Calian Group $22.65 – Toronto symbol CGY

Article Excerpt

CALIAN GROUP $22.65 (Toronto symbol CGY; TSINetwork Rating: Speculative) (613-599-8600; www.calian.com; Shares outstanding: 7.4 million; Market cap: $167.3 million; Dividend yield: 4.9%) has two main divisions: Business and Technology Services (which supplies 70% of the company’s revenue) provides engineers, health care workers and other skilled professionals on a contract basis; Systems Engineering (30% of revenue) sells hardware and software for testing, operating and managing satellite and other communication systems. In the three months ended June 30, 2016, revenue rose 13.9%, to a record $73.2 million from $64.3 million a year earlier. Excluding one-time items, Calian earned $4.0 million, or $0.54 a share in the quarter. That’s up sharply from $2.5 million, or $0.34 a share. The increased profits result from higher revenue. The Business and Technology Services business continues to service recurring orders from Canadian federal government ministries, including the Department of National Defence. The division’s revenue rose 14.3% in the latest quarter. Revenue at the Systems Engineering business rose 13.0%…