07:01 AM EDT, 07/31/2024 (MT Newswires) -- CGI (GIB-A.TO, GIB) on Wednesday reported higher profit for the third quarter and also said it is will begin paying a dividend.

The IT and business consulting services company said third quarter profit, excluding specific items, rose 3.4% to $440.2 million, or $1.91 per share, from $425.7 million, or $1.80 per share, last year. The result was slightly below the consensus analyst forecast of $1.92 per share, according to Capital IQ.

Quarterly revenue registered a 1.5% increase from $3.62 billion o $3.67 billion, missing the Capital IQ forecast of $3.69 billion.

CGI also said it is initiating a dividend program, starting in the first quarter of fiscal 2025. The company intends to pay a quarterly dividend of $0.15 per share. "The initiation of our dividend program represents an additional mechanism to deliver value to our shareholders," said George Schindler, president and chief executive officer. "

CGI closed $0.90 higher at $150.50 yesterday on the Toronto Stock Exchange.