CGI Inc. reports softer third quarter with earnings down 16 per cent

CGI Inc. reports softer third quarter with earnings down 16 per cent
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MONTREAL — CGI Inc. is reporting a softer fiscal third quarter with earnings dropping 16 per cent on lower revenues.

The Montreal-based business and technology consulting firm says it earned $260.9 million or $1 per share for the three months ended June 30.

That compared with $309.4 million or $1.12 per share a year earlier.

Excluding one-time costs, including $47.5 million for acquisitions and restructuring, adjusted net income was $308.4 million or $1.18 per share, compared with $337.2 million or $1.22 per share in the third quarter of 2019.

Revenues slipped 2.2 per cent to $3.05 billion from $3.12 billion in the year-ago quarter.

CGI was expected to post $1.14 per share in adjusted profits on $2.98 billion of revenues, according to financial markets data firm Refinitiv.

“Looking ahead, we believe market and business conditions for our end-to-end services will gradually improve throughout the rest of this year, and we see expanding opportunities for profitable growth through both build and buy,” said CEO George Schindler.

This report by The Canadian Press was first published July 29, 2020.

Companies in this story: (TSX:GIB.A)

The Canadian Press

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