Paris, June 24, 2020
Currently, at the event of a absolutely world wide and digital 2020 Analyst Day, the Team offers its Vision, Ambition and Approach in the mid-expression.
Elie Girard, CEO stated: “Atos’ ambition is to grow to be the leader in protected and decarbonized digital. Above the following several years, the Team will pivot in direction of progress, leveraging on SPRING to move Atos to an Industry tactic and seize this decade’s new Cloud and Electronic breakthroughs, on Electronic Protection to raise more its management, and on Decarbonization wherever Atos is a pioneer in bringing to its clients its exceptional know-how both equally on main IT, and on small business procedures. Acquisitions of bolt-on Electronic experts as well as Cybersecurity experts will enhance Atos featuring and progress profile.
As a final result of this system, Electronic, Cloud, Protection, and Decarbonization are envisioned to depict sixty five{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} of Team revenue in the mid-expression when compared to forty{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} right now reflecting a big alter in the Team featuring. Atos potent technological DNA, its longstanding world wide partnerships, as well as the potent buyer obsession society of its 110 000 colleagues, are the ideal strengths to interact in this journey.
With no money leverage and for that reason the needed money solidity to move forward, Atos is absolutely geared to arrive at its mid-expression targets for the profit of all its stakeholders.”
Mid-expression targets
The Group’s ambition is to arrive at the next targets in the mid-expression:
- Earnings progress at continuous forex: +5{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} to +seven{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2}
- Working margin price: 11{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} to twelve{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} of revenue
- Totally free money movement: an operating margin conversion price to absolutely free money movement higher than sixty{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2}.
The Team confirms all the aims for 2020 as communicated as of April 22, 2020 at the event of its Q1 2020 revenue launch.
Vision, Ambition & Approach
The Team thinks that Digitalization has delivered only a fraction of its potential. When the info deluge of the previous 10 years will accelerate, it will now be topped by a profusion of info-pushed expert services. In this new era, clients are calling for benefit – they want final result-centered expert services –, working experience – they want ground breaking and versatile expert services –, and basic safety – they want protected and decarbonized expert services.
Those people buyer phone calls concentrate on seven essential digital breakthroughs which switch into progress levers for Atos leveraging on its capabilities and property (through the Analyst Day a certain session will be focused to every of these digital breakthroughs):
one) Comprehensive Stack Cloud
The move to the Cloud is accelerating into Hybrid Cloud (Personal and Community Clouds), multi-Cloud (across several Community Clouds), and convergent Cloud methods (migration and modernization of Info, Platforms and Programs jointly) building a holistic tactic to the Cloud, a Comprehensive Stack Cloud. This evolution involves an greater orchestration functionality. In addition, the most complicated software landscapes have begun to move into the Cloud. Atos is building on its new profile (Software Modernization know-how from Syntel), its longstanding know-how in Enterprise Crucial Programs and SAP, and its potent proximity with Hyperscalers to seize this Comprehensive Stack Cloud shaping and acceleration.
two) Enterprise Crucial Programs
Digitalization accelerates into Enterprise Crucial Programs territory requiring an intensification of cloudification, Info analytics, IoT, community info processing, and 5G. Enterprise continuity criticality emphasised through the Covid-19 disaster has been fostering more this trend. Atos is leveraging on its DNA in vertical Enterprise Crucial Programs increased by SPRING transformation, and its community info processing abilities (Edge computing) to seize this natural sizeable marketplace prospect.
three) Electronic Platforms
Electronic Platforms have grow to be the very first small business transformation priority of CEOs for the several years to occur, and will be originating an believed 70{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} of the new benefit created in the economic climate. Electronic Platforms, which help the sharing info from enterprises within or across benefit chains, is a transformative trend with a large untapped prospect in the B2B entire world. By its finish-to-finish digital abilities merged with a deep market knowledge, Atos, as a recognized leader in Protection and Computing, is preferably positioned as the neutral business Electronic Platforms’ operator.
four) Purchaser Experience
In this new era of Digitialization, Purchaser Experience will be significant to broaden the arrive at of the newly created info-pushed expert services. This will leave the sole area of user interface to encompass more immersive working experience, real-time innovation and seamless omni-channel, as well as “No Person Interface” logics. Atos leverages on IP-pushed options to provide systems this kind of as Synthetic Intelligence/Equipment Discovering (AI/ML), IoT / Edge (Neighborhood Computing), and real-time Cloud and Software architectures to Purchaser Experience territory to unleash the energy of Digitalization.
5) Worker Experience
Even more to the Covid-19 disaster, the Team, who is by now a Electronic Office marketplace leader, estimates that organizations will move from ten{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} to far more than forty{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} of function-from-household in the new usual. Leaving guiding the swift fixes carried out through the disaster, the period of time to occur will see Electronic Office changed by a holistic Worker Experience tactic, together with reimagined collaboration and versatile doing the job. Creating on its potent Unified Communications and Protection options, its partner ecosystem, and its Industry certain Design Contemplating and Personas, Atos intends to grow to be the distant leader in Worker Experience in the new usual.
six) Digital Protection
Electronic Protection encompasses Cybersecurity, but also Mission Crucial Systems, IoT Protection, and Economic Protection – pointing at the willingness from clients not to rely on a solitary engineering service provider. Cybersecurity is evolving at a very swift tempo due to an at any time switching Cyber da
nger landscape, a pervasive Info ecosystem, and an greater assault surface resulting from « hybrid digital ». Atos is right now #three in Cybersecurity expert services throughout the world, and has produced a exceptional Cybersecurity innovation monitor history in buy to safeguard finish consumers, IoT and Info as well as detecting and responding to threats with its prescriptive Protection Operation Facilities. The Team intends to complement its systems via Managed extended Detection & Reaction, Privilege Obtain Management, and Cloud Encryption. The Team ambitions to arrive at far more than €2bn revenue in Electronic Protection in the mid-expression.
seven) Decarbonization
Atos has produced above the past ten several years a exceptional Decarbonization know-how, well recognized by all sustainability rankings. The Team has determined to announce right now its determination to be Web-Zero Carbon by 2035, reinforcing its management. Decarbonization is now coming into the Boardrooms of clients, and is supported by unparalleled community guidelines and societal aspirations. Atos can leverage on its exceptional know-how to shape new Decarbonization benefit propositions to clients, both equally in main IT and in small business procedures, and seize a marketplace prospect reaching close to $30bn for the sole Environmentally friendly IT in 2024. Choices range from Decarbonization assessments to the introduction in significant contracts of COtwo reduction commitments via DLA (Decarbonization Level Agreements), and the use of essential systems this kind of as IoT, Cloud, AI & Analytics, Electronic Twin to decarbonize carbon intensive small business procedures. Atos expects to crank out far more than €500m revenue in the mid-expression in Decarbonization.
Centered on the higher than Electronic breakthroughs, its exceptional capabilities and property, Atos ambitions to grow to be the Leader in Protected and Decarbonized Electronic.
Use of money and M&A plan
The Team maintains its dividend plan going forward with a payout ratio among twenty five{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} and thirty{312eb768b2a7ccb699e02fa64aff7eccd2b9f51f6a579147b7ed58dbcded82a2} of web cash flow Team share. The remaining Totally free money movement will be used to self-finance acquisitions (and to invest in back a restricted number of shares to produce very long-expression incentive options). The Team targets bolt-on acquisitions to raise essential portfolio offerings, and Cybersecurity firms. Looking at its web credit card debt absolutely free place, leverage continues to be obtainable for sizeable and transformative M&A. This use of money and M&A plan with go on to be underpinned by a rigorous money willpower.
Atos announces right now two bolt-on acquisitions as part of its M&A plan: Paladion, a world wide cybersecurity player in cloud-indigenous Managed Detection & Reaction, and Alia, a leading digital consulting company specialised in S/four HANA transformation for the electrical power sector (see two individual push releases issued right now).
Replay
A replay of the function will be obtainable per session on atos.web, in the Traders part.
Forthcoming function
July 27, 2020 Initially fifty percent 2020 benefits
October 22, 2020 3rd quarter 2020 revenue
Down load the launch in pdf
***
Contacts
Investor Relations:
Gilles Arditti – +33 one seventy three 26 00 sixty six – [email protected]
Media:
Sylvie Raybaud – +33 six 95 ninety one ninety six 71 – [email protected]
About Atos
Atos is a world wide leader in digital transformation with 110,000 workers in seventy three countries and yearly revenue of € twelve billion. European number a single in Cloud, Cybersecurity and Significant-Effectiveness Computing, the Team delivers finish-to-finish Orchestrated Hybrid Cloud, Massive Info, Enterprise Programs and Electronic Office options. The Team is the Around the world Data Know-how Partner for the Olympic & Paralympic Games and operates underneath the makes Atos, Atos|Syntel, and Unify. Atos is a SE (SocietasEuropaea), stated on the CAC40 Paris stock index.
The reason of Atos is to aid design the upcoming of the information and facts house. Its know-how and expert services help the progress of knowledge, instruction and research in a multicultural tactic and contribute to the progress of scientific and technological excellence. Across the entire world, the Team permits its clients and workers, and members of societies at significant to stay, function and create sustainably, in a protected and protected information and facts house.
Disclaimers
This document includes forward-looking statements that involve challenges and uncertainties, together with references, relating to the Group’s envisioned progress and profitability in the upcoming which may well drastically effects the envisioned efficiency indicated in the forward-looking statements. These challenges and uncertainties are connected to components out of the control of the Organization and not specifically believed, this kind of as marketplace disorders or competition behaviors. Any forward-looking statements designed in this document are statements about Atos’ beliefs and anticipations and ought to be evaluated as this kind of. Forward-looking statements contain statements that may well relate to Atos’ options, aims, methods, objectives, upcoming situations, upcoming revenues or synergies, or efficiency, and other information and facts that is not historic information and facts. Genuine situations or benefits may well differ from those described in this document due to a number of challenges and uncertainties that are described within the the 2019 Universal Registration Document filed with the Autorité des Marchés Financiers (AMF) on March three, 2020 underneath the registration number D.twenty-0096. Atos does not undertake, and exclusively disclaims, any obligation or accountability to update or amend any of the information and facts higher than except as if not needed by law. This document does not have or represent an present of Atos’ shares for sale or an invitation or inducement to commit in Atos’ shares in France, the United States of The united states or any other jurisdiction.
Earnings organic progress and Working margin are introduced as defined in the 2019 Universal Registration Document. Mid-Time period yearly revenue progress is introduced at continuous trade costs.
Industries contain Manufacturing (Aerospace, Automotive, Substances, Client Packaged Items (Food & Beverage), Discrete Manufacturing, System Industries, Companies and Siemens), Economical Companies & Insurance policy (Insurance policy, Banking & Economical Companies, and Enterprise Transformation Companies), Community Sector & Defense (Defense, Education and learning, Extraterritorial Companies, Community Administration, Community Neighborhood Companies and Main Situations), Telecom, Media & Know-how (Significant Tech & Engineering, Media, and Telecom), Resource & Companies (Electrical power, Retail, Transportation & Hospitality, and Utilities) and Healthcare & Daily life Sciences (Healthcare and Pharmaceutical).
Regional Enterprise Units contain North The united states (United states of america, Canada, and Mexico), Northern Europe
(United Kingdom & Ireland, Belgium, Denmark, Estonia, Finland, Lithuania, Luxembourg, The Netherlands, Poland, Russia, and Sweden), Southern Europe (France, Spain, Portugal, and Italy), Central Europe (Germany, Austria, Bulgaria, Croatia, Czech Republic, Greece, Hungary, Israel, Romania, Serbia, Slovakia and Switzerland) and Rising Marketplaces together with Asia-Pacific (Australia, China, Hong Kong, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, Taiwan, and Thailand), South The united states (Argentina, Brazil, Colombia, and Uruguay), Center East & Africa (Algeria, Benin, Burkina Faso, Egypt, Gabon, Ivory Coastline, Kingdom of Saudi Arabia, Lebanon, Madagascar, Mali, Mauritius, Morocco, Qatar, Senegal, South Africa, Tunisia, Turkey and UAE), Main Situations, Global Cloud Hub, and Global Shipping Facilities.