CGI reports Q1-2009 revenue growth of 11.7% and eps growth of 18.2% - Achieves first billion dollar quarter

    Stock Market Symbols
    GIB.A (TSX)
    GIB (NYSE)

    Q1 2009 year-over-year highlights from continuing operations:

    - Revenue of $1.0 billion, up 11.7%;
    - Earnings before taxes of $105.2 million, up 6.0%;
    - Earnings of $79.5 million, up 10.5%;
    - Net earnings margin of 8.0%;
    - Diluted EPS of 26 cents, up 18.2%;
    - Cash generated from operating activities in Q1 2009 of $79.2 million;
    - Q1 2009 bookings of $775 million; bookings of $3.8 billion over last
      twelve months

    Note: All figures are in Canadians dollars from continuing operations. Q1
    F2009 MD&A, financial statements and accompanying notes may be found at and have been filed with both SEDAR in Canada and EDGAR in
    the U.S.

    MONTREAL, Jan. 27 /CNW Telbec/ - CGI Group Inc. (TSX: GIB.A; NYSE:   GIB)
reported fiscal 2009 first quarter revenue today of $1.0 billion. This
represents 11.7% year-over-year revenue growth compared with the first quarter
of 2008. Foreign exchange fluctuations positively impacted revenue by 7.4%.
    Earnings before taxes were $105.2 million or 10.5% of revenue,
representing an improvement of 6.3% compared with the first quarter of 2008.
    Earnings in Q1 2009 were $79.5 million or 8.0% of revenue compared with
earnings of $71.9 million in the same quarter last year, which represents a
10.5% year-over-year increase.
    Diluted earnings per share in the first quarter were 26 cents, up 18.2%
compared with 22 cents in the same period last year.
    The Company generated $79.2 million in cash from its operating
activities, or 7.9% of revenue. Over the last twelve months, CGI has generated
$314.1 million or $0.99 in cash per diluted share from its operating

    In millions of Canadian dollars from continuing
     operations except when noted
                                                     Q1 F2009       Q1 F2008
    Revenue                                           1,000.4          895.4
    Adjusted EBIT                                       114.0          105.5
    Margin                                               11.4%          11.8%
    Earnings before taxes                               105.2           99.3
    Margin                                               10.5%          11.1%
    Earnings                                             79.5           71.9
    Margin                                                8.0%           8.0%
    Earnings per share                                   0.26           0.22
    Weighted average number of outstanding
     shares (diluted)                             310,654,514    329,785,001
    Interest on long-term debt                            6.7            7.3
    Net debt to capitalization ratio                      9.6%          14.3%
    Days of sales outstanding (DSO)                        52             39
    Bookings                                              775          1,134

    During the quarter, the Company booked $775 million in new contract wins,
extensions and renewals, bringing the total bookings over the last twelve
months to $3.8 billion. At the end of December 2008, the Company's backlog of
signed orders stood at $11.4 billion or 2.9x annual revenue.
    "I am very pleased with our strong overall performance and with our
efforts in helping our clients through these challenging times," said Michael
E. Roach, President and Chief Executive Officer. "Our adherence to
fundamentals combined with the relevance of our business solutions are shaping
opportunities for our clients and driving incremental value for shareholders.
We continue to maintain a solid balance sheet, giving us the financial
flexibility to execute our profitable growth strategy."
    At the end of the fiscal first quarter, the Company had $1.5 billion in
available capital, including $216.0 million in cash and an unused $1.3 billion
under its line of credit secured through 2012. The net debt to capitalization
ratio was 9.6%.

    Normal Course Issuer Bid Renewal

    Under the terms of the current Normal Course Issuer Bid which was
effective on February 5, 2008 the Company repurchased 18.5 million of its
Class A subordinate shares for $197.7 million. On January 27, 2009 the
Company's Board of Directors authorized the renewal of the Normal Course
Issuer Bid and the purchase of up to 10% of the public float of the Company's
Class A subordinate shares, or approximately 27.0 million shares during the
next year, subject to regulatory approval.

    First Quarter F2009 Results Conference Call

    Management will host a conference call to discuss results at 9:30 a.m.
Eastern time this morning. Participants may access the call by dialing (866)
225-0198 or on the Web at Supporting slides for the call will
also be available. For those unable to participate on the live call, a podcast
and copy of the slides will be archived for download at

    Annual General Meeting of Shareholders

    This morning at 11:00 a.m., the Company will hold its Annual General
Meeting of shareholders at the Fairmont Queen Elizabeth Hotel, Grand Salon,
900 Rene-Levesque Boulevard West, Montreal. The meeting, being presided over
by Serge Godin, Founder and Executive Chairman, will be broadcast live via Michael E. Roach, President and Chief Executive Officer will also
address the meeting and a question and answer session will follow with the
Executive team.

    Note to the media: A press conference will be held immediately following
the Annual General Meeting, at approximately 12 noon.

    About CGI

    Founded in 1976, CGI Group Inc. is one of the largest independent
information technology and business process services firms in the world. CGI
and its affiliated companies employ approximately 25,000 professionals. CGI
provides end-to-end IT and business process services to clients worldwide from
offices in Canada, the United States, Europe, Asia Pacific as well as from
centers of excellence in North America, Europe and India. CGI's annual revenue
run rate stands at $4.0 billion and at December 31, 2008, CGI's order backlog
was $11.4 billion. CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB)
and are included in the S&P/TSX Composite Index as well as the S&P/TSX Capped
Information Technology and MidCap Indices. Website:

    Use of Non-GAAP Financial Information

    CGI reports its financial results in accordance with GAAP. However,
management believes that certain non-GAAP measures provide useful information
to investors regarding the Company's financial condition and results of
operations as they provide additional measures of its performance.
Explanations as well as a reconciliation of these non-GAAP measures with GAAP
financial statements are provided in the MD&A which is posted on CGI's
website, and filed with SEDAR and EDGAR.

    Forward-Looking Statements

    All statements in this press release that do not directly and exclusively
relate to historical facts constitute "forward-looking statements" within the
meaning of that term in Section 27A of the United States Securities Act of
1933, as amended, and Section 21E of the United States Securities Exchange Act
of 1934, as amended, and are "forward-looking information" within the meaning
of sections 138.3 and following of the Ontario Securities Act, as amended.
These statements and this information represent CGI Group Inc.'s ("CGI")
intentions, plans, expectations and beliefs, and are subject to risks,
uncertainties and other factors, of which many are beyond the control of the
Company. These factors could cause actual results to differ materially from
such forward-looking statements or forward-looking information. These factors
include and are not restricted to the timing and size of new contracts,
acquisitions and other corporate developments; the ability to attract and
retain qualified members; market competition in the rapidly-evolving
information technology industry; general economic and business conditions,
foreign exchange and other risks identified in the Management's Discussion and
Analysis ("MD&A") in CGI's Annual Report on Form 40-F filed with the U.S.
Securities and Exchange Commission (filed on EDGAR at, and in
CGI's annual and quarterly MD&A and Annual Information Form filed with the
Canadian securities authorities (filed on SEDAR at, as well as
assumptions regarding the foregoing. The words "believe," "estimate,"
"expect," "intend," "anticipate," "foresee," "plan," and similar expressions
and variations thereof, identify certain of such forward-looking statements or
forward-looking information, which speak only as of the date on which they are
made. In particular, statements relating to future performance are
forward-looking statements and forward-looking information. CGI disclaims any
intention or obligation to publicly update or revise any forward-looking
statements or forward-looking information, whether as a result of new
information, future events or otherwise, except as required by applicable law.
Readers are cautioned not to place undue reliance on these forward-looking
statements or on this forward-looking information.

For further information:

For further information: Lorne Gorber, Vice-President, Global
Communications and Investor Relations, (514) 841-3355

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890