(Reuters) – Information technology and outsourcing services provider CGI Group Inc. GIBa.TO posted a 25 percent increase in quarterly profit, helped by lower expenses and higher earnings from the United States and the United Kingdom.
CGI shares rose as much as 8 percent to a record high of Cdn50.65 on the Toronto Stock Exchange. US-listed shares rose as much as 7.5 percent to $40.68.
The Canadian company said its signed order book rose to C$20.17 billion ($16.2 billion) at the end of December from C$19.25 billion a year earlier.
Earnings before finance costs, finance income and income tax expenses rose 41 percent to $95.1 million in the United States and 67 percent to $35.1 million in the United Kingdom.
CGI also authorized a buyback program of about 19.05 million shares, or up to 10 percent of its public float, for the year beginning February 11.
As of January 23, no shares have been purchased under the current program, which will end on February 10, the company said.
Net income rose to C$236.3 million, or C$74 per share, in the quarter ended December 1. on December 31, from Cdn$189.8 million, or 60 Canadian cents per share, a year earlier.
Revenue fell nearly 4 percent to C$2.54 billion.
Operating expenses fell more than 7 percent to C$2.22 billion.
($1 = 1.2452 Canadian dollars)
Reporting by Manya Venkatesh in Bangalore; Edition of Don Sebastian
