Q: Please comment on CGI results. Did they beat expections?
5i Research Answer:
In Q4-FY2024, GIB.A reported revenue growth of 4.4% to $3.66B, beating the estimate of $3.61B. EPS came at $1.92, slightly above the estimate of $1.91. The results came largely in line with expectations. GIB.A’s backlog remains healthy, indicating good growth in the near term. During the quarter, GIB.A completed a decent acquisition of $330M, which could boost revenue growth next year. The company continues to repurchase shares but at a slower pace than in previous quarters. Overall, a decent quarter, in line with expectations. We think GIB.A could do well going forward if the company can manage to accelerate its topline organically to the range of mid-to-high single digit.