Paris: Atos, the French IT services group, has reported strong 2014 financial results with net profit up 8%, though the performance of its consulting business was patchy.
- Revenue: € 9,051 million, +5.1% year-on-year
- Operating margin up +8.8% year-on-year at € 702 million, 7.8% of revenue
- Full backlog: € 16.2 billion; book to bill ratio: 101%
- Free cash flow: € 367 million; Net cash position: € 989 million
- Net income: € 283 million, up +8.8% year-on-year
Thierry Breton, Chairman and CEO of Atos, said: "2014 has been very dynamic for Atos. During this first year of our 3-year plan, while we met our operational and financial targets, we also accelerated the transformation of the Group, notably through the completion of Worldline IPO, the integration of Bull operations and technologies, and the announcement of the project to acquire Xerox ITO to increase significantly our footprint in North America. As a result, we have reinforced our position as a global leader in digital services and the Group revenue has doubled since 2010 and is now circa € 10 billion on a pro forma basis, with 86,000 employees in 66 countries around the world.
"We have also repositioned our offerings portfolio on higher value and faster growing IT segments, in particular on Cloud, Big Data, mobility, and security in order to help our customers transform their business globally through the use of digital technologies.
"These achievements resulted as early as the beginning of 2015 in a Group that has a new structure, is more powerful, and is fully geared towards achieving our 2016 Ambition."
Consulting & Systems Integration revenue was € 3,136 million in 2014, up +8.5% year-on-year and down -1.1% at constant scope and exchange rates. Revenue grew strongly in Public & Health, particularly in the UK in Application Management, in France thanks to several new projects, in Central & Eastern Europe both in Consulting and Systems Integration, and in Spain thanks to some hardware sales. This positive evolution was impacted by reduced programs or base effects in some large accounts in Telcos, Media & Utilities.
During the fourth quarter, revenue in Consulting & Systems Integration was almost stable, an improvement on the first nine months of the year when it was -1.5%, thanks to a strong activity in the Public sector in France and in Central & Eastern Europe, which offset the lack of new projects in Germany.