Global service provider CGI has had an excellent fiscal last year. Its global revenue jumped by 111%, from $4.8 billion in F2012 to $10.1 billion in FY2013. The strong results are for a large part a result of the acquisition of Logica*. Following the news, the shares of CGI, traded on the Toronto Stock Exchange, reached an all-time high.
In addition to the revenue increase, nearly all other indicators improved over the past financial year. The adjusted EBIT was $313.4 million, representing a margin of 12.7%. This compared to $114.1 million for the previous period (7.1%). In total (net earnings after integration costs and tax) it managed to turn a loss of approximately $170 million into a profit of $141 million. On the financing side CGI realized to decrease the debt burden with $300 million and its days of sales outstanding (DSO) improved drastically – from an average of 74 to 49.
"I am very pleased with the strong performance delivered throughout fiscal 2013" says Michael Roach, Chief Executive Officer of CGI. “After a full year, the Logica merger and successful execution of our integration program has, and will continue to yield significant benefits for our clients, employees and shareholders. Looking forward, we begin fiscal 2014 in an excellent position strategically, operationally and financially”.
CGI having approximately 72,000 employees divided over offices in 40 countries is the fifth largest IT service provider in the world. In the Netherlands CGI has six establishments in: Rotterdam, Arnhem, Eindhoven, Groningen, Heerlen and Hoofddorp. Not until recently the ICT consulting firm also had an office in Amstelveen, however since August this year this office has been closed
* In May 2012, the European IT service provider Logica was taken over by the Canadian branch partner CGI. By the beginning of 2013 Logica was globally rebranded to CGI.