |
1.8 % |
96,929 |
0.7 % |
|
Restructuring |
196,796 |
1.2 % |
— |
— % |
|
Cost Optimization Program |
— |
— % |
91,063 |
0.6 % |
|
Acquisition and related integration costs |
88,235 |
0.6 % |
5,866 |
— % |
|
Net finance costs |
83,692 |
0.5 % |
27,889 |
0.2 % |
|
Adjusted earnings before interest and taxes |
2,610,913 |
16.4 % |
2,415,769 |
16.5 % |
Adjusted Net Earnings and Earnings per Share
|
|
For the years ended |
||
|
|
2025 |
2024 |
Change |
|
In thousands of CAD except for percentage and shares data |
|
|
|
|
Earnings before income taxes |
2,242,190 |
2,290,951 |
(2.1 %) |
|
Add back: |
|
|
|
|
Restructuring, acquisition and related integration costs |
285,031 |
96,929 |
|
|
Restructuring |
196,796 |
— |
|
|
Cost Optimization Program |
— |
91,063 |
|
|
Acquisition and related integration costs |
88,235 |
5,866 |
|
|
Adjusted earnings before income taxes |
2,527,221 |
2,387,880 |
5.8 % |
|
Income tax expense |
583,905 |
598,236 |
(2.4 %) |
|
Effective tax rate |
26.0 % |
26.1 % |
|
|
Add back: |
|
|
|
|
Tax deduction on restructuring, acquisition and related integration costs |
71,819 |
23,719 |
|
|
Impact on effective tax rate |
(0.1 %) |
(0.1 %) |
|
|
Tax deduction on restructuring |
53,916 |
— |
|
|
Impact on effective tax rate |
0.1 % |
— % |
|
|
Tax deduction on Cost Optimization Program |
— |
22,956 |
|
|
Impact on effective tax rate |
— % |
— % |
|
|
Tax deduction on acquisition and related integration costs |
17,903 |
763 |
|
|
Impact on effective tax rate |
(0.2 %) |
— % |
|
|
Adjusted income tax expense |
655,724 |
621,955 |
5.4 % |
|
Adjusted effective tax rate |
25.9 % |
26.0 % |
|
|
Adjusted net earnings |
1,871,497 |
1,765,925 |
6.0 % |
|
Adjusted net earnings margin |
11.8 % |
12.0 % |
|
|
Weighted average number of shares outstanding |
|
|
|
|
Class A subordinate voting shares and Class B shares (multiple voting) (basic) |
222,693,319 |
228,074,108 |
(2.4 %) |
|
Class A subordinate voting shares and Class B shares (multiple voting) (diluted) |
225,489,344 |
231,672,861 |
(2.7 %) |
|
Adjusted earnings per share (in dollars) |
|
|
|
|
Basic |
8.40 |
7.74 |
8.5 % |
|
Diluted |
8.30 |
7.62 |
8.9 % |
Reconciliation between long-term debt and lease liabilities and net debt
|
As at |
2025 |
2024 |
|
In thousands of CAD except for percentages |
|
|
|
Reconciliation between long-term debt and lease liabilities 1 and net debt: |
|
|
|
Long-term debt and lease liabilities1 |
4,331,319 |
3,308,403 |
|
Minus the following items: |
|
|
|
Cash and cash equivalents |
864,209 |
1,461,145 |
|
Short-term investments |
3,675 |
3,279 |
|
Long-term investments |
27,687 |
24,209 |
|
Fair value of foreign currency derivative financial instruments related to debt |
(15,620) |
— |
|
Net debt |
3,451,368 |
1,819,770 |
|
Net debt to capitalization ratio |
25.1 % |
16.2 % |
|
Return on invested capital |
13.6 % |
16.0 % |
|
Days sales outstanding |
45 |
41 |
|
1 |
As at |
View original content:https://www.prnewswire.com/news-releases/cgi-reports-fourth-quarter-and-fiscal-2025-results-302605603.html
SOURCE CGI Inc.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- United Community Banks sells equipment finance unit for $1.9 billion
- Pop Culture Group prices $8 million direct offering at $0.15 per share
- RH (RH) Tops Q1 EPS by 12c
Create E-mail Alert Related Categories
PRNewswire, Press ReleasesRelated Entities
Dividend, Stock Buyback, Earnings, Definitive AgreementSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!



Tweet
Share