Sopra Steria Group Sa · EURONEXT:SOP
Sopra Steria Group Sa — ESG Presentation (September 2021)
42 slides from Sopra Steria Group Sa's sustainability presentation, September 2021
Slide 1: Anchoring our strategy in sustainability
Sopra Steria Anchoring our strategy in sustainability PARIS, SEPTEMBER 2021
Slide 2: Agenda
AGENDA 01 Company overview 02 Business model and corporate plan 03 Governance & Compensation 04 Corporate responsibility strategy 05 Human talent management 04 Cybersecurity and Data Privacy 05 Annexes 2 Corporate and ESG presentation – September 2021
Slide 3: Company overview
01 Company overview 3 Corporate and ESG presentation – September 2021
Slide 4: History of Sopra Steria Group
History of Sopra Steria Group More than 50 years of growth and transformation 4 Corporate and ESG presentation – September 2021
Slide 5: Track record
Track record Average organic revenue growth of 5% per year 4434 4263 4095 3845 3741 3584 3370 Revenue (€m) Operating profit on business activity (€m) 1349 1216 1050 964 958 912 856 781 672 556 37 47 63 76 82 65 86 93 110 109 231 246 301 329 308 354 300 2014 2004 2005 2006 2007 2008 2009 2010 2011 20
Slide 6: A reference shareholder backing the corporate plan
A reference shareholder backing the corporate plan Shareholding structure at 31/12/2020 Pasquier Odin Managers family family 3.4% 68.3% 28.3% Founders & Management Sopra GMT Shares managed on behalf Treasury shares Free float 2.6% 19.6% of employees Shareholders’ 6.3% 0.2% 71.2% agreement (8.4%) (57
Slide 7: A European leader in digital transformation
A European leader in digital transformation Group overview at 31/12/2020 Among the top 5 European digital services companies Among the top 10 operating in Europe 2020 revenue 46,000 Operations in End-to-end of €4.3bn employees 25 countries approach Revenue to 31/12/2020 2% 10% 15% 3% 26% 5% 32% 15%
Slide 8: Main indicators for 2020 (1/2)
Main indicators for 2020 (1/2) Financial performance Revenue Operating profit on business Net profit attributable to the activity Group €4,262.9m €300.2m €106.8m Total negative growth of 3.9% i.e. 7.0% of revenue i.e. 2.5% of revenue Negative organic growth* of 4.8% Free cash flow Net financial debt
Slide 9: Main indicators for 2020 (2/2)
Main indicators for 2020 (2/2) Non-financial performance Net change in workforce (2) Women in the Group’s Reduction in GHG (1) workforce (2) emissions per employee -3.2% 32.5% -58.9% vs +2.4% in 2019 vs 32% in financial year 2019 2020 compared with 2019 Workforce attrition rate Women hired Cumulativ
Slide 10: Business model and corporate plan
02 Business model and corporate plan 10 Corporate and ESG presentation – September 2021
Slide 11: Business model
Business model Value chain and associated indicators Value chain Sample indicators of value created for the Group’s main stakeholders (1) AI: Artificial intelligence (2) IoT: Internet of things (3) GHG: Greenhouse gases 11 Corporate and ESG presentation – September 2021
Slide 12: Ambitious corporate plan
Ambitious corporate plan Independent and value-creating Expanding European Organic growth …in services and worldwide in software External growth Independent Core shareholder Employee Added value shareholding Unique End-to-end approach Performance Software Development of consulting ac
Slide 13: Governance & Compensation
03 Governance & Compensation 13 Corporate and ESG presentation – September 2021
Slide 14: Separation of the roles of Chairman and CEO
Separation of the roles of Chairman and CEO AFEP-MEDEF Code: corporate governance code referred to by Sopra Steria Group Board of Directors Executive Management team 14 Corporate and ESG presentation – September 2021
Slide 15: Compensation of the Chief Executive Officer
Compensation of the Chief Executive Officer 2020 compensation Compensation paid in 2020 Fixed compensation: €500,000 Company car; contribution to the GSC unemployment insurance for executives: €11,521 Annual variable compensation paid in 2021 : €97,500 Calculation of 2020 annual variable compensatio
Slide 16: Compensation of the Chief Executive Officer
Compensation of the Chief Executive Officer 2021 compensation approved by the 2021 Combined General Meeting Fixed compensation: €500,000 (unchanged since January 2017) Targets associated with the variable compensation: Criteria Type % of AVC(1) % of AFC(2) Operating margin on business activity quant
Slide 17: Compensation of the Chief Executive Officer
Compensation of the Chief Executive Officer Performance share plans Shares delivered in 2020: 1,905 Shares awarded in 2020: 0 Number and date of plan Number of shares becoming available during Shares awarded in 2021: 3,000 the financial year 24/02/2017 LTI B plan 952 shares with no minimum holding p
Slide 18: Change in the performance and compensation of the Chief Executive Officer
Change in the performance and compensation of the Chief Executive Officer The apparent change in performance in 2020 was partly due to a methodological issue: one of the two quantifiable targets (revenue growth) only had a target level, without a threshold. As such, it could not be partly achieved.
Slide 19: Corporate responsibility strategy
04 Corporate responsibility strategy 19 Corporate and ESG presentation – September 2021
Slide 20: Long-standing focus on sustainability
Long-standing focus on sustainability Corporate responsibility approach anchored in the Specific organisation and governance Group’s history and identity structure Fundamental values that encourage in particular Nomination, Governance, Ethics and Corporate open-mindedness, curiosity and respect for
Slide 21: Our mission
Our mission “Together, building a positive future by making digital work for people” A contribution that aims to be: What we offer is rooted in our ability to anticipate, Purposeful understand and translate the challenges posed by digital technology so as to better assess their impacts on our client
Slide 22: Our contribution to the United Nations' SDGs
Our contribution(1) to the United Nations’ 17 SDGs 7 commitments aligned with the Group’s business model Leading employer: Supporting local Attracting talent, equal communities opportunity, diversity, 7 1 employee dialogue Long-term partner for our clients, Applying our corporate 6 2 meeting their n
Slide 23: Commitment to net-zero emissions by 2028 (1/2)
Commitment to net-zero emissions by 2028 (1/2) Plan to reduce our greenhouse gas (GHG) emissions Direct activities Sites, business travel, Energy management -74%1 per employee -85% per employee by data centres Mobility policy (baseline: 2015) 2040 Digitisation (vs -36% in 2019) (baseline: 2015) Offs
Slide 24: Commitment to net-zero emissions by 2028 (2/2)
Commitment to net-zero emissions by 2028 (2/2) Our roadmap for 2021–2028 Sites, business travel 2022 and data centres Waste and commuting 2025 2027 50% of the supply chain 100% of the supply chain 2028 Direct activities Indirect activities 24 Corporate and ESG presentation – September 2021
Slide 25: Proactive policy for senior management positions
Proactive policy for senior management positions The Group’s target is for women to make up 30% of the Executive Committee by 2025 % Women in 2020 Targets for 2025 Action plan Executive Recruitment 30% Committee: 12% Promotion Mentoring Stereotype awareness Senior managers: 17% in 2023 training 15%
Slide 26: Responsible digital technology
Responsible digital technology Gradually being integrated into our value proposition Sopra Steria Next launched Digital sobriety - Measuring the environmental impact of Exploratoire, a “do tank” for our clients’ systems - Developing systems that meet our responsible digital clients’ sustainability g
Slide 27: Human talent management
05 Human talent management 27 Corporate and ESG presentation – September 2021
Slide 28: Recruitment and retention
Recruitment and retention Proactive employment policy of Human talent management Key figures at 31 December 2020 2019 2018 Number of recruitment 6,133 10,844 11,662 Group workforce 45,960 46,245 44,114 Workforce exceluding acquisitions 44,768 45,153 43,594 Proportion of permanent contracts 9.67% 96.
Slide 29: Training
Training A training policy supported by the Group Executive Committee and an Academy 2020 achievements Key figures an updated and digital Core Competency Reference Guide, providing a shared framework for understanding the Group’s businesses, for employee evaluation, and for career development video
Slide 30: Cybersecurity and Data Privacy
06 Cybersecurity and Data Privacy 30 Corporate and ESG presentation – September 2021
Slide 31: Cybersecurity
Cybersecurity A solid organisational structure which is coordinated at the Group’s highest level An information security policy in line with Participation and contribution to a international standards cybersecurity ecosystem in France and The Group is continually investing in its Europe: security aw
Slide 32: Data Privacy
Data Privacy A solid organisational structure which is coordinated at the Group’s highest level A general personal data protection policy supported by a programme has the following goals in particular: The rollout of a specific tool to keep records of all processing of personal data by Group entitie
Slide 33: Annexes
ANNEXES 33 Corporate and ESG presentation – September 2021
Slide 34: Plan to reduce CO2 emissions from direct activities
Plan to reduce CO2 emissions from direct activities (1) Aligning with the 1.5°C trajectory approved by SBTi (measured per employee) Target for 2040 Baseline: 2015 (baseline: 2015) -85%(1) -13.6% in 2016 2028 milestone (baseline: 2015) -20.0% in 2017 -58%(1) - 6.4 points in 2017 -29.1% in 2018 -9.1 p
Slide 35: Gender equality programme details
Gender equality programme details 6 action plans Setting numerical targets to track progress in the proportion of women in the workforce and in management positions (proportion of women recruited, in the workforce, promoted) Launching Group awareness campaigns to reaffirm our commitment to gender eq
Slide 36: Digital inclusion and community outreach
Digital inclusion and community outreach Our Group’s commitment to civil society Making digital technology available to all, disadvantaged groups in particular: Supporting community outreach projects focused on helping those in need (financial support, project sponsorship) Sopra Steria-Institut de F
Slide 37: Detailed breakdown of greenhouse gas emissions
Detailed breakdown of greenhouse gas emissions GHG emissions (in millions of tCO2e) 2017 2018 2019 2020 Scope 1 (fossil fuel consumption of offices, fugitive emissions from offices and on-site data centres) 3,546 3,318 4,712 3,718 of which: Fugitive emissions 1 1,725 1,633 2,048 1,403 Sc
Slide 38: Detailed breakdown of workforce-related indicators
Detailed breakdown of workforce-related indicators 2017 2018 2019 2020 Total workforce 41,661 44,114 46,245 45,960 % Women 31% 31.6% 32.0% 32.5% Managers (cadres) 38,626 40,001 40,014 40,581 Full-time equivalent (FTE) workforce (excluding interns) 40,241 42,614 44,230 43,898 Permanent contracts (% o
Slide 39: Greater recognition from non-financial rating agencies
Greater recognition from non-financial rating agencies Confirmation of a continued rise in Sopra Steria’s ESG scores MSCI ESG RATINGS SUSTAINALYTICS RATINGS [CCC – AAA] AA Leader 75/100 AA Leader (7.4/10) 73/100 Leader A Average (7.3/10) 68/100 Outperformer 2020 2020 A Average (7.1/10) 64/100 Outper
Slide 40: Other Sopra Steria ESG rankings
Other Sopra Steria ESG rankings Awards in 2020–2021 Climate Change A-List Platinum medal for our Engagement Leader for our environmental sustainability in 2021, in the for engaging our suppliers in performance for the top 1% for the 3rd year relation to climate action 4th consecutive year running 2
Slide 41: Alternative performance measures
Alternative performance measures Restated revenue: Revenue for the prior year, expressed on the basis of the scope and exchange rates for the current year. Organic revenue growth: Increase in revenue between the period under review and restated revenue for the same period in the prior financial year
Slide 42: Thank you.
Thank you. Text on several lines. 42 Corporate and ESG presentation – September 2021