If these are the results you are refering to, they were out a while back.
If not here they are anyways
Wednesday April 29, 9:55 am Eastern Time
Company Press Release
CGI Reports Continued Strong Growth in the Second Quarter and First Half of Fiscal 1998
MONTREAL--(BUSINESS WIRE)--April 29, 1998--CGI Group Inc. (TSE:GIB.A. - news; ME:GIB.A. - news)
- Net earnings increased 317 percent in the second quarter,
343 percent in the first half
- Cash flow increased 304 percent in the second quarter,
367 percent in the first half
CGI (ME, TSE:GIB A) today announced continuing strong growth for the second quarter and six months ended March 31, 1998 compared with the previous year.
In the second quarter of fiscal 1998, revenue increased by 207 percent to $142.9 million, net earnings by 317 percent to $6.1 million, and cash flow by 304 percent to $14.5 million. The net profit margin increased to 4.3 percent, from 3.1 percent a year ago. On a per share basis, reflecting a 52 percent increase in shares outstanding to 57.1 million on a weighted average basis, net earnings per share were 11 cents, compared with 4 cents the previous year.
The increase in revenue, earnings and cash flow reflects both external and internal growth. Since March 1997, CGI has completed two major information technology services acquisitions focused on the financial services industry - CDSL in April 1997, and the Insurance Systems Group of Teleglobe Inc. [NYSE:TGO - news] in October 1997.
Additionally, CGI has been awarded a number of major systems integration and outsourcing contracts.
For the six months ended March 31, 1998, revenue increased by 191.7 percent to $258.7 million, net earnings by 343 percent to $11.0 million, and cash flow by 367 percent to $29.1 million. The net profit margin for the first half of fiscal 1998 was 4.3 percent compared with 2.8 percent in the same period of fiscal 1997. On a per share basis, reflecting a 48 percent increase in shares outstanding to 55.3 million, net earnings were 20 cents compared with 7 cents a year ago, and cash flow was 53 cents per share compared with 17 cents a year ago.
Shareholders' equity increased more than 450 percent to $247.2 million from a year ago, reflecting higher retained earnings, and shares issued as part payment for acquisitions. The company has practically no debt and $16 million cash.
During the past year, CGI further enhanced its position in its six target markets, including financial services and retail and distribution. ''We foresee continuing strong growth as we apply our competitive strengths as an end-to-end IT services company to the needs of our clients in North America and internationally,'' said Serge Godin, Chairman and CEO.
Second Quarter Highlights
- Bell Sygma Agreement
On January 5, 1998, CGI and Bell Canada announced an agreement in
principle for CGI to acquire Bell Sygma Telecom Solutions and Bell
Sygma International operations in exchange for 8.6 million Series 6
preferred shares of CGI at $22.98 per share, convertible one-for-one
into Class A subordinate voting shares.
The agreement includes a 10-year contract valued at more than
$3 billion for CGI to develop and maintain Bell Canadas internal
information systems. This is the largest outsourcing contract ever
in Canada, and one of the largest in North America. The agreement
also provides for the acquisition of Bell Sygma International, with
$80 million annual revenue.
- Backlog Evolution
The order backlog has increased from $175 million in October 1996,
to $1.3 billion in October 1997 and $1.5 billion currently. With the
acquisition of Bell Sygma, the order backlog will increase to in
excess of $4.5 billion.
- New Contracts
In January 1998, CGI announced a $100 million five-year outsourcing
contract with the Credit Union Central of Canada. As part of the
agreement, CGI will provide a range of financial switching and
telecommunications services to support Interac shared cash dispensing
and point of sale direct payment services for Canada's 900 credit
unions.
In March, CGI announced the signing of several contracts related to
financial services business solutions and year 2000 conversion
activities. The projects, taking place across CGI's network, are
expected to generate total revenue of approximately $33.4 million.
- Integration of CDSL and TIS
CGI successfully completed the integration of the staff and
facilities of CDSL and continued the integration of the Insurance
Systems Group acquired from Teleglobe. Over the course of numerous
acquisitions in recent years, the company has developed business
processes which represent best practices in integrating the members
and facilities that come with outsourcing contracts and corporate
acquisitions. CGI has experienced a 100 percent renewal rate of
contracts of acquired companies and a high retention rate of new
members.
After completing the acquisition of Bell Sygma, pending final
approvals, CGI will have more than 7,000 professionals and a revenue
run rate of about $1 billion. CGI's shares are included in the TSE
300 composite and TSE 200 indexes.
CGI GROUP INC.
QUARTERLY REPORT
For the six-month period ended March 31, 1998
CGI GROUP INC.
CONSOLIDATED STATEMENT OF EARNINGS
For the six-month period ended March 31, 1998
(in thousands of dollars,except earnings per share)
(unaudited)
Three months Six months
ended ended
March 31 March 31
1998 1997 1998 1997
--------- -------- --------- ---------
Revenue 142,881 $ 46,564 $ 258,677 $ 88,682 $
--------- -------- --------- ---------
Operating expenses
Direct costs,selling
and administration
expenses 121,965 $ 41,123 $ 221,023 $ 79,175 $
Research and
development 1,422 $ 719 $ 2,576 $ 1,225 $
Depreciation and
amortization of
fixed assets 3,130 $ 356 $ 6,290 $ 666 $
Amortization of
costs related to
outsourcing
contracts 3,441 $ 741 $ 5,312 $ 1,397 $
Amortization of
software and
development
costs 319 $ 107 $ 638 $ 213 $
Amortization of
goodwill 1,672 $ 206 $ 3,091 $ 409 $
Interest on
long-term debt 190 $ 28 $ 364 $ 61 $
Other interest
expenses 41 $ 164 $ 107 $ 309 $
--------- -------- --------- ---------
132,180 $ 43,444 $ 239,401 $ 83,455 $
--------- -------- --------- ---------
Earnings before
following items 10,701 $ 3,120 $ 19,276 $ 5,227 $
Income taxes 4,700 $ 1,508 $ 8,486 $ 2,459 $
--------- -------- --------- ---------
Earnings before share in
the results of an entity
subject to significant
influence and share
of non-controlling
interest 6,001 $ 1,612 $ 10,790 $ 2,768 $
Share in the results of an entity subject
to significant influence (150 $) (273 $)
Share of non-controlling
interest 92 $ 253 $
--------- -------- --------- ---------
Net earnings 6,093 $ 1,462 $ 11,043 $ 2,495 $
--------- -------- --------- ---------
--------- -------- --------- ---------
Weighted average number of outstanding Class A
subordinate shares, Class B shares
and first preferred shares
57,096,023 37,463,172 55,265,247 37,371,128
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Earnings per Class A subordinate
share, Class B and
first preferred
share 0.11 $ 0.04 $ 0.20 $ 0.07 $
--------- -------- --------- ---------
--------- -------- --------- ---------
CGI GROUP INC.
CONSOLIDATED BALANCE SHEET
as at March 31, 1998
(in thousands of dollars)
(unaudited)
1998 1997
CURRENT ASSETS
Cash and short-term investments 16,148 $
Accounts receivable 107,693 $ 45,677 $
Work in progress 10,346 $ 13,309 $
Prepaid expenses 7,215 $ 1,932 $
--------- ---------
141,402 $ 60,918 $
INVESTMENT IN AN ENTITY SUBJECT
TO SIGNIFICANT INFLUENCE 577 $ 1,357 $
FIXED ASSETS 32,428 $ 4,667 $
COSTS RELATED TO OUTSOURCING CONTRACTS 28,166 $ 3,259 $
SOFTWARE AND DEVELOPMENT COSTS 3,341 $ 1,066 $
DEFERRED INCOME TAXES 10,967 $
GOODWILL 126,548 $ 14,785 $
--------- ---------
343,429 $ 86,052 $
--------- ---------
--------- ---------
CGI GROUP INC.
CONSOLIDATED BALANCE SHEET
as at March 31, 1998
(in thousands of dollars)
(unaudited)
1998 1997
CURRENT LIABILITIES
Bank indebtedness 18,061 $
Accounts payable and
accrued liabilities 76,129 $ 17,064 $
Income taxes 3,869 $ 240 $
Deferred income taxes 6,104 $ 2,408 $
Current portion of long-term debt 3,850 $ 1,306 $
--------- ---------
89,952 $ 39,079 $
LONG-TERM DEBT 5,984 $ 1,646 $
DEFERRED INCOME TAXES 1,147 $
SHARE OF NON-CONTROLLING INTEREST 247 $
--------- ---------
96,183 $ 41,872 $
--------- ---------
SHAREHOLDERS' EQUITY
Capital stock 215,556 $ 28,803 $
Contributed surplus 211 $ 211 $
Retained earnings 31,479 $ 15,166 $
--------- ---------
247,246 $ 44,180 $
--------- ---------
343,429 $ 86,052 $
--------- ---------
--------- ---------
CGI GROUP INC.
CONSOLIDATED STATEMENT OF CHANGES IN FINANCIAL POSITION
For the six-month period ended March 31, 1998
(in thousands of dollars)
(unaudited)
1998 1997
OPERATING ACTIVITIES
Net earnings 11,043 $ 2,495 $
Items not affecting cash
Depreciation and amortization
of fixed assets 6,290 $ 666 $
Amortization of goodwill 3,091 $ 409 $
Amortization of software and
development costs 638 $ 213 $
Amortization of costs related
to outsourcing contracts 5,312 $ 1,397 $
Deferred income taxes 2,961 $ 780 $
Share in the results of
an entity subject to
significant influence 273 $
Share of non-controlling interest (253 $)
--------- ---------
29,082 $ 6,233 $
Changes in non-cash operating
working capital items 5,090 $ (12,986 $)
--------- ---------
34,172 $ (6,753 $)
--------- ---------
FINANCING ACTIVITIES
Increase in long-term debt 2,441 $ 1,000 $
Repayment of long-term debt (21,648 $) (530 $)
Issue of shares 163,932 $ 896 $
--------- ---------
144,725 $ 1,366 $
--------- ---------
INVESTING ACTIVITIES
Investment in an entity
subject to significant influence (577 $) (44 $)
Business acquisitions (126,996 $) (1,606 $)
Acquisitions of fixed assets (10,477 $) (1,745 $)
Costs related to
outsourcing contracts (9,877 $) (636 $)
Proceeds on disposal of fixed assets 15 $
--------- ---------
(147,927 $) (4,016 $)
--------- ---------
INCREASE (DECREASE) IN CASH 30,970 $ (9,403 $)
CASH POSITION AT BEGINNING (14,822 $) (8,658 $)
--------- ---------
CASH POSITION AT END 16,148 $ (18,061 $)
--------- ---------
--------- ---------
--------------------------------------------------------------------------------
Contact:
CGI Group Inc.
Andre Imbeau, 514/841-3200
Website address: www.cgi.ca.
or
CGI Group Inc.
Paule Dore, 514/841-3200
Website address: www.cgi.ca.
--------------------------------------------------------------------------------
More Quotes
and News: The CGI Group Inc (Toronto:GIBa.TO - news; Montreal:GIBa.M - news)
Teleglobe Inc (NYSE:TGO - news)
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