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Atos — FY2012 Earnings Presentation
34 slides from Atos's earnings presentation, Feb 21, 2013
Slide 1: 2012 Annual Results
2012 Annual Results Thursday, February 21st 2013 Media Presentation
Slide 2: Disclaimers
2012 Annual Disclaimers Results 21 February 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
2012 Annual Agenda Results 21 February 2013 1. 2012 Highlights & 2013 objectives T. Breton 2. 2012 Financial results MA Proch 3. New Steps forward for Atos T. Breton 3
Slide 4: 2012 Highlights & 2013 objectives
2012 Annual Results 21 February 2013 Thierry Breton, Chairman & CEO 2012 Highlights & 2013 objectives 4
Slide 5: 2012: We achieved all our commitments
2012 Annual 2012: We achieved all our Results commitments 21 February 2013 2012 objectives 2012 achievement Revenue √ A slight revenue organic growth compared to pro forma for full year 2011 +0.8% organic growth ▶Operating margin √ Improvement of the operating margin rate to 6.5 percent of revenue 6
Slide 6: 2012 Highlights 1/2
2012 Annual 2012 Highlights Results 1/2 21 February 2013 2012 2011 Revenue (EUR m) 8,844 6,812 Revenue organic growth +0.8% +0.3% Book to bill 113% 103% Backlog 15.6 14.1 (EUR b) 1.8 years of revenue 1.7 years of revenue Total number of employees 76,417 73,969 6
Slide 7: 2012 Highlights 2/2
2012 Annual 2012 Highlights Results 2/2 21 February 2013 2012 2011 Operating margin rate 6.6% EUR 580 m 4.8%** EUR 425 m Net income Group share (EUR m) 224 182 Free cash flow (EUR m) 259 194 Net cash (EUR m) 232 -142 Earning per share (adjusted, non diluted) € 3.83 € 3.20 * Pro forma, at constant sc
Slide 8: 2013 Objectives
2012 Annual 2013 Objectives Results 21 February 2013 2013 Revenue The Group expects to continue to slightly grow compared to 2012. Operating margin The Group has the objective to improve its operating margin rate to around 7.5 percent of revenue compared to 6.6 percent in 2012. Free Cash Flow The Gr
Slide 9: 2012 Financial results
2012 Annual Results 21 February 2013 Michel-Alain Proch, Executive Vice President and Group CFO 2012 Financial results 9
Slide 10: Constant scope and exchange rates figures reconciliation
2012 Annual Constant scope and exchange Results rates figures reconciliation 21 February 2013 In EUR million FY 2012 FY 2011 % growth Statutory revenue 8,844 6,812 +29.8% Scope impact 1,810 Exchange rates impact 156 Revenue at constant scope 8,844 8,778 +0.8% and exchange rates Operating margin 580.
Slide 11: 2012 performance by Service Line
2012 Annual 2012 performance by Service Line Results 21 February 2013 Systems Integration HTTS & Atos revenue based on multi-year 24% Specialized contracts increased to 77 percent Businesses 22% Managed Consulting Growth in the 2 recurring Service Lines Services & 47% Technology Services Cyclical ac
Slide 12: 2012 performance by Business Units
2012 Annual 2012 performance by Business Units Results 21 February 2013 Revenue Operating Margin Operating Margin % In EUR million FY 2012 FY 2011* % growth FY 2012 FY 2011* FY 2012 FY 2011* Germany 1,690 1,680 +0.6% 138.7 93.4 8.2% 5.6% United-Kingdom & Ireland 1,679 1,562 +7.5% 116.7 95.0 7.0% 6.1
Slide 13: Group headcount evolution
2012 Annual 2012 Group headcount evolution Results 21 February 2013 -7,829 +12,384 -3,273 +1,165 76,417 73,969 Headcount a s Scope e ffect Hiring Leave rs Re structuring & Headcount a s of 01/01/12 dismissa ls of 31/12/12 13
Slide 14: Income statement
2012 Annual 2012 Income statement Results 21 February 2013 In EUR million 2012 2011 Revenue 8,844 6,812 Operating Margin 580 422 % revenue 6.6% 6.2% Staff reorganization -62 -57 Premises rationalization -28 -30 Integration & acquisition costs -53 -46 Customer relationships amortization (PPA) -43 -19
Slide 15: EPS
EPS 2012 Annual Results 21 February 2013 In EUR million 2012 2011 Net income Group share 223.8 181.6 Staff reorganization -62.4 -56.9 Rationalization and associated costs -28.1 -29.6 Customer relationships amortization (PPA) -43.2 -18.5 Disposal of subsidiaries -5.9 - Subtotal -139.6 -105.0 Tax effe
Slide 16: 2012 cash flow and net cash position
2012 Annual 2012 cash flow and net cash position Results (in EUR million) 21 February 2013 Acquisition / Net debt SIS post closing disposal and Net cash 31/12/11 adjustment Free cash flow Equity change Dividend 31/12/12 -31 -15 +259 232 +161 -142 16
Slide 17: Simplified balance sheet
2012 Annual Simplified balance sheet Results 21 February 2013 In EUR million 31 Dec. 2012 31 Dec. 2011 Goodwill 1,942 1,982 Intangible assets 464 472 Tangible assets 668 680 Non-current financial assets 54 208 Net Deferred tax assets 170 137 Net Non-current assets 3,298 3,479 Working Capital -349 -1
Slide 18: New steps forward for Atos
2012 Annual Results 21 February 2013 Thierry Breton, Chairman & CEO New steps forward for Atos 18
Slide 19: Foundation IT
Reminder: Atos offers expert IT services 2012 Annual in two different business areas Results 21 February 2013 IT services to support Enabling IT customers’ top line Atos answers: Business growth for their: ▶ Industry expertise in Competitive positioning Payments Time to Market ▶ HTTS portfolio r
Slide 20: Foundation transactional
Technology drives an acceleration of segmentation 2012 Annual between Atos payment and merchant transactional Results activities and the rest of IT businesses 21 February 2013 Technological Business transformation acceleration ▶ B2C revolution drives new merchants and merchant Atos payment transacti
Slide 21: Payment and merchant transactional activities carve-out is a logical step forward
Atos payment and merchant transactional 2012 Annual activities carve-out is a logical step forward Results 21 February 2013 Position Atos payment and merchant transactional activities as 1 Europe’s leading player in the transactional space Increase the visibility of Atos payment and merchant transac
Slide 22: Principles of payment and merchant transactional activities scope structuring
Principles of Atos payment and merchant 2012 Annual transactional activities scope structuring Results 21 February 2013 1 Perimeter centered around payment assets… 2 …including other Transactional services synergetic with payment… ▶ e-Ticketing ▶ e-Commerce ▶ e-Mobile Technologies 3 …taking into con
Slide 23: Focus on the scoping of payment and merchant transactional activities
Focus on the scoping of Atos payment 2012 Annual Results and merchant transactional activities 21 February 2013 HTTS AND Specialized Businesses Atos Worldline Atos Germany, Benelux, Worldline Atos CNS BPO Financial Worldgrid France, India and Market Asia UK UK excl. Latin America Key: Atos payment a
Slide 24: New scope and geographical footprint
Atos payment and merchant transactional 2012 Annual activities Results New scope and geographical footprint 21 February 2013 2012 revenue 2012 operating 2012 revenue organic growth margin rate* c. € 1.1b +5% 15% 2012 free Geographical Total headcounts cash flow footprint c. € 90m c. 7,000 18 countri
Slide 25: Main wins above EUR 100 million in 2012
2012 Annual Main wins above EUR 100 million Results in 2012 21 February 2013 ▶ March: a 10 years contract with EDF Energy to provide data-center services in the UK ▶ May: a five-year IT outsourcing contract with the UK Nuclear Decommissioning Authority ▶ June: Outsourcing contract renewal with the f
Slide 26: Levers for an accelerated top-line growth
2012 Annual Levers for an accelerated top-line Results growth 21 February 2013 Premium Large deal brand signatures building momentum Strong Improved dynamic for Atos payment offerings and merchant portfolio transactional activities 26
Slide 27: Atos to be recognized as a premium brand
2012 Annual Atos to be recognized as a Results premium brand 21 February 2013 Quality of delivery Attract and retain best Customers talents satisfaction Innovation Industry and portfolio recognition of offerings 27
Slide 28: A New Program: Tier One Program
2012 Annual A New Program: Results 21 February 2013 A new Program “Tier One Program” Total Operational Performance 3 years plan: to achieve best “Turnaround program” in class quality, with more advanced technologies and the best talents . « The right to be the Leader » 2 years plan to turnaround and
Slide 29: Unique capabilities to drive customer journey to the Cloud
Atos has unique capabilities to drive 2012 Annual Results customer journey to the Cloud 21 February 2013 Cloud Computing: the new IT Revolution Substantial benefits of Cloud computing enabling to deliver IT capabilities in scalable way Significant financial benefits: cut costs, variabilize IT costs,
Slide 30: Demonstrating our excellence in corporate sustainability
2012 Annual Demonstrating our excellence in Results corporate sustainability 21 February 2013 Atos entered the Dow Jones Sustainability Index for Europe, demonstrating corporate responsibility leadership in the IT sector Achieved for 2nd year running GRI A+ highest qualification for corporate extra-
Slide 31: Entering the future workplace in 2013
2012 Annual Entering the future workplace in 2013 Results 21 February 2013 2012 2013 2014 Zero Email etiquette Zero Email adoption + On boarding communities (ytd: 800) Collaborative + Active users (ytd: 12.000) + Engaged community leaders (> 10 social iterations / working day) Workplace of the futur
Slide 32: Key takeaways
2012 Annual Key takeaways Results 21 February 2013 2012 2013 The Group is fully geared towards We delivered all our objectives reaching its new objectives Looking ahead Atos strategy is in motion, leveraging on its two engines, European leaders on their respective markets: Payment and Merchant Found
Slide 33: Payment and merchant transactional activities: revenue vs. peers
Atos payment and merchant transactional 2012 Annual Results activities: revenue vs. peers 21 February 2013 Estimated revenue in Europe (in EUR billion) Gemalto 1.1 Atos payment & merchant 1.0 First Data 0.7 NETS 0.7 Worldpay 0.7 Ingenico 0.6 Edenred 0.5 FNI 0.4 Wirecard 0.4 Global Payments 0.4 Equen
Slide 34: Thank you
Thank you Atos, the Atos logo, Atos Consulting, Atos Worldline, Atos Sphere, Atos Cloud and Atos WorldGrid are registered trademarks of Atos SA. June 2011 © 2011 Atos. Confidential information owned by Atos, to be used by the recipient only. This document, or any part of it, may not be reproduced, c