CGI reports first quarter Fiscal 2026 results

Executive Summary

• CGI reported Q1‑F2026 revenue of C$4.08 billion, up 7.7% YoY (3.4% in constant currency).
• Adjusted EBITDA (EBIT) reached C$655.1 million, a 7.1% increase YoY, with an adjusted EBIT margin of 16.1%.
• Cash generated from operations hit a record C$872 million (21.4% of revenue); the company also announced a quarterly dividend of $0.17 per share and renewed its Normal Course Issuer Bid.

Key Details

• Revenue: C$4,078.4 M (+7.7% YoY; +3.4% constant‑currency).
• EBIT (adjusted): C$655.1 M (+7.1% YoY); margin 16.1% (down 10 bps vs. prior year).
• Net earnings: C$442.0 M; diluted EPS $2.03 (+5.7% YoY).
• Adjusted net earnings: C$461.0 M; adjusted diluted EPS $2.12 (+7.6% YoY).
• Cash from operations: C$871.9 M (21.4% of revenue); 12‑month cash flow C$2.46 B (15.2% of revenue).
• Bookings: C$4.47 B; book‑to‑bill ratio 109.5% (110.4% on a trailing twelve‑month basis).
• Backlog: C$31.32 B (1.9× annual revenue).
• Consultant headcount: ~94,000 worldwide as of Dec 31 2025.
• Investments & acquisitions: $86.5 M reinvested in the business; $105.7 M net acquisition spend.
• Share repurchases (NCIB): $576.6 M spent to purchase and cancel Class A subordinate voting shares.
• Dividend: Quarterly cash dividend of $0.17 per share approved; payable March 20 2026.
• Debt profile: Long‑term debt & lease liabilities C$4.29 B (up from C$3.40 B); net debt C$3.45 B (up from C$1.57 B). Net‑debt‑to‑capitalization ratio 25.7% (vs. 13.7% prior year).
• Financing activity: Issuance of senior unsecured notes for $923.9 M in March 2025 contributed to higher debt levels.
• Normal Course Issuer Bid renewal: Board authorized renewal on Jan 27 2026, permitting repurchase of up to 18,975,360 Class A shares over the next 12 months (≈10% of public float).

Notable Quotes

“As CGI begins its 50th year in business in 2026, our first‑quarter results continued to reflect the strength of our business model, client relationships, expertise and operational discipline,” – François Boulanger, President & CEO.

All figures are presented in Canadian dollars unless otherwise noted.