CGI Inc. has secured a cooperative contract with the Texas Department of Information Resources (DIR) to supply commercial off‑the‑shelf software and related services to state and local governments across the state. The agreement allows DIR‑eligible agencies to purchase CGI’s flagship solutions—CGI Advantage, a cloud‑based enterprise resource planning platform, and CGI Transcend, a case‑management system—directly through the DIR cooperative program.
The DIR cooperative program is a master‑contract framework that streamlines procurement for public‑sector entities, enabling them to acquire technology at negotiated prices while reducing administrative overhead. By entering this program, CGI can deliver its software and services without the need for resellers, accelerating deployment and shortening implementation timelines for Texas agencies.
For CGI, the contract represents a strategic expansion in a key public‑sector market. It adds a new source of recurring revenue and deepens the company’s managed‑services and intellectual‑property solutions footprint in Texas, a state that has been a leader in government digital transformation. The win aligns with CGI’s broader strategy to grow its public‑sector presence and reinforce its recurring‑revenue model.
Vice‑President of Consulting Services Jaclyn Beerens said, “CGI is deepening its long‑standing partnership with the State of Texas through this DIR cooperative contract. Texas has been at the forefront of government innovation, and we’re committed to supporting that leadership. With CGI Advantage and CGI Transcend, we’re helping Texas agencies modernize their operations, enhance transparency and deliver the efficient, constituent‑focused services that Texans expect and deserve.”
The contract is expected to accelerate the rollout of cloud‑based ERP and case‑management solutions across Texas, reducing implementation time and enabling agencies to realize productivity gains sooner. It also positions CGI to capture a larger share of the state’s IT spend, which is projected to grow as agencies continue to modernize their systems. The agreement underscores CGI’s ability to secure large‑scale, multi‑agency deployments through cooperative purchasing channels, reinforcing its competitive advantage in the public‑sector market.
CGI’s public‑sector business has been a key driver of its growth, with trailing‑twelve‑month revenue of $11.35 billion and a 10% year‑over‑year increase. The company’s operating margin of 16.41% and net margin of 10.42% demonstrate strong profitability, and the new Texas contract adds to the recurring‑revenue stream that supports these margins. The win is a tangible example of CGI’s strategy to leverage its managed‑services expertise and intellectual‑property solutions to capture long‑term, high‑margin contracts in the public sector.
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