CGI swings to loss despite higher revenues

MONTREAL — CGI Group Inc. swung to a loss in its fiscal fourth quarter even as the Canadian IT services firm rounded out a quarter and a year that saw a major U.K. acquisition boost its revenue and expenses.The Montreal-based concern says its net loss was just under $170 million or 58 cents per diluted share in the three months ended Sept. 30, compared with a profit of $69.6 million or 26 cents per share in the year-earlier period.Revenue rose to $1.61 billion from just over $1 billion in the fourth quarter of fiscal 2011.Excluding costs associated with CGI’s $2.7-billion acquisition of Britain’s Logica in August, the company said it would have had net earnings of $100 million or 37 cents of diluted earnings per share, down from 39 cents per share a year earlier.CGI said the company incurred acquisition-related and integration charges totalling $248.3 million in the period.Analysts had estimated 37 cents per share of what CGI calls diluted earnings $1.6 billion of revenue, according to figures compiled by Thomson Reuters.For the full year, the company reported net earnings of $131.5 million or 48 cents per diluted share on revenues of $4.77 billion.That compared with full-year earnings of $438.1 million or $1.59 per diluted share on revenues of 4.22 billion.Founded in 1976, CGI Group Inc. is the fifth largest independent information technology and business process services firm in the world with 72,000 employees in the Americas, Europe and the Asia Pacific region. read more

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