CGI exhibits strong cash conversion efficiency with an OCF/NI ratio that peaked at 1.97 in 2026Q1, supporting an aggressive capital return strategy that included $595.3 million in quarterly buybacks.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 | Sep'03 | Sep'02 | Sep'01 | Sep'00 | Sep'99 | Sep'98 | Sep'97 | Sep'96 |
|---|
| Cash from Operations | 2.47B | 2.23B | 2.2B | 2.11B | 1.86B | 2.12B | 1.94B | 1.63B | 1.49B | 1.36B | 1.33B | 1.29B | 1.17B | 671.26M | 613.26M | 571.22M | 552.37M | 630.24M | 354.84M | 550.17M | 309.56M | 480.44M | 231.82M | 234.98M | 177.45M | 174M | 67.55M | 76.45M | 151.64M | 8.4M | 1.9M |
| Operating CF Margin % | - | 14.04% | 15.02% | 14.77% | 14.63% | 17.45% | 15.94% | 13.48% | 12.94% | 12.59% | 12.48% | 12.69% | 11.19% | 6.64% | 12.87% | 13.58% | 14.77% | 16.39% | 9.45% | 14.75% | 8.91% | 12.94% | 7.36% | 8.64% | 8.18% | 11% | 4.7% | 5.42% | 20.47% | 3.62% | 1.56% |
| Operating CF Growth % | 41.35% | 1.32% | 4.39% | 13.26% | -11.86% | 9.15% | 18.64% | 9.41% | 9.93% | 1.91% | 3.39% | 9.74% | 75.02% | 9.46% | 7.36% | 3.41% | -12.36% | 77.61% | -35.5% | 77.73% | -35.57% | 107.25% | -1.35% | 32.42% | 1.98% | 157.59% | -11.64% | -49.59% | 1705.3% | 342.11% | 11.76% |
| Net Income | 1.68B | 1.66B | 1.69B | 1.63B | 1.47B | 1.37B | 1.12B | 1.26B | 1.14B | 1.04B | 1.07B | 977.56M | 859.44M | 455.82M | 131.53M | 435.06M | 362.77M | 315.16M | 297.9M | 236.4M | 146.53M | 219.7M | 210.81M | 175.4M | 135.8M | 62.79M | 55.67M | 83.79M | 34.89M | 7.8M | 2.7M |
| Depreciation & Amortization | 529.62M | 504.12M | 447.17M | 450.44M | 474.62M | 510.57M | 565.69M | 392.3M | 392.68M | 377.2M | 400.06M | 424.04M | 444.23M | 435.94M | 231.4M | 229.93M | 219.74M | 218.09M | 186.89M | 200.95M | 199.76M | 230.93M | 194.19M | 149.65M | 100.56M | 94.58M | 67.53M | 64.86M | 38.71M | 9.7M | 2.4M |
| Stock-Based Compensation | 28.6M | 68.64M | 67.84M | 58.21M | 49M | 45.59M | 37.36M | 39.44M | 38.46M | 34.44M | 38.3M | 30.41M | 31.72M | 31.27M | 12.52M | 15.42M | 15.52M | 8.62M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 40.74M | 626K | -146.1M | -109.5M | -7.5M | -25.93M | 6.17M | -8.3M | -41.24M | 60.9M | 96.49M | 61.72M | 54.36M | 34.71M | -22.31M | -15.89M | -21.42M | 29.3M | -22.84M | 10.05M | -34.22M | 35.65M | 52.96M | 47.96M | 35.6M | 32.59M | 2.21M | 12.33M | 2.6M | 3.9M | 2.3M |
| Other Non-Cash Items | 165.14M | 121.57M | 78.36M | 65.38M | -6.37M | 1.76M | -6.69M | 3.52M | 349K | -3.1M | -2.62M | -2.68M | 17.75M | -4.94M | 84.16M | -950K | -1.3M | 1.46M | 7.85M | 13.93M | 14.21M | -1.16K | -1.26K | -25M | 1.59K | -1.58K | 892.7K | -146.74K | 75.44M | -13M | -5.5M |
| Working Capital Changes | 31.5M | -119.04M | 65M | 16.46M | -110.89M | 214.86M | 218.16M | -56.25M | -38.24M | -146.09M | -267.87M | -201.74M | -232.67M | -281.56M | 175.96M | -92.36M | -22.94M | 57.62M | -113.89M | 85.82M | -7.37M | -10.57M | -210.42M | -115M | -45.74M | -20.16M | -58.75M | -85.4M | 0 | 0 | 0 |
| Change in Receivables | 45.58M | 80.11M | 106.36M | -31.12M | -33.7M | -42.34M | 225.44M | 205.55M | -106.07M | -164.45M | -35.83M | 23.34M | 205.94M | 280.15M | -61.37M | -94M | 125.93M | 31.75M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -42M | -63.39M | -9M | 76.55M | -116.26M | -12.35M | 79.81M | -161.03M | 8.29M | -8.06M | -102.35M | 23.55M | 161.27M | -169.03M | -15.81M | -39.79M | -59.58M | -22.45M | -43.79M | -5.4M | 14.66M | -1.15M | -24.52M | -1.66M | -17.67M | -12.28M | 31.73M | -56.49M | 0 | 0 | 0 |
| Change in Payables | 31.76M | 0 | 0 | 0 | 0 | 18.48M | 0 | -61.25M | 121.23M | -81.2M | -18.51M | -54.25M | -141.05M | -322.67M | 141.98M | 79.56M | -103.32M | 7.15M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -746.26M | -2.2B | -775.38M | -561.86M | -911.95M | -397.55M | -572.45M | -950.81M | -577.42M | -592.26M | -382.73M | -257.13M | -321.15M | -233.85M | -2.85B | -129.97M | -1.02B | -128.01M | -89.91M | -156.64M | -139.36M | -105.25M | -698.54M | -462.28M | -215.6M | -157.75M | -50.33M | -208.36M | -363.73M | -57.8M | -15.4M |
| Capital Expenditures | -255.01M | -116.61M | -109.73M | -159.77M | -156.14M | -235.74M | -128.48M | -268.04M | -238.7M | -218.93M | -266.48M | -193.85M | -259.2M | -213.41M | -108.21M | -121.24M | -117.41M | -131.58M | -109.03M | -119.57M | -115.67M | -25.31M | -54.62M | -60.84M | -57.2M | -23.99M | -18.09M | -151.72M | -343.23M | -49.1M | -12.6M |
| CapEx % of Revenue | 1.56% | 0.73% | 0.75% | 1.12% | 1.23% | 1.94% | 1.06% | 2.21% | 2.07% | 2.03% | 2.5% | 1.91% | 2.47% | 2.11% | 2.27% | 2.88% | 3.14% | 3.42% | 2.9% | 3.21% | 3.33% | 0.68% | 1.73% | 2.24% | 2.64% | 1.52% | 1.26% | 10.76% | 46.32% | 21.17% | 10.33% |
| Acquisitions | -365.42M | -1.84B | -380.31M | -13.04M | -571.91M | -98.93M | -266.94M | -620.01M | -244.64M | -283.06M | -38.44M | -56.1M | -64.05M | -5.14M | -2.73B | 3.49M | -895.46M | 3.57M | 29.24M | -17.3M | -25.62M | -66.23M | -589.68M | -233.04M | -19.87M | -86.39M | -18.39M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -121.79M | -240.62M | -237.73M | -265.13M | -218.11M | -65M | -186.96M | -60.19M | -87.42M | -92.36M | -92.74M | -2.44M | 10.2M | -23.03M | -30.43M | 0 | -68.83M | 0 | -10.12M | -19.77M | 1.94M | -13.7M | -54.25M | -168.4M | -122.9M | -47.37M | -13.85M | -56.64M | -20.5M | -8.7M | -2.8M |
| Cash from Financing | -1.62B | -246.66M | -1.61B | -1.19B | -1.59B | -1.65B | 94.17M | -629.11M | -879.04M | -1.18B | -666.3M | -1.3B | -414.06M | -445.97M | 2.29B | -491.61M | 267.31M | -197.8M | -304.08M | -416.79M | -294.08M | -329.19M | 583.65M | 205.67M | 92.89M | -15.82M | -11.18M | 53.41M | 348.28M | 43.3M | 20.4M |
| Debt Issued (Net) | -157.69M | 698.5M | -716.71M | -296.41M | -668.69M | -173.19M | 1.16B | 468.84M | -135.47M | 9.96M | -182.65M | -901.57M | -308.39M | -454.75M | 1.35B | -234.02M | 731.54M | -130.56M | -116.38M | -331M | 574.1M | -224.28M | 252.69M | 199.19M | -33.34M | -70.03M | -22.11M | 48.42M | -18.8M | 19.5M | -1.2M |
| Equity Issued (Net) | -1.73B | -1.23B | -925.09M | -774.16M | -942M | -1.47B | -1.06B | -1.1B | -741.14M | -1.19B | -459.6M | -280.48M | -67.96M | 8.78M | 931.32M | -255.5M | -463.66M | -85.56M | -183.78M | -85.8M | -868.18M | -104.91M | 331M | 6.45M | 126.24M | 54.21M | 10.93M | 4.99M | 367.1M | 23.7M | 21.9M |
| Dividends Paid | -140.16M | -135.05M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -1.77B | -1.29B | -1B | -862.48M | -983.69M | -1.53B | -1.12B | -1.16B | -818.87M | -1.25B | -549.08M | -334.17M | -134.48M | -30.53M | -117.1M | -307.59M | -516.7M | -101.7M | -216.21M | -128.54M | -926.15M | -109.46M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 402.63M | 415.74M | 34.15M | -121.81M | 19.59M | -6.99M | -3.9M | -554K | -2.43M | 0 | -24.06M | -121.61M | -37.72M | 0 | 0 | -2.09M | -571K | 18.32M | -3.91M | 0 | 1.12K | 1.16K | -1.26K | 0 | -1.59K | 0 | 0 | 0 | -21.5K | 100K | -300K |
| Net Change in Cash | 39.36M | -126.02M | -143.35M | 366.9M | -684.55M | -8.78M | 1.49B | 29.74M | 18.22M | -430.66M | 291.27M | -230.45M | 429.52M | -6.9M | 52.43M | -45.6M | -215.6M | 293.29M | -38.74M | -26.85M | -124.73M | 39.84M | 117.11M | -20.71M | 58.21M | -3.33M | 7.11M | -79.09M | 348.28M | -6.1M | 7M |
| Free Cash Flow | 2.28B | 1.96B | 1.94B | 1.81B | 1.57B | 1.88B | 1.7B | 1.37B | 1.25B | 1.14B | 1.07B | 1.1B | 915.64M | 457.85M | 505.05M | 449.98M | 434.96M | 498.67M | 245.82M | 430.59M | 193.89M | 455.12M | 177.2M | 174.14M | 120.25M | 150.01M | 49.46M | -75.28M | -191.58M | -40.7M | -10.7M |
| FCF Margin % | 13.95% | 12.34% | 13.23% | 12.63% | 12.33% | 15.5% | 13.94% | 11.27% | 10.87% | 10.56% | 9.99% | 10.78% | 8.72% | 4.53% | 10.6% | 10.69% | 11.63% | 12.97% | 6.55% | 11.55% | 5.58% | 12.26% | 5.62% | 6.4% | 5.54% | 9.49% | 3.44% | -5.34% | -25.86% | -17.55% | -8.77% |
| FCF Growth % | 16.75% | 1.18% | 7.54% | 14.9% | -16.43% | 10.86% | 24.17% | 8.86% | 10.1% | 6.85% | -2.64% | 19.64% | 99.99% | -9.35% | 12.24% | 3.45% | -12.77% | 102.86% | -42.91% | 122.08% | -57.4% | 156.84% | 1.76% | 44.81% | -19.84% | 203.29% | 165.71% | 60.71% | -370.72% | -280.37% | -2240% |
| FCF per Share | 10.70 | 8.71 | 8.38 | 7.59 | 6.47 | 7.43 | 6.37 | 4.92 | 4.34 | 3.76 | 3.41 | 3.41 | 2.87 | 1.44 | 1.85 | 1.63 | 1.49 | 1.61 | 0.76 | 1.29 | 0.53 | 1.03 | 0.42 | 0.44 | 0.32 | 0.50 | 0.18 | -0.28 | -0.82 | -0.26 | -0.12 |
| FCF Conversion (FCF/Net Income) | 1.36x | 1.35x | 1.30x | 1.29x | 1.28x | 1.55x | 1.73x | 1.29x | 1.30x | 1.32x | 1.25x | 1.33x | 1.37x | 1.47x | 4.67x | 1.31x | 1.52x | 1.98x | 1.20x | 2.32x | 2.12x | 2.17x | 1.19x | 1.32x | 1.31x | 2.77x | 1.21x | 0.91x | 4.35x | 1.08x | 0.70x |
| Interest Paid | 77.55M | 129.13M | 102.18M | 130.57M | 115.41M | 131.65M | 0 | 102.11M | 82M | 78.23M | 82.37M | 88.89M | 103.13M | 104.98M | 34.57M | 17.81M | 13.25M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 337.97M | 603.37M | 740.33M | 480.61M | 435.56M | 382.83M | 0 | 386.95M | 261.95M | 244.23M | 246.13M | 289.4M | 182.53M | 131.55M | 144.01M | 135.43M | 104.72M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Wage inflation margin compression
According to the latest quarterly filings, CGI consistently maintains an OCF/NI ratio above 1.0, with a peak of 1.97 in 2026Q1, suggesting that the firm's reported net income is well-supported by actual cash generation rather than aggressive accounting accruals or non-cash revenue recognition.
The persistent ability to convert net income into operating cash flow at a ratio exceeding parity indicates high earnings quality and disciplined working capital management. Investors should monitor whether this conversion remains robust as the firm scales its proprietary IP portfolio, which may introduce different revenue recognition patterns.
As reported in financial statements, CGI's free cash flow margins have fluctuated between 9.1% and 20.8% over the last ten quarters, reflecting a resilient business model that effectively balances operational reinvestment with the cash requirements of its long-term managed services contract base.
The variability in FCF margins appears tied to the timing of large-scale contract renewals and working capital swings rather than structural deterioration. This cash flow profile supports the firm's ability to fund its 'Buy and Build' strategy without relying on external debt markets.
Based on CGI's reported figures, capital expenditures as a percentage of revenue have remained remarkably low, averaging under 1% for most of the observed period, which highlights the firm's service-oriented nature and limited requirement for heavy physical asset investment to maintain its competitive moat.
The minimal capital intensity suggests that the firm's primary investment is in human capital and software integration rather than infrastructure. This allows for a higher portion of operating cash flow to be directed toward share repurchases and strategic acquisitions, reinforcing the firm's capital allocation discipline.
Analysis of recent cash flow statements reveals that CGI prioritizes share repurchases over dividends, with quarterly buybacks reaching as high as $595.3 million in 2026Q1, signaling management's confidence in the firm's intrinsic value and a commitment to offsetting potential dilution from employee compensation programs.
The consistent deployment of cash into share repurchases, alongside selective M&A activity, suggests a management team focused on per-share value accretion. Investors should monitor if the scale of these buybacks remains sustainable if the 'Buy and Build' pipeline requires larger cash outlays for future inorganic growth.
Quick answers to the most common questions about buying GIB stock.
CGI Inc. (GIB) generated $2.23B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
CGI Inc. (GIB) generated $1.96B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
CGI Inc. (GIB) spent $116.6M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, CGI Inc. (GIB) returned $135.1M to shareholders via cash dividends and spent $1.29B on share repurchases. This shows the company's commitment to returning capital to its equity investors.