Growing markets buoy their high yields

Article Excerpt

CALIAN GROUP $31.60 (Toronto symbol CGY; TSINetwork Rating: Speculative) (613-599-8600; www.calian. com; Shares outstanding: 7.6 million; Market cap: $240.7 million; Dividend yield: 3.5%) has two main divisions: Business and Technology Services (contributing 70% of the company’s revenue) provides engineers, health-care workers and other skilled professionals on a contract basis; and Systems Engineering (30% of revenue) sells hardware and software for testing, operating and managing satellite and other communication systems. In its fiscal first quarter, ended December 31, 2017, Calian’s revenue rose 10.2%, to $75.7 million from $68.7 million a year earlier. The company earned $4.1 million, or $0.53 a share. That’s up 20.5% from $3.4 million, or $0.45, a year earlier. The improved profits came from the higher revenue as well as cost controls. Government contracts provide steady revenue Calian’s Business and Technology operations continue to service repeat orders from several Canadian federal departments. They include the Department of National Defence. Overall, revenue for this business rose 12.1% in the latest quarter…