CGI Inc. reported a second-quarter profit of $444.7 million, marking an increase from $429.7 million in the same period last year. The Montreal-based IT services company attributed the growth to robust demand for digital transformation services and cost optimization measures.
Financial Highlights
Revenue for the quarter ended March 31, 2026, rose to $3.8 billion, compared with $3.6 billion a year earlier. The company's diluted earnings per share climbed to $1.85 from $1.72 in the prior-year quarter.
Operational Performance
CGI's backlog increased to $26.5 billion, reflecting strong contract wins across North America and Europe. The company added 4,500 employees during the quarter, bringing its total workforce to 92,000.
"Our results demonstrate the strength of our business model and the trust our clients place in us," said CEO George D. Schindler. "We continue to invest in innovation and talent to meet evolving market needs."
Segment Breakdown
- North American operations generated $2.4 billion in revenue, up 6% year-over-year.
- European operations contributed $1.2 billion, a 4% increase.
- Other international markets added $200 million, flat compared to last year.
Outlook
CGI reaffirmed its full-year guidance, expecting revenue growth of 5% to 7% and earnings per share between $7.50 and $7.70. The company also announced a 10% dividend increase to $0.55 per share.
Analysts praised the results, noting CGI's ability to navigate macroeconomic challenges while maintaining profitability. The stock rose 2.3% in early trading on the Toronto Stock Exchange.
