- French IT giant Atos reported a 15.9% year-on-year drop in first-quarter revenue, totaling €2.07 billion ($2.35 billion), largely due to reduced business process outsourcing (BPO) activity in the UK.
- The company’s cloud and cybersecurity divisions also saw notable declines, with revenues falling 14% and 17.5%, respectively, driven by volume reductions and contract completions.
- Despite the revenue dip, order intake rose to €1.7 billion, up from €1.6 billion a year earlier, signaling improved commercial momentum.
- The book-to-bill ratio — a key indicator of sales performance — climbed to 81%, up from 64% last year, indicating strengthening order conversion.
- CEO Philippe Salle, Atos’ sixth CEO in two years, emphasized growing client confidence, stating that commercial activity showed signs of stabilization and recovery.
- Atos has been under financial strain following a €4.8 billion debt buildup, stemming from aggressive acquisitions and a failed split between its legacy IT and cybersecurity businesses.
- The company avoided collapse in early 2024 by securing a restructuring agreement with creditors, providing breathing room to refocus operations.
- Recent wins include multi-million-euro government contracts in both Britain and Serbia, helping to offset previous contract losses and boost morale.
- In March, Atos launched a reverse stock split to support its battered share price following significant shareholder dilution from its latest capital raise.
- A new strategic roadmap is expected to be unveiled by Salle at the upcoming Capital Markets Day in Paris on May 14, as the company charts a path toward long-term viability.
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