Atos SE · EURONEXT:ATO
Atos — Q3 2013 Earnings Presentation
30 slides from Atos's earnings presentation, Oct 25, 2013
Slide 1: Third quarter 2013
Third quarter 2013 Friday, October 25th, 2013
Slide 2: Disclaimers
Third quarter Disclaimers 2013 25 October 2013 ▶ This document contains further forward-looking statements that involve risks and uncertainties concerning the Group's expected growth and profitability in the future. Actual events or results may differ from those described in this document due to a n
Slide 3: Agenda
Third quarter Agenda 2013 25 October 2013 1. Highlights and 2013 objectives 2. Commercial activity 3. Financial performance 4. Focus on Worldline 5. Q&A session 3
Slide 4: Highlights and 2013 objectives
Third quarter 2013 25 October 2013 Gilles Grapinet, Senior Executive Vice President, Global Functions Highlights and 2013 objectives 4
Slide 5: Q3 2013 Highlights
Third quarter Q3 2013 Highlights 2013 25 October 2013 2,086 Revenue (EUR million) 85% 5.4 -1.8% Rev. organic evolution Book to bill ratio Pipeline (EUR billion) (7 months of revenue) 21 15.1 Free cash flow (EUR million) 77,080 Backlog (EUR billion) (1.7 years of revenue) 353 Net cash (EUR million) T
Slide 6: 2013 Objectives
Third quarter 2013 Objectives 2013 25 October 2013 With revenue expected nearly stable compared to 2012, the Group maintains the ambition to reach its objectives as stated in the February 21st, 2013 release, i.e.: ▶Operating margin – The Group has the objective to improve its operating margin rate t
Slide 7: Commercial activity
Third quarter 2013 25 October 2013 Gilles Grapinet, Senior Executive Vice President, Global Functions Commercial activity 7
Slide 8: Order entry and book to bill
Third quarter Order entry and book to bill 2013 25 October 2013 ▶ Total order entry in Q3 2013 at EUR 1,780 million 125% ▶ Book to bill ratio 116% Q3 vs. Q4: 113% 110% 96% 90% 85% 2010 2011 2012 2013 ▶ Full weighted pipeline at EUR 5.4 billion 8
Slide 9: Backlog evolution
Third quarter Backlog evolution 2013 (in EUR billion) 25 October 2013 ▶ Total backlog at EUR 15.1 billion at the end of September 2013 ▶ Managed Services ▶ HTTS & Specialized Businesses 2.0 2.3 2.3 2.2 2.0 2.2 2.2 2.1 1.5 1.5 1.9 1.6 1.0 1.0 0.5 0.5 0.0 0.0 Jun-12 Dec-12 Jun-13 Sep-13 Jun-12 Dec-12
Slide 10: Q3 main wins by vertical
Third quarter Q3 main wins by vertical 2013 1/2 25 October 2013 Manufacturing, Retail & Services ▶ Elopak: MS - Outsourcing contract in Norway (new logo) ▶ Volkswagen (Latin America): MS - Datacenter, Network and Service Desk ▶ Adidas: HTTS - Global Virtual Footwall solution as part of Atos partners
Slide 11: Q3 main wins by vertical
Third quarter Q3 main wins by vertical 2013 2/2 25 October 2013 Telco, Media & Utilities ▶ KPN: SI - Systems Integration ▶ Orange Poland: SI - Systems Integration - BSS/OSS ▶ Coriant: MS - Managed Service ▶ Maroc Telecom: SI - MT TMA FMI ▶ R.C.S. Editori: MS - Datacenter outsourcing ▶ Telegraaf Medi
Slide 12: Financial performance
Third quarter 2013 25 October 2013 Michel-Alain Proch, Executive Vice President and Group CFO Financial performance 12
Slide 13: Constant scope and exchange rates reconciliation
Third quarter Constant scope and exchange 2013 rates reconciliation 25 October 2013 In EUR million Q3 2013 Q3 2012 % growth Statutory revenue 2,086 2,181 -4.4% Scope impact 5 Exchange rates impact -61 Revenue at constant scope 2,086 2,125 -1.8% and exchange rates 13
Slide 14: Q3 2013 revenue performance by Service Line
Third quarter Q3 2013 revenue performance by 2013 Service Line 25 October 2013 In EUR million Q3 2013 Q3 2012* % growth Managed Services 987 1,007 -2.0% Systems Integration 547 555 -1.5% HTTS & Specialized 411 418 -1.7% Businesses of which HTTS 294 284 +3.4% Consulting & Technology 141 144 -1.9% Ser
Slide 15: 9M 2013 revenue performance by Service Line
Third quarter 9M 2013 revenue performance by 2013 Service Line 25 October 2013 In EUR million 9M 2013 9M 2012* % growth Managed Services 2,985 3,005 -0.6% Systems Integration 1,680 1,698 -1.0% HTTS & Specialized 1,255 1,251 +0.3% Businesses of which HTTS 886 845 +4.8% Consulting & Technology 456 488
Slide 16: Q3 2013 revenue performance by Business Unit
Third quarter Q3 2013 revenue performance by 2013 Business Unit 25 October 2013 ▶ Growth driven by North America, Iberia, and Atos Worldline In EUR million Q3 2013 Q3 2012* % growth Germany 422 432 -2.2% United Kingdom & Ireland 394 395 -0.1% Benelux & The Nordics 266 268 -0.8% France 238 260 -8.2%
Slide 17: 9M 2013 revenue performance by Business Unit
Third quarter 9M 2013 revenue performance by 2013 Business Unit 25 October 2013 ▶ Growth driven by North America, Iberia, and Atos Worldline In EUR million 9M 2013 9M 2012* % growth Germany 1,232 1,282 -4.0% United Kingdom & Ireland 1,228 1,181 +4.0% Benelux & The Nordics 814 834 -2.4% France 752 82
Slide 18: Group headcount evolution
Third quarter Group headcount evolution 2013 25 October 2013 -1,947 +2,877 +75 -1,031 77,105 77,080 Headcount as of Scope effect Hiring Leavers Restructuring & Headcount as of 30/06/13 dismissals 30/09/13 18
Slide 19: Cash flow and net cash position
Third quarter Cash flow and net cash position 2013 (in EUR million) 25 October 2013 -7 +21 -14 -16 +11 359 353 Net cash Q3 2013 free Impact of FX Share buy- Acquisition* Equity Net cash 30/06/13 cash flow fluctuation back change** 30/09/13 * Acquisition of WindowLogic in Australia and New-Zealand on
Slide 20: Focus on Worldline
Third quarter 2013 25 October 2013 Gilles Grapinet, Senior Executive Vice President, Global Functions Focus on Worldline 20
Slide 21: Worldline Q3 2013 highlights
Third quarter Worldline Q3 2013 highlights 2013 25 October 2013 EUR 277 +5.5% EUR 1.6 million billion Q3 Revenue Q3 organic growth Backlog at 30 Sept. EUR 825 +5.4% 7,250 million 9M Revenue 9M organic growth Staff at 30 Sept. 21
Slide 22: Merchant Services & Terminals
Third quarter Merchant Services & Terminals 2013 25 October 2013 Main activities & offerings ▶ Commercial acquiring and acceptance services ▶ Online services ▶ Private label cards and loyalty services ▶ Payment terminals 9M 2013 revenue EUR 264 million +2.3% organic growth 22
Slide 23: Mobility & e-Transactional Services
Third quarter Mobility & e-Transactional 2013 Services 25 October 2013 Main activities & offerings ▶ e-Government services (tolling systems, fine processing centers,…) ▶ e-Ticketing solutions and services ▶ e-Consumer and mobility services 9M 2013 revenue EUR 273 million +10.3% organic growth 23
Slide 24: Financial Processing & Software Licensing
Third quarter Financial Processing & Software 2013 Licensing 25 October 2013 Main activities & offerings ▶ Issuing processing services ▶ Acquiring processing services ▶ Online banking platforms ▶ Payment software licensing 9M 2013 revenue EUR 287 million +4.0% organic growth 24
Slide 25: Recent wins and partnerships for Worldline
Third quarter Recent wins and partnerships for 2013 Worldline 25 October 2013 ▶ July 2013: Partnership with Renault to offer secure shopping with new R-Link table ▶ July 2013: Worldline to assist Michelin solutions in developing connected solutions ▶ September 2013: Partner of Edenred and Sodexo for
Slide 26: Forthcoming event
Third quarter 2013 25 October 2013 Forthcoming event Analyst Day on October 15th, 2013 26
Slide 27: Analyst Day agenda
Third quarter Analyst Day agenda 2013 November 15th, 2013 8:00am – 4:30pm 25 October 2013 Speaker Title 08:00am Introduction by Gilles Arditti Thierry Breton Vision, strategy & 2016 ambition Michel-Alain Proch Financial strategy to support 2016 ambition Gilles Grapinet and team Atos positioning to s
Slide 28: Q&A session
Third quarter 2013 25 October 2013 Q&A session 28
Slide 29: From Questions to Answers
Third quarter 2013 25 October 2013 From Questions to Answers 29
Slide 30: Thank you
Thank you Your business technologists. Powering progress Ato S