CGI(DE:CJ5A)
€73.420.00 (0.00%)
DE:CJ5A
CGI earnings date
€73.42
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CGI (CJ5A) Q4 2026 Earnings Report
3 Followers
DE:CJ5A Q4 2026 EPS Results
- Actual EPS
- EUR 1.46
- Consensus EPS
- EUR 1.46
- Beat/Miss
- Beat by +EUR 0.00
- One Year Ago EPS
- EUR 1.35
DE:CJ5A Q4 2026 Revenue Results
- Actual Revenue
- EUR 2.62B
- Expected Revenue
- EUR 2.61B
- Beat/Miss
- Beat by +EUR 12.01M
- YoY Revenue Growth
- +3.29%
Earnings Announcement Details
- Quarter
- Q4 2026
- Date
- 11/11/2026
- Time
- Before Open
- Conference Call
- Wednesday, November 11, 2026
DE:CJ5A Upcoming Earnings
CGI's next earnings date is estimated for February 3, 2027, based on past reporting schedules.
Q4 2026 Earnings Call Audio
DE:CJ5A Q4 2026 Earnings Call
0:00 / 0:00
Q4 2026 Earnings Slide Deck
Q4 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive overall. CGI reported improving quarterly revenue growth, strong bookings and backlog, higher earnings and cash generation, a rebound in U.S. Federal, broad client demand, continued AI and alliance momentum, and confidence in further improvement during fiscal 2027. The main challenges were a sub-100% Q4 SI&C book-to-bill ratio, weakness in new-business bookings, a higher tax rate, modest and potentially uneven organic growth, a U.K. client insolvency and unresolved U.S. federal appropriations. Highlights significantly outweighed the lowlights.
Company Guidance
CGI expects its tax rate for future quarters to be in the range of 26% to 27%; expects the U.S. Federal EBIT margin to improve going forward into 2027 and sees more of the Federal rebound coming in 2027; expects organic growth overall to continue, with a tailwind in 2027 from vendor consolidation; expects continued improvement in organic growth, although it “might not be a straight line,” and has “high expectations of 2027”; will continue to pursue accretive acquisitions at pace as part of its fiscal 2027 business plan, with announcements expected in the first half of calendar 2027; and expects its mergers to drive future growth.
- Q4 Revenue Growth Improved SequentiallyFourth-quarter revenue was $4.15 billion, up 3.3% year-over-year, or 2.5% excluding foreign exchange, representing a 120-basis-point sequential improvement. Growth was primarily driven by recent business acquisitions, which contributed approximately 2.4%.
- Strong Regional Growth and U.S. Federal ReboundAsia Pacific led segment growth with 15% constant-currency growth, followed by Finland, Poland and the Baltics at 14.7%. U.S. Federal improved sequentially and reported 4.4% year-over-year growth in Q4.
- Robust Quarterly and Full-Year BookingsQ4 bookings were $4.5 billion, producing a 109% book-to-bill ratio. U.S. Federal led with a 185% book-to-bill ratio, while Managed Services was 122% and SI&C was 94%. Full-year bookings totaled $17.5 billion, with a 106% book-to-bill ratio; Managed Services was 110% and SI&C was 101%.
- Record Contracted BacklogContracted backlog stood at $32.1 billion, or 1.9x revenue, with just over $12 billion of contracted revenue expected to be realized over the next 12 months. The backlog is largely comprised of long-term Managed Services engagements.
- Adjusted EBIT and Earnings GrowthQ4 adjusted EBIT was $678 million, up 1.6% year-over-year, with a 16.4% margin. Earnings before income taxes were $628 million, up 21.7%, with a 15.2% margin. GAAP net earnings were $461 million, up $79 million, and diluted EPS was $2.24, up 30.2%. Adjusted net earnings were $475 million and adjusted diluted EPS was $2.31, up 8.5%.
- Strong Cash GenerationQ4 cash generation was $552 million, or 13.3% of revenue. Fiscal-year cash generated from operations was $2.5 billion, up 11% year-over-year and representing 15% of revenue. DSO was 43 days, two days lower than the prior year.
- Shareholder Returns and Balance-Sheet CapacityCGI invested $89 million back into the business, spent $336 million on net debt repayment, repurchased $167 million of stock and distributed $35 million through its dividend program. The Board approved a quarterly dividend of $0.185 per share, an 8.8% increase. Net debt leverage was 1x, with $3 billion in readily available capital resources and additional borrowing capacity if needed.
- Full-Year Revenue, EPS and SI&C ProgressFiscal-year revenue increased 2.2% on a constant-currency basis, with an increasing proportion of sequential-quarter growth delivered through the build strategy. Adjusted EPS expanded 8.2%. SI&C revenue increased 3.2% in constant currency, based on recent mergers, previous-quarter bookings converting to revenue and demand for data strategy and architecture, AI advisory, engineering and change management.
- Managed Services Reached an Annual HighManaged Services revenue reached an annual high of nearly $9.1 billion, with engagements won earlier in the year transitioning from ramp-up into delivery.
- Broad Industry Growth and Government MomentumRevenue increased across every industry sector on a dollar basis. In constant currency, growth was led by manufacturing at 4.5% and government at 3%. Government bookings increased by nearly $1.2 billion in the second half compared with the first half, and government wins represented just over 50% of Q4 bookings, up from 40% in the prior Q4.
- AI-Enabled and IP-Focused Q4 WinsQ4 bookings were largely comprised of AI-enabled Managed Services, IP engagements and AI-led IT development. Notable wins included a five-year, USD 250 million U.S. General Services Administration contract; a USD 100 million San Diego expansion agreement; Dassault Aviation's selection of the MaEVA platform; the European Space Agency sovereign data platform project; Finnish hospitals selecting the OMNI360 platform; and long-term agreements with Riksbank, Michigan, Alabama and other clients.
- Five Acquisitions Expanded CapabilitiesCGI closed five acquisitions during fiscal 2026, expanding its presence and client relationships in Poland, Finland, Canada and the U.S. The acquisitions broadened coverage across banking, insurance, manufacturing, retail and government, and added expertise in cybersecurity and AI, digital and product engineering, and public-sector solutions.
- Strong Acquisition Pipeline and Continued M&A PlansManagement said the pipeline of metro-market, regional and transformational merger opportunities is strong. CGI plans to continue pursuing accretive acquisitions at pace in fiscal 2027 while remaining disciplined on fit, timing, price and returns. Management also indicated that larger M&A announcements could occur in the first half of calendar 2027.
- Growing Client Satisfaction and ExpertiseSigned client satisfaction ratings increased on every measured dimension. The largest increases were in technology expertise, innovation integrated into engagements and the value clients place on CGI's services. Expert certifications across major hyperscaler platforms and Frontier AI models increased 12%.
- Expanded Alliance EcosystemThe global alliances pipeline doubled year-over-year. CGI said it is continuing to mature its work with global alliance and Frontier AI partners, supported by increased staff certifications and the use of partner technologies in client solutions.
- Strong Opportunity Pipeline for Fiscal 2027The total pipeline of opportunities increased year-over-year across each core service, and the portion involving global alliances doubled year-over-year. Management expects continued improvement in organic growth and identified government, CGI Federal, banking and financial services, Finland, Poland and the Baltics as areas of strength.
- AI Productivity Gains and Broader Delivery CapabilitiesCGI is using AI to develop new IP releases, add functionality faster and make customer upgrades more efficient. Management cited productivity gains of up to 40% to 50% in coding and 15% to 20% in design and requirements tracking, with variation by solution and client. AI is also integrated into software development, requirements tracking, Managed Services, incident management and user support.
- AI Demand Viewed as Additive Rather Than CannibalisticManagement said clients are asking for 'more faster' through AI-enabled productivity, rather than reducing work with CGI. CGI described clients using efficiency gains to process more work and extend projects into adjacent activities, while CGI maintains its margin on the work delivered.
- Hiring Continues for Evolving AI-Related SkillsCGI continues to hire, with publicly listed open positions, particularly as demand grows. The company is seeking technical and industry expertise as well as problem-solving and multitasking skills for work involving multiple AI agents.
- Quantum Computing and Sovereign Technology InvestmentsCGI is investing in quantum-computing expertise, offerings and alliances, including work with D-Wave on rail and retail solutions and a research initiative with the U.S. Defense Logistics Agency and the University of Tennessee. Management also identified data sovereignty in Europe and Canada as a significant growth opportunity, supported by local personnel, facilities and capabilities.
- Long-Term Managed Services DemandManagement said clients continue to seek long-term Managed Services contracts, including agreements of five, ten and twelve years. Clients are seeking partners that can deliver ongoing efficiency and apply technologies such as Frontier AI and quantum computing thoughtfully to create business and mission value.
- U.S. Federal Outlook Remains OptimisticManagement said recent U.S. Federal growth was supported by strong bookings and an easier prior-year comparison, and expects further improvement in fiscal 2027. CGI reported no impact from concerns about U.S. federal purchasing from foreign players because CGI Federal operates in the U.S. under a special security agreement and its services and software solutions are delivered by U.S. citizens.
- Acquisition Integration Progressed WellManagement said integrations have gone well, supported by a process refined through 120 acquisitions. CGI uses acquisitions to add client relationships, skills, industry expertise and technical capabilities, then bring its broader offering to those clients.
DE:CJ5A Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 03, 2027 | 2027 (Q1) | 1.49- | 1.34 | ― | ― |
| Nov 11, 2026 | 2026 (Q4) | 1.461.46 | 1.35 | 8.45% (+0.11) | |
| Jul 29, 2026 | 2026 (Q3) | 1.441.45 | 1.33 | 9.05% (+0.12) | |
| Apr 29, 2026 | 2026 (Q2) | 1.431.44 | 1.34 | 7.08% (+0.09) | |
| Jan 28, 2026 | 2026 (Q1) | 1.341.34 | 1.25 | 7.61% (+0.09) | |
| Nov 05, 2025 | 2025 (Q4) | 1.321.35 | 1.21 | 10.94% (+0.13) | |
| Jul 30, 2025 | 2025 (Q3) | 1.311.33 | 1.21 | 9.95% (+0.12) | |
| Apr 30, 2025 | 2025 (Q2) | 1.341.34 | 1.25 | 7.61% (+0.09) | |
| Jan 29, 2025 | 2025 (Q1) | 1.251.25 | 1.16 | 7.65% (+0.09) | |
| Nov 06, 2024 | 2024 (Q4) | 1.201.21 | 1.13 | 7.26% (+0.08) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
