Earnings report 📈 Stocks 🌍 Canada

CGI Reports Q4 Net Earnings Up 20.8% to $460.7 Million, Raises Dividend

CGI Inc. posted a 20.8% jump in Q4 net earnings and announced an 8.8% dividend hike, bolstered by strong bookings of $4.53 billion and a 109.2% book-to-bill ratio for the quarter.

🕐 1 min read

2 assets impacted. Net bias: 2 Bullish, 0 Bearish, 0 Neutral. Strongest signal: GIB ↑ 6/10 (80% confidence).

📊 Affected Assets (2)

GIB
Bullish 🤖 80%
📅 Short-term 🌍 CA · Explicit

Q4 fiscal 2026 net earnings rose 20.8% to $460.7 million and diluted EPS jumped 30.2% to $2.24, well above headline growth, while the company raised its dividend 8.8% and posted a 109.2% quarterly book-to-bill. Adjusted figures were far more muted (adjusted net earnings up 0.8%, adjusted EBIT margin down 20 basis points), which tempers the positive read but the hard beats on net earnings and the dividend increase are direct positives for the shares.

Catalysts
  • ▲ Q4 net earnings up 20.8% to $460.7 million, diluted EPS up 30.2% to $2.24
  • ▲ 8.8% dividend increase announced with results
Risk Factors
  • ▼ Adjusted net earnings up only 0.8% and adjusted EBIT margin down 20 basis points year-over-year, showing softer underlying profitability
  • ▼ Adjusted EPS growth of 8.5% is modest relative to the headline EPS gain
GIB.A
Bullish 🤖 80%
📅 Short-term 🌍 CA · Explicit

The Toronto-listed Class A shares reflect the same strong fiscal 2026 close: Q4 net earnings up 20.8% to $460.7 million, diluted EPS up 30.2%, an 8.8% dividend increase, and full-year backlog of $32.07 billion (1.9x annual revenue). Underlying adjusted growth was muted (adjusted net earnings up 1.4% for the year), but the headline beats and dividend action support the stock.

Catalysts
  • ▲ Fiscal 2026 revenue of $16.57 billion, up 4.2%, with net earnings up 9.3% to $1,812.6 million
  • ▲ 8.8% dividend increase announced
Risk Factors
  • ▼ Adjusted net earnings for fiscal 2026 rose only 1.4% and adjusted EBIT margin slipped to 16.3%
  • ▼ Constant-currency revenue growth was just 2.2% for the year, below the reported 4.2%

🎯 Key Takeaways

  • Q4 net earnings rose 20.8% to $460.7 million, with diluted EPS increasing 30.2% to $2.24.
  • CGI announced an 8.8% increase to its dividend following fiscal 2026 results.
  • Quarterly bookings reached $4.53 billion, resulting in a book-to-bill ratio of 109.2%.
  • Fiscal 2026 revenue grew 4.2% to $16.57 billion, with a year-end backlog of $32.07 billion.
  • The company repurchased 14,164,627 Class A shares during fiscal 2026 for $1,553.1 million.

📝 Executive Summary

CGI Inc. reported strong fourth-quarter fiscal 2026 results, with net earnings rising 20.8% to $460.7 million and diluted EPS climbing 30.2% to $2.24. The company announced an 8.8% dividend increase alongside quarterly bookings of $4.53 billion, reflecting a 109.2% book-to-bill ratio. Full-year fiscal 2026 revenue reached $16.57 billion, supported by a robust backlog of $32.07 billion.

❓ FAQ

GIB · How strong were CGI's latest quarterly results?

Fourth quarter fiscal 2026 revenue was $4.15 billion, up 3.3% year-over-year, net earnings rose 20.8% to $460.7 million, and diluted EPS rose 30.2% to $2.24. Bookings were $4.53 billion for a book-to-bill of 109.2%.

GIB · What is CGI doing for shareholders?

The company announced an 8.8% dividend increase, paid $35.1 million in dividends in the quarter, and spent $166.7 million under its share buyback to purchase and cancel about 1.65 million Class A shares.

GIB.A · What did CGI deliver for the full fiscal year 2026?

Revenue of $16.57 billion (up 4.2%), net earnings of $1,812.6 million (up 9.3%), diluted EPS of $8.58 (up 16.7%), cash from operations of $2.48 billion, and a backlog of $32.07 billion.

GIB.A · Is the dividend going up?

Yes, CGI announced an 8.8% increase to its dividend alongside the fourth quarter results.